Super Micro Computer Q4 Earnings Highlights: Shares Fall On Double Miss, Lower Guidance

Super Micro Computer Inc. SMCI reported fourth-quarter financial results after market close on Tuesday.Here are the highlights.What Happened: Super Micro reported fourth-quarter net sales of $5.76 billion, up from $4.6 billion in the third quarter and $5.4 billion in last year's fourth quarter. Net sales missed a Street consensus estimate of $5.88 billion, according to data from Benzinga Pro.The company reported earnings per share of $0.41, missing the Street consensus estimate of $0.44.Super Micro saw its gross margin fall to 9.5% from 9.6% in the third quarter and from 10.2% in the prior year's fourth quarter.The company recorded net sales of $22.0 billion for the full fiscal year, up from $15.0 billion in the previous full fiscal year. Full-year earnings per share were $1.68, down from $1.92 in the last year."We made solid progress in FY25 by growing our AI solution leadership in Neoclouds, CSPs, Enterprises, and Sovereign entities, which fueled our 47% annual growth," Super Micro CEO Charles Liang said.The company ended the quarter with cash and cash equivalents of $5.2 billion and bank debt and convertible notes of $4.8 billion.Read Also: Super Micro Computer Likely To Report Lower Q4 Earnings; These Most Accurate Analysts Revise Forecasts Ahead Of Earnings CallWhat's Next: Super Micro is guiding for first-quarter net sales in a range of $6.00 billion to $7.00 billion, versus a Street consensus estimate of $6.60 billion.First-quarter earnings per share are expected to be in the range of 40 cents to 52 cents.For fiscal 2026, Super Micro Computer stated that it expects net sales to be at least $33.0 billion, down from its previous guidance of $ 40.0 billion. The Street consensus estimate is currently $29.80 billion according to data from Benzinga Pro."With support from our expanding global operations that help mitigate tariffs and regional costs, combined with a growing enterprise customer base, AI product innovations, and robust DCBBS-powered total solutions, we're on track to grow more large-scale datacenter customers from four in FY25 to six to eight in FY26," Liang said.SMCI Price Action: Super Micro Computer stock is down 11% to $50.99 in after-hours trading Tuesday, versus a 52-week trading range of $17.25 to $66.44. Can Super Micro’s AI Demand Outpace Profit Margin Fears? Photo: Shutterstock