Earlier this year, AMD launched its Ryzen range of processors as a serious competitor to Intel. Now it looks as though its efforts are starting to pay off, as its revenues for the third quarter are up 23 per cent. The company also saw its first operating profits in three years of $71 million, in comparison to a loss of $406 million this time last year.
In stating its quarterly results, AMD said that this revenue increase was primarily driven by the ‘Computing and Graphics segment (CG)’.
It’s easy to see how the CG segment would be a positive contributing factor. Within the past quarter, AMD has launched the high-end Ryzen Threadripper processor range (which it points out are available from over 90 retailers, OEMs, and system integrators worldwide), along with the Ryzen 3 CPUs and Ryzen PRO desktop solutions.
Also during the quarter, AMD expanded its graphics offerings with the Radeon RX Vega family of GPUs, the Radeon Pro WX 9100 professional graphics card and the Embedded Radeon E9170 Series GPU.
“Strong customer adoption of our new high-performance products drove significant revenue growth and improved financial results from a year ago,” said Dr. Lisa Su, AMD president and CEO. “Our third quarter new product introductions and financial execution mark another important milestone as we establish AMD as a premier growth company in the technology industry.”
However positive the news has been, it has also been met with a deal of skepticism. As pointed out by Hexus, the forces up on high in Wall Street weren’t satisfied with the financials, resulting in an after hours drop of 12 per cent in share price.
That drop was also down to a ‘Cautionary Statement’ from AMD that it expects the fourth quarter of 2017 to be poor. The company said that it expects revenue to decrease approximately 15 percent sequentially, ‘plus or minus 3 per cent’. In a post-earnings call, the CEO referred to a ‘levelling off of some of the cryptocurrency demand’ as a reason for the cautious outlook.