Credo Technology Group Holding Ltd at Goldman Sachs Communacopia & Technology Conference Transcript

The following is excerpted from the question-and-answer section of the transcript.

Question: James Schneider, Ph.D. - Goldman Sachs Group Inc - Analyst : Yeah. One question we get all the time from investors is what is the total available market for AECs? And how do you kind of contextualize that in terms of the overall connectivity TAM for data centers?

Question: James Schneider, Ph.D. - Goldman Sachs Group Inc - Analyst : Yeah. How do you think about what types of connections AECs ultimately displace? Is it optical conventional copper? What is it?

Question: James Schneider, Ph.D. - Goldman Sachs Group Inc - Analyst : Okay. On your AEC business, can you maybe talk to the primary use cases that are being adopted today? What have been the biggest kind of drivers of adoption? What other use cases do you think AECs can be -- can address in the future?

Question: James Schneider, Ph.D. - Goldman Sachs Group Inc - Analyst : Yeah. And based on your conversations with customers, what kind of pushback are you getting, if any, on the adoption of AEC?

Question: James Schneider, Ph.D. - Goldman Sachs Group Inc - Analyst : Yeah. There are still customers where light hasn't gone on.

Question: James Schneider, Ph.D. - Goldman Sachs Group Inc - Analyst : Here you go. Our passive optical cables or copper cables excuse me, improving in performance at all or providing comparable ROI in any way? REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. SEPTEMBER 10, 2025 / 10:45PM, CRDO.OQ - Credo Technology Group Holding Ltd at Goldman Sachs Communacopia & Technology Conference

Question: James Schneider, Ph.D. - Goldman Sachs Group Inc - Analyst : Yeah. Maybe switching to the business trends a little bit. I think you ramped up your AEC revenue pretty rapidly. And I believe you're set to grow with two additional hyperscale customers in the back half of '26. Help us understand the visibility you have into the business the nature of the

Question: James Schneider, Ph.D. - Goldman Sachs Group Inc - Analyst : Great. Maybe help us think about how you conceptualize the opportunity for pricing uplift generation to generation on your AEC products?

Question: James Schneider, Ph.D. - Goldman Sachs Group Inc - Analyst : Yes.

Question: James Schneider, Ph.D. - Goldman Sachs Group Inc - Analyst : Yeah. Another question that I get a lot in terms of competition in the space is as more people enter the space because obviously, this kind of market is going to track more competition. How do you balance competition for market share relative to gross margins? And then maybe just kind of give us the context about the value you provide that helps keep commoditization in check?

Question: James Schneider, Ph.D. - Goldman Sachs Group Inc - Analyst : Yeah. One of your innovations, you mentioned it before, a bit of a surprise to me initially in the market there's been your 7 meter AEC cable. Apart from your first customer, tell us about the interest in that specific product? And then maybe conceptually, how much longer you think you can make connection electrical without losing performance or signal integrity?

Question: James Schneider, Ph.D. - Goldman Sachs Group Inc - Analyst : What's the customer interest been in the 7 meter?

Question: James Schneider, Ph.D. - Goldman Sachs Group Inc - Analyst : Yeah. I think the market has a view that your AEC revenue is somewhat levered to a couple or one custom ASIC program or custom basic programs in general. In other words, as your shipments -- their shipments go years will follow or maybe years lead and there's follow you wait, especially your largest customer, do you think that's a true statement?

Question: James Schneider, Ph.D. - Goldman Sachs Group Inc - Analyst : Yeah. And then talk about how you may participate in merchant accelerator clusters as well?

Question: James Schneider, Ph.D. - Goldman Sachs Group Inc - Analyst : Great. And you referenced the right, I referenced before, the two additional hyperscale customers. Maybe talk about how you expect them to ramp relative to your lead customer?

Question: James Schneider, Ph.D. - Goldman Sachs Group Inc - Analyst : Maybe away from AECs for a moment. You've talked about the value proposition of linear received optics or LRO. From a power perspective, maybe help us understand how adoption has been the level of interest you've seen and how big this LRO offering can be in the context of your overall optical DSP business?

Question: James Schneider, Ph.D. - Goldman Sachs Group Inc - Analyst : Yeah. And maybe just talk about the competitive landscape you see in that market especially given Marvell's dominant in DSP and the fact that Broadcom obviously has a lot of scale to go after the opportunity if it becomes big?

Question: James Schneider, Ph.D. - Goldman Sachs Group Inc - Analyst : Yeah. Fair enough. I'm going to leave you out the conversation. Let's talk about financials. Your gross margins, you've been trending above your long-term guidance of 63%, 65% despite lower IP revenue contribution. What's driving the strength in gross margins right now?

Question: James Schneider, Ph.D. - Goldman Sachs Group Inc - Analyst : Fair enough. And maybe talk about some of the key areas of R&D you're most focused on and whether you expect R&D intensity to go up at all? REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. SEPTEMBER 10, 2025 / 10:45PM, CRDO.OQ - Credo Technology Group Holding Ltd at Goldman Sachs Communacopia & Technology Conference

Question: James Schneider, Ph.D. - Goldman Sachs Group Inc - Analyst : Just sort of philosophically, you've -- well, let me just ask you broadly, long term, do you think Credo is going to remain a pure-play connectivity company? And do you have an ambition to diversify in other products in the future?

Question: James Schneider, Ph.D. - Goldman Sachs Group Inc - Analyst : Yeah. Very good. And then maybe lastly, you've met with a lot of investors today and presumably over the last several weeks since you reported. Maybe you can give us a sense about what is the one piece of the Credo story you think is underappreciated or missed or misunderstood by investors right now?

Question: James Schneider, Ph.D. - Goldman Sachs Group Inc - Analyst : Excellent. Well, I think the stock price speaks volumes about that, what people think. So thanks very much for being here. We appreciate you coming.