Super Micro Computer, Inc. Q3 FY2021 Earnings Call

· Earnings call transcript and AI-powered summary

Overall Performance

  • Q3 FY2021 revenue was $896M, up 16% year-over-year and up 8% sequentially from Q2 FY2021.
  • This was the first time the company’s seasonally weak March quarter exceeded its December quarter.
  • Non-GAAP EPS was $0.50, above the midpoint of guidance ($0.37–$0.57), though down from $0.63 in Q2 and $0.84 in Q3 last year.
  • Asia-Pacific delivered record revenue, up 29% year-over-year and 28% quarter-over-quarter.
  • The company emphasized strong traction in next-generation server platforms using Intel Ice Lake, AMD Milan, and Nvidia A100 GPUs.

Business & Strategic Developments

  • System revenue accounted for 77% of total revenue; both shipment volumes and ASPs grew year-over-year and sequentially.
  • Super Micro positioned itself as the fastest-growing U.S.-based server/storage manufacturer based on historical industry benchmarks.
  • Strong customer adoption in AI, cloud, telco/5G, HPC, and enterprise segments.
  • Notable win: liquid-cooled HPC system deployment at Osaka University.
  • Early sampling and JumpStart programs accelerating new platform adoption.

Manufacturing, Supply Chain & Capacity Expansion

  • Company highlighted ongoing supply chain tightness, higher freight costs, and component shortages.

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Operator: Good day, thank you for standing by. Welcome to the Super Micro Fiscal Q3 2021 Earnings Call. At this time, all participants are in a listen-only mode. Later, we will conduct a question-and-answer session, and instructions will follow at that time. [Operator Instructions] I would now like to turn the conference over to your host, Ms. Nicole Noutsios, Investor Relations. Nicole Noutsios: Good afternoon and thank you for attending Super Micro's call to discuss financial results for the third quarter of fiscal 2021 which ended March 31, 2021. By now you should have received a copy of the news release from the company that was distributed at the close of regular trading and is available on the company's website. As a reminder, during today's call, the company may refer to a presentation that is available to participants in the IR section of the company's website under Events and Presentations tab. We have also published management scripted commentary on our website. Please note, that some of the information you hear during the discussion today will consist of forward-looking statements including without limitation those regarding revenue, gross margin, operating expenses, other income and expenses, taxes, capital allocation and future business outlook, including the potential impact of COVID-19, to the company's business and results of operations. There are a number of risk factors that could cause Super Micro's future results to differ materially from our expectations.

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