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Apr 27, 2024

Credo Q4 2024 Earnings Report

Credo reported an 89.4% year-over-year revenue increase, reaching $60.8 million, with GAAP gross margin at 65.8% and non-GAAP gross margin at 66.1%.

Key Takeaways

Credo Technology Group Holding Ltd reported strong Q4 results, driven by AI deployments, with revenue reaching $60.8 million, an 89.4% increase year-over-year. The company achieved a GAAP gross margin of 65.8% and a non-GAAP gross margin of 66.1%. GAAP net loss was $10.5 million, while non-GAAP net income was $11.8 million.

Revenue grew by 89.4% year over year, reaching $60.8 million.

GAAP gross margin was 65.8%, and non-GAAP gross margin was 66.1%.

GAAP net loss was $10.5 million, while non-GAAP net income was $11.8 million.

Cash and short-term investment balance ended at $410.0 million.

Total Revenue
$60.8M
Previous year: $32.1M
+89.4%
EPS
$0.07
Previous year: -$0.04
-275.0%
GAAP gross margin
65.8%
Previous year: 57.9%
+13.6%
Non-GAAP gross margin
66.1%
Previous year: 58.2%
+13.6%
Gross Profit
$40M
Previous year: $18.6M
+115.0%
Cash and Equivalents
$66.9M
Previous year: $109M
-38.3%
Free Cash Flow
$962K
Previous year: -$15.7M
-106.1%
Total Assets
$602M
Previous year: $397M
+51.5%

Credo

Credo

Credo Revenue by Segment

Credo Revenue by Geographic Location

Forward Guidance

Credo expects revenue between $58.0 million and $61.0 million for Q1 2025. GAAP gross margin is expected to be between 62.3% and 64.3%, while non-GAAP gross margin is expected to be between 63.0% and 65.0%. GAAP operating expenses are projected to be between $49.4 million and $51.4 million, and non-GAAP operating expenses are expected to be between $35.0 million and $37.0 million.

Positive Outlook

  • Revenue is expected to be between $58.0 million and $61.0 million.
  • GAAP gross margin is expected to be between 62.3% and 64.3%.
  • Non-GAAP gross margin is expected to be between 63.0% and 65.0%.

Challenges Ahead

  • GAAP operating expenses are expected to be between $49.4 million and $51.4 million.
  • Non-GAAP operating expenses are expected to be between $35.0 million and $37.0 million.

Revenue & Expenses

Visualization of income flow from segment revenue to net income