Subhi Agrawal
Nvidia announced earnings after beating the Wall Street speculation and, for the current quarter, offered better performance than expected guidance.
Chipmaker Revenue Continues To Rise
According to StreetAccount, Nvidia stated, that it expects around $32.5 billion in quarter revenue lately, versus $31.7 billion expected by analysts, expanding it 80% from a year earlier.
Nvidia shares down 8% in extended trading.
Revenue at the chipmaker continues to rise, increasing by 122% annual basis for the quarter, after three consecutive periods of annual growth above 200%.
Moreover, net income more than doubled to $16.6 billion, or 67 cents per share, in the quarter from $6.18 billion, or 25 cents per share, in the last year.
Nvidia has been the top benefit from the continuing artificial intelligence boom. Nvidia shares are around 150% this year after rising almost 240% in 2023. Recently, its market outshined $3 trillion, making it a valuable public company second to Apple in the world.
Nvidia highlighted that $3.7 billion in revenue was generated from its networking products.
The company mainly targets cloud service providers and customer internet companies such as Microsoft, Alphabet, Meta, and Tesla. Its chips, including H100 and H200, are used in growing demand for AI applications including OpenAI’s ChatGPT.
“We Expect To Ship Several Billi Dollars”
Several customers are eagerly awaiting Blackwell, Nvidia’s next-generation AI chip.
“In the fourth quarter, we expect to ship several billion dollars in Blackwell revenue,” Nvidia CFO Colette Kress wrote, reported by NBC News.
As per NBC News, Nvidia CEO Jensen Huang said on a call with analysts. “The change to the mask is complete. There were no functional changes necessary.”
“When I said ship production in Q4, I mean shipping out. I don’t mean starting to ship,” he continued.
“Hopper demand remains strong, and the anticipation for Blackwell is incredible,” said Nvidia CEO Jensen Huang, in the press release.
Nvidia also produces chips for high-end graphic designers for cars, and robots. It has also approved $50 billion in buybacks.
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