The company reported net income of $16.6 billion. (All figures are in U.S. dollars.) Adjusted for one-time items, net income was $16.95 billion. Revenue rose to $30 billion, up 122 percent yr over yr and 15 percent quarter over quarter.
In comparison, S&P 500 firms as an entire are expected to see revenue growth of just 5% for the quarter, in accordance with FactSet. Nevertheless, Nvidia shares fell nearly 4% in after-hours trading.
Third-quarter sales are expected to succeed in $32.5 billion, the corporate said
Ryan Detrick, chief market strategist on the Carson Group, said that despite rising revenues, “the bar seems to have been set just a bit too high this earnings season.”
“Deaths, taxes and NVDA earnings beats are three things you can count on,” Detrick said. “Here’s the problem. The beat was much smaller this time than it has been in the past. Even the forecasts for the future were raised, but again not to the same extent as in previous quarters.”
The company reported adjusted earnings per share of 68 cents per share for the second quarter, in comparison with 27 cents a yr earlier. Nvidia expects revenue growth to $32.5 billion within the third quarter, up 2 percent.
Increasing demand for Nvidia chips and data centers
Nvidia has made the unreal intelligence sector one among the largest firms on the stock market because the tech giants proceed to take a position heavily in the corporate’s chips and data centers needed to coach and run their AI systems.
“People who invest in Nvidia infrastructure are getting an immediate return,” said Jensen Huang, Nvidia founder and CEO, in a call with analysts. “It’s the best investment in infrastructure and computing infrastructure you can make today.”
Demand for generative AI products that may create documents, create images and act as personal assistants has boosted sales of Nvidia’s specialty chips over the past yr. In June, Nvidia briefly rose to develop into the most respected company within the S&P 500. The company is now price over $3 trillion.
