Nvidia CEO Jensen Huang attends the “Profitable the AI Race” Summit in Washington D.C., U.S., July 23, 2025.
Kent Nishimura | Reuters
Nvidia reported better-than-expected earnings and income on Wednesday, and stated gross sales development this quarter will stay above 50%, signaling to Wall Avenue that demand for synthetic intelligence infrastructure exhibits no signal of fading.
The inventory, which is up 35% this yr after virtually tripling in 2024, slipped in prolonged buying and selling as knowledge heart income got here up in need of estimates for the second straight interval.
Here is how the corporate did, in contrast with estimates from analysts polled by LSEG:
- Earnings per share: $1.05 adjusted vs. $1.01 estimated
- Income: $46.74 billion vs. $46.06 billion estimated
Nvidia stated it expects income this quarter to be $54 billion, plus or minus 2%, although that quantity doesn’t assume any H20 shipments to China. Analysts had been anticipating income of $53.1 billion, in accordance with LSEG.
The corporate’s 2026 second quarter outcomes confirmed that Nvidia’s knowledge heart enterprise stays entrenched within the international AI buildout. Nvidia finance chief Colette Kress informed analysts on an earnings name that the corporate expects between $3 and $4 trillion in AI infrastructure spending by the top of the last decade.
Total firm income rose 56% within the quarter from $30.04 billion a yr in the past, Nvidia stated. 12 months-over-year income has now exceeded 50% for 9 straight quarters, relationship again to mid-2023, when the generative AI growth began to point out up in Nvidia’s outcomes. Nonetheless, the second quarter marked Nvidia’s slowest interval of development throughout that stretch.
Through the quarter, after CEO Jensen Huang’s assembly with President Donald Trump, Nvidia signaled that it anticipated to get U.S. licenses to ship the H20 chip to China. The processor, which was customized constructed for gross sales to China, price Nvidia $4.5 billion in writedowns and will have added $8 billion in second-quarter gross sales if it had been commercially out there in the course of the interval, the corporate beforehand stated.
Nvidia stated it bought no H20 chips to China in the course of the quarter, bu benefited from the discharge of $180 million price of H20 stock to a buyer exterior of China. Kress stated that Nvidia may ship between $2 billion and $5 billion in H20 income in the course of the quarter if the geopolitical setting permits.
Web revenue elevated 59% to $26.42 billion, or $1.05 per share, from $16.6 billion, or 67 cents per share, within the year-ago interval.
Nvidia’s development is pushed by its knowledge heart enterprise, centered round graphics processors, or GPUs, and complementary merchandise for connecting and utilizing them in giant portions. Income within the division rose 56% from the year-ago interval to $41.1 billion, which was in need of a StreetAccount estimate of $41.34 billion within the quarter.
Kress stated in an announcement that $33.8 billion of Nvidia’s knowledge heart gross sales had been for “compute,” or Nvidia’s GPU chips, which declined 1% from the primary quarter due to $4.0 billion much less in H20 gross sales. Kress stated $7.3 billion of information heart gross sales had been from networking elements wanted to construct Nvidia’s extra sophisticated programs, which was almost double the quantity from the year-ago interval.
Massive cloud suppliers make up about half of Nvidia’s knowledge heart enterprise, the corporate stated within the earlier quarter. These prospects are at present shopping for Blackwell chips, the corporate’s newest era.
Nvidia stated that Blackwell gross sales rose 17% from the primary quarter. In Might, Nvidia stated its new product line reached $27 billion in gross sales, accounting for about 70% of information heart income.
Nvidia’s earnings report comes just a few weeks after the corporate’s largest prospects, together with Meta, Alphabet, Microsoft and Amazon, introduced outcomes. All 4 of these corporations are spending tens of billions of {dollars} 1 / 4 in infrastructure buildouts as they race to develop AI fashions and companies utilized by customers and companies.
Nvidia’s gaming division reported $4.3 billion in gross sales, up 49% from the year-ago interval. The division was Nvidia’s largest earlier than the AI growth supercharged knowledge heart gross sales. Nvidia stated in the course of the quarter that its GPUs supposed for gaming could be tuned to run sure OpenAI fashions on private computer systems.
The corporate’s robotics division, which administration has highlighted as a development alternative, stays a small a part of Nvidia’s enterprise, with $586 million in gross sales in the course of the quarter, representing 69% development on an annual foundation.
Nvidia stated that its board has accredited a further $60 billion in share repurchases, with no expiration date. Nvidia repurchased $9.7 billion in its inventory in the course of the quarter.
WATCH: What’s subsequent for Nvidia in China
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