Credo Technology Group Holding Ltd

Record Q1 momentum (strong fundamentals): Revenue hit a record $479M, +10% sequentially and +115% YoY; Credo delivered non-GAAP gross margin of 68% and non-GAAP net income of $236.3M (+140% YoY). Non-GAAP operating margin was 48.2%; operating expenses were elevated due to heavy R&D (up 16% sequentially). Note: Cash from operations fell $92M sequentially mainly from working-capital changes.

Q2 fiscal 2027 guidance (clearly stated ranges): Management expects revenue $525M–$535M (midpoint just above guidance high end was achieved in Q1), non-GAAP gross margin 67%–69%, non-GAAP operating expenses $100M–$105M, and diluted weighted-average shares ~200M. Outlook is stated to be sensitive to a “tariff regime” that remains fluid.

Big picture forecast / inflection thesis (optics as primary driver): Credo expects a second-half inflection driven by >$600M optical revenue in fiscal 27, with zero-flap optics, silicon-photonics PICs, and optical DSPs each contributing >$100M and optics comprising the majority of the growth step-up. For full-year, management expects >85% YoY total revenue growth in fiscal 27, with FY27 non-GAAP gross margin broadly consistent with FY26 and non-GAAP operating expenses up ~55% YoY (but still below revenue growth rate), leading to non-GAAP net margin ~50%.