Credo reported a landmark QQ2 2026 quarter with record revenue of $268.0 million, up 20% sequentially and 272% year-over-year, underscoring the company’s rapid expansion driven by its three existing pillars (AECs and IC solutions) and three new growth pillars (Zero Flap optics, active LED cables (ALCs), and OmniConnect gearboxes). Non-GAAP gross margin reached 67.7%, with non-GAAP net income of approximately $128 million, reflecting significant operating leverage from more than 20% top-line growth. Management reaffirmed a multi-pillared growth strategy aimed at expanding the total addressable market to over $10 billion, with sampling and early revenue for new products anticipated in fiscal 2027 and beyond. The company also highlighted a robust balance sheet, ending Q2 with roughly $814 million in cash and equivalents and a net cash position of about $555 million, enabling continued investment in high-growth initiatives while maintaining a large liquidity buffer. Near-term guidance for Q3 2026 calls for revenue of $335–$345 million and non-GAAP gross margins of 64–66%, signaling ongoing top-line momentum and leverage. While the outlook remains strong, Credo notes tariff and wafer-capacity dynamics as potential headwinds and reiterates a planned mid-single-digit sequential growth trajectory for fiscal year 2027, with gross margins expected to settle in the 63–65% range over the medium term.