GSI Technology Reports Q2 2027 Net Loss of $7.0 Million Amid Rising Manufacturing Costs
GSI Technology (GSIT) reported second-quarter fiscal 2027 results characterized by declining revenue and widening net losses. Revenue fell to $6.0 million from $6.4 million in the prior-year period, while gross margins compressed to 48.5% due to increased wafer manufacturing costs and supply chain constraints. The company reported a net loss of $7.0 million ($0.18 per diluted share), significantly higher than the $3.2 million loss recorded in the same quarter last year. Despite financial headwinds, GSI saw growth in its military and defense segment, which now accounts for 46.7% of total shipments. The company is heavily investing in the development of its Plato processor and Gemini-II commercialization, contributing to an increase in operating expenses and higher-than-expected cash usage. Management has issued cautious Q3 revenue guidance of $5 million to $6 million, citing inventory shortages and extended manufacturing lead times.
Topics: Cash flow usage Gross margin compression Military and Defense sales growth Net loss Revenue decrease