Super Micro Computer, Inc.

Thank you for standing by. My name is Matt, and I'll be your conference operator today. At this time, I would like to welcome everyone to the Supermicro Computer Inc. Business Update Call. With us today are Charles Liang, Founder, President, and Chief Executive Officer, David Wiegand, CFO, and Michael Stager, Senior Vice President of Corporate Development. All lines have been placed on mute to prevent any background noise. After the speaker's remarks, there will be a question and answer session. If you'd like to ask a question, please press star 1 on your telephone keypad. Thank you.

Thank you, Matt. Good afternoon, and thank you for attending Supermicro's call to discuss financial results for the first quarter and full fiscal year 2026, which ended September 30th, 2025. With me today are Charles Liang, Founder Chairman, Chief Executive Officer, and David Wiegand, Chief Financial Officer. By now, you should have received a copy of the press release from the company that was distributed at the close of regular trading. is available on the company's website. As a reminder, during today's call, the company will refer to a presentation that is available to participants in the investor relations section of the company's website under the events and presentations tab. We've also published management scripting commentary on our website. Please note that some of the information you will hear during our discussion today will consist of forward-looking statements, including without limitation those regarding revenue, gross margin, operating expenses, other income and expenses, taxes, capital allocation, and future business outlook, including guidance for the second quarter fiscal 2026 and the full fiscal year 2026. These statements and other comments are based on management's current expectations and assumptions and involve material risks and uncertainties that could cause actual results or events to materially differ from those anticipated, and you should not place undue reliance on forward-looking statements. You can learn more about these risks uncertainties in the press release we issued earlier this afternoon our most recent 10k filing from fiscal 2025 and other sec filings all these documents are available on the investor relations page of our website we assume no obligation to update any forward-looking statements most of today's presentation will refer to non-gap financial results and business outlook for explanation of our non-gap financial measures please refer to the company accompanying presentation or to our press release published earlier today. The non-GAAP measures are presented as we believe that they provide investors the means of evaluating and understanding how the company's management evaluates the company's operating performance. These non-GAAP measures should not be considered in isolation from, as substitutes for, or superior to financial measures in paired accordance with U.S. GAAP. In addition, a reconciliation of non-GAAP to most directly comparable GAAP results is contained containing today's press release and supplemental information attached to today's presentation. At the end of today's prepared remarks, we'll have a Q&A session for sell-side analysts. Our second quarter fiscal 2026 quiet period begins at the close of business Friday, December 12, 2025. And with that, I will now turn the call over to Charles.

Thank you, Michael, and thank you all for joining today's call. Fiscal 2026 is off to a strong start as we continue the early phases of the dynamic AI growth trend. Demand for advanced AI compute and infrastructural solutions is evolving rapidly, and Supermicro is uniquely positioned to lead with innovative, high-quality, and value-driven solutions, including our Data Center Building Block Solution, DCBPS. The major highlight this quarter continue to be our industry-leading AI portfolio. Our NVIDIA BlackWare Hotspot-based GB300 product line now at more than $13 billion in back orders, including the largest deal in our 32-year history. reflecting the tremendous growth potential in hyperscale and enterprise deployments. The B300 platforms are also gaining strong traction following the success of our B200 products as we continue to serve as the leading supplier. As noted in our pre-announcement, approximately 1.5 billion in revenue shift from the September quarter to December quarter due to last-minute calculation upgrade from our customers with expanded volume. These shifts were largely caused by the complexity of these new GPU rights, which requires intricate integration, testing, validation, making them more time consuming to source and field. With production now quickly ramp up, these adjustments eventually strengthen our growth trajectory and support an even higher full-year outlook. Our product portfolio continues to lead the industry. In addition to NVIDIA, GB300, and B300. We are shipping RTX Pro 6000, B200, MVL4, and AMD MI350, 355X platforms in volume to power generative AI, large language model, inference, and HPC workloads. To continue technology leadership in AI platforms, We are preparing for the NVIDIA VOROA Nubit and AMD Helios launches in calendar 2026. Edge AI solutions are also gaining more traction for real-time processing in manufacturing, telecom, retail, and autonomous environments. While deeply focused on training LLLM and generative AI, We also see rapid growth in industry-specific model, agentic AI, border inferencing, and AI at the edge. With that, we are seeing accelerating demand across cloud, enterprise, and , as they upgrade and expand the data centers for AI. helps customers accelerate and optimize customers' transformation. DCPBS is critical to our future success, enabling rapid planning, design, and deployment of AI-ready data center and AI factory while optimizing performance and minimize power consumption through our advanced DLLC and DLLC2 technologies, and high-efficient subsystems. Shifu Michael's billion block approach now go beyond server system and rack configuration. It's optimizing the entire data center for customers. With product lifecycle compression from 18 to 24 months to as short as 12 months, customers need rapid innovation, deployment, and time tool online. DCPBS delivers large-scale plug-and-play servers, storage, BLC systems, L2A heat exchangers, shield door, power shelf, battery backup for water towers, dry towers, network and cabling, management software and services. We have begun shipping DCPBS orders to some key customers and expect many more data centers to follow suit. This solution is becoming a critical part of our business strategy, driving future growth and profitability. We are investing now, and over the next few quarters, we will share more detail on our expanding DECBBS portfolio and upcoming release. To meet this unprecedented demand, Supermicro is executing an aggressive global expansion. Our Silicon Valley facility remains the foundation of U.S. operations, delivering time-to-market quality and security for customers. We have quickly expanded our footprint in San Jose recently, and are soon adding new North America sites to support a growing requirement for major CSP and NCPs. This investment underscores our commitment to America innovation, job creation, and supply chain resilience. New production facilities in Taiwan, the Netherlands, Malaysia, and soon the Middle East are coming online to enlarge our production capacity, enhancing cost competitiveness, and meet regional sovereign AI requirements. With 52 megawatt of power capacity in place, we are on track to scale production 6,000 racks per month, including 3,000 DLC racks within this fiscal year. While these expansion require upfront investment, they are critical to sustain long-term growth and deliver performance TPO time to online and cost efficiency at a scale. In summary, Supermicro is evolving into a leading AI platform and data center infrastructure total solution company. While we continue to grow our server storage rack and IoT systems, our DCPBS delivers unique advantages that set us apart, are designed to reduce customer deployment complexity, accelerate time to market, time to online, and lower total cost of ownership. Combined with our broad supply chain, deep customer relationship, and expanding partner ecosystem, this capability positions us to become the leading data center infrastructure company. Raising the large-scale orders and continuing investment in customers, products, people, and the processes put us firmly on the side. While competition remains intense, we are focused on capturing the tremendous AI infrastructure market share. Some large-scale views have a pressure margin in the near term, but our scale innovation and differentiation to initiate DCBBS offerings strength our market leadership and position us to deliver long-term profitability and shareholder value. Looking ahead, we expect to ship at least 10.5 billion in the December quarter, depending on the supply and production capability readiness. We anticipate a screenshot growth through fiscal 2026, giving us confidence in achieving at least $36 billion in revenue for the year. This is a truly unique time for Supermicro, and I am super excited about the opportunity I have. I look forward to sharing our progress with you next quarter. Thank you. Now, I will turn it over to David.