NVIDIA has once again exceeded analyst forecasts in announcing its financial results for the fiscal third quarter. Simply put, the data is stratospheric, with new historical revenue and profit records.
NVIDIA, which has become the most valuable company in the world, recorded $57,006 million in revenue, a 62% year-on-year increase, and $31,910 million in profit, a 65% year-on-year increase. Few will be surprised that its main division today is the data center business that generated the vast majority of revenue: more than $51 billion.
Furthermore, the green giant predicts new revenue increase for the next quarterup to $65 billion, which would be a new historical revenue record. «Blackwell sales (the latest generation of its graphic architecture) have skyrocketed and GPUs for the cloud are out of stock »CEO Jensen Huang said in a statement.
Although many analysts have warned of the ‘AI bubble’the head of NVIDIA insists that the AI era still has a long way to go: «The AI ecosystem is growing by leaps and bounds, with more core model creators, more AI startups, in more sectors and in more countries. AI is present everywhere, encompassing everything, simultaneously ».
At the moment and although very few companies have benefits from AI, the ongoing or projected investments are impressive. AI systems are insatiable in resource consumption and They need colossal infrastructures to feed themespecially the hyperscaler group. It is not surprising that they are taking the majority of business investments.
And that’s where NVIDIA comes in with its flagship product: AI accelerators. The company’s CEO explained last month that they had orders worth $500 billion for the next few years. The resulting data illustrates the situation well: the company’s income has been growing by more than 50% for the last ten quarters.
Although the company leads the sale of dedicated graphics cards for clients, gaming PCs or professional workstations, its current great value is accelerators for data centers, servers for training the large language models that support artificial intelligence technologies.
Until when? NVIDIA shares, after spectacular rises, have been under pressure in recent days due to news indicating some withdrawal of positions by large investors such as billionaire Peter Thiel’s hedge fund and giants such as SoftBank. And the doubts about the sustainability of so much rise around AI are patent and there is no doubt that many of the shares are inflated. We will see.
