Andrew Feldman, co-founder and CEO of Cerebras Systems, speaks at the TechCrunch Disrupt conference in San Francisco on October 13, 2026.
David Paul Morris | Bloomberg | Getty Images
Cerebral Systems reported better-than-expected revenue and quarterly guidance in its earnings report Thursday, and touted a new deal with Microsoft. The stock rose 17% in extended trading.
Here is the company’s performance compared to the LSEG consensus:
- Loss per share: 67 cents. It’s not immediately clear how that figure compares to the expected loss of 14 cents.
- Basic income: $230.9 million versus $214.7 million expected
Cerebras’ core revenue increased 70% to $135.7 million, compared to 103% growth in the second quarter, according to a release.
“I think there is an opportunity created, particularly on the hardware side, by hardware sales, where the long lead times of GPUs and the higher expenses create opportunities for us,” Andrew Feldman, CEO of Cerebras, told CNBC in an interview, referring to graphics processing units.
Leaders will announce new relationship with Microsoftone of the world’s leading cloud providers, during a conference call with analysts, Feldman said. The call begins at 5 p.m. ET.
“We think revenue will start to show in Q1 ’27,” Feldman said in the interview, adding that Microsoft signed the deal in October. Cerebras also has agreements with other major cloud providers. Amazon And Oracle.
Cerebras is evaluating its financing options to meet growing demand, Feldman said in the interview.
The company is trying to contest Nvidia in the AI chip market. Its earnings come on the same day that Nvidia CEO Jensen Huang resigned from the company he co-founded after multiple scandals involving extramarital affairs.
For the fourth quarter, Cerebras expects a gross margin of 47 to 49 percent, with revenue between $310 million and $330 million. Analysts polled by LSEG expected a margin of 42.1% and revenue of $271 million.
Cerebras said it expects its revenue to triple in 2027. That implies about $2.85 billion in revenue. Analysts polled by LSEG expected $2.92 billion.
Cerebras shares have fallen about 47% since the company debuted on Nasdaq in May.
WATCH: This AI chip stock is in trouble. Paul Meeks thinks this is an opportunity to buy
Gn bussni
