Marvell Stock Drops After Hours on Delayed Impact of Google Deal

Marvell Technology reported record revenue of $2.739 billion in its Fiscal Q2 2027, a 37% increase from last year and a 13% increase over Fiscal Q1 2027. The company's Data Center business saw a 46% growth over the same period last year and an 18% increase from Fiscal Q1 2027.

The main driver of this growth was Marvell's custom silicon business, which is expected to more than double next year. Google has added confidence to the company's goal of reaching $10 billion in annual custom silicon revenue by fiscal year 2029.

The company's stock price dropped after hours due to expectations surrounding its deal with Google for custom semiconductors. The agreement was seen as having a significant impact on Marvell's future growth, but the timing of this impact is expected to be in fiscal year 2029 rather than immediately.