Penguin Solutions Reports $567 Million Quarter as AI Memory Demand Lifts Revenue 68%

Penguin Solutions reported fiscal fourth-quarter 2026 net sales of $567 million, up 68% from a year earlier, and raised its fiscal 2027 revenue outlook to approximately $2.43 billion. The company, formerly SMART Global Holdings, said AI-driven businesses accounted for 78% of quarterly revenue. Crypto Briefing reported the results on November 5, 2026.

Inside Penguin Solutions' Fiscal Q4 Results

Diluted earnings per share came to $1.00, a 133% increase year over year, and the result beat consensus expectations. The AI-linked slice of revenue grew 141% from a year earlier. Integrated Memory was the standout unit, with revenue up 158% to $341 million, more than half the quarter's sales. Full-year fiscal 2026 revenue was $1.73 billion, up 26%, so the fourth-quarter pace ran well ahead of the annual average.

Penguin added six new AI infrastructure clients in the quarter, four of them neoclouds, the newer cloud providers that rent out GPU computing capacity without being one of the giant hyperscalers. Management guided for non-GAAP diluted EPS of about $4.45 in fiscal 2027 alongside the revenue outlook, which implies roughly 40% growth at the midpoint.

The Motley Fool put the quarter against Micron Technology, whose revenue rose by almost 400% year over year in its fiscal 2026 fourth quarter. Micron CEO Sanjay Mehrotra has projected an even stronger fiscal 2027. Micron makes memory chips at enormous scale, while Penguin focuses on specialty memory modules and AI infrastructure services closer to the customer.

Penguin Solutions' AI Factory Partnerships

According to akta.pro company records, Penguin earned an NVIDIA AI Factory Specialized Partner designation within the NVIDIA Partner Network in June 2026 and launched its full AI Factory product lineup in Japan the same month. The records list a $750 million post-IPO debt round in July 2026 and total funding of $1.1 billion. The company's Full-Stack AI Factory Platform combines software, memory, compute and services.

Deals and Filings Before the Results

On November 4, 2026, Penguin agreed to sell its Cree LED business to Transom Capital Group in an all-cash deal expected to close in the first quarter of 2027, Stock Titan reported. A day earlier, Crypto Briefing reported that SK hynix acquired 200,000 convertible preferred shares for $377.16 million, a 9.1% beneficial ownership stake, in a deal that closed October 29. On October 22, 2026, Zacks named Penguin its Bull of the Day after the company raised fiscal 2027 net sales guidance to about $2.43 billion, Yahoo reported.

What Comes Next for Penguin Solutions

Penguin plans to demonstrate its Full-Stack AI Factory Platform at SC26 in Chicago from November 15-20, 2026, at booth #1723, Stock Titan reported. The Cree LED sale to Transom Capital Group is expected to close in the first quarter of 2027.