Super Micro Computer (SMCI) Q3 2025 Earnings
How Did SMCI Stock React to Q3 2025 Earnings?
S&P 500 over the same 30 days: +6.87%.
Did SMCI Beat Earnings? Q3 2025 Results
Yes. Super Micro Computer reported Q3 2025 earnings of $0.31 a share on May 6, 2025, beating the $0.30 consensus estimate by 3.8%. Revenue was $4.6B against a $5.1B estimate.
Super Micro Computer delivered a bruising fiscal third quarter, posting non-GAAP diluted EPS of $0.31 on revenue of $4.60 billion, falling well short of Wall Street expectations as customer hesitation over AI platform decisions created a pronounced demand gap. The results marked a 19% sequential revenue decline from $5.68 billion in Q2 FY2025, and while year-over-year sales grew 19.5% from $3.85 billion, profitability deteriorated sharply, with GAAP gross margin collapsing to 9.6% from 15.5% a year ago. CEO Charles Liang pointed to customers delaying platform commitments amid the transition between GPU generations as the primary culprit, a dynamic he expects to unwind in the June and September quarters. Compounding the pressure, the company acknowledged that economic uncertainty and tariff impacts could create near-term headwinds, prompting a second consecutive cut to full-year FY2025 revenue guidance, now set at $21.80 billion to $22.60 billion. For Q4 FY2025, Supermicro guided net sales of $5.60 billion to $6.40 billion and non-GAAP EPS of $0.40 to $0.50.
- 19.5% year-over-year revenue growth driven by AI infrastructure demand
- Customer platform decision delays negatively impacted sequential revenue
- Gross margin compression to 9.6% from 15.5% year-over-year
- Strong operating cash flow of $627 million in Q3
- Loss on extinguishment of convertible notes of $30.3 million
“We continue to make great progress with our DCBBS (Data Center Building Block Solution), DLC (Direct Liquid Cooled-2) and AI technology leadership, but some customers delayed making platform decisions in the quarter.”
Super Micro Computer CEO, on the earnings call
What Was Super Micro Computer's Outlook in Q3 2025?
For fiscal Q4 2025 (ending June 30, 2025), Supermicro expects net sales of $5.6 billion to $6.4 billion, GAAP diluted EPS of $0.30 to $0.40, and non-GAAP diluted EPS of $0.40 to $0.50, assuming tax rates of approximately 14.9% (GAAP) and 16.5% (non-GAAP) and fully diluted share counts of 628 million (GAAP) and 642 million (non-GAAP). For full fiscal year 2025, the company lowered its revenue guidance from $23.5–$25.0 billion to $21.8–$22.6 billion. Management expects deferred customer commitments to land in the June and September quarters but cautioned that economic uncertainty and tariff impacts may have a short-term effect.
SMCI YoY Financials
Figures from SEC filings and company reports. Not investment advice.