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Super Micro Stumbles on Q1 Miss as AI Rack Shipments Slip to Next Quarter

Management attributes the shortfall to customer timing shifts, keeping its full-year revenue goal.

Overview

  • Fiscal Q1 2026 revenue came in at $5 billion, down 15% year over year and far below guidance of $6 billion to $7 billion.
  • Gross margin fell to 9.3% from 13.1% a year ago as net income dropped 60% and operating cash flow swung to a $918 million outflow with inventory up 22%.
  • The company reported record new orders of more than $13 billion as customers reconfigured large GPU racks that pushed shipments into the following quarter.
  • Shares fell roughly 20% from the October update yet remained up nearly 40% for the year at the time of the latest reporting.
  • Super Micro, a key supplier of Nvidia-centered AI server racks, faces renewed scrutiny over forecasting and margins following past accounting and disclosure issues.