Marvell Beats Earnings Expectations as Strong AI ASIC Demand Sends Shares Up More Than 15% After Hours

Marvell Technology is a leading designer of custom ASICs and data-center connectivity chips, benefiting as hyperscalers build in-house AI accelerators to reduce reliance on general-purpose GPUs. Demand is increasingly shifting toward inference, where purpose-built silicon can improve cost and power efficiency. Its recently announced agreement with Alphabet’s Google could generate $120 billion in revenue through fiscal 2033 and give Google a stake worth up to $12.2 billion, sharpening focus on Marvell’s role in the TPU ecosystem.

On Aug. 27, Marvell reported fiscal second-quarter 2027 revenue of $2.74 billion, up 37% from a year earlier, and adjusted earnings of 94 cents a share, topping Wall Street estimates. It raised fiscal 2027 revenue guidance to about $12 billion from $11.5 billion and its fiscal 2028 forecast to about $18 billion from $16.5 billion, while saying custom-chip revenue should more than double next year. Shares fell more than 6% after hours as Google-related revenue is expected to become more meaningful only in fiscal 2029.