By Connor Hart

  Advanced Micro units published higher quarterly revenue thanks to significant growth in its data center operations, but the results failed to impress Wall Street and sent the share lower. 

  Santa Clara, California, Chip Maker said Tuesday that sales over its entire Data Center Division-which includes its artificial intelligence chip-Sjök 69%, to $ 3.9 billion, mainly because of the ramp in its instinct chip. Analysts who were polled by Factset were waiting for data center revenue of $ 4.14 billion. 

  The shares fell 3.8%to $ 114.91, after the clock. The share is down by 29% over the past year, as some analysts and investors have found the AI ​​positioning of their competitors, including Nvidia, as more convincing. 

  Total revenues increased by 24%to $ 7.66 billion, before the $ 7.53 billion that analysts had modeled. 

  AMD's client, or personal calculation, revenue increased by $ 58%to $ 2.3 billion, driven by what the company called a strong demand for its Ryzen processors. The profit was compensated by the company's gaming unit, where sales fell 59%, to $ 563 million, and its embedded segments, down 13%, to $ 923 million. 

  During its quarter, which ended on December 28, the company posted a profit of $ 482 million, or 29 cents per share, compared with $ 667 million, or 41 cents per share, one year earlier. Adjusted revenue per share came in at $ 1.09 and struck the $ 1.08 as analysts as polled by Factset expected. 

  CEO Lisa Su said that there are clear opportunities for the company to continue to grow in 2025, with reference to its product portfolio and a growing demand for high -performance and adaptive computer use. 

  For the current quarter, AMD guided revenue between $ 6.8 billion and $ 7.4 billion, whose midpoint beat the $ 7 billion as analysts investigated by the facts had predicted. 

  The company has benefited from a robust demand for AI, delivered chips used to create and distribute tools that produce human similar text, images and video, but its non-AIs have stopped growth. As part of a change in AMD's broader business strategy towards AI, it said in November that it would reduce its global labor by 4%, or about 1,040 jobs. 

  Write to Connor Hart at [email protected] 

  (End) Dow Jones Newswires

  04 February 2025 17:43 et (22:43 gmt)
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