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Aug 03, 2024

Credo Q1 2025 Earnings Report

Reported revenue growth driven by AI infrastructure deployments.

Key Takeaways

Credo Technology Group reported a strong first quarter for fiscal year 2025, with revenue reaching $59.7 million, a 70% increase year-over-year. The company's growth was primarily driven by record product revenues of $57.3 million, fueled by customer AI infrastructure deployments. GAAP net loss was $(9.5) million, while non-GAAP net income was $7.0 million.

Revenue reached $59.7 million, a 70% increase year-over-year.

Product revenues hit a record $57.3 million, up 30% from the previous quarter.

GAAP gross margin was 62.4%, and non-GAAP gross margin was 62.9%.

GAAP net loss was $(9.5) million, while non-GAAP net income was $7.0 million.

Total Revenue
$59.7M
Previous year: $35.1M
+70.1%
EPS
$0.04
Previous year: -$0.03
-233.3%
GAAP gross margin
62.4%
Previous year: 59.2%
+5.4%
Non-GAAP gross margin
62.9%
Previous year: 59.8%
+5.2%
Gross Profit
$37.3M
Previous year: $20.8M
+79.3%
Cash and Equivalents
$104M
Previous year: $127M
-18.2%
Free Cash Flow
-$13.1M
Previous year: $19.3M
-167.9%
Total Assets
$645M
Previous year: $396M
+63.0%

Credo

Credo

Credo Revenue by Segment

Credo Revenue by Geographic Location

Forward Guidance

Credo expects revenue to be between $65.0 million and $68.0 million for the second quarter of fiscal year 2025. GAAP gross margin is expected to be between 61.3% and 63.3%, and non-GAAP gross margin is expected to be between 62.0% and 64.0%. GAAP operating expenses are expected to be between $51.3 million and $53.3 million, and non-GAAP operating expenses are expected to be between $36.0 million and $38.0 million.

Positive Outlook

  • Revenue is expected to be between $65.0 million and $68.0 million
  • GAAP gross margin is expected to be between 61.3% and 63.3%
  • Non-GAAP gross margin is expected to be between 62.0% and 64.0%
  • GAAP operating expenses are expected to be between $51.3 million and $53.3 million
  • Non-GAAP operating expenses are expected to be between $36.0 million and $38.0 million

Revenue & Expenses

Visualization of income flow from segment revenue to net income