Dear Shareholders,
Artificial intelligence is redefining modern computing and driving one of the most consequential technology transitions in history. The scale of computing infrastructure required to power this transformation is unprecedented, and the systems being built today will shape how the world advances science, discovers new medicines, designs products and manages energy for decades to come.
Meeting this challenge requires a new generation of computing platforms that integrate CPUs, GPUs, networking, adaptive compute and software at massive scale. As models and workloads advance, they demand open, flexible architectures that provide the freedom to deploy Al today while evolving for what comes next. AMD is building the high-performance compute foundation for this new era of Al – from hyperscale data centers and enterprise deployments to PCs and the intelligent edge.
Against this backdrop, 2025 was a defining year for AMD. We delivered record financial results, with revenue increasing 34% to $34.6 billion, and record profitability. These results reflect disciplined execution, deep customer partnerships and a broad portfolio of leadership products that continue to expand AMD's role at the center of the global Al infrastructure buildout.
Highlights included:
- Record AMD Instinct™ GPU revenue driven by the ramp of our M1350 Series accelerators and expanding customer engagements for next-generation Al platforms, including our multi-generational strategic agreements with OpenAl and, most recently, Meta.
- Record server CPU share as adoption of AMD EPYC™ processors accelerated across cloud and enterprise deployments.
- Record client processor revenue and continued share gains for our AMD Ryzen™ portfolio.
- A second consecutive year of record design wins in our adaptive and embedded portfolio.
- Completion of the acquisition of ZT Systems, expanding our systems capabilities and accelerating development of rack-scale Al infrastructure solutions.
At AMD, long-term leadership is built on product excellence, relentless execution and strong ecosystem partnerships. These principles fueled our momentum in 2025 and continue to guide our growth.
DATA CENTER AND Al INFRASTRUCTURE
The rapid expansion of Al workloads is reshaping the architecture of modern data centers. Training, inference, data processing and emerging agentic systems are driving unprecedented demand for high-performance and energy efficient compute.
orchestrating complex workloads, optimizing memory and driving system-level performance and efficiency.
Adoption of our 5th Generation EPYC “Turin” processors accelerated across hyperscale cloud providers and enterprise customers throughout the year. Over the past two years, the number of publicly available EPYC-powered cloud instances has nearly doubled.
Enterprise adoption also reached an important inflection point. The number of large businesses deploying EPYC on-prem more than doubled in 2025, with major deployments across leading technology, financial services, retail, automotive and media companies.
AMD's Data Center segment delivered record performance in 2025, with revenue increasing 32% year-over-year to $16.6 billion. Growth was driven by strong demand for both general-purpose and Al computing as we expanded EPYC CPU share and rapidly scaled our Instinct GPU deployments.
EPYC: Expanding CPU Leadership
CPUs are a critical foundation of modern computing infrastructure, powering cloud services, hosting business-critical applications and enabling large-scale Al workloads. As Al scales and agentic systems accelerate, their role is expanding,
As a result, we exited 2025 with record server share, reinforcing that EPYC CPUs are the processors of choice for the modern data center based on their leadership performance and total cost of ownership.
Looking ahead, our 6th Generation EPYC “Venice" processors are built on our next-generation “Zen 6” architecture and designed to extend AMD's leadership in performance, efficiency and TCO across cloud, enterprise, Al and supercomputing workloads. “Venice” is on track to launch in 2026, and we are seeing record demand as customers plan deployments later this year.
Instinct: Scaling Al Compute
Demand for Al accelerators continued to grow rapidly in 2025. Eight of the world's top ten Al companies now use AMD Instinct accelerators for production workloads.
We launched the MI350 Series GPUs in June, delivering a 35x improvement¹ in inference performance compared to the prior generation and enabling a new class of large-scale Al deployments. Since launch, cloud providers including Meta, Oracle and others have expanded availability of MI350-based infrastructure, and a growing number of next-generation Al cloud providers have scaled Instinct-powered systems to deliver on-demand compute to Al-native developers and enterprises worldwide.
The MI400 family expands our Instinct portfolio and delivers a step-function improvement in performance across large-scale training and inference, high-performance computing workloads and enterprise Al deployments, enabling customers to deploy Al infrastructure across a wide range of environments.
Helios: Rack-Scale Al Infrastructure
As Al clusters grow larger and more complex, innovation must extend beyond chips to full rack-scale systems.
The acquisition of ZT Systems expanded AMD's expertise in rack-scale system design and accelerated development of AMD Helios, our most comprehensive Al infrastructure platform to date.
Helios integrates next-generation Instinct MI455X GPUs, EPYC “Venice” CPUs and Pensando networking into a unified rack-scale platform optimized for large-scale Al training and inference deployments. By tightly integrating compute, networking and system design, Helios delivers a step change in performance and efficiency at rack scale.
Built on Meta's Open Wide Rack specification, Helios reflects AMD's commitment to open standards and ecosystem collaboration. There is significant customer momentum around Helios.
We announced a multi-generation agreement with OpenAl to deepen co-development across our hardware and software roadmaps and deploy six gigawatts of Instinct GPUs to power Al infrastructure. Oracle announced plans to launch the first publicly available Al supercluster powered by MI450 Series GPUs.
We also recently expanded our close partnership with Meta to accelerate their Al infrastructure with large-scale deployments of Instinct GPUs and EPYC CPUs across multiple product generations. Initial shipments supporting the first gigawatt deployment are scheduled to begin in the second half of 2026 and will leverage our Helios rack-scale architecture with a custom MI450-based Instinct GPU and our EPYC “Venice” CPU.
We are working closely with lead customers, supply chain and ecosystem partners to ensure a smooth ramp for the MI400 series and Helios, and we are on track to begin production shipments in the second half of 2026.
ROCm: The Software Foundation for AMD AI
Software converts hardware leadership into adoption at scale. In 2025, we significantly strengthened our AMD ROCm™ open software stack, accelerating our release cadence to deliver rapid performance optimizations, expanded developer tools and day-zero support for new frontier models.
ROCm now provides out-of-the-box support for more than two million models on the Hugging Face platform and saw a tenfold increase in downloads during the year, reflecting rapidly growing developer adoption. We also introduced ROCm 7, our most comprehensive release to date, and expanded our collaboration with top Al ecosystem partners including Hugging Face, Pytorch, VLLM and SGLang.
These advancements make it easier than ever for developers and enterprises to build, deploy and scale Al workloads on AMD platforms.
CLIENT AND GAMING
Al is also reshaping personal computing, creating new opportunities for intelligent applications that run locally on PCs and edge devices.
AMD's Client and Gaming segment delivered record revenue of $14.6 billion in 2025, an increase of 51% year-over-year, driven by strong demand for Ryzen processors, semi-custom console SoCs and Radeon GPUs.
Ryzen: Leadership PCs for the Al Era
Our Ryzen processors continued to gain share across mobile and desktop markets, driving client revenue to a record $10.6 billion.
AMD continues to be a leader in Al PCs, expanding the Ryzen Al 300 Series across more than 250 systems from leading OEM partners. We also introduced Ryzen Al Max+ processors, delivering industry-leading CPU and Al performance and enabling a new generation of Al-enabled personal computing experiences.
In the commercial market, adoption continues to accelerate, with more than half of the Fortune 100 deploying Ryzen-powered systems across their workforce.
In desktops, our leadership Ryzen processors continued to be the top-selling CPUs at major global retailers. We expanded our highest performance desktop processor lineup with the Ryzen 9950X3D and 9900X3D processors, extending our leadership performance for gaming and content creation.
Radeon: Performance for Gaming, Al and Content Creation
Gaming revenue grew 51% to $3.9 billion, driven by higher semi-custom and AMD Radeon GPU sales.
AMD continues to power leading game consoles including Sony PlayStation 5, PlayStation 5 Pro, Microsoft Xbox Series XS and Valve Steam Deck OLED, reflecting the strength of our semi-custom capabilities and long-standing partnerships across the gaming ecosystem.
In graphics, we introduced the Radeon RX 9000 Series GPUs, delivering improved performance, ray tracing and strong performance-per-watt for mainstream gaming systems. We also expanded our portfolio with the Radeon AI PRO R9000 Series, designed to support local Al inference and model development for developers and creators. Together, these innovations expand AMD graphics technology across gaming, content creation and emerging Al workloads.
EMBEDDED AND ADAPTIVE COMPUTING
Embedded segment revenue was $3.5 billion in 2025, with demand strengthening through the second half of the year.
We introduced new EPYC Embedded and Ryzen Embedded processors and expanded our adaptive computing portfolio with Versal Al Edge SoCs and Spartan UltraScale+ FPGAs, enabling high-performance and energy-efficient solutions for communications, industrial, aerospace, robotics and automotive applications.
We continue to deepen our semi-custom capabilities, as customers partner with AMD for multi-generational programs, leveraging our broad IP portfolio and scale to deliver differentiated solutions.
As Al moves from the cloud into the physical world, our adaptive and embedded technologies are increasingly central to what comes next. Real-time perception, decision and action require the unique combination of FPGAs, adaptive SoCs and x86 processors that AMD delivers.
That breadth of leadership products is driving increasing design win momentum. In 2025, AMD secured another year of record embedded design wins totaling $17 billion. Since the acquisition of Xilinx in 2022, we have secured more than $50 billion in wins across long-term customer programs, demonstrating the growing synergies of our combined product portfolio.
Accelerating Financial Momentum
Our Growth Targets Over the Next 3-5 Years
The Al infrastructure buildout underway today represents the most significant technology investment cycle in decades. We estimate that the data center silicon market alone will grow to more than $1 trillion by 2030.
At our Financial Analyst Day, we outlined our strategy to address this unprecedented opportunity and set ambitious financial targets over the next three to five years, including:
- Revenue growth greater than 35% CAGR
- Operating margin expansion to greater than 35%
- Annual EPS exceeding $20
Our priorities are clear: extend our leadership in high-performance computing, scale our Al platforms and continue advancing the technologies and partnerships that allow customers to deploy Al everywhere – from cloud data centers to enterprise environments, PCs and the edge.
The Al era is still in its early stages, and the demand for high-performance computing continues to accelerate. With our technology leadership, strong momentum and deep ecosystem partnerships, AMD is building the high-performance compute platforms that will power the next generation of Al infrastructure and the breakthroughs it will enable.
Thank you for your continued support.
Dr. Lisa Su
Chair & Chief Executive Officer