Ultra-microcomputer releases preliminary business data; first-quarter revenue forecast far exceeds analysts' expectations, indicating that the boom in AI infrastructure investment continues to heat up.
UltraMicro released an update on its preliminary financial results for the first quarter of fiscal year 2027 on Tuesday, with revenue expected to range from $18.5 billion to $19.5 billion, significantly higher than the previous guidance of $14 billion to $15.5 billion. The company stated that the growth was mainly driven by increasing demand for the AI platform.
According to data from Reuters ( LSEG ), analysts previously had an average forecast of $15.23 billion. Based on the median of the company's current forecast range, this is about 27% higher than the market consensus forecast.
The company has scheduled a financial quarter earnings conference call for 5 p.m. Eastern Time on November 3rd. Following the announcement, UltraMicro Computer's shares rose by 11% after the market closed.
Revenue far exceeds expectations, AI demand becomes the core driving force
The ultra-microcomputer attributed the main reason for exceeding revenue expectations this quarter to a significant increase in demand for the AI platform.
For the fiscal quarter ending September 30, 2026, the company's revenue median was approximately $19 billion, which is about $3.75 billion higher than the previous guidance median, representing a growth of about 25%.
This performance indicates that large technology companies and cloud computing customers continue to maintain a relatively fast growth in capital expenditures on AI data center infrastructure, and ultra-microcomputers, as important suppliers of AI servers, benefit directly from this.
In addition to revenue, the gross margin also exceeded the company's previous expectations. The preliminary gross margin is estimated to be between 12.0% and 12.5%, which is about 1.7 percentage points higher than the previous guidance upper limit. UltraMicro Computer attributes this to structural changes in its customer base and product portfolio.
The improvement in gross margin has alleviated market concerns regarding its profitability to some extent, but overall, a gross margin of around 12% is still considered relatively low in the server industry. The future trend of profit margins remains worthy of attention.
The ultramicrocomputer emphasized in its statement that the aforementioned financial data are unaudited preliminary estimates, based on the current judgment of management, and that the final figures may be adjusted after the completion of the financial closing procedures.
Investors should note that the actual financial statements will be submitted to the U.S. Securities and Exchange Commission (SEC) along with the complete quarterly report following the teleconference on November 3rd. At that time, there may still be substantial discrepancies in the data.
