AMD · News · 20261104N
Other Income (Expense), Net
ADVANCED MICRO DEVICES INC · 2026-11-04 · Importance 46 · Surprise 42 · In source text
AMD recorded a $1.1 billion noncash third-quarter 2026 charge tied mainly to stock warrants granted to OpenAI and Meta Platforms under AI chip-supply agreements. The charge was reflected in GAAP diluted earnings of $1.46 per share, while non-GAAP diluted EPS was $2.09. CFO Jean Hu attributed the accounting impact mainly to AMD's higher share price and revised estimates of whether warrant conditions would be met. The warrants could eventually allow the two companies to purchase as much as 10% of AMD, subject to performance milestones.
Key facts
- AMD reported a $1.1 billion non-cash charge in other income and expense tied to customer warrants; GAAP diluted EPS was $1.46. source
Impact estimates
| metric | direction | stage | expected | basis |
|---|---|---|---|---|
| net_income | negative | realized | -9.5% | AMD reported a $1.1 billion non-cash charge in other income and expense tied to customer warrants; GAAP diluted EPS was $1.46. |