Nvidia posted another strong quarterly performance on Wednesday, with revenue more than doubling from a year earlier as demand for chips used to power artificial intelligence systems continued to grow.
Revenue for the quarter ended July 26 came in at $96.2 billion, up 106% year-on-year and 18% from the previous quarter. The figure also exceeded Wall Street expectations of around $92 billion.
Net profit rose 126% to $59.7 billion. The result included $7.8 billion in gains from Nvidia’s investments in AI companies.
Nvidia forecasts $108 billion next quarter
Nvidia expects the momentum to continue. The company has projected revenue of about $108 billion for the current quarter, ahead of analysts’ average estimate of $104.2 billion.
The forecast points to continued spending by technology companies on data centres and AI infrastructure. Nvidia’s biggest customers, including Amazon, Microsoft, Alphabet and Meta, are expected to spend around $800 billion on data centres and AI infrastructure this year.
Industry-wide spending could cross $1 trillion, according to analysts.
Nvidia’s results are closely tracked because the company supplies many of the chips at the centre of the global AI buildout. OpenAI, Anthropic, Meta and Google are among its major customers.
China sales excluded from forecast
Despite the strong outlook, Nvidia said its latest revenue forecast assumes no income from AI chip sales in China.
US export restrictions continue to limit the company’s ability to sell its advanced processors in the Chinese market. Beijing has recently permitted limited shipments of Nvidia’s H200 processors, with ByteDance and Tencent reportedly receiving about 10,000 units each.
The volumes remain below what US export licences would permit.
Nvidia remains world’s most valuable company
Nvidia’s shares have risen about 14% this year, although that performance has lagged some rival chipmakers.
The California-based company nevertheless remains the world’s most valuable publicly traded firm, ahead of Apple. Its market value surged following the launch of ChatGPT and the investment wave in AI that followed.
The company’s latest results come as scrutiny grows over its investments in AI firms that are also major buyers of Nvidia’s chips.