Super Micro Computer, Inc. (SMCI): Results of Operations and Financial Condition
Super Micro Computer, Inc. (SMCI) filed an SEC Form 8-K — Results of Operations and Financial Condition. Exhibit 99.1 Supermicro Announces Fourth Quarter and Full Fiscal Year 2026 Financial Results SAN JOSE, Calif. -- August 11, 2026 -- (BUSINESS WIRE) -- Super Micro Computer, Inc. (NASDAQ: SMCI) (“Supermicro” or the “Company”), a Total IT Solution Provider for AI, Cloud, Storage, a
How this was made
The 30-second read
Why it matters
Traders can update models immediately using the provided Q4 and FY2026 financials and the explicit Q1 FY2027 GAAP and non-GAAP EPS ranges, while also discounting for compliance and forecast risk tied to an independent export-control review.
Market read
Fresh earnings and guidance with margin expansion and strong net income, offset by compliance-related uncertainty that can drive volatility.
What to watch
Guidance includes assumptions on tax rate and share count, and the company notes preliminary unaudited results that may change in final reporting.
Supermicro announced preliminary unaudited Q4 fiscal year 2026 net sales of $11.1 billion, gross margin of 17.5%, and net income of $1,178 million, alongside first-quarter fiscal year 2027 net-sales guidance of $14.5 billion to $15.5 billion.
Q4 net sales, gross margin, net income, and diluted EPS increased versus both Q3'26 and Q4'25, while the company guided to higher net sales for the first quarter of fiscal year 2027 and $65.0 billion to $72.0 billion for fiscal year 2027. Results remain preliminary and subject to completion of closing procedures and audit-related review.
Key metrics
as reported| Metric | Value | q/q | y/y |
|---|---|---|---|
| Q4 fiscal year 2026 net salesGAAP | $11.1 billion | – | – |
| Q4 fiscal year 2026 gross marginGAAP | 17.5% | – | – |
| Q4 fiscal year 2026 net incomeGAAP | $1,178 million | – | – |
| Q4 fiscal year 2026 diluted net income per common shareGAAP | $1.62 | – | – |
| Q4 fiscal year 2026 non-GAAP gross marginnon-GAAP | 17.6% | – | – |
| Q4 fiscal year 2026 non-GAAP diluted net income per common sharenon-GAAP | $1.70 | – | – |
| Q4 fiscal year 2026 cash flow provided by operationsGAAP | $747 million | – | – |
| Q4 fiscal year 2026 capital expenditures and investmentsother | $25 million | – | – |
| Fiscal year 2026 net salesGAAP | $39.1 billion | – | – |
| Fiscal year 2026 gross marginGAAP | 10.8% | – | – |
| Fiscal year 2026 net incomeGAAP | $2.2 billion | – | – |
| Fiscal year 2026 diluted net income per common shareGAAP | $3.26 | – | – |
| Fiscal year 2026 non-GAAP gross marginnon-GAAP | 10.9% | – | – |
| Fiscal year 2026 non-GAAP net income attributable to common stockholdersnon-GAAP | $2.5 billion | – | – |
| Fiscal year 2026 non-GAAP diluted net income per common sharenon-GAAP | $3.63 | – | – |
First quarter of fiscal year 2027 ending September 30, 2026; fiscal year 2027 outlook
- RevenueFirst quarter of fiscal year 2027: $14.5 billion and $15.5 billion; fiscal year 2027: $65.0 billion to $72.0 billion
- Tax rateapproximately 20.1% and 20.5%, respectively
- NoteFirst quarter of fiscal year 2027 GAAP net income per diluted share: $0.89 to $0.98
- NoteFirst quarter of fiscal year 2027 non-GAAP net income per diluted share: $1.01 to $1.10
- NoteFully diluted share count of 745 million shares for GAAP
- NoteFully diluted share count of 761 million shares for non-GAAP
- NoteApproximately $106 million in expected stock-based compensation expense, net of related tax effects of $32 million, excluded from non-GAAP net income per diluted share
What drove it
- The company said it added several hundred enterprise and other customers in the past year.
- The company said it generated more than $60 billion in new orders and booked record backlog entering fiscal 2027.
- Management attributed improving profitability to a richer enterprise customer mix and broader adoption of its optimized Data Center Building Block Solutions® architecture.
- The company cited continued investment in technology leadership, manufacturing scale, and global compliance.
Concerns
- The financial information is preliminary, unaudited, and may differ materially when closing procedures, management and audit committee review, and audit preparation are completed.
- The company disclosed that its Board is conducting an independent review of certain transactions in connection with export-control issues. The outcome could affect forecasts, preliminary results, and prior period results.
- The company identified risks that larger customers and sales opportunities may increase customer concentration, increase cost of sales, lower margins, and make sales less predictable.
- The company identified potential declines in average sales prices, adverse economic conditions, and increased tariffs as risks.
What to watch
- Execution against first-quarter fiscal year 2027 net-sales guidance of $14.5 billion and $15.5 billion.
- Execution against fiscal year 2027 net-sales guidance of $65.0 billion to $72.0 billion.
- Whether the richer enterprise customer mix and broader DCBBS adoption continue to support profitability.
- The completion of financial closing procedures and the independent review related to export-control issues.
- Cash and cash equivalents of $7.5 billion, total bank debt and convertible notes of $8.7 billion, and balance-sheet working-capital line items.
Balance sheet and cash flow
- Cash and cash equivalents: $7.5 billion as of June 30, 2026
- Cash and cash equivalents: $ 7,521,474 (in thousands) as of June 30, 2026; $ 5,169,911 (in thousands) as of June 30, 2025
- Accounts receivable, net of allowance for credit losses: 6,125,414 (in thousands) as of June 30, 2026; 2,203,942 (in thousands) as of June 30, 2025
- Inventories: 12,895,949 (in thousands) as of June 30, 2026; 4,680,375 (in thousands) as of June 30, 2025
- Prepaid expenses and other current assets: 1,183,415 (in thousands) as of June 30, 2026; 247,426 (in thousands) as of June 30, 2025
- Total current assets: 27,726,252 (in thousands) as of June 30, 2026; 12,301,654 (in thousands) as of June 30, 2025
- Property, plant, and equipment, net: 625,553 (in thousands) as of June 30, 2026; 504,488 (in thousands) as of June 30, 2025
- Deferred income taxes, net: 697,441 (in thousands) as of June 30, 2026; 607,416 (in thousands) as of June 30, 2025
- Other assets: 896,221 (in thousands) as of June 30, 2026; 604,871 (in thousands) as of June 30, 2025
- Total assets: $ 29,945,467 (in thousands) as of June 30, 2026; $ 14,018,429 (in thousands) as of June 30, 2025
- Accounts payable: $ 2,247,003 (in thousands) as of June 30, 2026; $ 1,281,977 (in thousands) as of June 30, 2025
- Accrued liabilities: 1,032,716 (in thousands) as of June 30, 2026; 565,637 (in thousands) as of June 30, 2025
- Income taxes payable: 262,608 (in thousands) as of June 30, 2026; 53,381 (in thousands) as of June 30, 2025
- Lines of credit and term loans, current: 2,039,774 (in thousands) as of June 30, 2026; 75,060 (in thousands) as of June 30, 2025
- Deferred revenue: 1,578,005 (in thousands) as of June 30, 2026; 368,737 (in thousands) as of June 30, 2025
- Total current liabilities: 7,160,106 (in thousands) as of June 30, 2026; 2,344,792 (in thousands) as of June 30, 2025
- Deferred revenue, non-current: 1,034,027 (in thousands) as of June 30, 2026; 362,645 (in thousands) as of June 30, 2025
- Lines of credit and term loans, non-current: 2,016,374 (in thousands) as of June 30, 2026; 37,415 (in thousands) as of June 30, 2025
- Convertible notes: 4,664,139 (in thousands) as of June 30, 2026; 4,645,178 (in thousands) as of June 30, 2025
- Other long-term liabilities: 591,205 (in thousands) as of June 30, 2026; 326,528 (in thousands) as of June 30, 2025
- Total liabilities: 15,465,851 (in thousands) as of June 30, 2026; 7,716,558 (in thousands) as of June 30, 2025
- Total bank debt and convertible notes: $8.7 billion as of June 30, 2026
- Q4 fiscal year 2026 cash flow provided by operations: $747 million
- Q4 fiscal year 2026 capital expenditures and investments: $25 million
Analysis
Supermicro reported preliminary unaudited Q4 fiscal year 2026 net sales of $11.1 billion, compared with $10.2 billion in Q3'26 and $5.8 billion in Q4'25. Q4 gross margin was 17.5%, compared with 9.9% in Q3'26 and 9.5% in Q4'25. Net income was $1,178 million and diluted net income per common share was $1.62, compared with $483 million and $0.72 in Q3'26 and $195 million and $0.31 in Q4'25, respectively.
The fourth-quarter margin improvement is the central operating development in the release. Management linked improved profitability to a richer enterprise customer mix and broader adoption of its DCBBS architecture. Non-GAAP gross margin was 17.6%, with adjustments for stock-based compensation expense of $9 million, while non-GAAP diluted net income per common share was $1.70.
For fiscal year 2026, net sales were $39.1 billion versus $22.0 billion for fiscal year 2025. Fiscal-year gross margin was 10.8% versus 11.1%, even as net income rose to $2.2 billion, or $3.26 per diluted share, from $1.0 billion, or $1.68 per diluted share. Fiscal-year non-GAAP net income attributable to common stockholders was $2.5 billion, or $3.63 per diluted share, versus $1.3 billion, or $2.06 per diluted share.
The balance sheet reported $7.5 billion of total cash and cash equivalents and $8.7 billion of total bank debt and convertible notes as of June 30, 2026. Q4 cash flow provided by operations was $747 million, while capital expenditures and investments were $25 million. No repurchases or dividends were reported in the provided filing text.
Management guided first-quarter fiscal year 2027 net sales to $14.5 billion and $15.5 billion, with GAAP diluted EPS of $0.89 to $0.98 and non-GAAP diluted EPS of $1.01 to $1.10. Fiscal year 2027 net-sales guidance is $65.0 billion to $72.0 billion. Investors should also focus on the stated preliminary nature of the results and the Board's independent review of certain transactions in connection with export-control issues, which the company said could affect forecasts, preliminary results, and prior-period results.
Management, verbatim
Our Total AI/IT Solutions strategy continues to deliver strong results, we added several hundred enterprise and other customers in the past year, generated more than $60 billion in new orders, and booked record backlog entering fiscal 2027.
Charles Liang, Founder, President and CEO of Supermicro
As demand accelerates, we are improving profitability through a richer enterprise customer mix and broader adoption of our optimized Data Center Building Block Solutions® (DCBBS) architecture.
Charles Liang, Founder, President and CEO of Supermicro
Not in the filing
stated, not guessed- Prior outlook was not provided, so comparisons of actual results with prior guidance are unavailable.
- Revenue by operating segment was not reported in the provided filing text.
- GAAP operating income and operating margin were not reported in the provided filing text.
- Q4 fiscal year 2026 non-GAAP net income was not reported in the provided filing text.
- Q4 fiscal year 2026 non-GAAP diluted EPS comparison with Q3'26 was not reported in the provided filing text.
- Prior-year comparison for fiscal year 2026 non-GAAP gross margin was not reported in the provided filing text.
- Free cash flow was not reported in the provided filing text.
- Share repurchases and dividends were not reported in the provided filing text.
- First-quarter fiscal year 2027 gross-margin and operating-expense guidance were not reported in the provided filing text.
- The condensed consolidated balance sheet text was truncated after the beginning of stockholders' equity; remaining balance-sheet line items were not available in the provided filing text.
AlphAI analysis generated from the company’s SEC earnings filing (Form 8-K Item 2.02, or Form 6-K for a foreign private issuer). Every figure was cross-checked against the filing text; consensus estimates, price targets and share-price reactions are not shown because they are not in the filing. AI-generated research, not investment advice.
Background
This is an SEC Form 8-K with Exhibit 99.1 covering Supermicro’s preliminary unaudited Q4 and full fiscal year ended June 30, 2026 results, plus first-quarter and full-year fiscal 2027 outlook.
Ticker impact
Super Micro Computer reported Q4 and full FY2026 results plus Q1 FY2027 guidance, including net sales, margins, and EPS ranges.
Likely positive near-term bias if guidance and margin expansion are viewed as credible, with volatility around the export-control independent review disclosure.
The release shows sharp YoY improvement in net sales and net income, and it issues specific Q1 FY2027 GAAP and non-GAAP EPS ranges. It also flags an independent review tied to export-control issues, which can add uncertainty to forecasts.
Market effects
Reinforces demand and profitability momentum in AI server and data center infrastructure suppliers, potentially supporting sentiment across the AI hardware supply chain.
Primarily US-listed large-cap AI infrastructure exposure; may influence broader US tech and semiconductor-adjacent risk appetite.
AI infrastructure capex outlook and export-control scrutiny are global themes that can affect cross-border supply and compliance risk pricing.
Counterpoint
The headline profitability surge may be partially offset by forecast uncertainty from the board’s independent review of export-control-related transactions, which could force restatements or alter customer/order assumptions.
Key entities
- issuerSuper Micro Computer, Inc.
Reports Q4 and full FY2026 financial results and issues Q1 FY2027 and FY2027 guidance in the 8-K.
- risk factorBoard independent review (export-control issues)
The company discloses an independent review of certain transactions connected to export-control issues, which could affect forecasts and prior period results.
