European Investor
02 Dec 2025, 16:50
Credo Technology Group Holding Ltd (Nasdaq: CRDO) reported record financial results for the second quarter of fiscal year 2026, with revenue surging to $268.0 million, up 20% sequentially and 272% year over year. GAAP gross margin reached 67.5%, while non-GAAP gross margin was 67.7%. The company posted GAAP net income of $82.6 million and non-GAAP net income of $127.8 million, translating to GAAP diluted EPS of $0.44 and non-GAAP diluted EPS of $0.67. Credo ended the quarter with $813.6 million in cash and short-term investments.
CEO Bill Brennan said the results mark the strongest quarter in the company’s history, driven by continued expansion of large-scale AI training and inference clusters. He highlighted expected growth from core AEC and IC product lines, along with upcoming ramps of ZeroFlap Optics, ALCs, and OmniConnect gearbox solutions.
For the third quarter of fiscal 2026, Credo expects revenue between $335 million and $345 million, GAAP gross margin of 63.8%–65.8%, non-GAAP gross margin of 64.0%–66.0%, GAAP operating expenses of $116–$120 million, and non-GAAP operating expenses of $68–$72 million.
CEO Bill Brennan said the results mark the strongest quarter in the company’s history, driven by continued expansion of large-scale AI training and inference clusters. He highlighted expected growth from core AEC and IC product lines, along with upcoming ramps of ZeroFlap Optics, ALCs, and OmniConnect gearbox solutions.
For the third quarter of fiscal 2026, Credo expects revenue between $335 million and $345 million, GAAP gross margin of 63.8%–65.8%, non-GAAP gross margin of 64.0%–66.0%, GAAP operating expenses of $116–$120 million, and non-GAAP operating expenses of $68–$72 million.
