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Super Micro says quarterly revenue will top $18.5 billion, well above its own guidance, as AI server demand surges
The server maker raised its preliminary first-quarter revenue and margin figures, and its shares jumped more than 10% after hours.
HedgeWeekly News Desk ·
Super Micro Computer said on Tuesday that revenue for its fiscal first quarter, which ended on September 30, came in at between $18.5 billion and $19.5 billion. The company had guided to $14.5 billion to $15.5 billion, and it put the increase down to stronger demand for AI platforms.
The San Jose-based maker of AI servers also lifted its preliminary gross margin to 12.0% to 12.5%, from earlier guidance of 10.4% to 10.8%, citing customer and product mix. The figures are unaudited, and the company warned that final results could differ materially.
Shares rose more than 10% in extended trading, according to GuruFocus, while Investing.com put the after-hours gain at about 12%. GuruFocus said analysts had expected quarterly revenue of $14.94 billion, which leaves even the bottom of the new range about 24% above consensus.
Why it matters: the midpoint of the new range is nearly four times the $5.02 billion Super Micro reported for the same quarter a year earlier, when customer delays had forced a guidance cut. Because the company assembles servers around Nvidia and AMD processors, the update is being read as evidence of strong data-centre spending after a week in which worries about debt-funded AI build-outs hit tech stocks. Margins remain thin at about 12%, so investors will want the profit detail and any full-year outlook on the November 3 earnings call.