Advanced Micro Devices reports first-quarter fiscal 2026 revenue of $10.3 billion, up 38% year-over-year, with data center revenue reaching record $5.8 billion.

AMD's data center segment grew 57% year-over-year to $5.8 billion, led by record server CPU revenue (up more than 50% year-over-year), stronger Instinct GPU adoption across cloud and enterprise, and nearly 50% year-over-year growth in EPYC-powered cloud instances to more than 1,600. CEO Lisa Su attributed momentum to the ramp of 5th-gen EPYC Turin and strength of 4th-gen EPYC processors.

AMD raised its view of the server CPU market opportunity, now expecting the total addressable market to grow at 'greater than 35% annually' and reach 'over $120 billion by 2030'—up from its November estimate of roughly 18% annual growth—driven by structural increases in CPU compute requirements from agentic AI (self-governing AI systems that perform orchestration, data movement, and parallel execution tasks). The company expects server CPU revenue to grow by 'more than 70% year-over-year' in the second quarter.

AMD announced an expanded strategic partnership with Meta to deploy up to 6 gigawatts of AMD Instinct GPUs across several product generations, including a custom GPU accelerator based on the MI450 architecture. Shipments are on track to begin in the second half of the year using AMD's Helios rack-scale architecture, with 'initial volume in Q3' and a 'significant ramp in Q4'.

Free cash flow more than tripled to a record $2.6 billion (25% of revenue), and non-GAAP gross margin improved 170 basis points year-over-year to 55%, with guidance of approximately 56% for the second quarter.