Super Micro Computer announced Tuesday it now expects gross margin and adjusted gross margin between 15% and 17% for the June quarter, up from the 8.2% to 8.4% range management provided in May. The revision is primarily due to a favorable customer and product mix, the server maker said in a preliminary business update. Shares of Super Micro surged 15% following the announcement, which also disclosed over $60 billion in new orders received during the fiscal fourth quarter. The margin upgrade comes amid surging demand for servers containing Nvidia graphics processing units that run artificial intelligence models, benefiting Super Micro and rivals Dell and Hewlett Packard Enterprise.
Super Micro Revises Margin Guidance Upward
Super Micro said its gross margin and adjusted gross margin should come in between 15% and 17% for the June quarter, a step up from the range of 8.2% to 8.4% that management provided in May. The company attributed the revision to a favorable customer and product mix in its preliminary business update.
CEO References SpaceX and XAI Datacenter Project
In June, Super Micro CEO Charles Liang wrote on X that he was "proud to co-build another new Gigawatt AI datacenter for @SpaceX and @XAI within a year." Elon Musk's SpaceX also controls the X social network. CEO Charles Liang spoke at the Raise summit in Paris on July 8, 2025.
Revenue Guidance and Record Order Backlog
For the June quarter, Super Micro now expects revenue to come in at the low end of its guidance range of $11.0 billion to $12.5 billion, according to Tuesday's statement. Analysts polled by LSEG were looking for $11.67 billion. Super Micro said its backlog hit record levels at the end of the 2026 fiscal year, which ended on June 30. The company had received over $60 billion in new orders in the fiscal fourth quarter. "These new orders are expected to be delivered over future quarters," the company said. Super Micro expects to hold an earnings call on Aug. 11.
Competitor Stocks Rally on AI Server Demand
Demand for servers containing Nvidia graphics processing units that run artificial intelligence models has been surging for Super Micro, as well as rivals Dell and Hewlett Packard Enterprise. Dell stock moved up 5% in extended trading after hours on Tuesday, while HPE gained 4%.
FAQ
What caused Super Micro's margin guidance increase for the June quarter?
Super Micro revised its gross margin and adjusted gross margin guidance to between 15% and 17% for the June quarter, up from the prior range of 8.2% to 8.4% provided in May. The company stated the revision is primarily due to a favorable customer and product mix.
How many new orders did Super Micro receive in the fiscal fourth quarter?
Super Micro received over $60 billion in new orders during the fiscal fourth quarter. The company said its backlog hit record levels at the end of the 2026 fiscal year, which ended on June 30, and these new orders are expected to be delivered over future quarters.
