Despite the coronavirus epidemic, AMD could not have a reason to complain in the second quarter of this year. The chip maker released revenue of $ 1.93 billion for the period, according to its financial report for the period, released yesterday, a substantial 26 percent increase from the previous year's Q2 – and the company's strongest quarter to date. The manufacturer’s profits were realized during the period, with $ 157 million jumping nearly three-and-a-half times from the $ 35 million profit reported a year earlier. The success is mainly due to AMD's record revenue from chips for notebooks and servers.
NOTEBOOK PROCESSORS PULLED
billion dollars. It’s also a very spectacular 45.4 percent increase over Q2 revenue in 2019 – but operating profit has gained even more pace, more than eightfold in a year to $ 200 million.
The situation for GPUs was no longer as bright: although detailed numbers were not the same: a lot of the business was notched by notebook processors, selling twice as much as a year earlier – but sales of Ryzen chips were generally particularly strong. the company did not report, their average sales prices decreased year-on-year, and the number of units sold also declined somewhat – despite the fact that the second quarter of 2019 was not particularly strong in this area either.
SERVER CHIPS ALSO SELL GOOD
The Enterprise, Embedded and Semi-Custom business line, which also includes server processors, also fell back in full. , revenue fell 4.4 percent to $ 565 million. This was accompanied by an operating profit of 33 million, a significant decrease of nearly 63 percent from the figures reported a year earlier.
The decline is mainly due to semi-custom chips for consoles – however, this is due to the new generation of gaming consoles, i.e. With the upcoming launch of the PlayStation 5 and Xbox Series X and the acceleration of their production, it is likely to improve significantly in the future. Server processors, on the other hand, were rampant, with the manufacturer being able to sell significantly more EPYC chips than a year ago, doubling its revenue from chips – so, as AnandTech notes, AMD can finally carve out a double-digit market share in the server processor market.  So far, the manufacturer has been able to navigate particularly well during the global coronavirus epidemic, and even profit from it, as in the first half of the year, the soaring demand for notebooks was driven by widespread telecommuting worldwide. The company is optimistic about entering the second half of the year and expects an annual growth of 32 percent in its forecasts compared to 2019.
AMD expects strong performance in EPYC chips in the future, as well as the aforementioned consoles and the following New products waiting to be announced in the coming months may also give the company confidence. Zen 3-based Milan EPYC chips are expected to be released towards the end of the year, as will Zen 3-based client processors for consumer devices. In addition, the company's positive outlook is reinforced by tensions around rival Intel: although the competitor also produced a strong second quarter this year, it was forced to postpone its plans for its 7-nanometer manufacturing process and then outsource mass production of its processors to other companies. and the announcements were followed by a major reorganization of the company.
Gellert is Technology Editor at Counting News Media and contributor at other major tech publications. Her interests includes testing new gadgets and reading.