AMD Posts Record $13.4B Quarter as Data Center Revenue Surges

AMD recorded $13.4 billion in revenue for the third quarter of 2026, which its chief executive called the best quarter in the chipmaker's history, according to The Verge. Lisa Su told analysts on Tuesday's earnings call that the period was the largest and most profitable the company has ever had.

The data center division drove the result, bringing in $8.5 billion for the quarter. AMD expects to set another record in the current quarter, with guidance of $17 billion in revenue.

Su said the company expects revenue to climb by more than 80 percent in 2027, and that data center will account for the biggest share of that growth. Chief financial officer Jean Hu went further when answering a question on the call, saying that beyond 2027 the data center business should make up more than 80 percent of AMD's total revenue.

Data center already represented about 63 percent of AMD's net revenue in the quarter. The company's overall revenue rose by $1.9 billion compared with the same period a year earlier, while data center revenue alone gained $1.8 billion, showing how closely the two figures now track each other.

Gaming was the weak spot. Revenue in that segment fell 40 percent year over year to $773 million. PCs, consoles and other hardware have seen prices rise in recent months because of shortages of RAM and other components, with AI data centers driving the demand. Intel has said it does not expect the shortage to ease next year, and SK Hynix has forecast it lasting until 2030.

Su acknowledged the higher component costs and said they feed into system pricing. She noted that consumer markets tend to be more sensitive to such increases and that AMD has observed a slowdown in sell-through. She added that the company is planning for a down year in 2027 given current conditions.