Credo Technology Group (CRDO) Q4 2026 earnings summary

Executive summary

• Fiscal 2026 revenue exceeded $1.3 billion, more than tripling year-over-year, with non-GAAP net income up over 5x to $662 million.

• Q4 revenue reached a record $437 million, up 7.4% sequentially and 157% year-over-year, surpassing the entire prior fiscal year's revenue.

• Growth driven by AI infrastructure demand and strong adoption of connectivity solutions across hyperscalers and neo cloud operators.

• Acquisition of DustPhotonics expands optical portfolio, positioning for future growth in silicon photonics and advanced optical interconnects.

• Ending cash and short-term investments stood at $1.4 billion.

Financial highlights

• FY 2026 revenue grew 206% year-over-year to $1.3 billion; gross margin was 68.1%, up 310 bps.

• Operating margin improved by 2,144 bps; EPS rose to $3.46, up 392% from prior year.

• Q4 revenue was $437 million, up 7% sequentially and 157% year-over-year.

• Q4 non-GAAP gross margin was 68.3%; non-GAAP net income reached $226.7 million, up 9% sequentially and more than tripled year-over-year.

• FY2026 GAAP net income was $472.3 million; non-GAAP net income was $661.5 million.

Outlook and guidance

• Q1 FY 2027 revenue expected between $465–$475 million; non-GAAP gross margin 67–69%.

• FY 2027 revenue projected to grow over 80% year-over-year, with more than $600 million from optical products.

• Non-GAAP operating expenses to rise ~50% year-over-year, below revenue growth rate.

• Non-GAAP net margin expected near 50%.

• Q1 FY2027 GAAP operating expenses expected between $167.6 million and $171.6 million; non-GAAP between $86.0 million and $90.0 million.