Digitimes November 12, 2026 By DIGITIMES neutral

Quanta's AI server boom pushes 3Q26 gross margin below 5%

AI / LLMData Center

Quanta Computer Inc. delivered record revenue and strong earnings in the third quarter of 2026, while its gross margin fell to 4.75% as notebook material costs rose and the mix of higher-priced AI servers pressured profitability. CFO Elton Yang said it was basically impossible to improve gross margin while keeping revenue from falling, and the company expects the margin to decline further in the fourth quarter.

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Quanta's AI server boom pushes 3Q26 gross margin below 5%

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