THE CRUNCH

AMD has reported its biggest quarter yet, with $13.4 billion in revenue for Q3 2026. CEO Lisa Su called it "the largest and most profitable in our history" on Tuesday's earnings call, and the company is forecasting another record of $17 billion next quarter.

The data centre business is doing the heavy lifting: it brought in $8.5 billion for the quarter, roughly 63 percent of AMD's total revenue. The two figures move almost in lockstep, as overall revenue rose $1.9 billion while data centre revenue rose $1.8 billion. CFO Jean Hu said that ahead of 2027 the company expects data centre to be "more than 80 percent of total company revenue", and Su is predicting revenue growth of more than 80 percent in 2027 with data centre as the largest contributor.

Away from the server racks, things are less rosy. AMD's gaming business fell 40 percent year on year to $773 million. Su also flagged that component price hikes, driven by demand from AI data centres, have caused "a bit of a slowdown in the sell-through" in consumer markets, and said AMD is "planning with the current environment for a down year for 2027".