Super Micro Posts Record $19.9 Billion Quarter and Issues Guidance Well Above Estimates on AI Server Surge

Super Micro Computer reported first-quarter fiscal 2027 revenue of $19.95 billion, nearly four times the $5.0 billion it posted in the same quarter a year earlier, driven by surging customer spending on AI infrastructure. Net income reached $1.594 billion, with diluted earnings of $1.75 per share on a GAAP basis and $1.81 on a non-GAAP basis. Gross margin recovered to 12.7%, up sharply from 9.3% in the year-ago quarter, though down from the prior sequential quarter's 17.5%.

The results came in ahead of Wall Street's expectations, as did the company's forward guidance. Super Micro projected second-quarter fiscal 2027 revenue of $19.5 billion to $21.5 billion, and set a full-year fiscal 2027 revenue target of $72 billion to $82 billion. CFO Mark Long told MarketWatch the company is building a "high-quality customer base" that is fueling the revenue growth.

The beat and raised outlook sent shares sharply higher. CEO Charles Liang credited the company's expansion into what he called a "Total AI and IT Datacenter Solution provider," pointing to enterprise partnerships and growing global production capacity as key drivers. The quarter's revenue of $19.9 billion had already been flagged as above prior guidance in a preliminary update issued October 20, when the company said results would exceed its earlier $14.5 billion to $15.5 billion guidance range due to accelerating AI platform demand.