Marvell Technology Q2 2027: Data Center Surge Powers Record Revenue
As seen on the 24/7 Wall St. homepage on August 27, 2026.
Management raised its revenue outlook for both fiscal 2027 and fiscal 2028, guiding next quarter to $3.15 billion as data center revenue jumped 46% year over year and now makes up 79% of the business. An expanded custom silicon deal with Google, including a warrant for up to 7% of shares tied to revenue milestones, ties the AI infrastructure story to a hyperscaler for years.
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Marvell Technology posted record quarterly revenue of $2.739 billion in its fiscal second quarter of 2027, up 37% year over year and beating expectations. Adjusted non-GAAP earnings per share of $0.94 also came in ahead of estimates, extending a run of beats.
The engine behind the record is the Data Center segment, which grew 46% year over year and now represents 79% of total company revenue, up from 74% a year ago. The mix is shifting meaningfully toward the highest-growth part of the business with each passing quarter.
Non-GAAP operating margin expanded to 36.6%, even as the company absorbed higher capital expenditures. Operating cash flow stayed positive and the company repurchased common stock during the quarter, demonstrating confidence in the balance sheet while the AI buildout accelerates.
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Management guided Q3 revenue to $3.15 billion and raised its revenue outlook for both fiscal 2027 and fiscal 2028. CEO Matt Murphy said AI-related bookings remain exceptionally robust and that revenue growth is expected to accelerate further through the remainder of fiscal 2027.
A newly expanded custom silicon partnership with Google adds a structural dimension to that outlook. Google received a warrant to acquire up to 7% of Marvell shares, tied to revenue milestones, locking in a hyperscaler relationship that gives the company a long-dated demand signal. An Investor Day on October 6, 2026 will detail the AI infrastructure strategy.
Mentioned: MRVL