AMD climbs 10% after issuing potent 2022 sales outlook
Key takeaways:
- AMD noted fourth-quarter profits after the bell on Tuesday.
- AMD expected $21.5 billion in sales in 2022, more increased than analyst anticipations.
AMD ascends 10% after 2022 sales:
AMD noted fourth-quarter profits after Tuesday's bell, topped analyst calculations for profits and sales, and had a strong sales prediction for 2022.
AMD stock increased over 11% at one moment during extended trading.
Here's how the chipmaker did versus each Refinitiv agreement calculations in the quarter concluding Dec. 25:
- EPS: $0.92, changed, versus $0.76 calculated, up 26% year-over-year
- Revenue: $4.83 billion, versus $4.53 billion assessed, up 49% year-over-year
AMD stated it predicted $21.5 billion in sales in 2022, ahead of analysts' expected $19.26 billion. That would be a 31% growth over 2021′s sales. AMD stated it anticipated $5 billion in sales in the first quarter, driven by server and PC processor deals.
In 2021, AMD's sales rose 68%, and the firm's gross margin grew to 48%, up over three percentage points from the previous year.
AMD has been hanging a wave in PC and electronics sales over the previous two years and has lately cast new chips with robust performance gains that let the processor creator challenge Intel, the most significant supplier of PC chips.
Those sales are registered in AMD's computing and graphics part, which reported a 32% increase to $2.6 billion in income. AMD stated that the sales were conducted by Ryzen processors and Radeon graphics processor sales and said the average selling cost for both product lines was growing annually.
AMD also deals chips for cloud servers and game consoles, registered in the Embedded, Enterprise, and Semi-custom segments. AMD stated that detail shot up 75% to $2.2 billion, powered by server chip and game console deals.