AMD announces first quarter 2018 financial results

“We had an excellent first quarter of 2018 with revenue growth of 40 percent year-over-year,” said Dr. Lisa Su, AMD president and CEO. “Deployment of new high-performance products in PCs, gaming and the data center continues to accelerate. We are excited about our long-term roadmap and are focused on continuing to grow revenue and profits.”

• All financial results are reported based on the new revenue recognition standard, ASC 606, and prior period results have been adjusted for comparative purposes.
  

• Revenue was $1.65 billion, up 40% year-on-year and 23% month-on-month, primarily due to revenue growth in the Computing and Graphics Division.

• Gross profit was 36%, up 4 percentage points year-on-year and 2 percentage points month-on-month. The increase in gross profit margin was mainly due to the increase in the proportion of sales of Ryzen, RadeonTM and EPYC products.

• GAAP operating income was $120 million, compared to operating income of $11 million in the same period last year and an operating loss of $2 million in the previous quarter.

• Net income was $81 million, compared to a net loss of $33 million in the same period last year and a net loss of $19 million in the previous quarter. Diluted earnings per share were $0.08, compared to a diluted loss per share of $0.04 in the same period last year and a diluted loss per share of $0.02 in the previous quarter.

• On a non-GAAP basis, operating income was $152 million, compared to operating income of $34 million in the same period last year and $19 million in the previous quarter.

• Non-GAAP net income was $121 million, compared to $2 million in the same period last year and $8 million in the previous quarter. Non-GAAP diluted earnings per share were $0.11, flat year-over-year and up $0.01 in the previous quarter.

• Cash and cash equivalents at the end of the quarter were $1.04 billion.

• AMD continues to bring innovation and power back to the PC market with the launch of new consumer desktop processors.

• AMD launches its first Ryzen desktop APU, combining the high-performance Radeon “Vega” graphics architecture with the revolutionary “Zen” CPU core on a single chip.

• AMD also demonstrated the company's strong multi-generation product roadmap, releasing the second-generation Ryzen desktop CPU just one year after the first-generation Ryzen processor was launched. Compared with the first generation, the second-generation Ryzen processor can provide up to 15% gaming performance improvement, and the Ryzen 7 2700X processor can provide extremely high multi-threaded processing performance on mainstream desktop PCs.

• AMD continues to advance the deployment of its products in data centers, and platforms based on AMD EPYC processors continue to emerge.

• Dell EMC has launched three new PowerEdge server products based on the AMD EPYC 7000 series server processors.

• Yahoo Japan and Packet Corporation have also joined the ranks of deploying EPYC processors to enhance the performance and efficiency of their data centers.

• Supercomputing leader Cray has announced the addition of EPYC processors to its Cray CS500 line of HPC products.

• AMD released the EPYC Embedded and Ryzen Embedded processors, bringing the powerful "Zen" architecture to new embedded markets.

• AMD has updated its Radeon Software Adrenalin Edition, designed to optimize performance for some of the most popular PC games and enhance the esports experience for Radeon graphics card players.

• AMD and Microsoft announced the availability of AMD Radeon FreeSync technology for Microsoft Xbox One™ S and Xbox One™ X consoles, bringing an exceptionally smooth, stutter-free, tear-free gaming experience to more gamers.

• Adobe has released a new version of Adobe Premiere Pro® CC that natively supports AMD Radeon Pro SSG graphics cards, powerfully accelerating 4K and 8K workflows for popular native camera formats.

• Steam Audio released by Steam supports AMD TrueAudio Next (TAN) technology, bringing a more immersive audio experience to Steam users.

• AMD was listed in the "2018 Global Most Innovative Companies" list selected by the famous American business media "FastCompany", ranking among the top ten innovative companies in the world in the consumer electronics field.