GSI Technology Q1 gross margin declines due to product mix
GSI Technology Q1 gross margin declines due to product mix
Overview
AI chipmaker's fiscal Q1 revenue was flat yr/yr at $6.3 mln
Gross margin declined to 53.4% from 58.1% a year ago due to product mix
Operating expenses rose on higher R&D for Plato chip, widening net loss to $4.8 mln
Outlook
Company expects Q2 fiscal 2027 net revenue between $5.7 mln and $6.5 mln
Company sees Q2 fiscal 2027 gross margin of approximately 53% to 55%
AI-assisted SDK release remains on track for September 2026
Result Drivers
PRODUCT MIX - Co said lower gross margin was primarily due to changes in product mix
R&D SPENDING - Higher research and development expenses were driven by external design services for the Plato processor and lower government funding offsets
PROOF-OF-CONCEPT PROJECTS - Co advanced key proof-of-concept programs, including completion of Sentinel lab phase and radiation testing for Gemini-II
Company press release: ID:nGNX54h30F
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q1 Revenue |
| $6.31 mln |
|
Q1 Operating Expenses |
| $8.75 mln |
|
Q1 Operating Income |
| -$5.39 mln |
|
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July 27 - Cadence Q2 adjusted EPS beats estimates, raises revenue, non-GAAP EPS outlook
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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)