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Dec 31, 2022

AMD Q4 2022 Earnings Report

AMD's Q4 2022 financial results were announced, with revenue up 16% year-over-year but operating income declining due to amortization of intangible assets.

Key Takeaways

AMD reported Q4 2022 revenue of $5.6 billion, a 16% increase year-over-year. However, the company experienced an operating loss of $149 million due to amortization of intangible assets, while net income was $21 million. Non-GAAP EPS was $0.69.

Revenue increased by 16% year-over-year, driven by growth in the Embedded and Data Center segments.

Gross margin decreased to 43% due to amortization of intangible assets, but non-GAAP gross margin increased to 51%.

Operating loss was $149 million, compared to an operating income of $1.2 billion in the previous year.

Diluted earnings per share was $0.01, while non-GAAP diluted earnings per share was $0.69.

Total Revenue
$5.6B
Previous year: $4.83B
+16.0%
EPS
$0.69
Previous year: $0.92
-25.0%
Gross Profit
$2.4B
Previous year: $2.43B
-0.9%
Cash and Equivalents
$4.84B
Previous year: $2.54B
+90.7%
Free Cash Flow
$443M
Previous year: $736M
-39.8%
Total Assets
$67.6B
Previous year: $12.4B
+444.2%

AMD

AMD

Forward Guidance

For the first quarter of 2023, AMD expects revenue to be approximately $5.3 billion, plus or minus $300 million, a decrease of approximately 10% year-over-year. AMD expects non-GAAP gross margin to be approximately 50% in the first quarter of 2023.

Positive Outlook

  • Embedded segment growth
  • Data Center segment growth

Challenges Ahead

  • Client segment are expected to decline
  • Gaming segments are expected to decline