Marvell Technology: Fiscal 1Q27 Financial Results

Summary:

• Q1 net revenue: $2.418 billion, a new record, grew by 28% YoY
• Q1 gross margin: 52.1% GAAP gross margin; 58.9% non-GAAP gross margin
• Q1 diluted income per share: $0.04 GAAP diluted income per share; $0.80 non-GAAP diluted income per share

Marvell Technology, Inc., a reference in data infrastructure semiconductor solutions, today reported financial results for the first quarter of fiscal year 2027.Net revenue for the first quarter of fiscal 2027 was $2.418 billion, $18.0 million above the mid-point of the company’s guidance provided on March 5, 2026.

GAAP net income for the first quarter of fiscal 2027 was $34.5 million, or $0.04 per diluted share. Non-GAAP net income for the first quarter of fiscal 2027 was $718.0 million, or $0.80 per diluted share. Cash flow from operations for the first quarter was $638.8 million, a record high.

The company completed the acquisition of Celestial AI, Inc. on February 2, 2026 and the acquisition of XConn Technologies Holdings, Ltd. on February 10, 2026. Marvell’s financial results include the results of Celestial and XConn for the period from the dates of acquisition through the first quarter of fiscal 2027.

“Marvell delivered record first-quarter fiscal 2027 revenue of $2.418 billion, up 28% year-over-year, and guided second-quarter revenue to $2.7 billion at the mid-point, representing 35% year-over-year growth. We expect revenue growth to continue accelerating each quarter throughout fiscal 2027, driven by continued strength in our data center business,” said Matt Murphy, chairman and CEO, Marvell. “We are seeing exceptional AI-related bookings, and as a result, we are significantly raising Marvell’s revenue outlook for both fiscal 2027 and fiscal 2028 compared with the guidance we provided last quarter. This improved outlook is being driven by strong demand across a broad set of Marvell solutions, including 800G and 1.6T scale-out optics, 51.2T Ethernet scale-out switches, scale-up optical solutions for NPO and CPO applications, scale-across datacenter interconnect modules, and custom XPU and XPU-attach solutions.”

Second Quarter of Fiscal 2027 Financial Outlook

• Net revenue is expected to be $2.700 billion +/- 5%
• GAAP gross margin is expected to be 52.1% to 53.1%
• Non-GAAP gross margin is expected to be 58.25% to 59.25%
• GAAP operating expenses are expected to be approximately $960 million
• Non-GAAP operating expenses are expected to be approximately $600 million
• Basic weighted-average shares outstanding are expected to be 899 million
• Diluted weighted-average shares outstanding are expected to be 915 million
• GAAP diluted net income per share is expected to be $0.37 +/- $0.05 per share
• Non-GAAP diluted net income per share is expected to be $0.93 +/- $0.05 per share

GAAP diluted EPS is calculated using basic weighted-average shares outstanding when there is a GAAP net loss, and calculated using diluted weighted-average shares outstanding when there is a GAAP net income. Non-GAAP diluted EPS is calculated using diluted weighted-average shares outstanding. The company calculated EPS under the two-class method as a result of the issuance of the Series A Convertiblc preferred stock on March 31, 2026.