AMDs Q1/2018 financial results.

[Lawliet93]

AMD has made its Q3 financial results public, which show a dramatic increase in overall revenue and profits, even going over what Amd has estimated prior to this quarter. 

 

Quote

A lot has changed since the start of 2017, with the release of Ryzen revolutionising the CPU in both the consumer desktop and enterprise segments. Now a year after the launch of Ryzen, we can see what AMD has accomplished, generating 40% more revenue year-over-year (YoY) and a profit of $81 million this quarter. 

Since Q1 2017 AMD has went from making a $33 million loss to generating $81 million in profit, a boost of $114 million. This growth is primarily driven by AMD's Computing and Graphics unit, which has earned $1.12 billion, an increase of 95% year over year thanks to strong Ryzen and Radeon sales. AMD's gross margin has also increased by 4% from 32% to 36%, improving profitability. 

Moving forward, AMD expects to see a 50% boost revenue boost in their Q2 financials YoY, expecting revenue of $1.725 billion plus or minus $50 million with a gross margin of 37%, a staggering increase for AMD

In my opinion, Amd is coming back to it's old results prior to bulldozer, which is great, because more revenue means more R&D, and thus more competition with better products. I hope, that we will see more revenue from epycs side of things and some much needed competition in the GPU market. 
Source oc3d.

[Kamjam21xx]

Good, i want the threadripper 2 and another generation of radeon pro cards already.

 

Im willing to buy the best they got.

[Guest The Viking]

Shares are falling by 5% as usual?

 

This wouldn't be AMD without shares falling, as usual.

 

 

ayyyymd, the shares fell. "AMD is making money? quick, that can't be allowed! sell all!!!"

 

gone from 14$/share to 10$/share, this is pretty depressing.

 

 

[leadeater]

Could we actually get the source link please?

[Kamjam21xx]

Maybe ill buy some AMD stock when it drops.

[Guest The Viking]

1 minute ago, leadeater said:

Could we actually get the source link please?

https://overclock3d.net/news/cpu_mainboard/amd_posts_impressive_financial_results_-_expects_further_growth_in_q2/1

 

[cj09beira]

6 minutes ago, The Viking said:

Shares are falling by 5% as usual?

 

This wouldn't be AMD without shares falling, as usual.

 

 

ayyyymd, the shares fell. "AMD is making money? quick, that can't be allowed! sell all!!!"

 

gone from 14$/share to 10$/share, this is pretty depressing.

 

 

the stock market seems to be overly strict with amd, same thing happened last quarter and that was the first time they made money in years, come on  

[mr moose]

10 minutes ago, The Viking said:

Shares are falling by 5% as usual?

 

This wouldn't be AMD without shares falling, as usual.

 

 

 

ayyyymd, the shares fell. "AMD is making money? quick, that can't be allowed! sell all!!!"

 

gone from 14$/share to 10$/share, this is pretty depressing.

 

 

That's good, because I predicted this time last year that their shares would level back out to somewhere between 5 and 10.   I don't much like being wrong.

 

 

On topic,  I hope they don't put too much into the Ferrari's and put more into R+D for GPU's.

[Kamjam21xx]

Is that a 5day period? Both nv and amd went down over the last 5 days, i just looked it up.  

 

5 days isnt much.

[Guest The Viking]

14 minutes ago, mr moose said:

On topic,  I hope they don't put too much into the Ferrari's and put more into R+D for GPU's.

I doubt they're spending that much on it, but it's good advertisement. Fans of sports usually really follow these ads, like for football (like, european football) and such. The bank I'm with is a big sponsor of the basket league and football too, and I'm sure they've got thousands of clients just because they are the sponsors

[Taf the Ghost]

31 minutes ago, The Viking said:

Shares are falling by 5% as usual?

 

This wouldn't be AMD without shares falling, as usual.

 

 

ayyyymd, the shares fell. "AMD is making money? quick, that can't be allowed! sell all!!!"

 

gone from 14$/share to 10$/share, this is pretty depressing.

 

 

I'd expect AMD to range between 10 and 7 for a while. There's still going to be a lot of Selling pressure from bigger players getting short above 10 over the last year. Until that goes away, I'd be surprised if AMD's stock starts rising. It's still up 600% from it's all-time low back in 2015.

[cj09beira]

5 minutes ago, The Viking said:

I doubt they're spending that much on it, but it's good advertisement. Fans of sports usually really follow these ads, like for football (like, european football) and such. The bank I'm with is a big sponsor of the basket league and football too, and I'm sure they've got thousands of clients just because they are the sponsors

and unlike intel amd can really get many new customers from good marketing as their mind share is much smaller

[Nocte]

36 minutes ago, The Viking said:

-snip-

All semi-conductor companies are falling right now... I have not researched what are the reasons, but it is an industry-wide trend, not AMD's.

[xentropa]

50 minutes ago, The Viking said:

Shares are falling by 5% as usual?

 

This wouldn't be AMD without shares falling, as usual.

 

 

ayyyymd, the shares fell. "AMD is making money? quick, that can't be allowed! sell all!!!"

 

gone from 14$/share to 10$/share, this is pretty depressing.

 

 

I think the stock price a week ago might have reflected the earnings.

 

By the time the info has reached anandtech, the market would have adjusted already.

[Doobeedoo]

Really nice. They can continue and do so better with time. Next year will definitely be more important for them with. 7nm Zen2 and Navi too. 

[raphidy]

Good results. I am waiting for threadripper 4.5ghz 16cores so i can drop my peasant 1700. Maybe I'll go with Navi at the same time.

[cj09beira]

Just now, raphidy said:

Good results. I am waiting for threadripper 4.5ghz 16cores so i can drop my peasant 1700. Maybe I'll go with Navi at the same time.

you mean zen 2 ?, that will certainly be a good time to build a machine

[asus killer]

1 hour ago, The Viking said:

Shares are falling by 5% as usual?

 

This wouldn't be AMD without shares falling, as usual.

 

 

ayyyymd, the shares fell. "AMD is making money? quick, that can't be allowed! sell all!!!"

 

gone from 14$/share to 10$/share, this is pretty depressing.

 

 

that's easy to explain, the market doesn't care absolute results. They were expecting x performance and got x-y. Shares go down in price. You can have millions in revenue or grow 10% and still be a disappointment. I fell Apple will be experiencing this in the coming years if nothing changes.

[Trixanity]

It seems like EPYC isn't selling like they hoped which is a bit disappointing. I hope they'll gain more traction through 2018 but Ryzen is apparently doing very well. Their GPU situation (mining excluded) need to really stabilize and by that I mean they need to be competitive again. It's not looking up if we need to wait for 2019 for Navi which is still an iffy release and then 2020 or even 2021 for a new arch.

 

The tl;dr is Ryzen is making AMD profitable, GPUs are selling but to miners and the revenue for consoles and enterprise (EPYC, Instinct etc) is in the green but not by much - that needs to improve. 

 

It might improve with more wide-spread adoption of EPYC and Kaby Lake-G (and the rumored Crimson thing with Intel processor and RX 550-like chip).

 

Edit: someone on Reddit said Lisa Su let it slip that Zen2 and Vega - both on 7nm - will be fabbed at TSMC. I'm wondering how accurate this is. Partly because this begs the question what AMD will fab at GloFo 7nm especially considering how competitive GloFo's 7nm looks on paper especially with the IBM pedigree.

[Coaxialgamer]

59 minutes ago, Eibe said:

All semi-conductor companies are falling right now... I have not researched what are the reasons, but it is an industry-wide trend, not AMD's.

As far as gpus are concerned, it's because of a projected drop in gpu sales because of mining slowing down

[cj09beira]

30 minutes ago, Trixanity said:

Edit: someone on Reddit said Lisa Su let it slip that Zen2 and Vega - both on 7nm - will be fabbed at TSMC. I'm wondering how accurate this is. Partly because this begs the question what AMD will fab at GloFo 7nm especially considering how competitive GloFo's 7nm looks on paper especially with the IBM pedigree.

maybe there really will be 2 zen 2 dies and one of them will be made by glofo, (coming from the epyc 64 cores rumor ), but even then volume wouldn't be enough to keep amd from having to pay glofo, overall it doesn't make sense 

[Humbug]

Nice, great results from AMD.

 

"Quarterly revenue increased 40% year-over-year to a healthy $1.65 billion"

 

cause last year 1st quarter  they didn't have ryzen. What a difference a good CPU architecture makes. And it's still only ramping up and rolling out to more market segments...

https://www.tomshardware.com/news/amd-earnings-call-tsmc-7nm-gpu,36957.html

[Taf the Ghost]

13 minutes ago, Humbug said:

Nice, great results from AMD.

 

"Quarterly revenue increased 40% year-over-year to a healthy $1.65 billion"

 

cause last year 1st quarter  they didn't have ryzen. What a difference a good CPU architecture makes. And it's still only ramping up and rolling out to more market segments...

https://www.tomshardware.com/news/amd-earnings-call-tsmc-7nm-gpu,36957.html

They went from 5% to 34% gross margin per sale, I believe it was from the previous discussion on the topic. Which why even if their market share is possibly only up 1-2%, that market is suddenly far more profitable.

[SpaceGhostC2C]

2 hours ago, The Viking said:

Shares are falling by 5% as usual?

 

This wouldn't be AMD without shares falling, as usual.

 

(...)

 

It seems to be a NASDQ thing, though. These are the usual suspects and the index itself in the last 5 days:

 

(play with it yourselves)

 

If you look for ETR: instead of NASDAQ: the picture changes for all of them, and especially AMD.

[Okjoek]

3 hours ago, The Viking said:

Shares are falling by 5% as usual?

 

This wouldn't be AMD without shares falling, as usual.

 

<snip>

 

ayyyymd, the shares fell. "AMD is making money? quick, that can't be allowed! sell all!!!"

 

gone from 14$/share to 10$/share, this is pretty depressing.

 

 

Thing about AMD shares is they don't offer dividends to share holders. That's why I won't buy many of them.