Cerebras Reports Mixed Q2 Results, Shares Fall 17% in After-Hours Trading

Odaily News: AI chip maker Cerebras reported second-quarter revenue of $210 million, up 103% year-over-year. Cloud business revenue reached $126 million, up nearly 4x year-over-year, but hardware sales fell 23% year-over-year to $54.1 million. The company posted a net loss of $450.5 million for the quarter, compared to a net profit of $309.5 million in the same period last year. The company raised its full-year guidance, now expecting core revenue to be between $880 million and $890 million, up from its previous range of $855 million to $865 million. The report delivered a mixed bag for investors; since its IPO in May, Cerebras shares have risen 42%. The company, initially positioned as a challenger to Nvidia in AI chips, now counts cloud computing as its largest revenue source. Cerebras said its core gross margin for the current quarter would expand to 38% to 40%, addressing investor concerns.

Following the earnings release, Cerebras shares fell more than 17% in after-hours trading.