Marvell Technology (NASDAQ:MRVL)
On August 25, Marvell Technology (NASDAQ:MRVL) will release the results of the company’s second quarter of fiscal 2023.
For the second quarter of the fiscal year, the company anticipates revenue of $1.515 billion, which may increase or decrease by up to 3%. The Zacks Consensus Estimate for sales is estimated at $1.51 billion, which indicates an increase of 40.8% compared to the same period a year ago.
Marvell Technology (NASDAQ:MRVL) anticipates that its non-GAAP earnings per share will be around 56 cents (+/- 3 cents). Marvell’s projection is consistent with the current consensus mark of 56 cents. The bottom-line figure is anticipated to rise by 64.7% compared to the previous year.
Each of the most recent four quarters saw Marvell Technology (NASDAQ:MRVL) post earnings higher than the Zacks Consensus Estimate, with an average surprise of 7.2%.
Things to Keep in Mind
It is reasonable to assume that the robust demand for Marvell Technology (NASDAQ:MRVL) networking solutions, particularly in the end markets for data centers and 5G infrastructure, contributed positively to the company’s performance during the second quarter.
During the conference call for the company’s first quarter, Marvell Technology (NASDAQ:MRVL) expects sequential solid revenue growth in the second quarter. This growth is expected to be driven by a substantial contribution from the cloud data center end market, the enterprise networking end market, and the combined auto and industrial end market in the United States and other regions.
Additionally, 5G and cloud product ramp-ups and sales from Marvell Technology’s (NASDAQ:MRVL) acquisition of Inphi Corporation the previous year may have helped the company’s overall performance during the quarter that was under evaluation.
It is predicted that record bookings from data infrastructure end markets and the ramp-up of several Ethernet designs won in forthcoming vehicles considerably drove sales in the fiscal second quarter. There is a good chance that the consumer and industrial businesses put on a good display during the period under consideration.
However, specific ongoing impacts related to the supply chain may act as headwinds, likely to curb Marvell’s ability to fully meet the increase in demand for some of its product offerings. These headwinds will likely limit Marvell’s ability to meet the increase in demand for some of its product offerings.
Marvell Technology (NASDAQ:MRVL) anticipates the non-GAAP gross margin for the second quarter to be between 65 and 65.5%, and the company anticipates that its non-GAAP operating expenses will be approximately $435 million.
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Author Shariq Khan 
