Credo Technology Reports 272.1% Q2 Revenue Surge, Forecasts $335M-$345M

Basio badr

ago 54 minutes

Credo Technology Reports 272.1% Q2 Revenue Surge, Forecasts $335M-$345M

Credo Technology Group Holding Ltd. has announced remarkable financial growth for the second quarter of fiscal year 2026, which concluded on November 1, 2025. The company reported a staggering year-over-year revenue increase of 272.1%, achieving total revenues of $268 million. This performance marks a significant milestone, being the strongest quarterly results in the company’s history.

Financial Highlights

The financial summary for the second quarter reveals several key metrics:

Revenue: $268 million, up 20.2% from the previous quarter.
GAAP Gross Margin: 67.5%
Non-GAAP Gross Margin: 67.7%
GAAP Net Income: $82.6 million
Non-GAAP Net Income: $127.8 million
GAAP Diluted Net Income per Share: $0.44
Non-GAAP Diluted Net Income per Share: $0.67
Ending Cash and Short-term Investments: $813.6 million

Management Commentary

According to Bill Brennan, the President and CEO of Credo, the company’s revenue growth reflects the extensive expansion of AI training clusters. He emphasized the positive outlook, noting that strong revenue growth is anticipated through fiscal year 2026 and beyond. This is attributed to continued growth in key segments and upcoming product launches.

Forecast for Third Quarter

For the third quarter of fiscal year 2026, Credo expects:

Revenue: Projected between $335 million and $345 million.
GAAP Gross Margin: Between 63.8% and 65.8%.
Non-GAAP Gross Margin: Between 64.0% and 66.0%.
GAAP Operating Expenses: Between $116 million and $120 million.
Non-GAAP Operating Expenses: Between $68 million and $72 million.

Upcoming Conference Call

Credo will hold a conference call on December 1, 2025, at 2:00 PM Pacific Time. Investors can join by calling 800-715-9871 or +1 646-307-1963. The conference ID is 5251802. A live webcast will also be accessible through Credo’s Investor Relations website.

Conclusion

The dramatic revenue surge and positive projections for future growth underscore Credo’s commitment to innovation in high-speed connectivity solutions. As the demand for AI-driven applications continues to rise, Credo remains positioned to deliver cutting-edge technology while maintaining robust financial health.