The company delivered adjusted earnings per share of 41 cents on revenue of $2.8 billion, up from 18 cents and $1.8 billion, respectively, a year earlier.

Analysts surveyed by FactSet had been expecting 35 cents in earnings per share and $2.56 billion in revenue.

Shares of AMD are off 3.5% in morning trading Tuesday, while shares of Xilinx are up 9%.

deal “will create the industry’s leading high performance computing company, significantly expanding the breadth of AMD’s product portfolio and customer set across diverse growth markets where Xilinx is an established leader.”.

The company expects the combination to be “immediately accretive” to margins, earnings per share, and free-cash flow and anticipates that the deal will close by the end of calendar 2021.

These synergies will primarily materialize in cost of goods sold, shares infrastructure, and “streamlining common areas.”.

Xilinx shareholders will get a fixed exchange ratio of 1.7234 shares of AMD’s common stock for each share of Xilinx’s common stock that they own.

The exchange ratio implies about $143 per share for Xilinx’s common stock.

Xilinx shares recently changed hands just below $125.

Chief Executive Lisa Su said on AMD’s earnings call that the company saw record quarterly client-processor and server-processor revenue.

The company expects fourth-quarter revenue of $2.9 billion to $3.1 billion, whereas analysts tracked by FactSet had been modeling $2.6 billion.