Credo Technology Group Holding Ltd
NASDAQ:CRDO

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Credo Technology Group Holding Ltd
NASDAQ:CRDO
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Price: 136.76 USD -2.48% Market Closed
Market Cap: 24.7B USD

Credo Technology Group Holding Ltd
Investor Relations

Deep within the intricate web of the semiconductor industry, Credo Technology Group Holding Ltd. stands as an innovative player, recognized for its pioneering approach to high-speed connectivity solutions. Founded with the vision of transforming data transfer efficiency, Credo has carved a niche by capitalizing on the relentless demand for faster, reliable, and cost-effective data communication across data centers, high-performance computing, and emerging wireless networks. In essence, the company designs and sells application-specific integrated circuits (ASICs) and associated hardware that enable rapid movement of data across network infrastructures. These products leverage advanced signal integrity to enhance internet speed and performance, which is critical not just for commercial tech giants, but also for the everyday functionality of cloud services, streaming, and digital communication.

Credo's monetization strategy is deeply embedded in its ability to innovate and scale its high-speed connectivity solutions for a variety of enterprises and service providers. A significant portion of its revenue stems from direct product sales, where the company leverages its proprietary SerDes (Serializer/Deserializer) technology—critical components that convert data for high-speed transfer over digital interfaces. Alongside hardware sales, the company also earns through licensing its technology and intellectual property to other device manufacturers, thus enabling them to integrate Credo's high-speed capabilities into their own product offerings. By maintaining a robust pipeline of cutting-edge technologies, Credo continues to strengthen its foothold in the competitive tech landscape, ensuring a steady stream of income while promoting digital advancements globally.

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Last Earnings Call
Fiscal Period
Q2 2026
Call Date
Dec 1, 2025
AI Summary
Q2 2026

Record Revenue: Credo reported record Q2 revenue of $268 million, up 20% sequentially and a massive 272% year-over-year, significantly above guidance.

Profitability: Non-GAAP net income reached $127.8 million, up 30% sequentially, with non-GAAP gross margin at 67.7% and operating margin at 46.3%.

Strong Guidance: Q3 revenue is expected between $335 million and $345 million (up 27% QoQ at midpoint), with gross margin guided to 64–66%.

Customer Growth: Four hyperscalers each contributed over 10% of revenue, with a fifth beginning to ramp; customer diversification continues to improve.

New Growth Pillars: Three new products—ZeroFlap optics, Active LED Cables (ALCs), and OmniConnect gearboxes—expand Credo’s addressable market and are positioned as future growth drivers.

Market Leadership: CEO highlighted Credo’s unique technology, reliability focus, and deep customer relationships as key differentiators amid rising demand tied to AI infrastructure buildouts.

Gross Margin Outlook: Management reiterated long-term gross margin expectations in the 63–65% range, with current margins at the high end but likely to moderate as new products ramp.

Key Financials
Revenue
$268 million
Product Revenue
$261.3 million
Gross Margin
67.7%
Product Gross Margin
66.8%
Operating Expenses
$57.3 million
Operating Income
$124.1 million
Operating Margin
46.3%
Net Income
$127.8 million
Net Margin
47.7%
Cash Flow from Operations
$61.7 million
Free Cash Flow
$38.5 million
CapEx
$23.2 million
Cash and Equivalents
$813.6 million
Inventory
$150.2 million
Diluted Weighted Average Share Count
approximately 194 million shares
Other Earnings Calls

Management

Mr. William J. Brennan
President, CEO & Director
No Bio Available
Mr. Chi Fung Cheng
Co-founder, CTO & Director
No Bio Available
Mr. Yat Tung Lam
Co-founder, COO & Director
No Bio Available
Mr. Daniel Fleming
Chief Financial Officer
No Bio Available
Mr. Daniel J. O'Neil
Vice President of Corporate Development & Investor Relations
No Bio Available
Mr. Jim Laufman
Chief Legal Officer & Secretary
No Bio Available
Mr. Michael Girvan Lampe
Vice President of Worldwide Sales & Marketing
No Bio Available

Contacts

Address
George Town
Po Box 309, Ugland House
Contacts
+4086649329.0
credosemi.com