Super Micro Computer (NASDAQ: SMCI) shares fell more than 9% in premarket trading Wednesday after the AI-focused server manufacturer reported quarterly revenue and profit below Wall Street expectations. The company attributed the shortfall to delivery delays caused by recent design changes.

According to Super Micro, “design win upgrades” pushed approximately $1.5 billion in anticipated first-quarter revenue into the current period after a major customer requested configuration adjustments for GPU racks.

CEO Charles Liang explained that the delays were “largely caused by the complexity of these new graphics processing unit racks, which require intricate integration, testing, and validation.”

Analysts at J.P. Morgan noted that, “Profit opportunities have been dramatically different from revenue opportunities in AI compute, with AI server leaders often sacrificing margins to secure large deals, limiting upside for investors.”

Super Micro has emerged as a prominent player in the AI server market, providing high-performance systems for data centers rapidly expanding AI workloads. Its close collaboration with Nvidia (NASDAQ: NVDA) has positioned the company to launch fully integrated systems using Nvidia’s latest GPU architectures, including the Blackwell Ultra series. These efforts underpin Super Micro’s $13 billion GB300 order book, solidifying its role in the AI infrastructure supply chain.

However, analysts from Susquehanna noted that Super Micro’s focus on lower-margin business and aggressive ASP discounts to secure GB300 orders “were not fully reflected in the current valuation.”

Despite the setbacks, the company raised its full-year revenue forecast to at least $36 billion, up from $33 billion, and expects second-quarter revenue between $10 billion and $11 billion—well above Wall Street’s $7.83 billion estimate.

Super Micro shares have surged nearly 56% year-to-date, trading at a price-to-earnings ratio of 16.94. This compares with 9.75 for Hewlett Packard Enterprise (NASDAQ: HPE) and 14.11 for Dell Technologies (NASDAQ: DELL).