Marvell Technology (MRVL) Q2 2025 earnings summary

Executive summary

• Q2 FY25 revenue was $1.273 billion, down 5% year-over-year but up 10% sequentially, exceeding guidance midpoint, driven by strong AI and data center demand.

• Data center revenue reached a record $881 million, up 92% year-over-year and 8% sequentially, offsetting declines in other segments.

• Non-GAAP EPS was $0.30, up 25% sequentially, with disciplined expense control.

• GAAP net loss was $193.3 million (loss per share $0.22), an improvement year-over-year.

• All end markets are expected to grow sequentially in Q3, with revenue forecasted to rise 14% at the guidance midpoint.

Financial highlights

• Q2 revenue: $1.273 billion, down 5% year-over-year, up 10% sequentially.

• GAAP gross margin: 46.2%; non-GAAP gross margin: 61.9%.

• GAAP operating margin: -7.9%; non-GAAP operating margin: 26.1%.

• Cash flow from operations: $306.4 million in Q2; $630.9 million for six months.

• Non-GAAP net income: $266.2 million; GAAP net loss: $193.3 million.

Outlook and guidance

• Q3 revenue guidance: $1.45 billion ±5%, up 14% sequentially at midpoint.

• GAAP gross margin expected at 47.2%; non-GAAP gross margin at ~61%.

• Non-GAAP EPS guidance: $0.40 ± $0.05; GAAP diluted loss per share: $(0.09) ± $0.05.

• All end markets forecasted to return to sequential growth in Q3.

• Full-year AI revenue expected to significantly exceed prior targets.