GSI Technology Q1 Gross Margin Slips to 53.4%, Guides Q2 Revenue Below $6.5M
GSIT sits 95% above its 52-week low of $2.82.
Summary
GSI Technology reported fiscal Q1 2027 revenue of $6.31 million, flat year-over-year, while gross margin contracted to 53.4% from 58.1% due to product mix shifts. Operating expenses climbed to $8.75 million, driven by higher R&D for the Plato processor, pushing the net loss to $4.8 million. The company guided Q2 revenue between $5.7 million and $6.5 million with gross margins of 53-55%, signaling continued pressure. This follows a year of widening losses and heavy insider selling, despite a cash cushion from dilutive offerings. The AI-assisted SDK release remains on track for September 2026, a potential catalyst if it accelerates Plato adoption.
At the time of this announcement, GSIT was trading at $5.50 on NASDAQ in the Technology sector, with a market capitalization of approximately $224.1M. The 52-week trading range was $2.82 to $18.15. This news item was assessed with negative market sentiment and an importance score of 7 out of 10. Source: Reuters.