Marvell Q2 revenue beat on data center jump overshadowed by soft quarterly gross margin forecast
MRVL•Drivers of the quarter
CEO Matt Murphy said continued strong demand across Marvell's Data Center portfolio drove Q2 results.
The company said AI-related bookings remain exceptionally robust and contributed to revenue growth.
Marvell also cited strong demand in Connectivity and significant acceleration in its Custom business as growth drivers.
Outlook and margin forecast
Marvell expects third-quarter net revenue of $3.15 billion, plus or minus 5%.
The company said third-quarter non-GAAP gross margin is expected to be 57.5% to 58.5%, below the 58.9% reported in Q2.
Marvell also expects third-quarter non-GAAP diluted EPS of $1.10, plus or minus $0.05.
Quarterly results and revenue beat
Marvell's fiscal second-quarter revenue rose 37% year over year, beating analyst expectations, as the US data infrastructure chipmaker benefited from stronger data center demand.
Adjusted earnings per share for fiscal Q2 also beat analyst expectations.
Revenue outlook raised for fiscal 2027 and 2028
The company raised its revenue outlook for fiscal 2027 and fiscal 2028, citing strong AI-related demand.
