Marvell Technology Reports Q2 Profit, Revenue Up 58%, Guides Q3

Marvell Technology reported Q2 profit, driven by a 58% increase in revenue compared to last year. Net income was $194.8 million, up from a loss of $193.3 million in the corresponding period a year ago. Earnings per share were $0.22, compared to a loss of $0.22 per share in the prior year. Net revenue improved to $2.01 billion from $1.27 billion a year ago. The company guided Q3 with earnings of $2.03 +/- $0.05 per share and net revenue of $2.06 billion +/- 5%.

Marvell Technology, Inc. (MRVL) reported a significant increase in revenue and net income for the second quarter, driven by robust demand for its data infrastructure semiconductor solutions. The company's net income for the quarter was $194.8 million, up from a loss of $193.3 million in the same period last year. Revenue improved to $2.01 billion, a 58% increase from $1.27 billion in the prior year [1].

Matt Murphy, Chairman and CEO of Marvell, attributed the growth to strong demand for AI-related products and a recovery in enterprise networking and carrier infrastructure markets. The company's earnings per share (EPS) were $0.22, compared to a loss of $0.22 per share in the prior year.

For the third quarter of fiscal year 2026, Marvell guided earnings of $2.03 +/- $0.05 per share and net revenue of $2.06 billion +/- 5%. The company expects data center revenue to be flat sequentially in Q3, with continued double-digit sequential growth in electro-optics, offset by lower custom revenue. Year-over-year data center revenue growth is projected in the mid-30% range [2].

The company also completed the divestiture of its Automotive Ethernet business for $2.5 billion in cash. This strategic move aligns with Marvell's focus on the AI opportunity, as noted by Murphy during the earnings call. The divestiture is expected to provide additional capital for buybacks and investments, further strengthening the company's financial position [3].

Marvell's stock price decreased overnight after the announcement, trading 11.67% or $9.01 lower at $68.22 on the Nasdaq. The company's strong performance in the data center and AI markets, along with its strategic divestiture, positions Marvell for continued growth in the third quarter and beyond.

References:
[1] https://www.nasdaq.com/articles/marvell-technology-swings-q2-profit-guides-q3-stock-down
[2] https://seekingalpha.com/news/4490251-marvell-targets-36-percent-revenue-growth-for-q3-2026-amid-2_5b-auto-divestiture-and
[3] https://www.investing.com/news/transcripts/earnings-call-transcript-marvell-technology-q2-2026-results-show-strong-growth-93CH-4215715