Super Micro Computer, Inc. Q1 FY2027 Earnings Call
· Earnings call transcript and AI-powered summary
Super Micro Computer (SMCI) Q1 FY2027 Earnings Summary
Date of Call: November 3, 2026 | Fiscal Periods: Q1 FY2027 (ended ~Sep 2026) vs. Q1 FY2026 and Q4 FY2026
Revenue Performance
- Total revenue: $19.9 billion — up 298% year-over-year (YoY) and 79% sequentially from Q4 FY2026.
- Exceeded original guidance ($14.5B–$15.5B) and pre-announced range ($18.5B–$19.5B).
- Included $2.3B in catch-up deployments from prior periods; underlying revenue ~$17.6B.
- AI solutions: 71% of revenue (up from 59% in Q4 FY2026); expected 70–80% for full FY2027.
- Enterprise & channel: $4.9B (25% of revenue), +229% YoY, -12% sequentially.
- OEM/large data center: $14.7B (74%), +321% YoY, +167% sequentially.
- One customer accounted for 44% of revenue (vs. 28% for full FY2026).
- Geography: U.S. 80% (+771% YoY), Europe 11%, Asia 6%.
Profitability & Margins
- Non-GAAP gross margin: 12.8% — +330 bps YoY; 200–240 bps above guidance (10.4–10.8%). GAAP gross margin 12.7% (down 480 bps from Q4's 17.6%).
- Sequential margin pressure due to higher mix of large-scale AI deployments; combined Q4+Q1 non-GAAP gross margin ~14.5% (vs. ~9.5% prior year) on nearly tripled revenue.
- Non-GAAP operating margin: 10.9% (vs. 14.3% in Q4); combined Q4+Q1 ~12.1% (vs. ~5.4% prior year).