Credo Technology Group reported record fourth-quarter and fiscal year 2026 results, underscoring the continued strength of AI infrastructure spending and high-speed connectivity demand. The company generated $437.0 million in revenue for the quarter ended May 2, 2026, up 7.4% sequentially and 157% year-over-year. For the full fiscal year, revenue exceeded $1.3 billion, more than tripling from the prior year.
The strong growth translated into significant profitability gains. Credo reported fourth-quarter GAAP net income of $169.1 million, or $0.88 per diluted share, while non-GAAP net income reached $226.7 million, or $1.16 per diluted share. Gross margins remained robust at 68.2% on a GAAP basis and 68.3% on a non-GAAP basis. The company ended the quarter with approximately $1.4 billion in cash and short-term investments, providing substantial financial flexibility as it expands its portfolio of connectivity solutions for AI clusters and hyperscale data centers.
Looking ahead, Credo expects first-quarter fiscal 2027 revenue between $465 million and $475 million, representing continued sequential growth. The company said its vertically integrated approach is helping customers accelerate AI cluster deployments, improve GPU utilization, increase network reliability, and reduce infrastructure power consumption and operating costs. Demand for high-speed interconnect technologies, including active electrical cables (AECs), retimers, DSPs, and optical connectivity solutions, continues to benefit from the rapid build-out of large-scale AI infrastructure.
- Q4 FY2026 revenue: $437.0 million, up 157.0% year-over-year
- Full-year FY2026 revenue: More than $1.3 billion
- Q4 GAAP gross margin: 68.2%
- Q4 non-GAAP gross margin: 68.3%
- Q4 GAAP net income: $169.1 million
- Q4 non-GAAP net income: $226.7 million
- Cash and short-term investments: $1.4 billion
- Q1 FY2027 revenue outlook: $465 million to $475 million
- Q1 FY2027 non-GAAP gross margin outlook: 67.0% to 69.0%
Bill Brennan, Credo’s President and CEO, said: “Fiscal 2026 marked another defining year for Credo. For the year, revenue more than tripled to $1.3 billion, and non-GAAP net income increased more than five times to $662 million. As we enter into fiscal 2027, Credo expects to achieve continued strong financial performance with our innovative and vertically integrated approach that enables customers to accelerate cluster time-to-stability, maximize GPU utilization, improve network reliability, and reduce overall infrastructure power and operating costs.”
🌐 Analysis: Credo has emerged as one of the strongest beneficiaries of the AI infrastructure investment cycle. The company’s portfolio of high-speed connectivity components sits directly in the data path between GPUs, switches, and storage systems, making it a key supplier for AI clusters that increasingly rely on 800G and future 1.6T interconnects. The combination of strong revenue growth, sustained margins, and rising profitability suggests that hyperscale and AI-focused customers continue to expand deployments at an aggressive pace.
