Advanced Micro Devices Inc · NASDAQ:AMD
Advanced Micro Devices — Q1 2026 Earnings Presentation
26 slides from Advanced Micro Devices's earnings presentation, May 5, 2026
Slide 1: AMD Financial Results First Quarter 2026
AMD Financial Results First Quarter 2026 May 5, 2026
Slide 2: Cautionary Statement
Cautionary Statement This presentation contains forward-looking statements concerning Advanced Micro Devices, Inc. (AMD), such as the features, functionality, performance, availability, timing and expected benefits of future AMD products; AMD's large growth opportunities across diverse set of market
Slide 3: Our Journey
Leadership Product Portfolio Expanding Customer & Partner Ecosystem Our Journey Data Center and AI Growth Strong Financial Foundation 3 | | Q1 2026 FINANCIAL RESULTS – May 5, 2026
Slide 4: Strategic Pillars
Strategic Pillars Powering AI and High-Performance Compute Everywhere Extend Compute Expand Data Center Open Software Platforms Powering Technology Leadership Leadership & Developer Enablement AI Everywhere CPU, GPU, FPGA, Cloud, Enterprise and Production-Grade High-Performance, Adaptive Networking,
Slide 5: Large Growth Opportunities
Large Growth Opportunities Across a Diverse Set of Markets Data Center Client and Gaming Embedded Performance, efficiency and Leadership performance Industry’s broadest portfolio AI capabilities for commercial and TCO across cloud, of adaptive and embedded and consumer PC and enterprise and AI workl
Slide 6: Q1 2026 Revenue
Q1 2026 Revenue $10.3B Revenue of $10.3 billion increased 38% y/y $7.4B Driven primarily by strong growth in our Data Center and Client and Gaming segments and a return to growth in the Embedded segment Q1 2025 Q1 2026 6 | | Q1 2026 FINANCIAL RESULTS – May 5, 2026
Slide 7: Q1 2026 Gross Margin
Q1 2026 Gross Margin 1 GAAP Non-GAAP 55% 53% 54% 50% Q1 2025 Q1 2026 Q1 2025 Q1 2026 Non-GAAP gross margin1 was up 170bps y/y driven by a favorable product mix, including a higher Data Center revenue contribution 1. See Appendices for GAAP to Non-GAAP reconciliation 7 | | Q1 2026 FINANCIAL RESULTS –
Slide 8: Q1 2026 Operating Income
Q1 2026 Operating Income 1 GAAP Non-GAAP $1.5B $2.5B $1.8B $0.8B Q1 2025 Q1 2026 Q1 2025 Q1 2026 Operating income growth driven by higher revenue partially offset by higher operating expenses 1. See Appendices for GAAP to Non-GAAP reconciliation 8 | | Q1 2026 FINANCIAL RESULTS – May 5, 2026
Slide 9: Q1 2026 Diluted Earnings Per Share
Q1 2026 Diluted Earnings Per Share 1 GAAP Non-GAAP $0.84 $1.37 $0.96 $0.44 Q1 2025 Q1 2026 Q1 2025 Q1 2026 Non-GAAP EPS up 43% y/y driven by strong revenue growth and GAAP EPS up 91% y/y, primarily driven by higher revenue both gross and operating margin expansion 1. See Appendices for GAAP to Non-G
Slide 10: Q1 2026 Summary P&L | GAAP
Q1 2026 Summary P&L | GAAP $ in millions, except per share data and % Q1’26 Q1’25 Y/Y Q4’25 Q/Q Revenue $10,253 $7,438 Up 38% $10,270 Flat Gross Profit $5,416 $3,736 Up 45% $5,577 Down 3% Gross Margin 53% 50% Up 3 ppts 54% Down 1 ppt Operating Expenses $3,940 $2,930 Up 34% $3,825 Up 3% Operating Exp
Slide 11: Q1 2026 Summary P&L | Non-GAAP
Q1 2026 Summary P&L | NON-GAAP1 $ in millions, except per share data and % Q1’26 Q1’25 Y/Y Q4’25 Q/Q Revenue $10,253 $7,438 Up 38% $10,270 Flat Gross Profit $5,685 $3,992 Up 42% $5,855 Down 3% Gross Margin 55% 54% Up 1 ppt 57% Down 2 ppts Operating Expenses $3,145 $2,213 Up 42% $3,001 Up 5% Operatin
Slide 12: Q1 2026 Segment Results
Q1 2026 Segment Results $ in millions Q1’26 Q1’25 Y/Y Q4'25 Q/Q Data Center Net Revenue 5,775 3,674 Up 57% 5,380 Up 7% Operating Income 1,599 932 Up 72% 1,752 Down 9% Client & Gaming Net Revenue 3,605 2,941 Up 23% 3,940 Down 9% Operating Income 575 496 Up 16% 725 Down 21% Embedded Net Revenue 873 82
Slide 13: Q1 2026 Summary Balance Sheet Items
Q1 2026 Summary Balance Sheet Items $ in millions Q1’26 Q4’25 Q/Q Cash, Cash Equivalents and $12,347 $10,552 Up 17% Short-term Investments Accounts Receivable, Net $6,035 $6,315 Down 4% Inventories $8,045 $7,920 Up 2% Total Debt $3,224 $3,222 Flat Record cash from operating activities of continuing
Slide 14: Q1 2026 Data Center Segment
Q1 2026 Data Center Segment Revenue Operating Margin Strategic Highlights $5.8B $3.7B • Meta plans to deploy up to 6 GW of AMD Instinct GPUs, with the first 1-GW deployment powered by a custom AMD Instinct MI450-based GPU. Meta will also be a lead 25% 28% customer for 6th Gen AMD EPYC CPUs. • AWS, G
Slide 15: Q1 2026 Client and Gaming Segment
Q1 2026 Client and Gaming Segment Revenue Operating Margin Strategic Highlights $3.6B $2.9B Gaming 17% $0.7B 16% Gaming $0.6B • Launched AMD Ryzen AI PRO 400 Series processors, enabling next-generation enterprise Client desktop PCs that deliver Copilot+ experiences. Client $2.9B $2.3B • Introduced R
Slide 16: Q1 2026 Embedded Segment
Q1 2026 Embedded Segment Revenue Operating Margin Strategic Highlights $823M $873M 40% 39% • Launched the Kintex UltraScale+ Gen 2 family of mid-range FPGAs, delivering advanced memory bandwidth and I/O performance for industrial, imaging and broadcast applications. Q1 2025 Q1 2026 Q1 2025 Q1 2026 •
Slide 17: Financial Outlook – Non-GAAP
Financial Outlook – NON-GAAP1 Q2’26 ~$11.2 Billion Revenue +/- $300 Million Gross Margin ~56% Operating Expenses ~$3.3 Billion Interest Expense/Other Income (Expense), net $60 Million Effective Tax Rate 13% of pre-tax income Diluted Share Count2 ~1.66 Billion shares 1. See Cautionary Statement on Sl
Slide 18: Summary
Q1 2026 Summary1 Data Center Segment Revenue $5.8B Gross Margin 53% Diluted EPS $0.84 Revenue Up 57% Y/Y $10.3B Client and Gaming Non-GAAP Non-GAAP Up 38% Y/Y Segment Revenue $3.6B Gross Margin 55% Diluted EPS $1.37 Up 23% Y/Y Accelerating revenue growth, earnings expansion and record quarterly free
Slide 19: Corporate Responsibility at AMD
Corporate Responsibility at AMD Environmental Social Governance Integrating corporate Advancing environmental Fostering a workplace where responsibility and solutions across our all voices are welcome and governance across product products, supply chain and valued, partnering with design, supply cha
Slide 20: Our Momentum
Our Momentum Expanding Data World-Class Large and Technology Strong Balance Center and AI Execution and Compelling TAM Leadership Sheet Leadership Focus Driving Long-term Shareholder Returns 20 | | Q1 2026 FINANCIAL RESULTS – May 5, 2026
Slide 21: Appendices
Appendices Reconciliation of GAAP to Non-GAAP Gross Profit and Gross Margin $ in millions, except % (Unaudited) Q1’26 Q1’25 Q4’25 GAAP gross profit $ 5,416 $ 3,736 $ 5,577 GAAP gross margin 53% 50% 54% Stock-based compensation 8 5 8 Amortization of acquisition-related intangibles 261 251 260 Acquisi
Slide 22: Appendices
Appendices Reconciliation of GAAP Operating Income to Non-GAAP Operating Income $ in millions, except % (Unaudited) Q1’26 Q1’25 Q4’25 GAAP operating income $ 1,476 $ 806 $ 1,752 GAAP operating margin 14% 11% 17% Stock-based compensation 487 364 486 Amortization of acquisition-related intangibles 551
Slide 23: Appendices
Appendices Reconciliation of GAAP to Non-GAAP Net Income / Diluted Earnings Per Share $ in millions, except per share data (Unaudited) Q1’26 Q1’25 Q4’25 GAAP net income / earnings per share $ 1,383 $ 0.84 $ 709 $ 0.44 $ 1,511 $ 0.92 Stock-based compensation 487 0.30 364 0.22 486 0.29 Amortization of
Slide 24: Appendices
Appendices Reconciliation of GAAP Net Cash Provided by Operating Activities of Continuing Operations to Free Cash Flow $ in millions, except % (Unaudited) Q1’26 GAAP net cash provided by operating activities of continuing operations $ 2,955 Operating cash flow margin % from continuing operations 29%
Slide 25: Appendices: Share Count Overview
Appendices Share Count Overview Q1’26 Q2’26 (1) Shares (millions) (Unaudited) Actual Estimate Basic shares 1,631 1,632 Dilutive impact from employee equity grants (2) 19 23 Diluted shares 1,650 1,655 The table above provides actual share count for Q1’26 and an estimate of share count to use when cal
Slide 26: | Q1 2026 FINANCIAL RESULTS – May 5, 2026
26 | | Q1 2026 FINANCIAL RESULTS – May 5, 2026
Advanced Micro Devices — Q1 2026 Earnings Presentation on 6ix