Chipmaker AMD has posted a record quarter. The company announced financial results for the third quarter of 2025, with revenue of $9.2 billion. These record revenues, a 36% year-over-year increase, are primarily driven by strong demand for its high-performance EPYC processors and AI accelerators.
Chip firm AMD posted record revenue for its data center segment, recording 22 percent Year-Over-Year (YoY) and 34 percent Quarter-over-Quarter (QoQ) growth in Q3 2025.
AMD’s GAAP diluted earnings per share increased 60% to $0.75, while gross margin improved from 50% to 52%. On a non-GAAP basis, earnings per share were $1.20, up 30% compared to Q3 2024. Notably, these results were achieved without revenue from shipments of AMD Instinct™ MI308 GPU products to China.
Datacenter and Client business drive growth
Growth was broadly based across key segments:
- Data Center segment revenue was $4.3 billion, up 22% year-over-year primarily driven by strong demand for 5th Gen AMD EPYC processors and AMD Instinct MI350 Series GPUs.
- Client and Gaming segment revenue was $4 billion, up 73% year-over-year. Client revenue was a record $2.8 billion, up 46% year-over-year primarily driven by record sales of Ryzen™ processors and a richer product mix. Gaming revenue was $1.3 billion, up 181% year-over-year driven by higher semi-custom revenue and strong demand for Radeon gaming GPUs.
“We delivered an outstanding quarter, with record revenue and profitability reflecting broad based demand for our high-performance EPYC and Ryzen processors and Instinct AI accelerators,” said Dr. Lisa Su, AMD chair and CEO.
AI Momentum accelerates with major deals
AMD has underscored the accelerating momentum in AI platforms. The company recently announced multi-year strategic partnerships with technology giants:
OpenAI and AMD announced a strategic partnership where AMD will be a core preferred partner to deploy 6 gigawatts of AMD GPUs to power OpenAI’s next generation AI infrastructure, with the first 1-gigawatt deployment of AMD Instinct MI450 GPUs set to begin in the second half of 2026.
Oracle and AMD announced that Oracle Cloud Infrastructure (OCI) will offer the first publicly available AI supercluster powered by the AMD “Helios” rack design with AMD Instinct MI450 GPUs, EPYC “Venice” CPUs and Pensando “Vulcano” networking, with an initial deployment of 50,000 GPUs starting in Q3 2026.
Other collaborations: New partnerships with IBM, Cisco, Cohere, and Vultr underscore the growing adoption of AMD’s Instinct line for AI workloads.
Outlook: further growth expected
For the fourth quarter of 2025, AMD expects revenue of approximately $9.6 billion, which would represent year-over-year growth of approximately 25%. Non-GAAP gross margin is expected to be approximately 54.5%.
“We delivered record quarterly revenue of $9.2 billion, up 36% year-over-year, and generated record free cash flow, reflecting the strength of our leadership portfolio and disciplined execution,” said Jean Hu, AMD executive vice president, chief financial officer and treasurer. “Our continued investments in AI and high-performance computing are driving significant growth and position AMD to deliver long-term value creation.”
