Financial Data and Key Metrics Changes - Marvell reported record revenue of $2.075 billion for Q3 FY2026, reflecting a 3% sequential increase and a 37% year-over-year growth [6][39] - Non-GAAP earnings per share were $0.76, exceeding guidance by $0.02, with a year-over-year growth of 77% [6][40] - GAAP gross margin was 51.6%, while non-GAAP gross margin was 59.7%, showing a sequential increase of 30 basis points [39] - Cash flow from operations reached a record $582 million, growing approximately $121 million from the prior quarter [41] Business Line Data and Key Metrics Changes - Data center revenue was $1.52 billion, representing 2% sequential growth and 38% year-over-year growth, contributing 73% of total revenue [19][39] - Communications and other end market revenue was $557 million, growing 8% sequentially and 34% year-over-year [33][39] - Excluding the automotive Ethernet business, communications revenue growth would be approximately 20% sequentially and 50% year-over-year [33] Market Data and Key Metrics Changes - The data center market is expected to grow year-over-year by more than 25% in FY2027, driven by increased demand for switching products and custom solutions [19][36] - The communications end market is projected to grow approximately 25% year-over-year in Q4 FY2026, with an annualized revenue run rate of about $1 billion [34][39] Company Strategy and Development Direction - Marvell announced the acquisition of Celestial AI, aimed at enhancing its data center portfolio with disruptive photonic technology [8][9] - The company is focusing on data center growth, having divested its automotive Ethernet business and made several strategic acquisitions since 2019 [9][10] - Marvell anticipates significant revenue contributions from Celestial AI starting in the second half of FY2028, with a forecast of reaching a $500 million annualized run rate by Q4 FY2028 [16][44] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about continued growth in the data center business, with expectations of strong demand for AI-related infrastructure [17][36] - The company expects to see a strong finish to FY2026 and anticipates revenue growth to accelerate in FY2027 and FY2028 [36][37] - Management highlighted the importance of partnerships with hyperscalers and the expected increase in Cloud CapEx, which is projected to grow over 30% next year [17][36] Other Important Information - Marvell executed a $1 billion accelerated stock repurchase program and repurchased $300 million of stock through its ongoing buyback program [35][41] - The company plans to fund the acquisition of Celestial AI through a combination of stock and cash on hand, without taking on additional debt [44] Q&A Session Summary Question: Revenue expectations for next year - Management confirmed that the implied revenue target for next year is around $10 billion, based on organic growth without M&A contributions [48][49] Question: Update on sub-3-nanometer design win pipeline - Management indicated strong visibility on the transition to next-generation products, with several programs in the pipeline for 2-nanometer designs [58][60] Question: Revenue targets for Celestial AI - Management clarified that the $500 million and $1 billion targets for Celestial AI include all potential revenue streams, primarily driven by the PF chiplet products [65][66] Question: Breadth of revenue stream from Celestial AI - Management noted that while there is strong engagement across the industry, initial revenue will likely come from a few large customers, including a tier-one hyperscaler [70][71]

Financial Data and Key Metrics Changes - For the third quarter of fiscal 2026, Marvell reported record revenue of $2.075 billion, reflecting a 3% sequential increase and a 37% year-over-year growth [6][39] - Non-GAAP earnings per share were $0.76, exceeding guidance by $0.02, with a year-over-year growth of 77% [6][40] - GAAP gross margin was 51.6%, while non-GAAP gross margin was 59.7%, an increase of 30 basis points sequentially [39][40] - Cash flow from operations reached a record $582 million, growing approximately $121 million from the prior quarter [41] Business Line Data and Key Metrics Changes - Data center revenue was $1.52 billion, representing 2% sequential growth and 38% year-over-year growth, contributing 73% of total revenue [19][39] - Communications and other end market revenue was $557 million, growing 8% sequentially and 34% year-over-year [33][39] - Excluding the divested automotive Ethernet business, communications revenue growth would be approximately 20% sequentially and 50% year-over-year [33] Market Data and Key Metrics Changes - The company expects total revenue for the fourth quarter to be around $2.2 billion, representing a 6% sequential and 21% year-over-year growth [35][42] - Data center revenue is projected to grow year-over-year by more than 25% in fiscal 2027, while communications and other end market is expected to grow by 10% [19][34] Company Strategy and Development Direction - Marvell announced the acquisition of Celestial AI, aimed at enhancing its data center portfolio with disruptive photonic fabric technology [8][9] - The acquisition is expected to close in the first quarter of next year and is anticipated to generate meaningful revenue contributions starting in the second half of fiscal 2028 [16][44] - The company is focusing on data center growth, divesting non-core businesses, and investing in high-growth areas such as AI and optical interconnects [9][10] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about continued growth in the data center market, driven by strong demand for AI and cloud infrastructure [17][36] - The outlook for fiscal 2027 is stronger than previously expected, with anticipated growth in interconnect and custom businesses [17][19] - Management highlighted the importance of strategic acquisitions and product innovation in driving future growth [37][44] Other Important Information - Marvell executed a $1 billion accelerated stock repurchase program and repurchased $300 million of stock through its ongoing buyback program [35][41] - The company has a strong balance sheet with cash and cash equivalents of $2.7 billion, reflecting robust operating cash flow [41] Q&A Session Summary Question: Revenue expectations for next year - Analyst inquired if the implied revenue for next year is around $10 billion and how it aligns with long-term targets [48] - Management confirmed the $10 billion target is motivational and based on organic growth without M&A contributions [49] Question: Update on sub-3-nanometer design win pipeline - Analyst asked for an update on the design win pipeline for sub-3-nanometer products [58] - Management indicated strong visibility and execution on design programs, with significant product ramps expected [60] Question: Revenue targets for Celestial AI - Analyst questioned if the $500 million and $1 billion targets for Celestial AI include PFLink products and potential memory businesses [65] - Management clarified that the targets encompass all of Celestial AI's activities, with initial revenue driven by PF chiplets [66] Question: Breadth of revenue stream from Celestial AI - Analyst asked about the customer base for Celestial AI's revenue ramp [67] - Management noted strong engagement across the industry, with a tier-one hyperscaler as a key partner [68] Question: Growth rate for custom business - Analyst sought clarification on the growth rate for the custom business in fiscal 2027 [75] - Management indicated expectations for at least 20% growth next year, with potential for higher rates in subsequent years [75]

Financial Data and Key Metrics Changes - Marvell reported record revenue of $2.075 billion for Q3 2026, reflecting a 3% sequential increase and a 37% year-over-year growth [5][35] - Non-GAAP earnings per share were $0.76, exceeding guidance by $0.02, with year-over-year growth of 77% [5][36] - GAAP gross margin was 51.6%, while non-GAAP gross margin was 59.7%, an increase of 30 basis points sequentially [35][36] - Cash flow from operations reached a record $582 million, growing approximately $121 million from the prior quarter [36] Business Line Data and Key Metrics Changes - Data center revenue was $1.52 billion, representing 2% sequential growth and 38% year-over-year growth, contributing 73% of total revenue [17][35] - Communications and other end market revenue was $557 million, growing 8% sequentially and 34% year-over-year [29][35] - Excluding the automotive Ethernet business, communications revenue growth would be approximately 20% sequentially and 50% year-over-year [29] Market Data and Key Metrics Changes - The data center market is expected to grow year-over-year by more than 25% next fiscal year, driven by increased demand for switching products [17] - The communications end market is expected to grow in line with enterprise IT spending, with an annualized revenue run rate of approximately $1 billion in Q4 [30] Company Strategy and Development Direction - Marvell announced the acquisition of Celestial AI, aimed at enhancing its data center portfolio and capitalizing on the scale-up interconnect market [6][14] - The company is focusing on data center growth, having divested its automotive Ethernet business and made several strategic acquisitions since 2019 [6][7] - The acquisition of Celestial AI is expected to close in Q1 of the next fiscal year and is projected to contribute significantly to revenue starting in the second half of fiscal 2028 [14][41] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about continued growth in the data center business, with strong demand signals and bookings across the portfolio [32][33] - The company anticipates a strong fiscal 2027, with total revenue forecasted at $2.2 billion for Q4 2026, representing 6% sequential and 21% year-over-year growth [31][38] - Management highlighted the importance of AI in reshaping data center architecture and the significant opportunities in the optical interconnect market [9][10] Other Important Information - Marvell executed a $1 billion accelerated stock repurchase program and repurchased $300 million of stock through its ongoing buyback program [31][36] - The company expects to continue returning capital to shareholders while funding the acquisition of Celestial AI through a combination of stock and cash [41][42] Q&A Session All Questions and Answers Question: Revenue expectations for next year - Management indicated that the revenue target for next year is around $10 billion, based on organic growth without M&A contributions [43][44] Question: Update on sub-3-nanometer design win pipeline - Management confirmed strong visibility on the transition to next-generation products, with several programs in the pipeline for 2-nanometer designs [50][52] Question: Revenue targets for Celestial AI - The revenue targets for Celestial AI include contributions from the PF chiplet and other potential businesses, with a focus on broad engagement across the industry [53][54] Question: Diversification of revenue stream from Celestial AI - Management noted that while there is strong engagement with a tier-one hyperscaler, the revenue stream is expected to diversify over time as the product enters volume production [55][56] Question: Growth rate for custom business - Management confirmed a base case growth rate of at least 20% for the custom business next year, with potential for higher growth depending on program success [58][59]

Core Viewpoint - Marvell is acquiring Celestial AI for at least $3.25 billion, potentially increasing to $5.5 billion based on revenue milestones, to enhance its semiconductor networking business and capitalize on the growing AI infrastructure market [1][2]. Group 1: Acquisition Details - The acquisition price is set at a minimum of $3.25 billion, with a potential increase to $5.5 billion if Celestial achieves specific revenue targets [1][6]. - Celestial AI specializes in optical interconnect hardware, valued at $2.5 billion in a recent funding round [3]. - The deal is expected to close early next year [6]. Group 2: Strategic Importance - This acquisition is a strategic move for Marvell to enhance its technology offerings in semiconductor networking, particularly for AI applications [2][5]. - The integration of Celestial's optical technology is anticipated to improve Marvell's custom AI chips and related components [6]. Group 3: Market Context - Marvell's stock has decreased by 18% in 2025, contrasting with competitors like Broadcom, which have seen valuation increases due to AI excitement [2]. - The demand for optical connections is rising as advanced AI systems require high-performance interconnects to function effectively [4]. Group 4: Financial Performance - Marvell reported third-quarter earnings of 76 cents per share on $2.08 billion in sales, exceeding expectations [7]. - The company anticipates a 25% increase in data center revenue next year and expects fourth-quarter revenue to reach $2.2 billion [7].

Marvell Technology, Inc. Third Quarter of Fiscal Year 2026 December 2, 2025 Discussion of Non-GAAP Financial Measures Non-GAAP financial measures exclude the effect of stock-based compensation expense, amortization of acquired intangible assets, gain on sale of business, acquisition and divestiture related costs, restructuring and other related charges (including, but not limited to, asset impairment charges, recognition of contractual obligations, employee severance costs, and facility exit related charges ...

Marvell posted a third-quarter profit of $1.90 billion, a significant improvement from a $676.3 million loss a year prior. It also announced it is acquiring Celestial AI for $3.25 billion in cash and ... ...

Core Insights - The Q3 earnings season has shown solid performance, with a projected 13.4% increase in earnings per share for S&P 500 companies, marking the fourth consecutive quarter of double-digit growth [2][25] - Retailers are under scrutiny as they report results, particularly in light of softening consumer sentiment ahead of the holiday shopping season [4] Earnings Reports - Macy's reported a surprise profit with its strongest comparable sales in over three years, but its elevated sales guidance fell short of last year's numbers, leading to a 3% drop in stock [5] - American Eagle Outfitters experienced an 11% stock surge after reporting a profit per share of $0.53, exceeding estimates, and a 6% year-over-year revenue increase to $1.36 billion [7][8] - CrowdStrike raised its full-year revenue guidance after reporting a 22% year-over-year revenue increase to $1.23 billion, despite a diluted loss per share of $0.14 [10][11][12] - Okta's revenue rose 12% to $742 million, beating estimates, but the stock fell due to market reactions [15][16] - Marvell reported earnings per share of $2.20 on revenue of $2.07 billion, but its stock slid 6% after announcing a $3.25 billion acquisition of Celestial AI [17][18] - Credo's stock surged 20% after reporting a profit of $0.44 per share and revenue of $268 million, both exceeding expectations [20][21] - MongoDB's stock soared 15% after reporting revenue of $628.3 million, a 19% year-over-year increase, and a smaller-than-expected loss per share [22][23][24] Market Reactions - Despite solid earnings, market reactions have been more negative than usual, with stocks of companies that missed earnings estimates dropping by an average of 5% [25][27] - Companies that beat earnings estimates saw an average stock price increase of only 0.4%, below the five-year average of 0.9% [26] Sector-Specific Insights - Deere's stock fell 5% after its outlook for the year fell short of expectations amid uncertainty in the US farm economy [28] - Dick's Sporting Goods reported a GAAP earnings per diluted share of $2.07, missing estimates, leading to a 2% drop in stock [40] - Abercrombie & Fitch's stock surged over 18% after reporting earnings per share of $2.36, driven by strong sales at its Hollister brand [42][43] - Best Buy's stock rose 3% after beating analysts' estimates and raising its full-year outlook [46] - Kohl's stock soared 42% after reporting better-than-expected results and increasing its full-year outlook [47] - Alibaba's stock rose 4% after beating quarterly revenue estimates, driven by investments in one-hour delivery and strong growth in its cloud division [48]

分组1 - Okta reported third quarter adjusted EPS of $0.82, beating estimates of $0.76, with revenue of $742 million, exceeding expectations of $730.5 million [1][2] - For the fourth quarter, Okta forecasts EPS between $0.84 and $0.85, with revenue estimates of $748 to $750 million, surpassing previous estimates of $738.6 million [2][3] - Fiscal year revenue is now expected to be $2.91 billion, up from earlier estimates of $2.88 to $2.89 billion, indicating upward revisions across the board [3][4] 分组2 - Remaining performance obligations (RPO) grew by 17% year-over-year to $4.292 billion, while current remaining performance obligations (CRPO) increased by 13% to $2.328 billion, slightly above expectations [5][7] - Analysts expressed concerns about a potential deceleration in growth, as the current RPO number may indicate challenges for near-term revenue [6][9] - The company operates primarily on a subscription model, with over 80-90% of revenue derived from subscriptions, making the backlog of orders critical for future revenue [6][12] 分组3 - Marvell's third quarter EPS came in at $0.76, slightly above expectations, with revenue of $2.07 billion, also just above the forecast [15][17] - Marvell announced the acquisition of Celestial AI for approximately $3.25 billion, which has raised concerns among investors regarding the impact on stock performance [16][22] - The expected gross margins for the quarter are between 51.1% and 52.1%, with potential impacts on free cash flow due to the acquisition and expansion in the AI space [19][20] 分组4 - CrowdStrike reported third quarter EPS of $0.96, beating expectations of $0.94, with revenue of $1.23 billion, slightly above the forecast of $1.21 billion [27][28] - For the fourth quarter, CrowdStrike's EPS guidance is between $1.09 and $1.11, with revenue expected to be between $1.29 billion and $1.3 billion, aligning with estimates [28][30] - The company achieved record Q3 net new recurring revenue of $265 million, a 73% year-over-year acceleration, with an ending annual recurring revenue of $4.92 billion, up 23% year-over-year [33][34]

Core Insights - Marvell Technology Inc. reported third-quarter earnings that exceeded analyst expectations, with adjusted earnings of 76 cents per share compared to the estimated 73 cents [2] - The company also announced the acquisition of Celestial AI, which is expected to enhance its product offerings [3] Financial Performance - Quarterly revenue reached $2.08 billion, surpassing the Street estimate of $2.07 billion and showing significant growth from $1.52 billion in the same period last year [2][4] - Marvell's Chairman and CEO, Matt Murphy, highlighted that the record revenue was driven by strong demand for data center products [3] Future Outlook - The company is guiding for robust growth in the fourth quarter, with full-year revenue growth forecasted to exceed 40% [4] - Demand for Marvell's products is expected to continue accelerating, leading to an upward revision of data center revenue growth forecasts for the next year [4] Stock Performance - Following the earnings announcement, Marvell's stock fell by 6.33% to $87.01 in extended trading [4]

Exhibit 99.1 Net revenue for the third quarter of fiscal 2026 was $2.075 billion, $15.0 million above the mid-point of the Company's guidance provided on August 28, 2025. On August 14, 2025, the Company completed the sale of its automotive ethernet business to Infineon Technologies AG for $2.5 billion in cash, which resulted in a pre-tax gain on sale of $1.8 billion. Marvell's results for the third quarter of fiscal 2026 include the results of the automotive ethernet business through the sale date, while pr ...