Super Micro Computer (SMCI) Q4 2026 earnings summary

Executive summary

• FY 2026 revenue surged 78% year-over-year to $39.1 billion, with Q4 revenue at $11.1 billion, up 93% year-over-year and 9% sequentially, driven by strong AI demand and transformation into a total data center solutions provider.

• Diluted non-GAAP EPS for FY 2026 was $3.63, up from $2.06 in FY 2025; Q4 non-GAAP EPS was $1.70, exceeding guidance.

• Record $60 billion in new orders in Q4, pushing backlog to historic highs entering fiscal 2027.

• Diversified and expanded customer base, with nine customers generating over $1 billion each in FY 2026 and several hundred new enterprise and other customers added.

• Expanded product offerings and manufacturing footprint, including new DCBBS campus and global sites.

Financial highlights

• FY 2026 revenue: $39.1 billion, up 78% year-over-year; non-GAAP diluted EPS: $3.63, up 76%; Q4 revenue: $11.1 billion, up 93% year-over-year and 9% sequentially.

• Q4 non-GAAP gross margin: 17.6%, up from 10.1% in Q3 and 9.6% in Q4'25; FY 2026 non-GAAP gross margin: 10.9%.

• Adjusted EBITDA for Q4 FY26 was $1.67 billion (15% of net sales); for FY26, $3.45 billion (8.8% of net sales).

• Q4 cash from operations: $747 million; FY 2026 cash flow from operations was negative $6.8 billion; Q4 free cash flow: $722 million.

• As of June 30, 2026, cash and equivalents were $7.5 billion; net debt: $1.2 billion; total bank debt and convertible notes: $8.7 billion.

Outlook and guidance

• FY 2027 revenue guidance: $65 billion–$72 billion, targeting fastest growth year.

• Q1 FY 2027 net sales expected at $14.5 billion–$15.5 billion; non-GAAP EPS: $1.01–$1.10; GAAP EPS: $0.89–$0.98.

• Q1 gross margin guidance: 10.4%–10.8%; CapEx expected at $50 million–$60 million.

• Guidance assumes a tax rate of ~20% and fully diluted share count of 745–761 million.

• Focus on balancing revenue growth with profitability, emphasizing enterprise and CPU-based solutions for margin improvement.