Cash and Cash Equivalents (USD, thousands)

Accounts Receivable, Net (USD, thousands)

Inventories (USD, thousands)

Prepaid Expenses and Other Current Assets (USD, thousands)

Total Current Assets (USD, thousands)

Property, Plant and Equipment, Net (USD, thousands)

Deferred Income Taxes, Net (USD, thousands)

Other Assets (USD, thousands)

Total Assets (USD, thousands)

Accounts Payable (USD, thousands)

Accrued Liabilities (USD, thousands)

Income Taxes Payable (USD, thousands)

Short-term Debt, Current Portion of Term Loans and Lines of Credit (USD, thousands)

Deferred Revenue, Current (USD, thousands)

Total Current Liabilities (USD, thousands)

Deferred Revenue, Non-Current (USD, thousands)

Long-term Debt, Term Loans (USD, thousands)

Convertible Notes (USD, thousands)

Other Long-term Liabilities (USD, thousands)

Total Liabilities (USD, thousands)

Common Stock and Additional Paid-In Capital (USD, thousands)

Retained Earnings (USD, thousands)

Total Super Micro Computer, Inc. Stockholders’ Equity (USD, thousands)

Noncontrolling Interest (USD, thousands)

Total Stockholders’ Equity (USD, thousands)

Total Liabilities and Stockholders’ Equity (USD, thousands)

de8d7744a0284d1797d1a9e3cb1ee2feba41744c13e7884ac42a900f13b0d914

Net income (USD, thousands)

Depreciation and amortization (USD, thousands)

Stock‐based compensation expense (USD, thousands)

Share of (income) loss from equity investee (USD, thousands)

Foreign currency exchange gain (USD, thousands)

Other – Operating Activities (USD, thousands)

Deferred income taxes, net (USD, thousands)

Accounts receivable, net (USD, thousands)

Prepaid expenses and other assets (USD, thousands)

Accounts payable (USD, thousands)

Income taxes payable (USD, thousands)

Accrued liabilities (USD, thousands)

Deferred revenue (USD, thousands)

4bb8f0c56cbd8aa771ba95adb1015a0b0b5abc893b0aebce90af4a5f08ed9e2c

The documents indicate that **Basic EPS was 1.32 USD in Q2 2024**.  **[0001375365-24-000011_smci-20231231.htm:3]**  However, none of the documents explicitly explain why this figure was so low. While one explanation discusses factors that improved net income per common share—including revenue growth, operating leverage, and cost management affecting non-GAAP measures  **[0001375365-24-000008_exhibit991_20231231.htm:0]** —there is no definitive discussion regarding the lower Basic EPS.

Why was Basic EPS so low in Q2 2024?

The documents do not provide any factors explaining a drop in net income in Q2 2024. In fact, the narrative details drivers for a significant **year-over-year increase** in Q2 2024 – such as **record-breaking revenue growth**, strong **demand for AI solutions**, improved **operational leverage**, and better **supply chain conditions**.  **[0001375365-24-000008_exhibit991_20231231.htm:0]** **[SMCI_3371108_4]** **[SMCI_3371108_1]**  If you are referring to the drastic drop from **Q1 2024** (with net income of **402,459 thousand USD**  **[0001375365-24-000022_smci-20240331.htm:3]** ) to **Q2 2024** (with net income of **50,504 thousand USD**  **[0001375365-24-000011_smci-20231231.htm:3]** ), the documents do not mention any specific reasons for that quarter-over-quarter decline.

What factors led to the drastic drop in Net Income in Q2 2024?

The significant jump in **Income from Operations** in **Q4 2023** was driven primarily by **record revenue growth**—with revenues reaching **$2.18 billion**, which represented a **34% YoY** and **70% QoQ increase**—and by achieving higher **operating leverage** as revenues grew faster than operating expenses. Additionally, a **favorable product mix** that emphasized high-value AI and rack-scale solutions, along with strategic investments such as the NVIDIA HGX-based Delta Next solution, helped to boost profitability despite a rise in operating costs. These factors combined to markedly improve the operating margin and drive the strong performance in Q4 2023.  **[SMCI_3384589_4]** **[SMCI_3308161_4]** **[SMCI_3384589_1]** 

Why did Income from Operations jump significantly in Q4 2023?

Based on the available documents, there is no explanation provided for a sharp dip in net sales in Q2 2024. In fact, one document explains that **Q2 2024 saw record-breaking net sales** driven by **strong demand for AI and rack-scale IT solutions**, **growth in key customer segments**, **geographic expansion**, an **improving supply chain**, increased **ASPs**, and **strategic investments**.  **[0001375365-24-000008_exhibit991_20231231.htm:0]** **[SMCI_3371108_4]** **[SMCI_3371108_1]**  This suggests that Q2 2024 experienced a significant **increase**, not a dip.

What caused the sharp dip in Net Sales in Q2 2024?

Other income swung to a negative value in **Q2 2024** primarily because of an **increase in interest expense by $6.3 million** due to higher outstanding loan balances and **an increase in foreign exchange losses by $3.0 million** driven by the weakening of the US dollar. These factors more than offset a **$1.4 million increase in interest and other income** that partially mitigated the expense increase.  **[0001375365-24-000011_smci-20231231.htm:38]** 

Why did Other income swing to a negative value in Q2 2024?

e395e8a83d696d3ac63f36f299f67edfdcf9ab3e9ba61ad00739e16c97e18774

Net sales (USD, thousands)

Cost of sales (USD, thousands)

Gross profit (USD, thousands)

Research and development (USD, thousands)

Sales and marketing (USD, thousands)

General and administrative (USD, thousands)

Total operating expenses (USD, thousands)

Income from operations (USD, thousands)

Other income (expense), net (USD, thousands)

Interest expense (USD, thousands)

Income before income tax provision (USD, thousands)

Income tax benefit (provision) (USD, thousands)

Share of income (loss) from equity investee, net of taxes (USD, thousands)

Net income per common share - Basic (USD)

Net income per common share - Diluted (USD)

Weighted-average shares used in the calculation of net income per common share - Basic (shares, thousands)

Weighted-average shares used in the calculation of net income per common share - Diluted (shares, thousands)

a9848352e606be06788d364a2aef5d23b294b3e0898a4cd14dac40d08381cbfa

9be4064e1716b4575a4a906ecb89b62e99e9f0e7f409c468b4cb19b40a62af80

41408960a252fbfb184d5f17c3b2f55a6af183bf6d8208e93afa56edab26b7cc

c7359acc6134938c568aecfcc48ee5e5ba2b20e51649a7df43d8718e1659afa6

United States

Asia

Europe

Other

- China

Total Revenue

f88ae179a76a3f847953c0b0ff1ce4c19862e6661f438630eb191f6262e68707

Server and Storage Systems

Subsystems and Accessories

Server Systems

4f252ef6eff044a1c10034f684218e822d83357812789a854de7a332f29f75e1

Super Micro Computer (SMCI)

Financials