Supermicro raises FY2027 revenue outlook after quarterly sales near $20 billion - Markets and investing

Super Micro Computer reported $19.946 billion in first-quarter fiscal 2027 revenue and lifted its full-year forecast to $72 billion–$82 billion, while noting margin pressure and supply constraints.

Super Micro Computer reported revenue of $19.946 billion for the first quarter of fiscal 2027, up 79% from the previous quarter and 298% year over year. The company also raised its full-year revenue outlook to $72 billion–$82 billion, from a previous range of $65 billion–$72 billion.

Non-GAAP diluted earnings per share were $1.81. Non-GAAP gross margin was 12.8%, up 330 basis points from a year earlier but down 480 basis points sequentially. The company attributed the quarterly decline primarily to a shift toward higher-volume AI products.

Supermicro expects second-quarter fiscal 2027 revenue of $19.5 billion–$21.5 billion. Its guidance calls for GAAP diluted EPS of $1.59–$1.83 and non-GAAP diluted EPS of $1.66–$1.90. The full-year forecast implies potential growth of 85%–110% over fiscal 2026 revenue of $39 billion; the company expects full-year gross margin of 11.8%–12.2%.

The company said its outlook assumes continued demand for AI infrastructure but does not include a repeat of the $2.3 billion in first-quarter revenue from previously delayed deployments. It also cited shortages of components, limited land and power availability, and data-center readiness as factors that can affect shipment timing.

Supermicro’s presentation outlined plans to expand its Data Center Building Block Solutions platform, which combines data-center infrastructure, software, rack-scale systems, services and networking. Its manufacturing plans target capacity of more than 8,000 racks per month in fiscal 2027, split between liquid-cooled and air-cooled systems. The company also said it is scaling to support 240-kilowatt racks in volume during the year, with 500-kilowatt rack capabilities planned for the future.

AI solutions accounted for 71% of quarterly revenue, compared with 59% in the prior quarter. One large data-center customer represented 44% of sales, highlighting customer concentration. Operating cash flow was negative $434 million, while the company ended the quarter with $6.9 billion in cash and cash equivalents. Inventory stood at $15.1 billion as Supermicro prepared for expected deployments.

Shares rose 3.35% during the regular session to $31.46 and gained a further 9.78% in after-hours trading to $34.46, according to the results account.

Sources: Investing.com News.