- AMD quarterly revenue rises despite growing pressure on global PC market
- Memory and SSD prices make new PC builds increasingly unrealistic
- AMD expects PC demand to decline even as its own sales increase
Memory and SSD prices have continued to rise sharply, creating major obstacles to building new PCs, as in some cases RAM kits now cost four times more than recent lows – but despite these pressures, AMD expects its PC business to grow in 2026.
“Even in this environment, with the PC market down, we think we can grow our PC business…I think the PC market is an important market. Based on everything we see today, we probably see the PC [Total Addressable Market] down a little bit,” AMD CEO Lisa Su said in announcing the company’s most recent financial results.
“Our focus areas are the enterprise…and continuing our growth at the premium level, you know, the high-end end of the market.”
PC Market Challenges Remain
AMD reported revenue of $10.3 billion for its most recent financial quarter, an increase of 34% year-over-year and bringing total annual revenue to $34.6 billion.
The findings include $440 million in inventory of Instinct MI308 accelerators, of which export controls eliminated approximately $360 million.
Total MI308 revenue from sales in China reached approximately $390 million during the quarter. Gross margin was 54%, with net profit totaling $1.5 billion.
For the full year, AMD reported a non-GAAP gross margin of 52% and net income of $6.8 billion, reflecting stable financial performance despite broader market uncertainty.
AMD’s data center business is now its largest segment and generated $5.4 billion for the quarter, up 39% year over year.
Annual data center revenue reached $16.6 billion, a growth of 32%, although it was still lower than Nvidia’s data center revenue of $51.2 billion.
The Customers and Gaming segment recorded $3.9 billion for the quarter, an increase of 37% year-over-year, with full-year revenue reaching $14.6 billion, up 51%.
Gaming-only revenue grew 50% to $843 million, driven by semi-custom consoles like the PlayStation 5 and portable devices like the Steam Deck, as well as Radeon GPUs.
AMD’s Ryzen processors fall under the customer business, and demand for GPUs and AI tools continues to shape revenue trends.
The integrated segment generated $950 million for the quarter, up 3% year-over-year, although full-year revenue was down 3%, to $3.5 billion.
AMD said growth in high-end enterprise products and customer upgrades could offset slowing performance in smaller segments, especially as RAM and SSD prices remain high.
Follow TechRadar on Google News And add us as your favorite source to get our news, reviews and expert opinions in your feeds. Make sure to click the Follow button!
And of course you can too follow TechRadar on TikTok for news, reviews, unboxings in video form and receive regular updates from us on WhatsApp Also.
