AMD’s stock surged 15% in extended trading after the company reported strong first-quarter earnings on May 5, 2026. The surge reflects increasing demand for AI infrastructure and significant growth in its data center segment.
AMD reported first-quarter revenue of $10.3 billion, a remarkable 38% increase from $7.44 billion a year ago. The gross margin for this quarter stood at 53%, with an operating income of $1.5 billion.
The data center segment was particularly impressive, generating $5.8 billion in revenue, marking a 57% year-over-year increase. Dr. Lisa Su, AMD’s CEO, stated, “We delivered an outstanding first quarter, driven by accelerating demand for AI infrastructure, with Data Center now the primary driver of our revenue and earnings growth.”
The client and gaming segments also contributed positively, with revenues of $3.6 billion, up 23% year-over-year. AMD’s diluted earnings per share reached $0.84, while non-GAAP diluted earnings per share was reported at $1.37.
Looking ahead, AMD expects second-quarter revenue to be approximately $11.2 billion. Jean Hu, AMD’s CFO, remarked, “These results highlight continued momentum and execution across the business, demonstrating the leverage in our operating model as we invest for accelerated growth while expanding profitability.”
Analysts predict that server growth will accelerate significantly as AMD scales supply to meet rising demand for its EPYC processors and Radeon GPUs.
The company’s robust performance signals a strong position in the competitive landscape of AI infrastructure and data centers.