Super Micro's Revenue Outlook is Downward!

Super Micro Computer (NASDAQ:SMCI) shares fell by about 10% after the company announced that its first-quarter revenue fell short of expectations. The company stated that some design wins had shifted the expected revenue to the second quarter.

The artificial intelligence server manufacturer reported that its first-quarter net sales reached $5 billion. This figure shows a significant difference from the consensus estimate of analysts, which was $6.49 billion, as well as from the company’s own forecast range of $6 billion to $7 billion. The company justified this decline by citing updates in design wins.

Despite this weakness in revenue expectations, Super Micro announced that it recently achieved over $12 billion in new design wins. It was noted that customers have requested delivery in the second quarter. Additionally, there was reported "strong demand" for Nvidia's GB300, B300, RTX Pro, and AMD 355X LC products, and it was stated that shipments of these products have begun.

Super Micro Computer's President and CEO Charles Liang maintained the company's full-year outlook and reiterated its target of at least $33 billion in revenue for fiscal 2026. Liang stated, "Supermicro is seeing excellent customer interactions for the newly launched AI liquid-cooled solutions, and many key customers are preparing for large, multi-quarter volume deployments." He emphasized the acceleration of customer demand, stating, "We expect to return to $33 billion in revenue and hope to make more deliveries."}