Marvell hits record $2.739 billion revenue as AI-driven data center demand soars

Marvell Technology (MRVL) — Q2 FY 2027
Revenue: $2.739 billion, a new record, grew by 37% year-on-year
Net income: $308.0 million
EPS: $0.33 GAAP diluted income per share; $0.94 non-GAAP diluted income per share
Guidance: Net revenue is expected to be $3.150 billion +/- 5%. GAAP gross margin is expected to be 52.9% to 53.9%. Non-GAAP gross margin is expected to be 57.5% to 58.5%. GAAP operating expenses are expected to be approximately $1.015 billion. Non-GAAP operating expenses are expected to be approximately $655 million. GAAP diluted net income per share is expected to be $0.53 +/- $0.05 per share. Non-GAAP diluted net income per share is expected to be $1.10 +/- $0.05 per share.
Q2 Gross Margin: 53.1% GAAP gross margin; 58.9% non-GAAP gross margin
Non-GAAP net income: $865.9 million
Cash flow from operations: $605.5 million
Data Center revenue growth: 46% year over year

Marvell Technology posted a record-breaking $2.739 billion in revenue for fiscal Q2 2027, representing a 37% year-on-year increase and beating the mid-point of its own internal guidance. The results were fueled by a massive pivot toward AI infrastructure, with data center revenue growth accelerating to 46% year-over-year. The company reported non-GAAP net income of $865.9 million, or $0.94, narrowly clearing Street expectations of $0.93, while GAAP net income stood at $308.0 million.

Building on the robust AI bookings, Marvell raised its revenue outlook for both fiscal 2027 and fiscal 2028. For the upcoming third quarter, the company expects net revenue of $3.150 billion +/- 5%. Other financial projections for Q3 include:

• GAAP gross margin: 52.9% to 53.9%
• Non-GAAP gross margin: 57.5% to 58.5%
• Non-GAAP diluted net income per share: $1.10 +/- $0.05
• GAAP diluted net income per share: $0.53 +/- $0.05

The core of the beat lies in Marvell’s deep integration into the hyperscaler AI architecture stack. Data center revenue now accounts for $2.171.5 million, or 79% of the total line. Management CEO Matt Murphy noted a significant acceleration in the custom ASIC business starting in the second half of the fiscal year, supported by high-bandwidth demand for 800G PAM4 and the fast-ramping 1.6T scale-out market. Optical interconnects remain a primary growth driver as hyperscalers scale up switching to handle the massive requirements of AI-oriented clusters.

Investors will now turn their attention to Marvell’s Investor Day on October 6th, 2026, where the company is expected to provide more detail on its long-term strategy for AI infrastructure and custom XPU-attach programs.