Super Micro Computer (NASDAQ:SMCI) shares dropped 2% during early trading Thursday after its first-quarter preliminary sales results came in dramatically less than the market anticipated.
The San Jose, California-based company reported its first quarter fiscal 2026 revenue to be $5B compared to the consensus estimate calling for $6.48B. The company said the discrepancy was due to design win upgrades pushing some of its expected Q1 revenue out to Q2. It said its recent design wins are more than $12B, with delivery starting in the second quarter of fiscal 2026.
Super Micro said it will provide additional information on the updates during its earnings call on November 4 at 5 PM EST.
“Supermicro is seeing outstanding levels of customer engagements for newly released AI liquid cooled solutions along with numerous key customers ramping large, multi-quarter, volume deployments,” said Super Micro CEO Charles Liang. “We see customer demand accelerating, and we are gaining AI share, reiterating revenue of at least $33B for FY 2026 with the expectation of delivering more.”
The company highlighted strong demand for Supermicro Nvidia (NVDA) GB300, B300, RTX Pro and AMD (AMD) 355X LC, with these now starting to ship.