Cerebras Earnings Lift Outlook After Cloud Surge

Cerebras Systems reported record third-quarter revenue and raised its fourth-quarter and full-year core outlook on Nov. 12, 2026, as earnings reflected new hyperscaler contracts, including a Microsoft cloud deal expected to contribute revenue starting in Q1 2027, alongside contracted data-center capacity.

Record Third-Quarter Revenue and Cloud Growth

For the quarter ended Sept. 30, 2026, Cerebras reported non-GAAP core revenue of $230.9 million, up 70% year over year and 10% sequentially. This exceeded the midpoint of prior guidance by $16 million, or 7%. Core cloud and other-services revenue surged 272% year over year to $144.9 million, highlighting rapid cloud revenue growth. The company posted a core gross margin of 41% and a core operating margin of negative 14% for the quarter.

Hyperscaler Contracts and Raised Guidance

Cerebras announced commercial wins with two new hyperscalers, bringing its total to three in six months, complementing existing relationships with AWS and Oracle. Management identified Microsoft as the newly signed cloud customer, with the agreement finalized in October 2026 and revenue expected to begin in the first quarter of 2027.

The company raised its fourth-quarter core-revenue guidance to a range of $310 million to $330 million and lifted full-year core-revenue guidance to $940 million to $960 million. The outlook, presented on a non-GAAP core basis, reflects new hyperscaler deals, continued growth with existing customers, and contracted data-center capacity. Chief Executive Andrew Feldman said, “These new deals, alongside continued growth and execution with our existing customers, enable us to raise Q4 core guidance across the board.” Management expects revenue to triple in 2027 with expanding gross margins.

Cerebras reported 700 megawatts of data-center capacity under contract. It held cash, cash equivalents, restricted cash, and short-term investments totaling $7.8 billion, with $850 million of available debt capacity.