Super Micro Lifts Quarterly Revenue Estimate Far Above Its Own Guidance

Super Micro Computer (NASDAQ: SMCI) said after the US close yesterday that its September-quarter revenue would be far above guidance, citing demand for AI platforms. The San Jose, California company builds AI, cloud and enterprise servers around Nvidia and AMD chips.

The shares closed yesterday at $32.47, up 1.15% on the previous session but about 28% below their close of $44.94 on the 7th of October. The update came at 9.30pm UK time, so that close was struck before the news.

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In a preliminary business update for its fiscal first quarter of 2027, which ran from July to the end of September, Super Micro put revenue well ahead of what it had guided. It gave this reason:

Revenues for the first quarter of fiscal year 2027 are estimated to be in the range of $18.5 billion to $19.5 billion versus guidance of $14.5 billion to $15.5 billion, primarily due to increased demand for AI platforms.

Super Micro

The midpoint of the new range is $19.0bn, 26.7% above the $15.0bn midpoint of guidance. Analysts had expected about $14.99bn, according to Investing.com, so the update clears the old guidance and the expected figure by a wide margin.

Gross margin, the share of revenue left after the direct costs of making the servers, is also now estimated at 12.0% to 12.5%, against guidance of 10.4% to 10.8%. Super Micro attributed that mainly to customer and product mix. The midpoints are 12.25% and 10.6%.

Asian chip and AI hardware stocks rallied today, with the Super Micro update cited as a driver, according to Investing.com.

The US session opens at 2.30pm UK time today. The figures are preliminary and unaudited and may differ materially. Super Micro reports full results at 5pm US Eastern time on the 3rd of November.