AMD: 'Blockchain-Related GPU Sales in Third Quarter Were Negligible'

In its quarterly financial results report published Oct. 24, semiconductor manufacturer AMD reveals that "Blockchain-related graphics processing unit sales in the third quarter were negligible."

American semiconductor company AMD stated in its third quarter 2018 financial report that revenue rose to $1.65 billion, up 4 percent year-over-year, although the figure is below estimates of $1.7 billion.

AMD's Computing and Graphic segment revenue saw a 12 percent increase year-over-year up to $938 million primarily due to strong sales of Ryzen desktop and mobile products.

Blockchain-related GPU sales were not significant in the third quarter.

The average selling price of GPUs also decreased due to lower GPU channel sales.

Previously, AMD CEO Lisa Su said that blockchain technology was "a bit of a distraction, in the short term" for AMD's business.

Per the AMD report, for the fourth quarter of 2018 AMD expects revenue to be around $1.45 billion, up approximately eight percent year-on-year; in the fourth quarter of 2017, revenue was reportedly $1.34 billion.

The margin of adjusted earnings is expected to increase around 41 percent due to the sales growth of Ryzen, EPYC, and datacenter GPU processor sales.

After the report was release today, the AMD stock price slumped, closing down 9 percent to $22.79, according to Nasdaq.

Though AMD shares had seen substantial growth in the past months, the high share price may not last long should crypto mining quiet down, the analysts said.