May 5 (Reuters) – Super Micro Computer on Tuesday forecast fourth-quarter revenue and adjusted profit above Wall Street estimates, banking on robust demand for its artificial intelligence servers, sending shares up 17% in extended trading.
The server maker has been a primary beneficiary of the AI boom, with its ability to quickly build and ship customized, high-performance servers making it a preferred vendor for data center operators and AI startups.
“With the addition of our new U.S. manufacturing facilities in Silicon Valley, we are exceptionally well-positioned to meet the massive demand for various AI and enterprise verticals,” CEO Charles Liang said in a statement.
The company projected fourth-quarter revenue in the range of $11 billion to $12.5 billion, compared with analysts’ average estimate of $11.07 billion, according to data compiled by LSEG.
Super Micro expects adjusted profit per share in the range of 65 cents to 79 cents for the fourth quarter, above expectations of 55 cents apiece.
The forecast comes as combined AI outlays from Big Tech giants Alphabet, Amazon, Microsoft and Meta Platforms are now projected to top $700 billion this year.
Demand has been strong for Super Micro’s server racks optimized for Nvidia‘s AI processors. The company’s close relationship with the AI chip bellwether has allowed it to get early access to new chips.
For the third quarter ended March 31, Super Micro posted revenue of $10.24 billion, a jump of over 122% from the same period last year, but below estimates of $12.33 billion.
(Reporting by Juby Babu in Mexico City; Editing by Sahal Muhammed)
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