Super Micro Computer Inc. reported fiscal third-quarter revenue that fell short of expectations, but the server maker raised its outlook for the year, sending shares higher in extended trading.
The company earned $6.65 per share, excluding items, on revenue of $3.85 billion. Analysts surveyed by Refinitiv had expected $5.78 per share on revenue of $3.95 billion.
Super Micro’s revenue jumped 200% year over year, compared with a 103% increase in the previous quarter. The company now expects fiscal 2024 revenue of $14.7 billion to $15.1 billion, up from a previous range of $14.3 billion to $14.7 billion.
CEO Charles Liang said in a statement that Super Micro is bumping up its fiscal 2024 revenue guidance to $14.7 billion to $15.1 billion from $14.3 billion to $14.7 billion. Analysts surveyed by LSEG had expected $14.60 billion.
Notwithstanding the after-hours move, Super Micro stock is up 205% so far this year, while the S&P 500 stock index has gained 6%. The company goes up against with legacy IT equipment providers such as Hewlett Packard Enterprise. But last year, investors were keen to bet that Super Micro could become a key provider of servers containing Nvidia graphics processing units for working with artificial intelligence models, pushing up the stock 246%.
Liang said in the statement that he expects Super Micro to keep taking market share. In March, Super Micro took the place of Whirlpool in the S&P 500.
Executives will discuss the results with analysts on a conference call starting at 5 p.m. ET.
