Credo Technology Group (CRDO) Q1 2026 Earnings
How Did CRDO Stock React to Q1 2026 Earnings?
S&P 500 over the same 30 days: +3.46%.
Did CRDO Beat Earnings? Q1 2026 Results
Yes. Credo Technology Group reported Q1 2026 earnings of $0.52 a share on Sep 3, 2025, beating the $0.36 consensus estimate by 44.2%. Revenue was $223.1M against a $190.6M estimate.
Credo Technology Group delivered a blowout first fiscal quarter of 2026, posting non-GAAP earnings of $0.52 per diluted share against a consensus estimate of $0.36, a 44.20% beat, while revenue of $223.07 million cleared expectations by 17.02% and rocketed 273.6% year over year. <a href="https://247wallst.com/investing/2025/09/03/live-will-credo-soar-after-earnings-tonight/">Shares jumped on the results</a> as investors responded to deepening hyperscaler partnerships and surging demand for power-efficient, high-speed connectivity in AI-driven data centers, which drove product sales to $217.06 million and pushed GAAP gross margin to 67.4%, up sharply from 62.4% a year ago. The company also swung to GAAP net income of $63.40 million, compared to a loss of $9.54 million in the year-ago quarter. Analysts had already been revising estimates upward heading into the print, citing the company's positioning in AI infrastructure connectivity. Looking ahead, Credo guided second-quarter revenue to $230 million to $240 million, signaling continued sequential growth even as gross margin is expected to moderate slightly to a range of 64% to 66% on a non-GAAP basis.
- 274% year-over-year and 31% sequential revenue growth driven by hyperscaler partnerships
- Strong product sales revenue growth to $217.1 million from $57.3 million year over year
- GAAP gross margin expansion to 67.4% from 62.4% in the year-ago quarter
- Non-GAAP operating margin of 43.1%, up from 3.7% a year ago
“During the first quarter of fiscal 2026, Credo continued a strong growth trajectory. First quarter revenue increased 31% sequentially, and 274% year over year, to $223.1 million. The Company's growth has been driven by deep, strategic partnerships with hyperscalers and key customers. Given increasing market demand for reliable and power-efficient connectivity solutions, we expect continued revenue growth and diversification in terms of customers, protocols and applications.”
Credo Technology Group CEO, on the earnings call
What Was Credo Technology Group's Outlook in Q1 2026?
For Q2 FY2026 (three months ending November 1, 2025), Credo expects revenue between $230.0 million and $240.0 million, representing continued sequential growth. GAAP gross margin is expected between 63.5% and 65.5%, with non-GAAP gross margin between 64.0% and 66.0%. GAAP operating expenses are expected between $96.0 million and $98.0 million, and non-GAAP operating expenses between $56.0 million and $58.0 million. Management expects continued revenue growth and diversification across customers, protocols, and applications given increasing market demand.
CRDO YoY Financials
| Metric | Q1 2026 | Q1 2025 | Year over year |
|---|---|---|---|
| Revenue | $223.1M | $59.7M | +273.6% |
| Gross Profit | $150.4M | $37.3M | +303.3% |
| Operating Income | $60.7M | $9.8M | +520.3% |
| Net Income | $63.4M | $7.3M | +764.6% |
CRDO Revenue by Segment
Figures from SEC filings and company reports. Not investment advice.