AMD Q2 2026 Results: Data Center Sales Double as Revenue Rises 50%

AMD’s latest reported results show how strongly its data-centre business is shaping the company’s growth. For the second quarter of 2026, revenue increased 50% year over year to $11.536 billion, while sales of data-centre products more than doubled. The quarter ended June 27, and AMD released the results on August 4.

The next quarterly report is scheduled for November 3, after the US market closes. Until that release, Q2 remains AMD’s latest reported quarter. The company’s Q3 outlook points to further growth, but it is guidance rather than a confirmed result.

Revenue and Earnings Rose Sharply

AMD reported GAAP net income of $2.297 billion for Q2 2026, compared with $872 million a year earlier. Diluted earnings per share were $1.38, up from $0.54. On a non-GAAP basis, net income reached $2.76 billion and diluted earnings per share were $1.66, compared with $781 million and $0.48 respectively in Q2 2025.

The year-on-year comparison includes a significant prior-period item: AMD said Q2 2025 results included $800 million in inventory and related charges tied to US export controls on its MI308 data-centre GPU products. That affected the comparison with this year’s results, so the percentage increases should be read alongside the underlying revenue and segment figures.

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GAAP gross margin was 54%, compared with 40% a year earlier. Non-GAAP gross margin was 56%, compared with 43%. The adjusted figures exclude certain expenses, including stock-based compensation and amortisation of acquired intangibles, so they are not directly interchangeable with GAAP measures.

Data Centre Business Led Growth

Data-centre revenue reached $6.7 billion, up 107% year over year, and represented about 58% of AMD’s total revenue. The company attributed the increase to demand for EPYC server processors and Instinct GPUs. These results put data-centre demand at the centre of AMD’s latest earnings story as customers continue building infrastructure for cloud computing and artificial intelligence workloads.

AMD’s client and gaming segment generated $3.8 billion in revenue, up 6%. Within it, client revenue rose 23% to $3.1 billion, supported primarily by demand for Ryzen processors. Gaming revenue fell 31% to $779 million, which the company attributed to lower semi-custom revenue. The embedded segment reported $977 million in revenue, up 19% as demand strengthened across several end markets.

Q3 Guidance and Next Results Date

For the third quarter of 2026, AMD forecast revenue of approximately $13 billion, with a range of plus or minus $300 million. At the midpoint, that would represent about 41% growth from the year-earlier quarter and a 13% increase from Q2. AMD also forecast a non-GAAP gross margin of approximately 56%.

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The forecast is a management outlook, not a guarantee. The November 3 earnings release will show whether reported revenue and margins matched that guidance and how the business developed across data centre, client and gaming, and embedded products. Investors will also be watching whether the sharp expansion in data-centre sales continues and how the weaker gaming result evolves.

AMD’s Q2 report combined strong overall growth with different trends across its businesses: data centre and client sales increased, gaming revenue declined, and embedded revenue improved. The upcoming Q3 report will provide the next update on whether the company can sustain its growth and meet its stated outlook.

Disclaimer: This article is for informational purposes only and is not investment advice. Onetrader is not registered with SEBI as an investment adviser or research analyst.