1、AMDFINANCIALRESULTSFirst Quarter 2024April 30,2024Q1 2024 FINANCIAL RESULTS APRIL 30,202422CAUTIONARY STATEMENTThis presentation contains forward-looking statements concerning Advanced Micro Devices,Inc.(AMD),such as the features,functionality,performance,availability,timing and expected benefits of

2、 AMD products;AMDs expected second quarter 2024 financial outlook,including revenue,non-GAAP gross margin,non-GAAP operating expenses,non-GAAP tax rate and diluted share count;AMDs large and compelling TAM;AMDs ability to expand Data Center and AI leadership;and AMDs ability to drive long-term share

3、holder returns,which are made pursuant to the Safe Harbor provisions of the Private Securities Litigation Reform Act of1995.Forward-looking statements are commonly identified by words such as would,may,expects,believes,plans,intends,projects and other terms with similar meaning.Investors are caution

4、ed that theforward-looking statements in this presentation are based on current beliefs,assumptions and expectations,speak only as of the date of this presentation and involve risks and uncertainties that could cause actualresults to differ materially from current expectations.Such statements are su

5、bject to certain known and unknown risks and uncertainties,many of which are difficult to predict and generally beyond AMDs control,thatcould cause actual results and other future events to differ materially from those expressed in,or implied or projected by,the forward-looking information and state

6、ments.Material factors that could cause actual resultsto differ materially from current expectations include,without limitation,the following:Intel Corporations dominance of the microprocessor market and its aggressive business practices;economic and market uncertainty;cyclical nature of the semicon

7、ductor industry;market conditions of the industries in which AMD products are sold;loss of a significant customer;public health crises,such as pandemics and epidemics;competitivemarkets in which AMDs products are sold;quarterly and seasonal sales patterns;AMDs ability to adequately protect its techn

8、ology or other intellectual property;unfavorable currency exchange rate fluctuations;abilityof third party manufacturers to manufacture AMDs products on a timely basis in sufficient quantities and using competitive technologies;availability of essential equipment,materials,substrates or manufacturin

9、gprocesses;ability to achieve expected manufacturing yields for AMDs products;AMDs ability to introduce products on a timely basis with expected features and performance levels;AMDs ability to generate revenuefrom its semi-custom SoC products;potential security vulnerabilities;potential security inc

10、idents including IT outages,data loss,data breaches and cyberattacks;potential difficulties in operating AMDs newly upgradedenterprise resource planning system;uncertainties involving the ordering and shipment of AMDs products;AMDs reliance on third-party intellectual property to design and introduc

11、e new products in a timely manner;AMDs reliance on third-party companies for design,manufacture and supply of motherboards,software,memory and other computer platform components;AMDs reliance on Microsoft and other software vendorssupport to design and develop software to run on AMDs products;AMDs r

12、eliance on third-party distributors and add-in-board partners;impact of modification or interruption of AMDs internal business processes andinformation systems;compatibility of AMDs products with some or all industry-standard software and hardware;costs related to defective products;efficiency of AM

13、Ds supply chain;AMDs ability to rely on third partysupply-chain logistics functions;AMDs ability to effectively control sales of its products on the gray market;long-term impact of climate change on AMDs business;impact of government actions and regulations such asexport regulations,tariffs and trad

14、e protection measures;AMDs ability to realize its deferred tax assets;potential tax liabilities;current and future claims and litigation;impact of environmental laws,conflict minerals-related provisions and other laws or regulations;evolving expectations from governments,investors,customers and othe

15、r stakeholders regarding corporate responsibility matters;issues related to the responsible use ofAI;impact of acquisitions,joint ventures and/or investments on AMDs business and AMDs ability to integrate acquired businesses;impact of any impairment of the combined companys assets;restrictions impos

16、ed byagreements governing AMDs notes,the guarantees of Xilinxs notes and the revolving credit facility;AMDs indebtedness;AMDs ability to generate sufficient cash to meet its working capital requirements or generatesufficient revenue and operating cash flow to make all of its planned R&D or strategic

17、 investments;political,legal and economic risks and natural disasters;future impairments of technology license purchases;AMDsability to attract and retain qualified personnel;and AMDs stock price volatility.Investors are urged to review in detail the risks and uncertainties in AMDs Securities and Ex

18、change Commission filings,including but notlimited to AMDs most recent reports on Forms 10-K and 10-Q.NON-GAAP FINANCIAL MEASUREIn this presentation,in addition to GAAP financial results,AMD has provided non-GAAP financial measures including non-GAAP gross profit and margin,non-GAAP operating expens

19、es,non-GAAP operating income,non-GAAP net income and non-GAAP diluted earnings per share.AMD uses a normalized tax rate in its computation of the non-GAAP income tax provision to provide better consistency across the reporting periods.For fiscal 2024,AMD uses a projected non-GAAP tax rate of 13%,whi

20、ch excludes the tax impact of pre-tax non-GAAP adjustments.AMD is providing these financial measures because it believes this non-GAAPpresentation makes it easier for investors to compare its operating results for current and historical periods and also because AMD believes it assists investors in c

21、omparing AMDs performance across reporting periodson a consistent basis by excluding items that it does not believe are indicative of its core operating performance.The non-GAAP financial measures disclosed in this presentation should be viewed in addition to and notas a substitute for or superior t

22、o AMDs reported results prepared in accordance with GAAP and should be read only in conjunction with AMDs Consolidated Financial Statements prepared in accordance with GAAP.These non-GAAP financial measures referenced are reconciled to their most directly comparable GAAP financial measures in the Ap

23、pendices at the end of this presentation.This presentation also contains forward-looking non-GAAP measures concerning AMDs financial outlook such as gross margin,operating expenses and tax rate.These forward-looking non-GAAP measures are based on current expectations as of April 30,2024,and assumpti

24、ons and beliefs that involve numerous risks and uncertainties.AMD undertakes no intent or obligation to publicly update or revise its forward-looking statements made in this presentation except asmay be required by law.Q1 2024 FINANCIAL RESULTS APRIL 30,202433Expanding Customer&Partner EcosystemData

25、 Center and AI GrowthStrong Financial FoundationLeadershipProduct PortfolioOUR JOURNEYQ1 2024 FINANCIAL RESULTS APRIL 30,202444OUR LEADERSHIP TECHNOLOGYSoftware EnablementOpen-source software optimized for performance across heterogenous solutionsData Center LeadershipDelivering innovation in AI,clo

26、ud,enterprise and accelerated computingAdvanced TechnologyDriving leadership process technology and 3D chiplet packagingBroad IP PortfolioExecuting leadership CPU,GPU,DPU,FPGA,Adaptive SoC and AI productsQ1 2024 FINANCIAL RESULTS APRIL 30,202455OUR LEADERSHIP PRODUCTSEmbeddedLeadership FPGAs,Adaptiv

27、e SoCs and SoMs,and embedded CPUs and GPUs for a broad set of marketsGamingTop-to-bottom desktop and notebook GPUs,game console and semi-custom SoCsClientPowerful and efficient CPUs and APUs for notebook and desktop PCs and commercial workstationsData CenterBroad portfolio of data center and AI solu

28、tions with server CPUs,GPUs,FPGAs,DPUs and Adaptive SoCs AMD IS UNIQUELY POSITIONED IN AIADVANCING END-TO-END AI INFRASTRUCTURE6 AMD InstinctTM MI300X AcceleratorsLeadership accelerator for generative AI,LLMs and inferencingAMD Instinct MI300 Accelerators4th Gen AMD EPYCTM ProcessorsBroad ecosystem

29、of OEM and solution partnersCloudEnterpriseAMD VersalTMAI Edge Adaptive SoCsSingle Chip Intelligence at the Edge for all Embedded MarketsEmbeddedAMD Instinct MI300A AcceleratorsWorlds first data center APU for HPC and AIHPCAMD RyzenTM 8040 Mobile Processors with Ryzen AITechnology leadership with up

30、graded on-die AI neural processing unit(NPU)PCQ1 2024 FINANCIAL RESULTS APRIL 30,2024Q1 2024 FINANCIAL RESULTS APRIL 30,20247REVENUE Q1 2024 Revenue of$5.5 billion increased 2%y/y Revenue growth in Data Center and Client segments was partially offset by lower revenue in Gaming and Embedded segments$

31、5.4B$5.5BQ1 2023Q1 2024Q1 2024 FINANCIAL RESULTS APRIL 30,20248GROSS MARGIN Q1 20241.See Appendices for GAAP to Non-GAAP reconciliation Increase driven by higher revenue contribution from Data Center and Client segments,partially offset by lower Embedded and Gaming segments revenue Non-GAAP144%47%Q1

32、 2023Q1 2024GAAPIncrease driven by higher revenue contribution from Data Center and Client segments,lower amortization of acquisition-related intangible assets,partially offset by lower Embedded and Gaming segments revenue50%52%Q1 2023Q1 2024Q1 2024 FINANCIAL RESULTS APRIL 30,20249Q1 2023Q1 2024$(0.

33、14)B$0.04BOPERATING INCOME(LOSS)Q1 20241.See Appendices for GAAP to Non-GAAP reconciliation GAAPNon-GAAP1$1.10B$1.13BQ1 2023Q1 2024Increase driven by higher gross margin and lower amortization of acquisition-related intangible assets,partially offset by increased operating expensesIncrease driven by

34、 higher gross margin,partially offset by increased operating expensesQ1 2024 FINANCIAL RESULTS APRIL 30,202410$0.60$0.62Q1 2023Q1 2024EARNINGS(LOSS)PER SHARE Q1 20241.See Appendices for GAAP to Non-GAAP reconciliation GAAPNon-GAAP1GAAP net income of$123 millionGAAP EPS of$0.07 primarily driven by hi

35、gher gross margin and lower amortization of acquisition-related intangible assets,partially offset by increased operating expenses$(0.09)$0.07Q1 2023Q1 2024Non-GAAP net income of$1.0 billionNon-GAAP EPS of$0.62,up 3%,primarily driven by higher gross margin,partially offset by increased operating exp

36、ensesQ1 2024 FINANCIAL RESULTS APRIL 30,202411$in millions,except per share data and%Q124Q123Y/YQ423Q/QRevenue$5,473$5,353Up 2%$6,168Down 11%Gross Profit$2,560$2,359Up 9%$2,911 Down 12%Gross Margin 47%44%Up 3 ppts47%FlatOperating Expenses$2,537$2,514Flat$2,575FlatOperating Expense/Revenue%46%47%Down

37、 1 ppt42%Up 4 pptsOperating Income(Loss)$36$(145)Up 125%$342Down 89%Operating Margin1%(3)%Up 4 ppts6%Down 5 ppts Net Income(Loss)$123$(139)Up 188%$667Down 82%Earnings(Loss)Per Share$0.07$(0.09)Up 178%$0.41 Down 83%Q1 2024 SUMMARY P&L|GAAPQ1 2024 FINANCIAL RESULTS APRIL 30,202412$in millions,except p

38、er share data and%Q124Q123Y/YQ423Q/QRevenue$5,473$5,353Up 2%$6,168 Down 11%Gross Profit$2,861$2,675Up 7%$3,133 Down 9%Gross Margin52%50%Up 2 ppts51%Up 1 pptOperating Expenses$1,741$1,587Up 10%$1,727 FlatOperating Expense/Revenue%32%30%Up 2 ppts28%Up 4 pptsOperating Income$1,133$1,098Up 3%$1,412Down

39、20%Operating Margin21%21%Flat23%Down 2 pptsNet Income$1,013$970Up 4%$1,249Down 19%Earnings Per Share$0.62$0.60Up 3%$0.77Down 19%Q1 2024 SUMMARY P&L|NON-GAAP11.See Appendices for GAAP to Non-GAAP reconciliation Q1 2024 FINANCIAL RESULTS APRIL 30,202413Q1 2024 SUMMARY BALANCE SHEET ITEMS($in millions)

40、Q124Q423Q/QCash,Cash Equivalents andShort-term Investments$6,035$5,773Up 5%Accounts Receivable,Net$5,038$5,376 Down 6%Inventories$4,652$4,351 Up 7%Total Debt$2,468$2,468FlatQ1 2024 FINANCIAL RESULTS APRIL 30,202414Q1 2024 SEGMENT RESULTS($in millions)Q124Q123Y/YQ423Q/QData CenterNet Revenue$2,337$1,

41、295Up 80%$2,282Up 2%Operating Income$541$148Up 266%$666Down 19%ClientNet Revenue$1,368$739Up 85%$1,461Down 6%Operating Income(Loss)$86$(172)Up 150%$55Up 56%GamingNet Revenue$922$1,757Down 48%$1,368Down 33%Operating Income$151$314Down 52%$224Down 33%EmbeddedNet Revenue$846$1,562Down 46%$1,057Down 20%

42、Operating Income$342$798Down 57%$461Down 26%Q1 2024 FINANCIAL RESULTS APRIL 30,202415DATA CENTER SEGMENT Q1 2024 Record data center GPU sales with MI300 surpassing$1B in cumulative sales since Q423 launch Nearly 900 public cloud instances powered by AMD EPYC processors now available from AWS,Google,

43、Oracle Cloud,Microsoft Azure and others Enterprise adoption of EPYC CPUs accelerating with key deployments at American Airlines,DBS,Emirates Bank,Shell and ST Micro Released ROCm 6.1 with expanded open-source libraries and frameworks and significantly increasing generative AI performance Next-gen“Tu

44、rin”EPYC processors,based on“Zen 5”core,on track to launch later this yearStrategic Highlights$1.3B$2.3BQ1 2023Q1 202411%23%Q1 2023Q1 2024RevenueOperating MarginRevenue$2.3 BillionUp 80%y/yOperating Income$541 Millionvs.$148 Million a year agoPrimarily due to operating leverage driven by higher reve

45、nueStrong growth in both AMD Instinct GPUs and 4th Gen AMD EPYC CPU salesQ1 2024 FINANCIAL RESULTS APRIL 30,202416CLIENT SEGMENT Q1 2024 HP and Lenovo announced new high-performance laptops powered by the latest Ryzen PRO 8040 Series CPUs Launched Ryzen PRO 8000 Series desktop CPUs,the first process

46、ors with dedicated,on-chip AI accelerators for commercial desktop PCs 150 ISVs on track to be developing for AMD AI PCs by the end of 2024 Next-gen“Strix Point”processors on track to launch second half 2024Strategic Highlights$0.7B$1.4BQ1 2023Q1 2024(23)%6%Q1 2023Q1 2024RevenueOperating MarginRevenu

47、e$1.4 BillionUp 85%y/yPrimarily driven by AMD Ryzen 8000 Series processor salesOperating Income$86 Millionvs.$172 Million Loss a year agoPrimarily driven by higher revenueQ1 2024 FINANCIAL RESULTS APRIL 30,20241718%16%Q1 2023Q1 2024GAMING SEGMENT Q1 2024 Global availability of the RadeonTM RX 7900 G

48、RE graphics card providing 1440p/4K performance Released FidelityFX Super Resolution 3.1 offering significant image quality improvements for gamers Launched AMD Fluid Motion Frames enabling frame generation and increased performance on Radeon RX 6000 and Radeon RX 7000 Series graphics cards Strategi

49、c Highlights$1.8B$0.9BQ1 2023Q1 2024RevenueOperating MarginRevenue$922 MillionDown 48%y/yOperating Income$151 Millionvs.$314 Million a year agoPrimarily due to lower revenueDue to lower semi-custom and Radeon GPU salesQ1 2024 FINANCIAL RESULTS APRIL 30,202418EMBEDDED SEGMENT Q1 2024 Launched Versal

50、AI Edge Series Gen 2 SoCs that combine multiple compute engines on a single chip for AI-driven embedded systems Subaru adopted Versal AI Edge Series Gen 2 devices to power their next-gen EyeSight ADAS vision system Sony Semiconductor Solutions selected Artix-7 FPGA and ZynqTM UltraScale+TM MPSoC for

51、 its LiDAR automotive reference designsStrategic Highlights$0.8BQ1 2023Q1 202451%41%Q1 2023Q1 2024RevenueOperating MarginRevenue$846 MillionDown 46%y/yPrimarily due to customers continuing to manage their inventory levelsOperating Income$342 Millionvs.$798 Million a year ago$1.6BPrimarily due to low

52、er revenueQ1 2024 FINANCIAL RESULTS APRIL 30,202419($in millions)Q224Revenue$5.7 Billion,+/-$300 Million Gross Margin53%Operating Expenses$1.8 BillionEffective Tax Rate13%of pre-tax incomeDiluted Share Count1.64 Billion sharesFINANCIAL OUTLOOK NON-GAAP11.1.See Cautionary Statement on Slide 2.These f

53、orward-looking outlook statements and non-GAAP measures are based on current expectations as of April 30,2024,and assumptions and beliefs that involve numerous risks and uncertainties.AMD undertakes no intent or obligation to publicly update or revise its outlook statements as a result of new inform

54、ation,future events or otherwise,except as may be required by law.All items,except revenue,are on a non-GAAP basis.Adjustments to arrive at the GAAP financial outlook typically include stock-based compensation,amortization of acquired intangible assets,income tax provision,and other non-recurring it

55、ems such as impairment charges and acquisition-related costs.The timing and impact of such adjustments are dependent on future events that are typically uncertain or outside of AMDs control,therefore,a reconciliation to equivalent GAAP measures is not practicable at this time.2.2.Refer to Diluted Sh

56、are Count overview in the Appendices Q1 2024 FINANCIAL RESULTS APRIL 30,20242020Data Center Segment Revenue$2.3B Up 80%y/y Gross Margin 47%Non-GAAP Gross Margin 52%EPS$0.07Non-GAAP EPS$0.62Revenue$5.5BUp 2%y/yQ1 2024 SUMMARY1RECORD DATA CENTER SEGMENT REVENUE DRIVEN BY STRONG AMD INSTINCT GPU RAMP1.

57、See Appendices for GAAP to Non-GAAP reconciliationQ1 2024 FINANCIAL RESULTS APRIL 30,20242121CORPORATE RESPONSIBILITY AT AMDGovernanceIntegrating corporate responsibility and governance across product design,supply chain,operations and external engagementSocialFostering a culture of diversity,belong

58、ing and inclusion,partnering with suppliers and positively impacting our communitiesEnvironmentalAdvancing environmental solutions in our products,supply chain and operations,while accelerating energy efficiency for IT usersQ1 2024 FINANCIAL RESULTS APRIL 30,20242222Large and CompellingTAMWorld-Clas

59、sExecution and FocusTechnologyLeadershipExpandingData Center and AI LeadershipStrong Balance SheetOUR MOMENTUMDRIVING LONG-TERM SHAREHOLDER RETURNSQ1 2024 FINANCIAL RESULTS APRIL 30,202423RECONCILIATION OF GAAP TO NON-GAAP GROSS PROFIT AND GROSS MARGIN($in millions,except%)(Unaudited)Q124Q123Q423GAA

60、P gross profit$2,560$2,359$2,911GAAP gross margin47%44%47%Stock-based compensation686Amortization of acquisition-related intangibles230305215Acquisition-related and other costs(1)-31Inventory loss at contract manufacturer(2)65-Non-GAAP gross profit$2,861$2,675$3,133Non-GAAP gross margin52%50%51%RECO

61、NCILIATION OF GAAP TO NON-GAAP OPERATING EXPENSES($in millions,except%)(Unaudited)Q124Q123Q423GAAP operating expenses$2,537$2,514$2,575 GAAP operating expenses/revenue%46%47%42%Stock-based compensation365297 368 Amortization of acquisition-related intangibles392518420 Acquisition-related and other c

62、osts(1)3911260 Non-GAAP operating expenses$1,741$1,587$1,727 Non-GAAP operating expenses/revenue%32%30%28%APPENDICES(1)Acquisition-related and other costs primarily comprised of transaction costs,purchase price adjustments for inventory,certain compensation charges,contract termination and workforce

63、 rebalancing charges.(2)Inventory loss at contract manufacturer is related to an incident at a third-party contract manufacturing facility.Q1 2024 FINANCIAL RESULTS APRIL 30,202424APPENDICESRECONCILIATION OF GAAP OPERATING INCOME(LOSS)TO NON-GAAP OPERATING INCOME($in millions,except%)(Unaudited)Q124

64、Q123Q423GAAP operating income(loss)$36$(145)$342GAAP operating margin1%(3%)6%Stock-based compensation371 305 374 Amortization of acquisition-related intangibles622823635Acquisition-related and other costs(1)3911561 Inventory loss at contract manufacturer(2)65-Non-GAAP operating income$1,133$1,098$1,

65、412 Non-GAAP operating margin21%21%23%(1)Acquisition-related and other costs primarily comprised of transaction costs,purchase price adjustments for inventory,certain compensation charges,contract termination and workforce rebalancing charges.(2)Inventory loss at contract manufacturer is related to

66、an incident at a third-party contract manufacturing facility.Q1 2024 FINANCIAL RESULTS APRIL 30,202425RECONCILIATION OF GAAP TO NON-GAAP NET INCOME(LOSS)/EARNINGS(LOSS)PER SHARE(1)Acquisition-related and other costs primarily comprised of transaction costs,purchase price adjustments for inventory,ce

67、rtain compensation charges,contract termination and workforce rebalancing charges.(2)Inventory loss at contract manufacturer is related to an incident at a third-party contract manufacturing facility.APPENDICES(Millions,except per share data)(Unaudited)Q124Q123Q423GAAP net income(loss)/earnings(loss

68、)per share$123$0.07$(139)$(0.09)$667$0.41(Gains)losses on equity investments,net3 (1)1 Stock-based compensation3710.23 3050.19 3740.23 Equity income in investee(7)(1)(6)Amortization of acquisition-related intangibles6220.388230.516350.39Acquisition-related and other costs(1)390.021150.07610.04Invent

69、ory loss at contract manufacturer(2)650.04 Income tax provision(203)(0.12)(132)(0.08)(483)(0.30)Non-GAAP net income/earnings per share$1,013$0.62$970$0.60$1,249$0.77Shares used in earnings per share calculationShares used in per share calculation(GAAP)1,6391,6111,628Shares used in per share calculat

70、ion(Non-GAAP)1,6391,6181,628Q1 2024 FINANCIAL RESULTS APRIL 30,202426Shares(millions)(1)Q124Q224ActualEstimateBasic shares1,6171,619Dilutive impact from employee equity grants(2)2222Diluted shares1,6391,641APPENDICESSHARE COUNT OVERVIEWThe table above provides actual share count for Q124 and an esti

71、mate of share count to use when calculating GAAP and non-GAAP diluted earnings per share for Q224.(1)Share counts are weighted average shares.(2)The dilutive impact of employee equity grants is based on the Treasury Stock method and is dependent upon the average stock price during the period.The Q124 average stock price was$174.81.The Q124 average stock price of$174.81 was assumed for Q224 average stock price estimates.