Business News Today Archives - Page 39 of 75

May 9, 2022

Palantir, Rivian, Uber and more

Choose a search at some of the greatest movers in the premarket:

Palantir Systems (PLTR) – The details analytics computer software company’s shares plunged 15.1{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809} in premarket trading following posting a mixed quarter. Palantir claimed earnings of 2 cents for each share, in comparison to a 4 cents a share consensus estimate. Revenue was increased than envisioned, on the other hand, in spite of slowing expansion in its govt small business. Palantir also issued a softer-than-envisioned recent-quarter income forecast.

Rivian (RIVN) – Ford Motor (F) is advertising 8 million of its 102 million share stake in the electric motor vehicle maker, in accordance to resources who spoke to CNBC’s David Faber. The go will come as the insider lockup period for marketing the inventory expires. Rivian shares plummeted 15.6{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809} in the premarket.

Uber Systems (UBER) – Uber programs to slash expending on marketing and incentives and be deliberate about adding employees, according to a workers e-mail received by CNBC. CEO Dara Khosrowshahi said the ride-hailing and foods delivery corporation reported Uber requires to turn into a leaner enterprise to deal with a “seismic shift” in investor sentiment. Uber fell 3{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809} in the premarket.

Coty (COTY) – Coty noted quarterly earnings of 3 cents for each share, beating the penny a share consensus estimate. Profits topped forecasts as properly and the cosmetics enterprise elevated its comprehensive-yr outlook on robust demand from customers for its merchandise. The stock rose 1.7{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809} in the premarket.

Energizer (ENR) – The battery maker conquer estimates by 9 cents a share, with quarterly financial gain of 47 cents for every share. Revenue topped Road forecasts as Energizer raised rates. Its shares received 2.3{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809} in the premarket.

Elanco Animal Wellbeing (ELAN) – Elanco fell 4.3{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809} in premarket motion right after the animal health and fitness products and solutions company decreased its total-yr outlook, reflecting the effects of a stronger U.S. dollar. Elanco described slightly better-than-envisioned earnings and revenue for its most modern quarter.

Tyson Meals (TSN) – The stock rose 1{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809} in the premarket following the beef and poultry producer defeat income and profits estimates for its most recent quarter. Tyson earned $2.29 for every share, in contrast to a $1.91 a share consensus estimate.

BioNTech (BNTX) – BioNTech trounced Wall Avenue estimates for profit and earnings in its most up-to-date quarter, and also backed its prior outlook for 2022 which includes projections for Covid-19 vaccine gross sales.

Twitter (TWTR) – Elon Musk specific his monetary plans for Twitter in an investor presentation attained by the New York Moments. Among those people plans: quintuple earnings by 2028, slice Twitter’s reliance on advertising and access 931 million people by 2028 in contrast to 217 million at the conclusion of 2021. Twitter fell 1.3{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809} in premarket trading.

Shell (SHEL) – 3rd Point’s Daniel Loeb instructed traders he has added to his stake in power huge Shell, according to a letter noticed by Reuters. Loeb reported in the letter that he had held “constructive” talks with administration, the board and shareholders about his connect with for the firm to break up itself up. Shell shares fell 2.6{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809} in premarket action.

Southwest Gas (SWX) – Southwest Fuel arrived at a settlement with investor Carl Icahn that will see the utility enterprise exchange its CEO and give Icahn as quite a few as 4 board seats. Southwest Gas rose 1{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809} in the premarket.

May 8, 2022

A history of Trader Joe’s and Joe Coulombe, the man behind the brand

New York
CNN Business
—

Turns out Trader Joe was a real guy, and his shrewd instincts led him to create a counter-culture grocery empire.

Joe Coulombe, a struggling convenience store owner in Los Angeles, decided in 1967 to open a grocery chain to appeal to the small but growing number of well-educated, well-traveled consumers that mainstream supermarkets were ignoring.

“I have an ideal audience in mind,” he told the Los Angeles Times in 1981. “This is a person who got a Fulbright scholarship, went to Europe for a couple of years and developed a taste for something other than Velveeta” ordinary beer and Folgers coffee, he said.

Coulombe recognized that international travel was about to explode thanks to the new Boeing 747 hitting the market. For the name of his new store, Coulombe landed on Trader Joe’s to evoke exotic images of the South Seas. The name was inspired by Trader Vic’s, a popular Tiki Bar restaurant started in California.

One marketing expert thought it was a terrible name – “Trader” was “something associated with selling defective horse flesh,” Coulombe said in his memoir, “Becoming Trader Joe,” published in 2021, a year after he died at age 89.

But it stuck, and the first Trader Joe’s opened in Pasadena, California, in 1967. The location was ideal for his new target customer, surrounded by college campuses, a hospital and big engineering firms.

“He was a grocery outsider who was able to see things differently,” said Benjamin Lorr, author of “The Secret Life of Groceries: The Dark Miracle of the American Supermarket.” “He wanted to tap into this idea that food was exploration, that food was travel and adventure.”

The first Trader Joe’s store had a nautical theme with marine artifacts including a ship’s bell, fish netting and half of a rowboat. The check out counter was an island with a roof. Employees wore Polynesian shirts and Bermuda shorts. The manager was called captain and the assistant was first mate. And lilting Hawaiian music played over the loudspeakers.

But the merchandise looked nothing like what you’d find at a Trader Joe’s today.

The original store had a typical convenience shop assortment of groceries, along with discounted magazines, books, socks and hosiery, records and photo finishing. The big draw, however, was the alcohol selection.

California had Fair Trade laws on alcohol, so manufacturers set minimum prices and it was illegal to go below them. Since Coulombe couldn’t compete by offering low prices, he recognized he had to offer a wide variety to stand out.

The first Trader Joe’s boasted of having the world’s largest assortment of alcohol – 100 brands of Scotch, 50 brands of bourbon and gin and 14 types of tequila.

Coulombe eventually found a loophole in California’s Fair Trade laws that allowed his shop to import high-end French wine and sell it for lower prices than competitors, helping him reach wine connoisseurs. (It would not be until years later that Trader Joe’s released its famous $1.99 Charles Shaw wine, known as “Two-Buck Chuck.”)

By the early 1970s, Coulombe seized on the growing health food movement, believing it would appeal to the same type of customers who also happened to be wine connoisseurs.

“His ideas on marketing groceries came from his marketing of wine,” Benjamin Lorr said.

Trader Joe’s first private-label product was granola, and then it started adding fresh squeezed orange juice, vitamins, nuts and dried foods and cheese. At one point, Trader Joe’s was the largest US importer of brie.

Coulombe became immersed in the health food culture in Berkeley and San Francisco.

“I hired a young hippie woman out of the University of California at Santa Cruz to teach us the lingo,” he said.

In 1977, Coulombe remade Trader Joe’s again – setting it on a path that would be more familiar to today’s customers.

In response to the end of Fair Trade laws on alcohol in California and other price controls, Trader Joe’s needed new ways to grow profit and stay competitive. It eliminated most household basics and cleaning essentials and focused on food. It also slashed the number of items it carried and moved to largely selling private-label items.

“As we evolved Trader Joe’s, its greatest departure from the norm wasn’t its size or its decor,” Coulombe said. “It was our commitment to product knowledge, something which was totally foreign to the mass-merchant culture, and our turning our backs to branded merchandise.”

The company even positioned its private-label names and branding to connect with well-educated shoppers – Brandenburg Brownies and Sir Issac Newtons, for example – Coulombe said.

Creating strong private-label offerings to rival national brands would be one of his legacies in the supermarket industry, said Lorr. “That changed the balance of the grocery industry. Suddenly, grocers are empowered in a way they weren’t.”

But Coulombe resisted opening up dozens of new stores.

The handful of stores Coulombe did open were in Southern California, which fit the demographic profile he was seeking – teachers, musicians, journalists and other professionals.

In 1979, Coulombe sold Trader Joe’s to the family of Theo Albrecht, then the owner of the Aldi grocery chain in Europe. (Aldi in the United States is separately owned by the family of Theo Albrecht’s brother Karl.)

Aldi executives would travel from Germany to visit Trader Joe’s about once a year, but they took a hands-off approach to overseeing the growing chain.

By the time Coulombe stepped down as chief executive in 1988, Trader Joe’s had 27 California stores and an estimated $150 million in sales.

It would be his successor as chief executive, John Shields, a former fraternity brother at Stanford, who led Trader Joe’s out of California and turned it into a national chain. In 1996, Trader Joe’s opened its first two stores on the East Coast, both in Boston suburbs.

By 2020, Trader Joe’s had more than 530 stores and an estimated $16.5 billion in sales, according to the latest data available from Supermarket News.

“My successors at Trader Joe’s have taken a 30-store chain nationwide with remarkable adherence to the basic concepts we started out with,” Coulombe said in 2010.

May 7, 2022

Shipping delays are back as China’s lockdowns ripple around the world

Hong Kong
CNN Business
—

Global shipping was just starting to recover from the chaos of the pandemic. Now port congestion and delays are back and could be around for a while.

Covid lockdowns in China have wreaked havoc at Shanghai, the world’s biggest container port, and are now causing problems at other major ports around the world.

Some Chinese cities, including Shanghai, have started easing Covid restrictions in recent days, but experts say that the damage has already been done, and global shipping will suffer well into the summer. That could exert even more pressure on global supply chains already reeling from Russia’s invasion of Ukraine, and keep inflation running hot.

Data from Project44, which tracks global supply chains, showed that shipment delays between China and major US and European ports have quadrupled since late March, when China shut down the city of Shanghai, which has the world’s busiest container port.

A Cosco Shipping container ship is seen at the Yangshan Deep Water Port amid the coronavirus disease (COVID-19) outbreak in Shanghai, China April 24, 2022.

By the end of April, ships from China to Seattle were taking four days longer than expected to arrive, up from about one day the previous month.

The time it takes ships to leave China and arrive at major ports around the world increased steadily over the past year, but there had been some signs of relief since December with transit times between Shanghai and Long Beach, for example, dropping in January and February.

Since March, however, there’s been a sharp increase again in transit times on that route.

To add to the problem, many truck drivers have struggled to reach ports in China to pick up containers because of travel restrictions and Covid testing requirements. Shipping giant Maersk warned in an advisory last month that trucking services in Shanghai would be “severely” impacted by these restrictions.

“With the manufacturing industry being shuttered [in Shanghai] and truckers unable to travel quickly, exports have been reduced, and shipment delays have increased,” said Josh Brazil, director of Supply Chain Data Insights at Project44.

Delays will “continue into the summer months,” as factories struggle to return to normal operations in Shanghai, he added.

Although authorities have allowed some businesses to restart production, many workers are still stuck in quarantine at home. Factories that do reopen are facing component shortages and difficulty in securing trucks to carry goods into or out of the port.

“The ripples in shipment delays are only beginning to become visible and are expected to extend well into the next few months,” said Brazil.

Shanghai — China’s leading financial center and most populous city — has been under a strict lockdown since late March. More than 8 million residents are still banned from leaving their residential compounds. The Covid restrictions have spread to other cities, including Beijing — the nation’s capital.

Shanghai port remained open throughout the lockdown, but data from various shipping firms show an increasing backlog of ships and containers.

US supply chain companies have expressed concerns about fresh chaos heading towards American ports, which are still recovering from the severe congestion and delays they suffered last year.

Shelley Simpson, chief commercial officer for JB Hunt Transport Services, said late last month that while there has been “a temporary relief” at US ports, things may get a lot “a lot worse” this summer because of what’s happening in China.

It “just takes a little bit of disruption to really change the environment all over again,” she added.

Shipping queues are getting worse in China — and other parts of the world.

Nearly 20{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809} of container vessels globally are currently waiting outside congested ports, according to a survey published last Thursday by Windward, an Israel-based global maritime data firm.

Almost a quarter of those unberthed ships are stuck outside Chinese ports. That’s 412 ships, up 58{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809} since February, the survey added.

It’s clear that lockdowns in China have caused a bottleneck, the firm said.

Across China, at least 27 cities are under full or partial lockdown, which could be impacting up to 185 million residents across the country, according to latest CNN calculation on Wednesday. Beijing effectively shut down its largest district this week.

President Xi Jinping signaled this week that China would continue with its zero tolerance approach to Covid. On Thursday, Xi told all levels of government to “resolutely adhere to the zero-Covid policy.”

China is home to seven of the world’s top ten container ports, including Shanghai, Ningbo-Zhoushan, Shenzhen, and Hong Kong. In Shanghai — the epicenter of China’s current Covid outbreak, the situation remains severe.

The number of vessels waiting at the Port of Shanghai had increased to 384 by April 25, up 27{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809} from a month earlier, according to most recent data from S&P Global Market Intelligence.

Pressure is also building on other Chinese ports, as vessels try to find alternative ports to berth. Ships have faced growing delays since late March outside Ningbo-Zhoushan port, the world’s third largest port, less than a hundred miles from Shanghai, according to Lloyd’s List Intelligence.

Containers are also piling up because of truck shortages.

Trucks wait to load containers at Yangshan Deepwater Port on April 27, 2022 in Shanghai, China.

At the peak of the lockdown in Shanghai, containers were sitting for as many as 15 days at the port before being picked up by truckers, up from fewer than 5 days when the restrictions first took effect, Project 44 data showed. The average wait time has since come down but was still 10 days last Wednesday.

Zhang Wei, vice mayor of Shanghai, acknowledged last week that the city is seeing “reduced efficiency” in cargo transport and “poor logistics” since the lockdown.

The turmoil at the ports has already hit China’s factories and foreign trade, as manufacturers have to wait longer to get raw materials.

It is also harder for them to ship their products to customers. Inventories of finished goods have surged to the highest level in about a decade, as products pile up in warehouses due to weak demand and the difficulty of finding trucks to move them.

Cranes lift containers at Yangshan Deepwater Port on April 27, 2022 in Shanghai, China.

Latest PMI surveys — released on Saturday — showed that factory activity slumped to the worst level since February 2020, when China was battling the initial Covid outbreak. New export orders that manufacturers received in April fell at a much faster pace than in March.

The decline in export orders showed that the chaos at some major ports, including Shanghai, have hit China’s trade with the rest of the world, according to Goldman Sachs analysts.

“Worryingly, there was plenty of evidence of worsening supply pressures, with supplier delivery times collapsing, input prices surging and inventories of finished good rising to their highest since June 2012,” wrote Mitul Kotecha, head of emerging markets strategy at TD Securities, in a report.

“Such supply pressures will have ramifications across supply chains globally, as already evidenced in some recent US Q1 earnings reports in the tech sector,” he added.

The situation in Shanghai will push global inflation higher this year, said Daejin Lee, associate director at S&P Global Market Intelligence.

He pointed out that last year’s inflation was driven by two factors — supply shortages of key parts owing to supply chain bottlenecks, and record high container freight rates.

Both problems continue this year, even as Russia’s invasion of Ukraine has fueled global inflation by driving up prices for energy and other key commodities.

“Another lengthy delay” in seaborne supply of key parts because of China’s port congestion could increase consumer prices “much faster than previously expected,” Lee said.

Maersk said Wednesday that freight rates will stay elevated as supply chain pressures persist. According to the company, congestion in sectors such as trucking and warehousing in mainland China, have created “bottlenecks, resulting in challenged supply chain management services and elevated rates.”

The company’s average freight rate jumped 71{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809} in the first quarter from a year earlier.

May 6, 2022

Vinco Sets Record Date and Distribution Date for Planned Business Separation of Cryptyde

FAIRPORT, N.Y., May possibly 5, 2022 /PRNewswire/ — Vinco Ventures, Inc. (NASDAQ: BBIG) (“Vinco”), a digital media and articles technologies holding organization, right now introduced that May perhaps 18, 2022 has been established as the report day for the dividend of shares of typical stock of Cryptyde, Inc. (“Cryptyde”) to be dispersed to Vinco stockholders in order to effect the separation of Vinco and Cryptyde into two unbiased, publicly traded firms.

Each individual Vinco stockholder of document as of the close of business on May possibly 18, 2022 will receive, on the distribution day, a single share of Cryptyde common inventory for each individual 10 shares of Vinco popular inventory held. The share dividend is expected to be dispersed to Vinco stockholders on or about May perhaps 27, 2022. Next the separation, Vinco stockholders will also get money in lieu of any fractional shares of Cryptyde common inventory that people holders would have acquired just after application of the 10:1 distribution ratio. No motion is essential by Vinco stockholders in order to acquire the shares of Cryptyde frequent inventory in the dividend distribution.

In connection with this separation, Cryptyde submitted a Registration Assertion on Variety 10 (the “Sort 10”). This Variety 10 includes even more information regarding Vinco’s ideas for a tax-totally free spin-off of Cryptyde as a publicly traded enterprise, which includes the conditions to completion of the separation. The Form 10 has not been declared successful however by the Securities and Trade Commission.

Just after the separation, Cryptyde frequent stock is expected to trade on the Nasdaq Cash Industry under the inventory ticker symbol “TYDE” and Vinco will go on to trade on Nasdaq Capital Sector under the stock ticker image “BBIG.”

About Vinco Ventures

Vinco Ventures, Inc. (BBIG) is focused on [the development of digital media and content technologies]. Vinco Ventures’ consolidated subsidiary, ZVV Media Companions, LLC, a joint undertaking of Vinco Ventures and ZASH World wide Media and Enjoyment Corporation, has an 80{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809} ownership desire in Lomotif Private Constrained. For additional data take a look at Buyers.vincoventures.com.

About Lomotif

Lomotif is a online video-sharing social networking system that is democratizing video clip creation. A residence for creators since 2014, Lomotif hosts a grassroots social neighborhood with focused people in Asia, Latin The usa and the United States. Lomotif is 80{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809} owned by ZVV Media Associates, LLC, a joint undertaking of ZASH International Media and Leisure Corporation and Vinco Ventures, Inc. (Nasdaq: BBIG). Down load the Lomotif app from Apple and Google retailers or stop by www.lomotif.com for extra information and facts.

About Cryptyde

Cryptyde, Inc. (expected: TYDE), is focused on leveraging blockchain technologies to disrupt buyer experiencing industries.

Ahead-Looking Statements

This push release contains “forward-on the lookout statements” as outlined in the secure harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995, which are primarily based on beliefs of, and details presently available to, Vinco Ventures’ administration as properly as estimates and assumptions created by Vinco Ventures’ management. These statements can be identified by the reality that they do not relate strictly to historic or latest information. When used in this presentation the phrases “estimate,” “assume,” “intend,” “imagine,” “prepare,” “foresee,” “projected,” and other words and phrases or the detrimental of these phrases and similar expressions as they relate to the applicable organization or its management establish ahead-searching statements. This kind of statements replicate the recent perspective of Vinco Ventures with respect to long run occasions and are topic to threats, uncertainties, assumptions and other variables relating to Vinco Ventures and its subsidiaries and consolidated variable curiosity entities including Lomotif, their industry, economical situation, functions and effects of operations. These kinds of components contain, but are not limited to, the predicted benefits from Vinco Ventures’ investments in Lomotif and associated progress initiatives and techniques this sort of as the blended media, cross-platform distribution system, the predicted rewards of Lomotif’s participation in and sponsorship of live enjoyment occasions, the predicted added benefits from acquisition of AdRizer and planned integration of the AdRizer technology with Lomotif and Honey Badger and synergies amongst AdRizer, Lomotif and Honey Badger, uncertainties as to the completion and timing of the spin-off of Cryptyde, the failure of the Type 10 to be declared powerful by the Securities and Trade Fee, the failure to satisfy any ailments to total the spin-off as specified in the Type 10, the predicted tax remedy of the spin-off and the influence of the spin-off on the businesses of Vinco Ventures and Cryptyde, the envisioned added benefits for Vinco Ventures, its shareholders and Cryptyde from the the latest injection of businesses and assets into Cryptyde and the spin-off, the regulatory pitfalls with the NFT and blockchain company traces and these kinds of other threats and uncertainties described much more fully in files filed by Vinco Ventures and Cryptyde with or furnished to the Securities and Trade Fee, which includes the hazard components discussed in Vinco Ventures’ Once-a-year Report on Variety 10-K for the period finished December 31, 2021 submitted on April 15, 2022 and Cryptyde’s Amendment No. 2 of Sort 10 filed on March 18, 2022, which are accessible at www.sec.gov. Really should a single or extra of these pitfalls or uncertainties materialize, or the underlying assumptions establish incorrect, real effects might vary significantly from all those expected, believed, approximated, envisioned, intended, or planned. Whilst we feel that the anticipations mirrored in the forward-on the lookout statements are fair, we are unable to promise long term results, functionality, or achievements. Other than as necessary by relevant regulation, which include the securities laws of the United States, we do not intend to update any of the ahead-searching statements to conform these statements to actual benefits.

Cision

Watch primary content material to down load multimedia:https://www.prnewswire.com/news-releases/vinco-sets-record-day-and-distribution-date-for-prepared-enterprise-separation-of-cryptyde-301541343.html

Supply Vinco Ventures, Inc.

May 5, 2022

A Chinese man called “Ma” was detained. The news wiped $26 billion off Alibaba’s stock

Alibaba, the Chinese e-commerce large Ma co-founded, noticed its Hong Kong-detailed shares plunge as a lot as 9.4{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809} Tuesday after Chinese point out media described that an person surnamed “Ma” in the city of Hangzhou — where by Alibaba is dependent — had been detained on countrywide security grounds.

According to China’s condition broadcaster CCTV, the suspect was placed underneath “obligatory measures” on April 25 on suspicion of “colluding with overseas anti-China hostile forces” to “incite secession” and “incite subversion of point out electric power.”

The one particular-sentence report, which was quickly picked up by other state media outlets and alerted across Chinese news platforms, induced worry providing in Hong Kong, erasing an believed $26 billion from Alibaba’s industry value inside minutes.

Amid the frenzy, Hu Xijin, the previous editor-in-main of the state-owned nationalist tabloid the World wide Occasions, rushed to make clear on China’s Twitter-like Weibo that the report was misleading simply because the title of the suspect in query has 3 characters. Jack Ma’s Chinese title, Ma Yun, has only two figures. (CCTV later on quietly current its first report to match Hu’s assessment).

To more dispel concerns, the Worldwide Times reported the accused guy was born in 1985 in Wenzhou (whilst Jack Ma was born in 1964 in Hangzhou) and worked as the director of components research and progress at an IT company.

The clarifications led to a rebound, with Alibaba recovering the greater part of its losses by the day’s close.

The market’s roller coaster reaction is the most recent indicator of just how skittish buyers are receiving around China’s embattled tech sector, which has been a focus on of the Chinese government’s large-handed regulatory crackdown because late 2020.

Even with latest signals from the Chinese federal government it is making ready to rollback the campaign due to the financial affect, as very first noted by the Wall Street Journal, the market frenzy on Tuesday indicates investor self confidence stays shaky.

“I assumed this was sort of an odd episode,” reported Victor Shih, a political science professor at the College of California San Diego. “Whether or not that was a warning of kinds to the technology sector as a complete, or maybe Jack Ma individually. Who is aware of? But it is really surely demonstrated the authorities does not even have to arrest a senior technological know-how government to erase tens of billions of bucks from a firm’s current market valuation. It just requires to launch some kind of data,” Shih extra.

“Which is pretty powerful. And definitely what happened yesterday was a apparent illustration of that electricity, whether it was sent or not.”

Jack Ma, founder of Alibaba, in Paris in 2019.

But the truth investors ended up so swift to believe Jack Ma, the moment China’s most superior-profile billionaire, would slide afoul of condition security authorities reveals something of the political actuality several Chinese tycoons now reside in.

“It will not seriously make a difference any more if it is really genuinely him. The crucial issue is: a whole lot of men and women feel it truly is him, a ton of people today count on it to be him, now that is intriguing,” said a preferred comment on Weibo, which drew 57,000 likes.

The convert in public sentiment towards Ma is pretty much as amazing as his rags to riches story. Till about a few yrs in the past, the English teacher-turned billionaire was extensively worshiped for his charisma, outspokenness and self-manufactured results. (He was even nicknamed “Daddy Ma” by some fans).

But as tech businesses like Alibaba expanded their businesses empires, they’ve grow to be the goal of escalating annoyance and resentment amongst youthful Chinese employees who are fed up with gruelingly extended get the job done several hours, significant tension and stagnant shell out. (Jack Ma’s endorsement of China’s so-called “996” do the job lifestyle, indicating doing the job from 9 a.m. to 9 p.m. six times a week, drew rigorous criticism in 2019.)

As tech giants fell under the crosshairs of the Chinese government, “evil capitalists” have been ever more blamed for many social ills, from relentless level of competition, skyrocketing property rates to absence of social mobility.

“In just a several many years, ‘Daddy Ma’ has been labeled as a ‘rotten capitalist’ in public opinion, and quite a few people today are looking forward to Ma’s downfall,” Xiang Dongliang, a blogger, wrote on WeChat.

“But the problem is, will bringing down capitalists and driving out (so-known as) international forces truly make everyone’s everyday living far better?”

Jack Ma has primarily light from public life and kept a small profile due to the fact Ant Group’s IPO in the US was halted by regulators in late 2020. As soon as among the the most outspoken figures in China, he hasn’t posted anything at all on Weibo, where by he has almost 25 million followers, given that Oct 2020.

His past Weibo put up, about a meeting with some 100 faculty principals to examine the foreseeable future of China’s training, was flooded with critical responses.

“I will not be astonished if aged Ma is jailed a person working day,” the major remark reported. “You might be just a capitalist! You should not faux to be a excellent particular person!” yet another remark screamed.

Jack Ma remained silent through Tuesday, as rumors from him swirled on the Chinese online. Hashtags about the detention of the suspect surnamed Ma ended up amid the best trending subject areas on Weibo, drawing hundreds of thousands and thousands of sights.

“He has only silence, which is a ‘special way of existing’,” Zhang Feng, a columnist, wrote in a widely shared WeChat posting following the incident.

“This type of silence is of profound importance. For a general public figure, his speech itself is an ‘extension’ of his existence. When a individual no for a longer time speaks up, though he is still alive, however executing things, at the very least component of him has ‘vanished’.”

May 4, 2022

AMD Reports First Quarter 2022 Financial Results

― Record quarterly revenue of $5.9 billion grew 71{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809} year-over-year; Gross margin grew 2 percentage points and non-GAAP gross margin grew 7 percentage points year-over-year ―

SANTA CLARA, Calif., May 03, 2022 (GLOBE NEWSWIRE) — AMD (NASDAQ:AMD) today announced revenue for the first quarter of 2022 of $5.9 billion, gross margin of 48{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}, operating income of $951 million, operating margin of 16{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}, net income of $786 million and diluted earnings per share of $0.56. On a non-GAAP(*) basis, gross margin was 53{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}, operating income was $1.8 billion, net income was $1.6 billion and diluted earnings per share was $1.13. First quarter 2022 results include partial quarter financial results from the recently completed acquisition of Xilinx which closed February 14, 2022.

Excluding Xilinx, AMD had record quarterly revenue of $5.3 billion, non-GAAP gross margin of 51{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809} and non-GAAP operating margin of 30{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}.
“The first quarter marked a significant inflection point in our journey to scale and transform AMD as we delivered record revenue and closed our strategic acquisition of Xilinx,” said AMD Chair and CEO Dr. Lisa Su. “Each of our businesses grew by a significant double digit percentage year-over-year, led by EPYC server processor revenue more than doubling for the third straight quarter. Demand remains strong for our leadership products, with our increased full-year guidance reflecting higher AMD organic growth and the addition of the growing Xilinx business.”

GAAP Quarterly Financial Results

	Q1 2022	Q1 2021	Y/Y	Q4 2021	Q/Q
Revenue ($M)	$5,887	$3,445	Up 71{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}	$4,826	Up 22{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}
Gross profit ($M)	$2,818	$1,587	Up 78{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}	$2,426	Up 16{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}
Gross margin {cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}	48{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}	46{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}	Up 190 bps	50{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}	Down 240 bps
Operating expenses ($M)	$1,950	$929	Up 110{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}	$1,223	Up 59{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}
Operating income ($M)	$951	$662	Up 44{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}	$1,207	Down 21{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}
Operating margin {cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}	16{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}	19{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}	Down 3pp	25{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}	Down 9pp
Net income ($M)	$786	$555	Up 42{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}	$974	Down 19{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}
Earnings per share	$0.56	$0.45	Up 24{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}	$0.80	Down 30{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}

Non-GAAP(*) Quarterly Financial Results

	Q1 2022	Q1 2021	Y/Y	Q4 2021	Q/Q
Revenue ($M)	$5,887	$3,445	Up 71{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}	$4,826	Up 22{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}
Gross profit ($M)	$3,100	$1,588	Up 95{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}	$2,427	Up 28{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}
Gross margin {cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}	53{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}	46{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}	Up 660 bps	50{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}	Up 240 bps
Operating expenses ($M)	$1,346	$830	Up 62{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}	$1,103	Up 22{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}
Operating income ($M)	$1,837	$762	Up 141{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}	$1,328	Up 38{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}
Operating margin {cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}	31{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}	22{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}	Up 9pp	27{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}	Up 4pp
Net income ($M)	$1,589	$642	Up 148{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}	$1,122	Up 42{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}
Earnings per share	$1.13	$0.52	Up 117{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}	$0.92	Up 23{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}

Non-GAAP(*) Quarterly Financial Results (Excluding Xilinx)

	Q1 2022	Q1 2021	Y/Y	Q4 2021	Q/Q
Revenue ($M)	$5,328	$3,445	Up 55{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}	$4,826	Up 10{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}
Gross profit ($M)	$2,712	$1,588	Up 71{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}	$2,427	Up 12{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}
Gross margin {cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}	51{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}	46{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}	Up 480 bps	50{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}	Up 60 bps
Operating income ($M)	$1,604	$762	Up 110{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}	$1,328	Up 21{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}
Operating margin {cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}	30{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}	22{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}	Up 8pp	27{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}	Up 3pp

Q1 2022 Results

Revenue of $5.9 billion was up 71{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809} year-over-year and 22{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809} quarter-over-quarter driven by higher revenue in the Computing and Graphics and Enterprise, Embedded and Semi-Custom segments and the inclusion of Xilinx revenue.
Gross margin was 48{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}, an increase of 2 percentage points year-over-year and a decrease of 2 percentage points quarter-over-quarter. The year-over-year increase was primarily driven by higher server processor revenue and high margin Xilinx revenue, partially offset by amortization of intangible assets and acquisition-related costs. The quarter-over-quarter decrease was primarily due to amortization of intangible assets and acquisition-related costs.
Non-GAAP gross margin was 53{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}, an increase of 7 percentage points year-over-year and 3 percentage points quarter-over-quarter. The year-over-year increase was primarily driven by higher server processor revenue and high margin Xilinx revenue. The quarter-over-quarter increase was primarily driven by high margin Xilinx revenue, higher server processor revenue and richer client product mix.
Operating income was $951 million compared to $662 million a year ago and $1.2 billion in the prior quarter. The year-over-year increase was primarily driven by higher revenue and gross profit, partially offset by amortization of intangible assets and acquisition-related costs. The quarter-over-quarter decrease was primarily due to amortization of intangible assets and acquisition-related costs.
Record non-GAAP operating income was $1.8 billion compared to $762 million a year ago and $1.3 billion in the prior quarter. The year-over-year and quarter-over-quarter increases were primarily driven by higher gross profit.
Net income was $786 million compared to $555 million a year ago and $974 million in the prior quarter. The year-over-year increase was primarily driven by higher operating income. The quarter-over-quarter decrease was primarily due to lower operating income related to amortization of intangible assets and acquisition-related costs.
Record non-GAAP net income was $1.6 billion compared to $642 million a year ago and $1.1 billion in the prior quarter. The year-over-year and quarter-over-quarter increases were primarily driven by higher operating income.
Diluted earnings per share was $0.56 compared to $0.45 a year ago and $0.80 in the prior quarter. Record non-GAAP diluted earnings per share was $1.13 compared to $0.52 a year ago and $0.92 in the prior quarter.
Cash, cash equivalents and short-term investments were $6.5 billion at the end of the quarter. The company repurchased $1.9 billion of common stock during the quarter.
Record cash from operations was $995 million in the quarter compared to $898 million a year ago and $822 million in the prior quarter. Record free cash flow was $924 million in the quarter compared to $832 million a year ago and $736 million in the prior quarter.
AMD’s balance sheet reflects $49.6 billion of goodwill and acquisition-related intangible assets associated with the acquisition of Xilinx.

Quarterly Financial Segment Summary

Record Computing and Graphics segment revenue was $2.8 billion, up 33{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809} year-over-year and 8{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809} quarter-over-quarter. The year-over-year increase was driven by Ryzen™ and Radeon™ processor sales. The quarter-over-quarter increase was driven by Ryzen™ processor sales.
- Client processor average selling price (ASP) increased year-over-year and quarter-over-quarter driven by a richer mix of Ryzen processor sales.
- GPU ASP increased year-over-year driven by high end Radeon processor sales and decreased quarter-over-quarter due to a lower mix of data center GPU revenue.
- Record operating income was $723 million compared to $485 million a year ago and $566 million in the prior quarter. Operating income improvements were primarily driven by higher revenue, partially offset by higher operating expenses.
Record Enterprise, Embedded and Semi-Custom segment revenue was $2.5 billion, up 88{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809} year-over-year and 13{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809} quarter-over-quarter driven by higher EPYC™ processor revenue, semi-custom and embedded product sales.
Xilinx partial quarter revenue was $559 million with operating income of $233 million. On a pro-forma basis for the full quarter, Xilinx generated over $1 billion of revenue, up 22{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809} year-over-year, driven by growth across all Xilinx major end market categories.
All Other operating loss was $886 million as compared to operating losses of $100 million a year ago and $121 million in the prior quarter. Higher operating loss was primarily due to amortization of intangible assets and acquisition-related costs.

Recent PR Highlights

AMD completed the largest acquisition in the history of the semiconductor industry by acquiring Xilinx to create the industry’s high-performance and adaptive computing leader with significantly expanded scale and the strongest portfolio of leadership computing, graphics and adaptive SoC products.
AMD announced a definitive agreement to acquire Pensando for approximately $1.9 billion before working capital and other adjustments. Pensando’s distributed services platform will expand AMD’s data center product portfolio with a high-performance data center processing unit (DPU) and software stack that are already deployed at scale across cloud and enterprise customers including Goldman Sachs, IBM Cloud, Microsoft Azure and Oracle Cloud.
AMD announced the general availability of 3rd Gen AMD EPYC processors with AMD 3D V-Cache™ technology, delivering leadership performance in technical computing workloads, the industry’s largest L3 cache and modern security features.
Cloud customers continued to expand their AMD EPYC processor-powered offerings, with 465 cloud instances now delivering powerful performance for today’s most important workloads.
AMD expanded its lineup of high-performance AMD Ryzen desktop processors for gamers and creators.
- AMD announced the Ryzen 7 5800X3D processor, the first Ryzen processor to feature AMD 3D V-Cache technology and the industry’s first x86 PC processor with 3D stacked chiplets. The Ryzen 7 5800X3D processor delivers leadership gaming performance in select titles compared to the competitive processor without stacked cache technology.
- Lenovo expanded its line of ThinkStation P620 workstations with the new Ryzen Threadripper™ PRO 5000 WX-Series processors, which bring dominant, full-spectrum performance leadership for the most demanding professional workloads.
- AMD also expanded the Ryzen desktop processor portfolio with six new “Zen 3” and “Zen 2” processors, giving PC enthusiasts even more options to create a customized gaming experience.
AMD expanded the Versal product lineup with first customer shipments of the flagship Versal HBM adaptive SoC with integrated HBM2e memory and Versal Premium product series with AI Engines optimized for signal processing-intensive applications like next-generation radar and wireless system and device testing.
AMD announced that its board of directors approved a new $8 billion share repurchase program. This program is in addition to the $4 billion share repurchase program announced last year.
AMD entered into a $3 billion sustainability-linked credit facility to replace its existing $500 million revolving credit facility and reinforces commitment to the company’s environmental, social and governance (ESG) goals.
AMD announced that its board of directors elected President and CEO Dr. Lisa Su as the chair of the board and John E. Caldwell as lead independent director. Former Xilinx board members Jon Olson and Elizabeth Vanderslice also joined the AMD board in conjunction with the acquisition of Xilinx.

Current Outlook
AMD’s outlook statements are based on current expectations. The following statements are forward-looking and actual results could differ materially depending on market conditions and the factors set forth under “Cautionary Statement” below.
For the second quarter of 2022, AMD expects revenue to be approximately $6.5 billion, plus or minus $200 million, an increase of approximately 69{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809} year-over-year and approximately 10{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809} quarter-over-quarter. The year-over-year increase is expected to be driven by the addition of Xilinx and higher server, semi-custom and client revenue. The quarter-over-quarter increase is expected to be primarily driven by Xilinx and higher server revenue. AMD expects non-GAAP gross margin to be approximately 54{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809} in the second quarter of 2022.

For the full year 2022, AMD now expects revenue to be approximately $26.3 billion, an increase of approximately 60{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809} over 2021, up from prior guidance of approximately 31{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}, driven by the addition of Xilinx and higher server and semi-custom revenue. AMD expects non-GAAP gross margin to be approximately 54{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809} for 2022, up from prior guidance of approximately 51{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}.

AMD Teleconference
AMD will hold a conference call for the financial community at 2:00 p.m. PT (5:00 p.m. ET) today to discuss its first quarter 2022 financial results. AMD will provide a real-time audio broadcast of the teleconference on the Investor Relations page of its website at www.amd.com.

RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES
(in millions, except per share data) (Unaudited)
	Three Months Ended
	March 26, 2022			December 25, 2021			March 27, 2021
GAAP gross profit	$	2,818		$	2,426		$	1,587
GAAP gross margin {cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}		48	*{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}*		50	*{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}*		46	*{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}*
Stock-based compensation		4			1			1
Acquisition-related costs ⁽¹⁾		92			—			—
Amortization of acquired intangible assets		186			—			—
Non-GAAP gross profit	$	3,100		$	2,427		$	1,588
Non-GAAP gross margin {cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}		53	{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}		50	{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}		46	{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}

GAAP operating expenses	$	1,950		$	1,223		$	929
GAAP operating expenses/revenue {cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}		33	*{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}*		25	*{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}*		27	*{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}*
Stock-based compensation		170			111			84
Acquisition-related costs ⁽¹⁾		141			9			15
Amortization of acquired intangible assets		293			—			—
Non-GAAP operating expenses	$	1,346		$	1,103		$	830
Non-GAAP operating expenses/revenue {cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}		23	{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}		23	{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}		24	{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}

GAAP operating income	$	951		$	1,207		$	662
GAAP operating margin {cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}		16	*{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}*		25	*{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}*		19	*{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}*
Stock-based compensation		174			112			85
Acquisition-related costs ⁽¹⁾		233			9			15
Amortization of acquired intangible assets		479			—			—
Non-GAAP operating income	$	1,837		$	1,328		$	762
Non-GAAP operating margin {cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}		31	{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}		27	{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}		22	{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}

	Three Months Ended
	March 26, 2022						December 25, 2021					March 27, 2021
GAAP net income / earnings per share	$	786		$	0.56		$	974		$	0.80	$	555		$	0.45
Loss on debt redemption/conversion		—			—			—			—		6			0.01
(Gains) losses on equity investments, net		44			0.03			(4	)		—		8			0.01
Stock-based compensation		174			0.12			112			0.09		85			0.07
Equity income in investee		(3	)		—			—			—		(2	)		—
Acquisition-related costs⁽¹⁾		233			0.17			9			—		15			0.01
Amortization of acquired intangible assets		479			0.34			—			—		—			—
Income tax provision		(124	)		(0.09	)		31			0.03		(25	)		(0.03	)
Non-GAAP net income / earnings per share	$	1,589		$	1.13		$	1,122		$	0.92	$	642		$	0.52

)

Acquisition-related costs primarily comprised of transaction costs, purchase price adjustments for inventory and certain compensation charges

RECONCILIATION OF AMD GAAP TO AMD NON-GAAP EXCLUDING XILINX
(in millions) (Unaudited)

	Three Months Ended March 26, 2022
	Revenue		Gross Profit		Gross Margin {cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}	Operating Income		Operating Margin {cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}
AMD GAAP	$	5,887	$	2,818	48{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}	$	951	16{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}
Stock-based compensation		—		4			174
Acquisition-related costs ⁽¹⁾		—		92			233
Amortization of acquired intangible assets		—		186			479
AMD Non-GAAP		5,887		3,100	53{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}		1,837	31{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}
Xilinx segment		559		388			233
AMD Non-GAAP Excluding Xilinx	$	5,328	$	2,712	51{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}	$	1,604	30{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}

)

Acquisition-related costs primarily comprised of transaction costs, purchase price adjustments for inventory and certain compensation charges

RECONCILIATION OF XILINX SEGMENT REVENUE TO XILINX PRO FORMA REVENUE
(in millions) (Unaudited)

	Three Months Ended March 26, 2022
	Revenue
Xilinx Segment ⁽¹⁾	$	559
Xilinx Pre-Acquisition ⁽²⁾		477
Xilinx Pro Forma ⁽³⁾	$	1,036

(1	)	Represents unaudited Xilinx revenue from the date of acquisition, February 14, 2022, through March 26, 2022
(2	)	Represents unaudited Xilinx revenue from January 2, 2022 to February 13, 2022
(3	)	The unaudited Xilinx pro forma revenue represents the three-month period beginning January 2, 2022 through March 26, 2022. The pro forma revenue is presented for informational purposes only.

About AMD
For more than 50 years AMD has driven innovation in high-performance computing, graphics and visualization technologies. AMD employees are focused on building leadership high-performance and adaptive products that push the boundaries of what is possible. Billions of people, leading Fortune 500 businesses and cutting-edge scientific research institutions around the world rely on AMD technology daily to improve how they live, work and play. For more information about how AMD is enabling today and inspiring tomorrow, visit the AMD (NASDAQ: AMD) website, blog, Facebook and Twitter pages.

Cautionary Statement
This press release contains forward-looking statements concerning Advanced Micro Devices, Inc. (AMD) such as AMD’s expectations regarding demand for its products, AMD organic growth and Xilinx business growth; the features, functionality, performance, availability, timing and expected benefits of AMD products; AMD’s planned acquisition of Pensando Systems Inc. and the anticipated benefits from the acquisition; AMD’s expected second quarter 2022 and fiscal 2022 financial outlook, including revenue and non-GAAP gross margin and expected drivers based on current expectations; and expected growth in 2022, which are made pursuant to the Safe Harbor provisions of the Private Securities Litigation Reform Act of 1995. 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 cautioned that the forward-looking statements in this press release are based on current beliefs, assumptions and expectations, speak only as of the date of this press release and involve risks and uncertainties that could cause actual results to differ materially from current expectations. Such statements are subject to certain known and unknown risks and uncertainties, many of which are difficult to predict and generally beyond AMD’s control, that could cause actual results and other future events to differ materially from those expressed in, or implied or projected by, the forward-looking information and statements. Material factors that could cause actual results to differ materially from current expectations include, without limitation, the following: Intel Corporation’s dominance of the microprocessor market and its aggressive business practices; global economic uncertainty; loss of a significant customer; impact of the COVID-19 pandemic on AMD’s business, financial condition and results of operations; competitive markets in which AMD’s products are sold; market conditions of the industries in which AMD products are sold; cyclical nature of the semiconductor industry; quarterly and seasonal sales patterns; AMD’s ability to adequately protect its technology or other intellectual property; unfavorable currency exchange rate fluctuations; ability of third party manufacturers to manufacture AMD’s products on a timely basis in sufficient quantities and using competitive technologies; availability of essential equipment, materials, substrates or manufacturing processes; ability to achieve expected manufacturing yields for AMD’s products; AMD’s ability to introduce products on a timely basis with expected features and performance levels; AMD’s ability to generate revenue from its semi-custom SoC products; potential security vulnerabilities; potential security incidents including IT outages, data loss, data breaches and cyber-attacks; uncertainties involving the ordering and shipment of AMD’s products; AMD’s reliance on third-party intellectual property to design and introduce new products in a timely manner; AMD’s reliance on third-party companies for design, manufacture and supply of motherboards, software and other computer platform components; AMD’s reliance on Microsoft and other software vendors’ support to design and develop software to run on AMD’s products; AMD’s reliance on third-party distributors and add-in-board partners; impact of modification or interruption of AMD’s internal business processes and information systems; compatibility of AMD’s products with some or all industry-standard software and hardware; costs related to defective products; efficiency of AMD’s supply chain; AMD’s ability to rely on third party supply-chain logistics functions; AMD’s ability to effectively control sales of its products on the gray market; impact of government actions and regulations such as export administration regulations, tariffs and trade protection measures; AMD’s 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; impact of acquisitions, joint ventures and/or investments on AMD’s business, and ability of AMD to integrate acquired businesses, such as Xilinx; impact of any impairment of the combined company’s assets on the combined company’s financial position and results of operation; restrictions imposed by agreements governing AMD’s notes, the guarantees of Xilinx’s notes and the revolving credit facility; AMD’s indebtedness; AMD’s ability to generate sufficient cash to meet its working capital requirements or generate sufficient revenue and operating cash flow to make all of its planned R&D or strategic investments; political, legal, economic risks and natural disasters; future impairments of goodwill and technology license purchases; AMD’s ability to attract and retain qualified personnel; AMD’s stock price volatility; and worldwide political conditions. Investors are urged to review in detail the risks and uncertainties in AMD’s Securities and Exchange Commission filings, including but not limited to AMD’s most recent reports on Forms 10-K and 10-Q.

(*)		In this earnings press release, in addition to GAAP financial results, AMD has provided non-GAAP financial measures including non-GAAP gross profit, non-GAAP operating expenses, non-GAAP operating income, non-GAAP net income, non-GAAP 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 2022, AMD uses a projected non-GAAP tax rate of 13{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}, which excludes the tax impact of pre-tax non-GAAP adjustments, reflecting currently available information. AMD also provided adjusted EBITDA and free cash flow as supplemental non-GAAP measures of its performance. These items are defined in the footnotes to the selected corporate data tables provided at the end of this earnings press release. In addition, AMD provided non-GAAP financial measures excluding Xilinx, including revenue, gross profit and operating income, and Xilinx pro forma revenue for the three months ended March 26, 2022 as supplemental information. AMD is providing these financial measures because it believes this non-GAAP presentation makes it easier for investors to compare its operating results for current and historical periods and also because AMD believes it assists investors in comparing AMD’s performance across reporting periods on a consistent basis by excluding items that it does not believe are indicative of its core operating performance and for the other reasons described in the footnotes to the selected data tables. The non-GAAP financial measures disclosed in this earnings press release should be viewed in addition to and not as a substitute for or superior to AMD’s reported results prepared in accordance with GAAP and should be read only in conjunction with AMD’s 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 data tables at the end of this earnings press release. This earnings press release also contains forward-looking non-GAAP gross margin concerning AMD’s financial outlook, which is based on current expectations as of May 3, 2022 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 information, future events or otherwise, except as may be required by law.

AMD, the AMD Arrow logo, EPYC, Radeon, Ryzen, Threadripper, Versal and combinations thereof, are trademarks of Advanced Micro Devices, Inc. Other names are for informational purposes only and used to identify companies and products and may be trademarks of their respective owner.

ADVANCED MICRO DEVICES, INC.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(Millions except per share amounts and percentages) (Unaudited)

	Three Months Ended
	March 26, 2022			December 25, 2021			March 27, 2021
Net revenue	$	5,887		$	4,826		$	3,445
Cost of sales		2,883			2,400			1,858
Amortization of acquisition-related intangibles		186			—			—
Total cost of sales		3,069			2,400			1,858
Gross profit		2,818			2,426			1,587
Gross margin {cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}		48	{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}		50	{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}		46	{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}
Research and development		1,060			811			610
Marketing, general and administrative		597			412			319
Amortization of acquisition-related intangibles		293			—			—
Licensing gain		(83	)		(4	)		(4	)
Operating income		951			1,207			662
Interest expense		(13	)		(8	)		(9	)
Other income (expense), net		(42	)		4			(11	)
Income before income taxes and equity income		896			1,203			642
Income tax provision		113			229			89
Equity income in investee		3			—			2
Net income	$	786		$	974		$	555
Earnings per share
Basic	$	0.56		$	0.81		$	0.46
Diluted	$	0.56		$	0.80		$	0.45
Shares used in per share calculation
Basic		1,393			1,208			1,213
Diluted		1,410			1,222			1,231

ADVANCED MICRO DEVICES, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(Millions)

	March 26, 2022			December 25, 2021
	(Unaudited)
ASSETS
Current assets:
Cash and cash equivalents	$	4,740		$	2,535
Short-term investments		1,792			1,073
Accounts receivable, net		3,677			2,706
Inventories		2,431			1,955
Receivables from related parties		4			2
Prepaid expenses and other current assets		725			312
Total current assets		13,369			8,583
Property and equipment, net		1,406			702
Operating lease right-of use assets		416			367
Goodwill		23,083			289
Acquisition-related intangibles, net		26,832			—
Investment: equity method		72			69
Deferred tax assets		32			931
Other non-current assets		1,705			1,478
Total Assets	$	66,915		$	12,419

LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Accounts payable	$	1,476		$	1,321
Payables to related parties		205			85
Accrued liabilities		3,070			2,424
Short-term debt		312			312
Other current liabilities		518			98
Total current liabilities		5,581			4,240
Long-term debt, net		1,475			1
Long-term operating lease liabilities		370			348
Deferred tax liabilities		3,109			—
Other long-term liabilities		1,047			333

Stockholders’ equity:
Capital stock:
Common stock, par value		16			12
Additional paid-in capital		56,925			11,069
Treasury stock, at cost		(941	)		(2,130	)
Accumulated deficit ⁽¹⁾		(665	)		(1,451	)
Accumulated other comprehensive income		(2	)		(3	)
Total stockholders’ equity	$	55,333		$	7,497
Total Liabilities and Stockholders’ Equity	$	66,915		$	12,419

(1)

During the first quarter of 2021, the Company adopted ASU 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes, using the modified retrospective adoption method, which resulted in $8 million of deferred tax liability associated with book-tax differences in a foreign equity method investment recognized in Accumulated deficit.

ADVANCED MICRO DEVICES, INC.
SELECTED CASH FLOW INFORMATION
(Millions) (Unaudited)

	Three Months Ended
	March 26, 2022			December 25, 2021			March 27, 2021
Net cash provided by (used in)
Operating activities	$	995		$	822		$	898
Investing activities	$	3,158		$	—		$	(722	)
Financing activities	$	(1,948	)	$	(727	)	$	(8	)

SELECTED CORPORATE DATA
(Millions) (Unaudited)

	Three Months Ended
	March 26, 2022			December 25, 2021			March 27, 2021
Segment and Category Information ⁽¹⁾
Computing and Graphics
Net revenue	$	2,802		$	2,584		$	2,100
Operating income	$	723		$	566		$	485
Enterprise, Embedded and Semi-Custom
Net revenue	$	2,526		$	2,242		$	1,345
Operating income	$	881		$	762		$	277
Xilinx
Net revenue	$	559		$	—		$	—
Operating income	$	233		$	—		$	—
All Other
Net revenue	$	—		$	—		$	—
Operating loss	$	(886	)	$	(121	)	$	(100	)
Total
Net revenue	$	5,887		$	4,826		$	3,445
Operating income	$	951		$	1,207		$	662


Other Data
Capital expenditures	$	71		$	86		$	66
Adjusted EBITDA ⁽²⁾	$	1,967		$	1,446		$	857
Cash, cash equivalents and short-term investments	$	6,532		$	3,608		$	3,116
Free cash flow ⁽³⁾	$	924		$	736		$	832
Total assets	$	66,915		$	12,419		$	10,047
Total debt	$	1,787		$	313		$	313

(1)			The Computing and Graphics segment primarily includes desktop and notebook processors and chipsets, discrete and integrated graphics processing units (GPUs), data center and professional GPUs and development services.

			The Enterprise, Embedded and Semi-Custom segment primarily includes server and embedded processors, semi-custom System-on-Chip (SoC) products, development services and technology for game consoles.

			The Xilinx segment primarily includes Field Programmable Gate Arrays (FPGAs), adaptive System-on-Chips (SoCs), and Adaptive Compute Acceleration Platform (ACAP) products.

			From time to time, the Company may also sell or license portions of its IP portfolio.

			All Other category primarily includes certain expenses and credits that are not allocated to any of the operating segments. Also included in this category are acquisition-related intangible asset amortization expense, stock-based compensation expense and acquisition-related costs.
(2)			Reconciliation of GAAP Net Income to Adjusted EBITDA

	Three Months Ended
	March 26, 2022			December 25, 2021			March 27, 2021
GAAP net income	$	786		$	974		$	555
Interest expense		13			8			9
Other (income) expense, net		42			(4	)		11
Income tax provision		113			229			89
Equity income in investee		(3	)		—			(2	)
Stock-based compensation		174			112			85
Depreciation and amortization		130			118			95
Amortization of acquired intangible assets		479			—			—
Acquisition-related costs		233			9			15
Adjusted EBITDA	$	1,967		$	1,446		$	857

The Company presents “Adjusted EBITDA” as a supplemental measure of its performance. Adjusted EBITDA for the Company is determined by adjusting GAAP net income for interest expense, other income (expense), net, income tax provision, equity income in investee, stock-based compensation, depreciation and amortization expense and acquisition-related costs. The Company also included amortization of acquired intangible assets for the three months ended March 26, 2022. The Company calculates and presents Adjusted EBITDA because management believes it is of importance to investors and lenders in relation to its overall capital structure and its ability to borrow additional funds. In addition, the Company presents Adjusted EBITDA because it believes this measure assists investors in comparing its performance across reporting periods on a consistent basis by excluding items that the Company does not believe are indicative of its core operating performance. The Company’s calculation of Adjusted EBITDA may or may not be consistent with the calculation of this measure by other companies in the same industry. Investors should not view Adjusted EBITDA as an alternative to the GAAP operating measure of income or GAAP liquidity measures of cash flows from operating, investing and financing activities. In addition, Adjusted EBITDA does not take into account changes in certain assets and liabilities that can affect cash flows. The Company has provided reconciliations within the earnings press release of these Non-GAAP financial measures to the most directly comparable GAAP financial measures.

(3)

Reconciliation of GAAP Net Cash Provided by Operating Activities to Free Cash Flow

	Three Months Ended
	March 26, 2022			December 25, 2021			March 27, 2021
GAAP net cash provided by operating activities	$	995		$	822		$	898
Operating cash flow margin {cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}		17	{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}		17	{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}		26	{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}
Purchases of property and equipment		(71	)		(86	)		(66	)
Free cash flow	$	924		$	736		$	832
Free cash flow margin {cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}		16	{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}		15	{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}		24	{cfdf3f5372635aeb15fd3e2aecc7cb5d7150695e02bd72e0a44f1581164ad809}

The Company also presents free cash flow as a supplemental Non-GAAP measure of its performance. Free cash flow is determined by adjusting GAAP net cash provided by operating activities for capital expenditures. The Company calculates and communicates free cash flow in the financial earnings press release because management believes it is of importance to investors to understand the nature of these cash flows. The Company’s calculation of free cash flow may or may not be consistent with the calculation of this measure by other companies in the same industry. Investors should not view free cash flow as an alternative to GAAP liquidity measures of cash flows from operating activities. The Company has provided reconciliations within the earnings press release of these Non-GAAP financial measures to the most directly comparable GAAP financial measures.

Media Contact:
Drew Prairie
AMD Communications
512-602-4425
drew.prairie@amd.com

Investor Contact:
Laura Graves
AMD Investor Relations
408-749-5467
laura.graves@amd.com