Key Points
- Revenue reached $46.7 billion, up 56 percent YoY.
- Data‑center sales hit $41.1 billion, driven by Blackwell GPUs.
- Net income rose to $26.4 billion, a 59 percent increase.
- Blackwell contributed $27 billion in data‑center revenue.
- Nvidia supported OpenAI’s gpt‑oss models, processing 1.5 million tokens per second.
- No H20 chip sales to China; $650 million sold to a non‑Chinese customer.
- U.S. export arrangement imposes a 15 percent tax on advanced GPU shipments to China.
- Projected third‑quarter revenue of $54 billion, excluding H20 shipments to China.
- CEO Jensen Huang called Blackwell “the AI platform the world has been waiting for.”
- CFO Colette Kress highlighted uncertainty around Chinese licensing.
Nvidia, the world’s most valuable technology company, announced a new revenue record, reaching $46.7 billion for the latest quarter, a 56 percent increase compared with the same period a year earlier. The surge was anchored by an explosive rise in its data‑center segment, which posted $41.1 billion in sales, up 56 percent year over year. The segment’s growth was powered by strong demand for the company’s newest generation of graphics processors, the Blackwell series, which alone contributed $27 billion to data‑center revenue.
Financial Highlights
Net income climbed to $26.4 billion, a 59 percent improvement over the prior year’s quarter, underscoring the profitability of Nvidia’s AI‑focused product lineup. The company emphasized that its data‑center earnings now dominate its overall financial picture, reflecting the broader industry shift toward artificial‑intelligence workloads that require high‑performance GPUs.
AI and the Blackwell Platform
CEO Jensen Huang lauded the Blackwell platform as “the AI platform the world has been waiting for,” positioning it at the center of the current AI race. The firm also highlighted its role in supporting OpenAI’s open‑source gpt‑oss models, noting that a single Blackwell rack‑scale system processed 1.5 million tokens per second during a recent demonstration. Huang projected that global AI infrastructure spending could reach $3 to $4 trillion by the end of the decade, reinforcing Nvidia’s strategic focus on AI‑centric hardware.
China Market Constraints
Despite its overall growth, Nvidia disclosed that it made no sales of its China‑focused H20 chip to Chinese customers during the quarter, citing uncertainty around a U.S. export arrangement that requires a 15 percent tax on advanced GPU shipments to China. CFO Colette Kress explained that while some Chinese‑based customers have obtained licenses, no H20 devices have been shipped under those licenses. The Chinese government has officially discouraged the use of Nvidia chips, prompting the company to halt H20 production earlier in the month. Nevertheless, Nvidia reported $650 million in H20 chip sales to a non‑Chinese customer.
Future Outlook
Nvidia forecasted third‑quarter revenue of $54 billion, acknowledging that the figure could vary by up to two‑percent in either direction. The outlook intentionally excludes any H20 shipments to China, reflecting the ongoing regulatory and geopolitical challenges the company faces in that market. Analysts will watch how Nvidia balances its rapid growth in AI‑related demand with the constraints imposed by U.S. export policy and Chinese market sentiment.
Source: techcrunch.com