Advanced Micro Devices, Inc. stock research
FY2026 Q1
Advanced Micro Devices (AMD) Gross Margin — Quarter Ended Mar 28, 2026
Revenue was unchanged from the prior quarter, but gross profit was lower, cost of revenue was higher, and gross margin weakened. Compared to the same quarter a year earlier, revenue, gross profit, and cost of revenue were all higher, and gross margin improved.
Gross margin takeaway
Quarter ended Mar 28, 2026 · FY2026 Q1
Revenue was unchanged from the prior quarter, but gross profit was lower, cost of revenue was higher, and gross margin weakened. Compared to the same quarter a year earlier, revenue, gross profit, and cost of revenue were all higher, and gross margin improved.
- The strongest observable driver of the gross margin change is the movement in cost of revenue relative to revenue. A concrete item to monitor is the amortization of acquisition-related intangibles, which is a component of cost of revenue.
- Sequentially, revenue remained stable while cost of revenue increased, leading to a lower gross profit and a weakened gross margin. Year over year, revenue grew substantially, and although cost of revenue also rose, gross profit increased more than proportionally, resulting in an improved gross margin.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
52.8%
Gross profit
$5.4B
Revenue
$10.3B
Cost of revenue
$4.8B
Quarter-over-quarter change
-1.5 pts
Year-over-year change
+2.6 pts
Quarterly gross margin trend
A four-quarter view of the revenue and direct-cost bridge behind gross margin.
| Period | Revenue | Gross profit | Cost of revenue | Gross margin |
|---|---|---|---|---|
| Jun 28, 2025 | $7.7B | $3.1B | $4.6B | 39.8% |
| Sep 27, 2025 | $9.2B | $4.8B | $4.5B | 51.7% |
| Dec 27, 2025 | $10.3B | $5.6B | $4.7B | 54.3% |
| Mar 28, 2026 | $10.3B | $5.4B | $4.8B | 52.8% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Dec 27, 2025
-1.5 pts
Year-over-year change
Mar 29, 2025
+2.6 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The strongest observable driver of the gross margin change is the movement in cost of revenue relative to revenue. A concrete item to monitor is the amortization of acquisition-related intangibles, which is a component of cost of revenue.
Sequentially, revenue remained stable while cost of revenue increased, leading to a lower gross profit and a weakened gross margin. Year over year, revenue grew substantially, and although cost of revenue also rose, gross profit increased more than proportionally, resulting in an improved gross margin.
Monitor the trend in cost of revenue, particularly the amortization of acquisition-related intangibles, as it directly affects gross margin.
Peer context
Latest available gross margins for related public companies.
| Company | Gross margin |
|---|---|
| Advanced Micro Devices, Inc. (AMD) | 52.8% |
| NVIDIA Corporation (NVDA) | 74.9% |
| Intel Corporation (INTC) | 39.4% |