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Nov 02, 2024

Marvell Q3 2025 Earnings Report

Reported financial results for the third quarter of fiscal year 2025, with revenue above guidance and driven by strong AI demand.

Key Takeaways

Marvell Technology reported Q3 2025 net revenue of $1.516 billion, a 7% increase year-over-year, driven by strong demand from AI. GAAP net loss was $(676.3) million, or $(0.78) per diluted share, while non-GAAP net income was $373.0 million, or $0.43 per diluted share. The company forecasts continued growth in Q4, driven by custom AI silicon programs and cloud interconnect products.

Net revenue for Q3 2025 was $1.516 billion, exceeding the company's guidance.

GAAP net loss was $(676.3) million, or $(0.78) per diluted share.

Non-GAAP net income was $373.0 million, or $0.43 per diluted share.

Q4 revenue is projected to grow another 19% sequentially and 26% year-over-year.

Total Revenue
$1.52B
Previous year: $1.42B
+6.9%
EPS
$0.43
Previous year: $0.41
+4.9%
GAAP Gross Margin
23%
Previous year: 38.9%
-40.9%
Non-GAAP Gross Margin
60.5%
Previous year: 60.6%
-0.2%
Gross Profit
$349M
Previous year: $551M
-36.6%
Cash and Equivalents
$868M
Previous year: $726M
+19.6%
Free Cash Flow
$536M
Previous year: $503M
+6.6%
Total Assets
$19.7B
Previous year: $21.7B
-9.2%

Marvell

Marvell

Forward Guidance

Marvell expects Q4 2025 net revenue to be $1.800 billion +/- 5%. GAAP gross margin is expected to be approximately 50%, and non-GAAP gross margin is expected to be approximately 60%. GAAP diluted net income per share is expected to be $0.16 +/- $0.05, and non-GAAP diluted net income per share is expected to be $0.59 +/- $0.05.

Positive Outlook

  • Net revenue is expected to be $1.800 billion +/- 5%.
  • Non-GAAP gross margin is expected to be approximately 60%.
  • Non-GAAP diluted net income per share is expected to be $0.59 +/- $0.05.
  • Basic weighted-average shares outstanding are expected to be 867 million.
  • Diluted weighted-average shares outstanding are expected to be 877 million.

Challenges Ahead

  • GAAP gross margin is expected to be approximately 50%.
  • GAAP operating expenses are expected to be approximately $710 million.
  • Non-GAAP operating expenses are expected to be approximately $480 million.
  • GAAP diluted net income per share is expected to be $0.16 +/- $0.05 per share.
  • Restructuring related charges and other