Nvidia posts revenue up 265% on booming AI business

Nvidia reported fourth fiscal quarter earnings that beat Wall Street’s forecast for earnings and sales, and said revenue during the current quarter would be better than expected, even against elevated expectations for massive growth.

Nvidia shares rose about 10% in extended trading.

Here’s what the company reported compared with what Wall Street was expecting for the quarter ending in January, based on a survey of analysts by LSEG, formerly known as Refinitiv:

• Earnings per share: $5.16 adjusted vs. $4.64 expected
• Revenue: $22.10 billion vs. $20.62 billion expected

Nvidia said it expected $24.0 billion in sales in the current quarter. Analysts polled by LSEG were looking for $5.00 per share on $22.17 billion in sales. 

Nvidia has been the primary beneficiary of the recent technology industry obsession with large artificial intelligence models, which are developed on the company’s pricey graphics processors for servers.

Nvidia CEO Jensen Huang addressed investor fears that the company may not be able to keep up this growth or level of sales for the whole year on a call with analysts.

“Fundamentally, the conditions are excellent for continued growth” in 2025 and beyond, Huang told analysts. He says demand for the company’s GPUs will remain high due to generative AI and an industry-wide shift away from central processors to the accelerators that Nvidia makes.

Nvidia reported $12.29 billion in net income during the quarter, or $4.93 per share, up 769% versus last year’s $1.41 billion or 57 cents per share. 

Nvidia’s total revenue rose 265% from a year ago, based on strong sales for AI chips for servers, particularly the company’s “Hopper” chips such as the H100, it said.

“Strong demand was driven by enterprise software and consumer internet applications, and multiple industry verticals including…