Super Micro Computer reported its fourth-quarter fiscal year 2025 results, with revenue of $5.76 billion, missing analysts' estimates of $5.89 billion, despite a 7.5% year-over-year increase. Net income fell to $195.2 million, or $0.31 per diluted share, down from $297.2 million, or $0.46 per diluted share, in the same quarter a year ago. Adjusted EPS of $0.41 also fell short of the $0.44 consensus.
The company attributed the underwhelming performance to intense competition from larger server makers, a June revenue shortfall due to a lack of working capital, and specification changes from a major new customer. Additionally, the impact from U.S. tariffs contributed to the decline in net income. These factors highlight significant operational and market pressures.
Looking ahead, Super Micro provided weak guidance for the first quarter of fiscal year 2026, expecting adjusted EPS between $0.40 and $0.52 on revenue of $6 billion to $7 billion, both below analyst forecasts. More significantly, the company reduced its full fiscal year 2026 revenue guidance to at least $33 billion, a substantial step down from its previous forecast of $40 billion. This revised outlook signals a more challenging growth trajectory and increased competitive headwinds in the AI server market.
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