Why did SMCI stock surge 20%?

The stock surged after preliminary Q4 results showed record gross margins and a $60 billion backlog, exceeding market expectations on profitability.

What was Super Micro's revenue in Q4?

Exact revenue has not been disclosed yet, but the company said it was near the low end of its guidance range.

What was Super Micro's gross margin in Q4?

Both GAAP and non-GAAP gross margins reached record highs, but exact percentages have not been disclosed.

What is Super Micro's backlog?

The backlog reached $60 billion, reflecting record demand for AI infrastructure.

When will Super Micro release full results?

Full results are expected in the coming weeks, according to the preliminary statement.

Super Micro Computer Shares Surge 20% on Record Margins, $60B Backlog

Super Micro Computer (SMCI) shares surged 20% in after-hours trading on Tuesday after preliminary Q4 results revealed record gross margins and a $60 billion backlog, signaling strong AI infrastructure demand despite revenue coming in at the low end of expectations.

Super Micro Computer (NASDAQ:SMCI) released preliminary fourth-quarter fiscal 2025 results on Tuesday, sending its shares up 20% in after-hours trading. The update showed record-breaking demand for AI infrastructure and a massive leap in profitability, even though revenue was near the lower end of its expected range.

Key Financial Metrics

Metric	Value
Revenue	Near low end of guidance (exact figure not yet disclosed)
GAAP Gross Margin	Record high (exact percentage not disclosed)
Non-GAAP Gross Margin	Record high (exact percentage not disclosed)
Backlog	$60 billion

Highlights from the Statement

The company noted that demand for AI solutions exceeded expectations, leading to a massive increase in backlog to $60 billion. Gross margins improved significantly, resetting the market's profitability narrative for Supermicro.

Future Guidance

No formal guidance for the next quarter was provided. Full results are expected in the coming weeks.

Impact on the Stock

The stock surged 20% in after-hours trading, reflecting investor optimism about improved profitability despite relatively disappointing revenue.

What This Means for Investors

The preliminary results show that Supermicro is strongly benefiting from rising AI infrastructure demand, with notable margin improvement. However, investors should wait for full results and future guidance for a more comprehensive assessment.