Super Micro Computer’s shares plummeted 18% after posting weaker-than-expected fiscal fourth quarter results. The company cited a June revenue shortfall due to lack of working capital and “specification changes from a major new customer” as reasons for the decline. Despite efforts to mitigate the impact of President Donald Trump’s tariffs, Super Micro still reported lower earnings per share than expected.
CEO Charles Liang said the company is taking steps to reduce the tariff impact, but acknowledged the situation is dynamic and subject to change. CFO David Weigand warned that any updates on the tariff environment will be closely watched. The company has struggled to capitalize on demand for AI servers, which was a key driver of growth in recent years.
Super Micro provided disappointing guidance for the first quarter, falling short of consensus estimates. The company now expects 40 cents to 52 cents in adjusted earnings per share and $6 billion to $7 billion in revenue, compared to projected 59 cents per share and $6.6 billion in revenue. For the full year, Super Micro forecasts at least $33 billion in revenue.
The decline in shares has raised concerns about the company’s ability to recover from recent setbacks. Despite efforts to adapt to changing market conditions, Super Micro still faces challenges in capitalizing on emerging trends like AI servers.
Source: https://www.cnbc.com/2025/08/06/super-micro-smci-stock-earnings.html