Xilinx Goes Big, But Consumer CPU Sales Plummet
AMD’s 2022 earnings were a little more mixed than Intel’s, with a mix of good and bad news for investors and other stakeholders. For most readers, the desktop CPU business is the most interesting, and unfortunately the source of most of the bad news for AMD. Total revenue in Q4 2022 was down more than 50% compared to Q4 2021 and down 10% year-over-year. That sounds bad, but it’s not so bad that the segment’s actual revenue dropped by 129%, leading to a loss of $152 million. It’s been a very tough year for AMD and Intel’s consumer products.
Overall, AMD’s operating loss was $149 million, down significantly from last year’s revenue of $1.2 billion. The loss was in part due to the previously mentioned decline in consumer CPU sales and a 7% decline in GPU net revenue. AMD’s acquisition of Xilinx. The cost accounted for most of his 2022 losses, but was offset by the revenue brought to AMD’s new embedded business.
Its embedded business was valued at $100 million last year and will grow 1,868% to $1.4 billion in 2022. The Xilinix acquisition certainly hurt their bottom line, but it looks like it will pay off in the long run, as it made up a major component of AMD’s revenue, just under the $1.6 billion revenue generated by the GPU segment.
AMD’s EPYC segment was another star as it trended very differently than Intel. While Intel saw its server room revenue drop 30%, AMD saw a 42% increase, with revenue of $1.7 billion and a net profit of $444 million. This alone accounts for more than a quarter of his profits AMD made this year, but not enough to offset all other costs and losses.
2022 is a difficult year for most people, and AMD and Intel are no exception. However, in terms of overall growth, AMD far outperformed completion, even though its competitors made more profit than his AMD’s total unadjusted revenue.
