Earnings
Cerebras Q3 revenue rises 55% to $210.8m; backlog reaches $26.1bn
The AI chipmaker guided fourth-quarter core revenue to $310m-$330m while still reporting a GAAP net loss.
HedgeWeekly News Desk ·
Cerebras Systems reported third-quarter GAAP revenue of $210.8m on Thursday, up 55% from $135.7m a year earlier. Its non-GAAP core revenue was $230.9m, up 70%. GAAP cloud and other services revenue rose 265% to $141.9m.
Profitability was mixed. GAAP gross margin was 20.0%, while core gross margin was 41.0%. The company posted a GAAP net loss of $161.2m, or $0.67 a share, against core net income of $29.8m.
For the fourth quarter, Cerebras guided core revenue of $310m to $330m and core gross margin of 47% to 49%. For the full year it expects core revenue of $940m to $960m. Its chief executive said the company expects to triple revenue in 2027. A live market page reported the shares up 13% in premarket trading on Friday.
The figure for allocators is remaining performance obligations of $26.1bn at 30 September, more than 120 times the quarter's GAAP revenue. The fourth-quarter guide implies core revenue 35% to 43% above Q3. The questions to watch are how quickly that backlog converts to revenue and how far GAAP margins close on the core measure.