AMD’s acquisition of Xilinx earlier this year turned the company into a “data center,” analysts say, pushing the company to its first quarter of $ 5 billion.
The chipmaker reported revenue of $ 5.9 billion for Q1’22, with a net profit of $ 786 million – 70% and 42% respectively on an annual basis and the best result to date.
Even with the exception of Xilinx, which AMD acquired in February, the company still has record revenues of $ 5.3 billion.
Analysts say the acquisition of Xilinx has turned AMD into a “data center” and the segment’s results support that claim.
The Computing & Graphics segment – responsible for most AMD processors and GPUs – generated $ 2.8 billion in revenue, up 33% year-over-year, thanks to higher average prices driven mostly by more sales. high-end Radeon processors. Operating revenue was $ 723 million, an increase of 49%.
The Enterprise, Embedded and Semi-Custom segments, which hold AMD’s EPYC server processors, reached revenue of $ 2.5 billion (up 88% year-on-year) and record operating income of $ 881 million (up 218% year-on-year). Higher revenue and licensing profits of $ 83 million were the main drivers of the result. In particular, many cloud customers – including Microsoft and Google – already use EPYC processors for specific applications.
Xilinx generated $ 559 million in partial revenue for the quarter and $ 233 in operating revenue after the acquisition and more than $ 1 billion for the quarter.
The only segment in which there was a loss was “All Others”, which includes costs and loans that are not in line with other segments. This segment does not bring revenue and thus always works at a loss. This loss widened significantly to $ 886 million, from $ 100 million last year, mainly due to amortization of intangible assets and acquisition costs.
AMD forecasts even better results in Q2’22, forecasting revenue of $ 6.5 billion (+/- $ 200 million), which is about 69% on an annual basis. His full-year forecast is similarly optimistic: $ 26.3 billion, up 60% from 2021.