On May 28, 2026, Credo completed the acquisition of 100% of DustPhotonics Ltd., a silicon photonics photonic integrated circuit developer, for total consideration of approximately $1.25 billion (cash $769.6M, stock $169.1M, contingent consideration $310M). The acquisition was intended to build a vertically integrated connectivity stack spanning SerDes, DSP, silicon photonics, and system integration for scale-out and scale-up AI networks. The purchase price allocation recorded $895.8M of goodwill and $361.7M of intangible assets (including IPR&D), though the allocation remains preliminary. Credo also disclosed the February 2026 acquisition of CoMira Solutions ($35.1M, link-layer/error-correction/security IP) and the September 2025 acquisition of Hyperlume ($92M, microLED chip-to-chip optical interconnect), both prior to this quarter, to provide full context on its connectivity IP build-out.
Revenue for the quarter reached $479.0M, up 114.7% year-over-year from $223.1M, driven primarily by a significant increase in AEC unit shipments that contributed over 90% of the revenue increase, attributed to the ramp of AEC solutions at hyperscale data center customers. Gross margin was 64.5%, down 2.9 percentage points from 67.4% a year earlier, primarily due to amortization of acquired intangible assets. Revenue geography shifted materially: U.S. revenue rose to $255.4M (53% of total, from 37% prior year), Malaysia surged to $74.5M (from $6.4M), while Mainland China revenue fell to $1.1M (from $51.8M). R&D expense nearly doubled to $114.5M (23.9% of revenue), reflecting increased personnel, design activities, and share-based compensation tied to new product development.
Credo disclosed a partnership with Oracle to develop ZeroFlap Optics, targeted at addressing Link Flap reliability issues in AI data centers to enable faster cluster turn-on and time-to-first-revenue. The company's product portfolio now spans ZeroFlap AECs, ZF optical transceivers, silicon photonics-based photonic integrated circuits and DSPs, OmniConnect AI memory and chip-to-chip interconnect, and retimers for Ethernet and PCIe, supported by the PILOT diagnostic and analytics software platform. Products are optimized for optical and electrical Ethernet, PCIe, and emerging UALink, ESUN, and SUE applications at speeds from 32G to 200G per lane, based on proprietary SerDes and DSP technologies.
Credo had refundable deposits of $88.4M on its balance sheet ($62.9M current, $25.5M non-current) under manufacturing supply capacity reservation agreements with assembly subcontractors, with terms ranging from 2 to 6 years. Subsequent to quarter-end, the company entered into an additional capacity reservation agreement requiring $102.4M in refundable deposits to be paid within fiscal 2027, signaling a planned expansion of production capacity to support forecast demand. Total non-cancelable purchase obligations to manufacturing vendors and foundry partners for the remainder of fiscal 2027 stood at $212.7M.
Customer concentration remained elevated: Customer A represented 43% of quarterly revenue and 57% of accounts receivable; Customer B represented 28% of revenue. On an end-customer basis, the largest customer (Customer D) accounted for 33% of revenue, followed by Customer C at 28%. The company noted it expects customer concentration to decrease as product adoption broadens and the customer base expands, but anticipates continued significant reliance on a limited number of customers for the foreseeable future.
(Filed on June 15, 2026)
+157.0%
68.2%
$1.2B
[Annual context] Fiscal 2026 revenue reached $1.335 billion, up 205.7% from $436.8 million in fiscal 2025, driven by AEC product volume ramp at hyperscale customers that contributed over 99% of the revenue increase; gross margin expanded to 68.0% from 64.8%. Customer concentration shifted: Customer A's share declined from 67% to 49%, while Customer B (32%) and Customer E (19%) each exceeded 10% of revenue, and top-10 customers accounted for approximately 90%.
[Q4 and subsequent] Credo completed the Comira Solutions acquisition on February 25, 2026 for $35.1 million in cash, adding link-layer, error-correction, and security semiconductor IP for scale-up and scale-out AI architectures. This followed the September 2025 Hyperlume acquisition ($92.0M) for microLED optical interconnect technology. Subsequent to year-end in May 2026, Credo agreed to acquire DustPhotonics Ltd. for $770M in cash plus approximately 0.8M ordinary shares for silicon photonics integrated circuit technology, with contingent consideration of up to approximately 2.8M additional shares and $31.6M cash tied to financial milestones.
[Annual product roadmap] During fiscal 2026 Credo introduced its Bluebird 200G/lane optical DSP on a 3nm process node (September 2025) to enable full-retimed and Linear Receive Optics-based 1.6T transceivers; launched the OmniConnect platform and Weaver memory fanout gearbox on 5nm (November 2025), delivering 12x total memory bandwidth and up to 40x memory density versus conventional on-substrate LPDDR; and extended PILOT diagnostic software from its initial Toucan PCIe retimer deployment across the broader SerDes, retimer, and AEC portfolio. Hyperlume's microLED Active LED Cables extend pluggable copper-like interconnect reach to 30m for multi-rack AI cluster designs.
[Annual supply chain and capital] Credo exclusively used TSMC for semiconductor wafer fabrication in fiscal 2026 and maintained three manufacturing supply capacity reservation agreements with assembly subcontractors, holding $71.0 million in refundable deposits as of May 2, 2026; non-cancelable purchase commitments to foundry and manufacturing vendors totaled $333.5 million for fiscal 2027. Subsequent to year-end, Credo entered an additional capacity reservation requiring $13.1 million in deposits. Credo completed a $750M ATM equity offering with Goldman Sachs during the year, receiving $736.3 million in net proceeds through the issuance of 4.8 million ordinary shares, supporting R&D spend that rose 90% to $279.4 million.
[Partnership] Credo partnered with Oracle to co-develop ZeroFlap optical transceivers incorporating system hardening, advanced telemetry, and transparent in-band messaging to mitigate optical link flaps in AI back-end networks, supporting 400G, 800G, and 1.6T speeds over parallel single-mode fiber up to 500m, targeting faster AI cluster turn-on and time-to-first-revenue.
(Filed on March 3, 2026)
+201.5%
68.5%
$1.2B
Completed acquisition of Hyperlume, Inc. (September 29, 2025) for $92.0M total consideration ($88.7M cash plus $3.3M cash settlement of vested share-based awards), a developer of microLED-based optical interconnect technology for chip-to-chip communication. Credo recorded $69.1M in goodwill and $17.2M in IPR&D intangible assets; the acquisition is not tax-deductible. Post-close, Credo issued 87,000 RSUs to replace unvested Hyperlume options and 264,000 restricted shares to Hyperlume's two founders, vesting over four years contingent on continued employment.
Q3 FY2026 revenue reached $407.0M, up 201.5% year-over-year, driven primarily by a significant increase in AEC unit shipments at hyperscale data center customers. Gross margin expanded to 68.5% (from 63.6% prior year) on improved economies of scale. U.S. destination revenue rose to $267.4M (66% of total) from $7.6M a year earlier, while Mainland China destination revenue fell to $3.7M from $25.3M. Remaining performance obligations were $31.8M, expected to be recognized within 12 months.
End-customer concentration diversified materially: in Q3 FY2026, the largest end customer (Customer D) accounted for 32% of revenue versus 86% in the same quarter prior year; Customer B represented 39% and Customer E 17%. At the contracting-entity level, Customer A dropped from 84% to 48% of revenue and 86% to 57% of accounts receivable, while Customer B emerged at 39% of revenue. Amazon's remaining Customer Warrant was fully exercised as of January 31, 2026 (net 3.8M shares issued), eliminating the warrant from the capital structure.
Credo completed its $750M At-The-Market offering (entered October 2025 with Goldman Sachs), receiving $736.3M in net proceeds via issuance of 4.8M ordinary shares during the nine months ended January 31, 2026. Cash and cash equivalents rose to $1,220.5M from $236.3M at fiscal year-end May 3, 2025. In parallel, the company holds $157.5M in purchase-level commitments under manufacturing supply capacity reservation agreements (FY2026 remainder through FY2028) with $28.8M in refundable deposits, plus approximately $114.5M in non-cancelable foundry and subcontractor purchase orders due within one year.
R&D expense for Q3 was $78.5M (19.3% of revenue), up 116% year-over-year, driven by $21.8M higher share-based compensation, $6.1M in additional personnel costs for new product development hires, and $10.7M in increased design and engineering testing activities. In December 2025, Credo signed multiple operating leases (6–7 year terms, ~$1.6M annual base rent) to expand its U.S. corporate headquarters through calendar year 2036.
(Filed on December 2, 2025)
+272.1%
67.5%
$567.6M
Acquired Hyperlume, Inc. (September 29, 2025) for $92.0M total consideration ($88.7M cash plus $3.3M settlement of vested equity awards) to add microLED-based optical interconnect technology for chip-to-chip communication; recorded ~$69.1M goodwill and ~$17.2M IPR&D intangible asset, with purchase price allocation still preliminary.
Q2 FY2026 total revenue reached $268.0M, up 272% YoY, driven primarily by a significant ramp-up in Active Electrical Cable (AEC) unit shipments at hyperscale data center customers, which contributed over 95% of the product revenue increase; gross margin expanded to 67.5% (vs. 63.2% a year earlier) on improved economies of scale, and the company reported net income of $82.6M versus a $4.2M loss in the prior-year quarter.
Entered an At-The-Market equity distribution agreement with Goldman Sachs in October 2025 for up to $750M in aggregate; during the quarter, Credo issued 2.7M ordinary shares and received $384.6M in net proceeds, lifting total cash and cash equivalents to $567.6M from $236.3M at fiscal year-end.
Amazon.com NV Investment Holdings LLC exercised 2.04M shares under its Customer Warrant during the quarter (net issuance of 1.85M after tax withholding), with the remaining 2.04M shares subsequently exercised in November 2025, fully exhausting the warrant.
Customer concentration shifted materially: Customer A (contracting entity) represented 64% of Q2 revenue versus 40% a year earlier, and on an end-customer basis Customer C accounted for 42% and Customer D for 24%; the filing also references an ongoing partnership with Microsoft on a HiWire Switch AEC and open-source implementation supporting Microsoft's dual-Top-of-Rack data center architecture.
