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Investor Relations | Marvell Marvell Technology , Inc. Reports Second Quarter Of Fiscal Year 2022 Financial Results - Q2 Net Revenue : $ 1.076 billion , grew by 48 % year - on - year - Q2 Gross Margin : 34.6 % GAAP gross margin ; 64.8 % non - GAAP gross margin - Q2 Diluted income ( loss ) per share : $ ( 0.34 ) GAAP diluted loss per share ; $ 0.34 non - GAAP diluted income per share - Cash and cash equivalents : $ 560 million SANTA CLARA , Calif . , Aug. 26 , 2021 / PRNewswire / -- Marvell Technology , Inc. ( NASDAQ : MRVL ) , a leader in infrastructure semiconductor solutions , today reported financial results for the second quarter of fiscal year 2022 . Net revenue for the second quarter of fiscal 2022 was $ 1.076 billion , which exceeded the midpoint of the Company's guidance provided on June 7 , 2021. GAAP net loss for the second quarter of fiscal 2022 was $ ( 276 ) million , or $ ( 0.34 ) per diluted share . Non - GAAP net income for the second quarter of fiscal 2022 was $ 284 million , or $ 0.34 per diluted share . Cash flow from operations for the second quarter was $ 222 million . " Marvell delivered record revenue of $ 1.076 billion in the fiscal second quarter , above the midpoint of guidance , growing 29 percent sequentially and 48 percent year over year . Growth was driven by the data center , which now represents Marvell's largest end market at 40 percent of total revenue , benefiting from our growing momentum in the fast - growing cloud infrastructure market , " said Matt Murphy , Marvell's President and CEO . " I am pleased that stand - alone Marvell and the acquired Inphi businesses both contributed to our strong year - over - year revenue growth . We expect year - over - year revenue growth will accelerate in the third quarter , led by substantial contributions from the cloud data center market . In addition , we expect our 5G business to continue to grow with strong sequential revenue growth in the third quarter , and a significant step up projected in the fourth quarter . " Historically , the Company reported revenue from three product groups : networking , storage and other . Beginning with the second quarter of fiscal 2022 , the Company is changing its reporting to present revenue from five end markets : data center , carrier infrastructure , enterprise networking , consumer , and automotive / industrial . The company believes this presentation provides a better understanding of its business . For transition purposes , in this press release , the Company is reporting revenue from both product groups and end markets , including providing historical revenue data from end markets for prior periods . Starting with the third quarter of fiscal 2022 , the Company expects to no longer report revenue by product group . We categorize revenue from our five end markets by using a number of data points , including the type of customer purchasing the product , the function of our product being sold , and our knowledge of the end customer product or application into which our product will be incorporated . The categorization of products by end market is inherently subjective and can vary over time , both as a result of continued improvements in our ability to understand the final usage of our products , as well as changes in how our customers utilize our products . Subsequent to quarter end , on August 3 , 2021 , the Company announced the execution of a definitive agreement to acquire Innovium , Inc. in an all - stock transaction . The transaction is expected to close by the end of calendar 2021 , subject to the satisfaction of customary closing conditions , including approval by Innovium's stockholders and applicable regulatory approvals . The financial outlook for the third quarter of fiscal 2022 includes expected results of Inphi for the full quarter . Third Quarter of Fiscal 2022 Financial Outlook • Net revenue is expected to be $ 1.145 billion +/- 3 % . • GAAP gross margin is expected to be 46.3 % to 48.3 % . • Non - GAAP gross margin is expected to be 64 % to 65 % . • GAAP operating expenses are expected to be $ 584 million to $ 594 million . • Non - GAAP operating expenses are expected to be $ 365 million to $ 370 million . • Basic weighted average shares outstanding are expected to be 824 million . • Diluted weighted average shares outstanding are expected to be 841 million . • GAAP diluted loss per share is expected to be $ ( 0.10 ) +/- $ 0.04 per share . • Non - GAAP diluted income per share is expected to be $ 0.38 +/- $ 0.03 per share . GAAP diluted EPS is calculated using basic weighted average shares outstanding when there is a GAAP net loss , and calculated using diluted weighted average shares outstanding when there is a GAAP net income . Non - GAAP diluted EPS is calculated using diluted weighted average shares outstanding . Conference Call Marvell will conduct a conference call on Thursday , August 26 , 2021 at 1:45 p.m. Pacific Time to discuss results for the second quarter of fiscal 2022. Interested parties may join the conference call by dialing 1-888-317-6003 or 1-412-317-6061 , passcode 6573871. The call will be webcast and can be accessed at the Marvell Investor Relations website at http://investor.marvell.com/ . A replay of the call can be accessed by dialing 1-877-344-7529 or 1-412-317-0088 , passcode 10159336 until Thursday , September 2 , 2021 . Discussion of Non - GAAP Financial Measures Non - GAAP financial measures exclude the effect of share - based compensation expense , amortization of the inventory fair value adjustment associated with acquisition , amortization of acquired intangible assets , acquisition and divestiture - related costs , restructuring and other related charges ( including , but not limited to , asset impairment charges , employee severance costs , and facilities related charges ) , resolution of legal matters , and certain expenses and benefits that are driven primarily by discrete events that management does not consider to be directly related to Marvell's core business . Marvell uses a non - GAAP tax rate to compute the non - GAAP tax provision . This non - GAAP tax rate is based on Marvell's estimated annual GAAP income tax forecast , adjusted to account for items excluded from GAAP income in calculating Marvell's non - GAAP income , as well as the effects of significant non - recurring and period specific tax items which vary in size and frequency . Marvell's non - GAAP tax rate is determined on an annual basis and may be adjusted during the year to take into account events that may materially affect the non - GAAP tax rate such as tax law changes ; significant changes in Marvell's geographic mix of revenue and expenses ; or changes to Marvell's corporate structure . For the second quarter of fiscal 2022 , a non - GAAP tax rate of 5.0 % has been applied to the non - GAAP financial results . Marvell believes that the presentation of non - GAAP financial measures provides important supplemental information to ma and investors regarding financial and business trends relating to Marvell's financial condition and results of operations . While Marvell uses non - GAAP financial measures as a tool to enhance its understanding of certain aspects of its financial performance , Marvell does not consider these measures to be a substitute for , or superior to , financial measures calculated in accordance with GAAP . Consistent with this approach , Marvell believes that disclosing non - GAAP financial measures to the readers of its financial statements provides such readers with useful supplemental data that , while not a substitute for GAAP financial measures , allows for greater transparency in the review of its financial and operational performance . Externally , management believes that investors may find Marvell's non - GAAP financial measures useful in their assessment of Marvell's operating performance and the valuation of Marvell . Internally , Marvell's non - GAAP financial measures are used in the following areas : • Management's evaluation of Marvell's operating performance ; • Management's establishment of internal operating budgets ; • Management's performance comparisons with internal forecasts and targeted business models ; and • Management's determination of the achievement and measurement of certain performance - based equity awards ( adjustments may vary from award to award ) . Non - GAAP financial measures have limitations in that they do not reflect all of the costs associated with the operations of Marvell's business as determined in accordance with GAAP . As a result , you should not consider these measures in isolation or as a substitute for analysis of Marvell's results as reported under GAAP . The exclusion of the above items from our GAAP financial metrics does not necessarily mean that these costs are unusual or infrequent .