Zhitong Financial APP learned that on the morning of December 2, Beijing time, the chip design company$Marvell Technology (MRVL.US)$Announced financial results for the third quarter of fiscal year 2023 ended October 29th. Financial data show that the company's overall performance fell short of market expectations and its outlook for the fourth quarter fell short of market expectations. After u.s. stock trading on Thursday, Maywell technology's shares fell more than 8% at one point after the earnings report, down 6.72% to $42.350 as of press time.
Maywell technology's third-quarter net revenue was $1.537 billion, up 27% from a year earlier, but below market expectations of $1.56 billion, according to earnings data. Under the Non-GAAP criterion, adjusted net income of Maywell Technology Q3 was $491.5 million, compared with $364.3 million a year earlier, while adjusted diluted earnings per share of Maywell Technology Q3 were 57 cents per share, below market expectations of 59 cents, compared with 43 cents a year earlier.
The company reported strong year-on-year growth in data centers, enterprise networks, operator infrastructure and segments mainly aimed at the enterprise end of the market, such as cars and industrial terminals, with the consumer business being the only segment that declined. Among them, the data center business Q3, which accounts for the highest revenue weight, saw revenue growth of 26% over the same period last year, while revenue from the second largest business, enterprise network business, increased by 52% year-on-year.
Under the Non-GAAP criterion, Maywell's Q3 gross profit was $984.3 million, compared with $788.4 million in the same period last year, and the Non-GAAP gross profit margin in the third quarter was 64%, compared with 65.1% in the same period last year.
Looking ahead, Maywell technology expects revenue for the fourth quarter to be about $1.4 billion, up or down 5%, below the market's consensus expectation of $1.61 billion, and lower demand from storage customers is responsible for the lower-than-expected revenue outlook. The company expects fourth-quarter Non-GAAP earnings per share to be 46 cents per share, fluctuating up and down by 0.05 cents, below consensus market expectations of 62 cents a share. The company also expects a gross margin of about 64 per cent under Non-GAAP guidelines, below market consensus of 65.1 per cent.
"in the third quarter of fiscal 2023, we achieved revenue of about $1.54 billion, a new record, driven by key growth drivers such as cloud computing, 5G and automobiles, as well as our enterprise network terminal market share and content revenue. Our revenue grew 27% year-on-year." Matt Murphy, president and CEO of Marvell, said.
"the reduction in inventory, in particular the reduced demand for inventory reserves of our storage customers, is affecting our recent performance and performance guidance, and we are working closely with them to manage their demand changes in an orderly manner. Clear the way to restore growth. Our design winning channels remain strong, our new cloud-optimized products are beginning to develop steadily, and we have the ability to successfully cope with the current environment and maintain confidence in long-term growth drivers. " Matt Murphy said in a press release.