Cerebras’ Q 2 Revenue Jumps 103%, but Operating Margin Remains Negative
Cerebras’ second-quarter core revenue reached $209.9 million, up 103% from a year earlier. Cloud revenue was especially strong, surging nearly fourfold year over year. Despite the sharp revenue growth, core operating margin remained negative at about 16% below zero. Gross margin recovered to 41%, but remained below its previous high. Data-center leasing costs and asset-heavy expansion are also clouding the company’s earnings outlook. Before the earnings report was released, market expectations for Cerebras were high, while options-market pricing reflected strong bullish sentiment. That helped drive the company’s common stock up more than 11.6% during today’s regular trading session.
Cerebras’ second-quarter core revenue reached $209.9 million, up 103% from a year earlier. Cloud revenue was especially strong, surging nearly fourfold year over year.
Despite the sharp revenue growth, core operating margin remained negative at about 16% below zero. Gross margin recovered to 41%, but remained below its previous high. Data-center leasing costs and asset-heavy expansion are also clouding the company’s earnings outlook.
Before the earnings report was released, market expectations for Cerebras were high, while options-market pricing reflected strong bullish sentiment. That helped drive the company’s common stock up more than 11.6% during today’s regular trading session.
Despite the sharp revenue growth, core operating margin remained negative at about 16% below zero. Gross margin recovered to 41%, but remained below its previous high. Data-center leasing costs and asset-heavy expansion are also clouding the company’s earnings outlook.
Before the earnings report was released, market expectations for Cerebras were high, while options-market pricing reflected strong bullish sentiment. That helped drive the company’s common stock up more than 11.6% during today’s regular trading session.