Nvidia’s latest quarterly results once again blew past Wall Street’s expectations as revenue for the computer chip company’s high-end artificial intelligence chips soared, the latest sign that AI infrastructure spending remains strong.
The company reported on Wednesday net income of US$59.69 billion, or US$2.46 per share, for the May-July period. That compares to net income of US$26.42 billion, or US$1.08 per share, in the same quarter last year.
Excluding certain items, earnings were US$2.22 per share, well above the US$2.09 per share consensus forecast by Wall Street analysts, according to FactSet.
Revenue more than doubled from a year earlier to US$96.22 billion, surpassing analysts’ average forecast of US$92.27 billion.
The Santa Clara, California, company’s results have regularly cleared the bar set by analysts in the past three years, often by a wide margin, since Nvidia’s high-end chips emerged as AI’s best building blocks.
Along with higher profit and revenue, however, Nvidia’s operating expenses surged 55 per cent to US$8.41 billion.
For the current quarter, Nvidia forecast revenue of about US$108 billion. Analysts are forecasting US$104.86 billion.
If Nvidia hits its revenue target for the August-October period, it will translate into a roughly 89 per cent increase from last year – an indication that Nvidia’s phenomenal growth rate is still accelerating.
Nvidia’s shares fell 1.8 per cent in after-hours trading shortly after it released its latest results. The stock ended the regular trading session 1.6 per cent lower and is up 12.4 per cent so far this year.
AP
