Quanta Computer's Record $34.1 Billion Quarter Comes With a 4.75% Gross Margin

Quanta Computer reported record third-quarter 2026 consolidated revenue of NT$1.115545 trillion, roughly $34.1 billion, up 125.2% year-over-year, while gross margin fell to 4.75%. Crypto Briefing reported the results on November 12, 2026. The Taiwanese contract manufacturer makes notebooks and AI server racks for other companies' brands.

Quanta's Record Quarter and the 4.75% Margin

Revenue rose 7.6% from the second quarter. Nine-month revenue came to NT$2.961358 trillion, approximately $90.2 billion, up 99.4% from the same stretch a year earlier, and both the quarterly and nine-month figures set company records. Gross margin fell from 5.02% in the second quarter and 6.85% in the year-ago period, a 27 basis point drop quarter-over-quarter and a 210 basis point decline year-over-year.

Quanta attributed the margin pressure to higher material costs for notebooks, lower notebook shipments and a mix tilted toward pricier AI server racks. Operating profit rose 75.3% year-over-year to NT$32.204 billion, and net profit attributable to the parent company climbed 73% to NT$28.422 billion, or NT$7.08 per share for the quarter. Nine-month earnings per share reached NT$20.03, another company record.

At an investor conference on November 11, 2026, management said servers made up more than 80% of third-quarter revenue, with AI servers at 75-80% of that server revenue. Quanta expects servers to account for 85-90% of total revenue in 2027, with AI servers at 80-85% of server revenue. Executives framed the strategy around absolute profit growth rather than percentage margins.

Quanta's Path From HP Supply to AI Servers

Quanta cut off supply to HP for one week in September 2026, forcing HP to raise prices, a move driven by its surging server business, DIGITIMES Asia reported. In October 2026, Vicor Corporation sought a second US import ban on AI server power hardware from Foxconn, Quanta and Delta, according to DIGITIMES Asia. Also in October 2026, the USITC set a 45-day target for completing a patent investigation involving Quanta, Min News reported.

How Celestica and Dell Compare on AI Revenue

Celestica reported third-quarter 2026 results and projected full-year 2027 revenue of $40 billion, driven by AI infrastructure demand, The Motley Fool reported on November 11, 2026. Dell Technologies posted record fiscal second-quarter 2026 revenue of $47 billion, up 58% year-over-year, with a 20.9% gross margin, The Motley Fool reported on November 10, 2026.

Cisco's November 12 Earnings Report

Cisco is set to report earnings on November 12, 2026, with market expectations of 33% EPS growth and revenue of $18.09 billion, Moomoo reported on November 9, 2026.