Advanced Micro Devices reported third-quarter sales of $13.4 billion for the quarter ended Sept. 26, above the $13.1 billion expected by analysts polled by FactSet. AMD shares rose 8.5% in post-close trading as data-center chip sales nearly doubled. The results reinforced the chipmaker’s push toward becoming a data-center-first company.

Data-center revenue nearly doubled from the year-earlier period to $8.5 billion. AMD had projected an 80% increase in revenue from data-center chips.

The company operates in two main businesses: selling basic processors, including CPUs used in personal computers and gaming consoles, and selling advanced GPUs for data-center servers that train and run artificial-intelligence models. The data-center segment accounted for 47% of AMD’s revenue a year ago and 64% this quarter.

Major partnerships with large AI companies and sales of products including Helios and Venice had driven AMD’s share price up nearly 120% so far this year. Over the previous month, however, the stock fell 23% as fears about an AI infrastructure bubble intensified.

AMD remains behind Nvidia, the dominant supplier of data-center GPUs, but its latest results showed progress as the company sought to catch up. Intel, AMD’s leading CPU rival, offered a contrasting result last week: its shares fell more than 20% in one day after the company reported weakness in PC sales. Intel’s stock had fallen 48% over the previous month as investors grew concerned that the company relied too heavily on consumer products and lacked a sufficient foothold in AI.

AMD, like many technology companies, uses non-GAAP accounting. The company reported net income of $3.5 billion for the quarter, above the $3.2 billion predicted by analysts polled by FactSet. Gross income margins were 56%, in line with analyst expectations.

An OpenAI-related accounting item weighed on the quarter’s profit. AMD recorded a $1.1 billion charge connected to the company’s agreement with OpenAI from the previous year, although the charge was mostly offset by an income tax provision.

Under the agreement, OpenAI committed to paying tens of billions of dollars for up to 6 gigawatts of computing capacity using AMD’s MI450 chips, the company’s latest and most advanced generation of AI processors.

AMD also gave OpenAI warrants to buy up to 160 million AMD shares, roughly 10% of the chip company, for $0.01 each. The warrants were contingent on milestones for deploying the chips. For OpenAI to exercise all of them, AMD’s share price had to cross above $600, which it did in September. OpenAI had not exercised the warrants, but AMD accounted for the September-quarter charge as a liability.

“We delivered a record quarter with revenue exceeding the high end of our guidance,” Lisa Su, AMD’s chief executive officer, said. “We are confident in our ability to sustain very strong revenue growth and expanding profitability over the coming years.”