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AMD Reports Record 2-Quarter Revenue of KRW 16,450,000,000,000, with 90% of Growth Coming from Data Centers

AMD Reports Record Second-Quarter Revenue of 16.45 Trillion Won, with 90% of the Increase Coming from Data Centers

AMD's revenue for the 2 quarter of 2026 reached a record USD 11,536,000,000. The amount converted into Korean won by domestic media was approximately KRW 16,450,000,000,000, representing an increase of 50% year over year and 13% quarter over quarter. However, approximately 90% of the growth came from data centers, while gaming revenue declined 31%.

Is KRW 16,450,000,000,000 the Revenue AMD Officially Reported?

AMD officially reported its revenue not in Korean won but as USD 11,536,000,000. KRW 16,450,000,000,000 is the amount domestic media calculated by converting the dollar-denominated results into Korean won, so it varies depending on the exchange rate applied.

Dividing 16 trillion KRW 450,000,000,000 by USD 11,536,000,000 implies an exchange rate of approximately KRW 1,426 per dollar. Therefore, when comparing historical results, it is more accurate to use the dollar-denominated figures disclosed by AMD rather than Korean won conversions affected by exchange rates.

AMD's 2 quarter of fiscal 2026 ended on 2026-06-27.

Category2 Quarter of 20251 Quarter of 20262 Quarter of 2026Year-over-Year ChangeQuarter-over-Quarter Change
RevenueUSD 7,685,000,000USD 10,253,000,000USD 11,536,000,000Increased 50%Increased 13%
GAAP Operating IncomeUSD 134,000,000 lossUSD 1,476,000,000USD 1,990,000,000Turned profitableIncreased 35%
GAAP Operating Margin-2%14%17%Up 19% percentage pointsUp 3% percentage points
Net IncomeUSD 872,000,000USD 1,383,000,000USD 2,297,000,000Increased 163%Increased 66%

GAAP refers to financial results prepared under U.S. Generally Accepted Accounting Principles. On a non-GAAP basis, which adjusts certain items, AMD reported operating income of USD 3,094,000,000, an operating margin of 27%, and diluted earnings per share of USD 1.66.

Because GAAP and non-GAAP figures use different accounting measures, they should not be mixed when comparing operating income or profit margins.

Which Business Drove the Record Revenue?

AMD's record growth was led by its data center business. Data center revenue reached USD 6,718,000,000, increasing 107% from 1 years earlier and accounting for approximately 58.2% of total revenue.

A breakdown by business segment makes the direction of growth clearer.

Business SegmentRevenue in 2 Quarter of 2026Year-over-Year ChangeQuarter-over-Quarter Change / Author's CalculationAssessment
Data CenterUSD 6,718,000,000Increased 107%Increased 16.3%Led overall growth
ClientUSD 3,062,000,000Increased 23%Increased 6.1%Driven by Ryzen demand
GamingUSD 779,000,000Decreased 31%Increased 8.2%Recovered from the previous quarter but remained weaker year over year
EmbeddedUSD 977,000,000Increased 19%Increased 11.9%Demand improved across multiple end markets

90.3% of the Revenue Increase Came from Data Centers

AMD's total year-over-year revenue increase was USD 3,851,000,000.

Total revenue increase: USD 11,536,000,000−USD 7,685,000,000=USD 3,851,000,000

Data center revenue increase: USD 6,718,000,000−USD 3,240,000,000=USD 3,478,000,000

Data center contribution: USD 3,478,000,000÷USD 3,851,000,000×100=approximately 90.3%

According to the author's calculation, approximately 90.3% of the year-over-year revenue increase came from data centers. These figures provide numerical support for the explanation that demand for AI servers drove AMD's record revenue.

However, the entire USD 6,718,000,000 in data center revenue should not be treated as AI GPU revenue. AMD's data center segment includes EPYC server CPUs and Instinct AI accelerators, along with various other data center products.

AMD did not separately disclose revenue for EPYC and Instinct. Therefore, this earnings disclosure alone does not establish exactly how much revenue AI GPUs generated.

Can the Swing from an Operating Loss to a Profit Be Compared Directly?

AMD's GAAP operating income swung from a USD 134,000,000 loss in the 2 quarter of last year to a USD 1,990,000,000 profit in the 2 quarter of this year. However, the prior-year comparison included USD 800,000,000 in inventory-related and associated costs tied to U.S. government export controls on AMD Instinct MI308 products destined for China.

Although this year's profit improvement does reflect genuine growth, the magnitude of the year-over-year turnaround also includes a base effect caused by last year's one-time costs.

Comparing results with the immediately preceding quarter helps reduce this base effect.

Revenue: Increased 13% from USD 10,253,000,000 to USD 11,536,000,000

Operating income: Increased 35% from USD 1,476,000,000 to USD 1,990,000,000

Operating margin: Rose 3% percentage points from 14% to 17%

Data center revenue: Increased 16.3% from USD 5,775,000,000 to USD 6,718,000,000

Because both revenue and profitability improved compared with the preceding quarter, it is difficult to explain these results solely as a base effect.

Why Did AMD Shares Fall Despite Record Revenue?

AMD reported 2-quarter results that exceeded market expectations and provided a revenue outlook for the 3 quarter. Nevertheless, its shares fell approximately 9% in U.S. after-hours trading following the earnings announcement.

AMD's revenue forecast for the 3 quarter of 2026 was USD 13,000,000,000±USD 300,000,000. At the midpoint, this would represent an increase of approximately 41% year over year and approximately 13% from the 2 quarter. The company's non-GAAP gross margin outlook was approximately 56%.

Market commentary suggested that the issue was not necessarily weak results or guidance, but rather that expectations already reflected in the market were even higher. A company reporting record earnings and its stock rising immediately after the announcement are two separate matters.

Share prices reflect not only the absolute size of earnings but also differences from market expectations, future growth rates, product shipment schedules, profit margins, and expectations already priced into the stock.

Which Figures Should You Check First Based on Your Research Goal?

Research GoalKey Metric to Check FirstCurrent AssessmentImportant Caveat
Verify earnings newsOfficial dollar-denominated revenue of USD 11,536,000,000Revenue did reach a record highKRW 16,450,000,000,000 is a converted amount that changes with exchange rates
Assess AI semiconductor growthData center revenue and its share of total revenueIncreased 107%, accounting for approximately 58% of total revenueNot all data center revenue comes from AI GPUs
Assess profitability improvementPrevious-quarter operating income and operating marginOperating income increased 35%, and margin rose 3% percentage pointsYear-over-year comparisons include a base effect from last year's export-control costs
Assess PC market trendsClient segment revenueIncreased 23% on Ryzen demandClient and gaming segments show different trends
Assess the gaming businessGaming revenueDecreased 31% year over yearIncreased 8.2% quarter over quarter
Evaluate information relevant to AMD's stock price3-quarter guidance and market expectationsGrowth outlook remains intactStrong earnings do not guarantee a short-term share price increase

Four Things to Watch in the Next Earnings Report

First, investors should check whether data center revenue accelerates further in the second half of the year, as AMD has indicated. The key question is whether double-digit sequential growth continues into the 3 quarter.

Second, it will be important to see how much revenue is actually generated from shipments of Helios rack-scale AI systems and next-generation Instinct products. Product announcements and customer contracts do not necessarily translate immediately into revenue in the same quarter.

Third, investors should verify whether 3-quarter revenue falls within the company's forecast range of 127 billion to USD 13,300,000,000. Whether the non-GAAP gross margin remains around 56% is another important indicator.

Fourth, it is necessary to watch whether the year-over-year decline in gaming revenue comes to an end. Even if the data center business continues to grow, prolonged weakness in gaming could widen the performance gap between AMD's business segments.

Frequently Asked Questions

Does This Mean AMD Actually Earned KRW 16,450,000,000,000?

AMD's officially disclosed revenue was USD 11,536,000,000. KRW 16,450,000,000,000 is the amount converted using the exchange rate at the time of domestic media reporting, and the Korean won figure changes when the exchange rate changes.

Is All USD 6,718,000,000 in Data Center Revenue AI GPU Revenue?

No. The data center segment includes AMD Instinct AI accelerators, EPYC server CPUs, and various other products. AMD did not separately disclose revenue by individual product.

Should Investors Buy AMD Shares Because the Company Reported Record Results?

Record results alone are not enough to justify a buy or sell decision. Investors should consider growth rates and profit margins alongside market expectations, share price levels, competitive conditions, product shipments, export restrictions, and the possibility of losses.

What Is AMD's Revenue Forecast for the 3 Quarter?

AMD forecast revenue of approximately USD 13,000,000,000 for the 3 quarter of 2026, with a range of ±USD 300,000,000. Actual results may vary depending on market conditions, product supply, and customers' investment schedules, among other factors.

For AMD's 2-quarter results, the data center segment's share of revenue and contribution to growth are more important than the exchange-rate-converted figure of KRW 16,450,000,000,000 alone. Data centers have clearly become AMD's growth engine, but investors should also consider the high concentration of growth in one business segment, weakness in gaming, and elevated market expectations.

This article interprets publicly disclosed corporate earnings for informational purposes and does not recommend buying or selling any particular stock. Exchange rates and share prices may change depending on when they are checked.

Sources Supporting the Article's Facts

According to AMD's official announcement and filings with the U.S. Securities and Exchange Commission, revenue for the 2 quarter of 2026 was USD 11,536,000,000, data center revenue was USD 6,718,000,000, and the revenue forecast for the 3 quarter was USD 13,000,000,000±USD 300,000,000. The comparative results for the 2 quarter of 2025 included USD 800,000,000 in costs related to MI308 export controls. Securities and Exchange Commission+4Advanced Micro Devices, Inc.+4Advanced Micro Devices, Inc.+4

KRW 16,450,000,000,000 is the amount domestic media calculated by converting USD 11,536,000,000 into Korean won. The implied exchange rate was approximately KRW 1,426 per dollar, based on the author's calculation. Chosun Biz

AMD shares falling approximately 9% in after-hours trading immediately following the earnings announcement was a market reaction separate from the company's officially reported results. Reuters and other outlets reported market interpretations suggesting that, despite solid results, AMD had not sufficiently exceeded already elevated expectations. Reuters+1

※ This article is provided for reference to help readers understand market trends and does not constitute investment advice regarding any particular stock or asset. Final investment decisions and responsibility rest with the individual investor.

#AMD #Second Quarter #Revenue #16.45 Trillion Won #Record #High #Revenue Increase #Data Center

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