Summary

Nvidia’s quarterly results beat Wall Street expectations again, as the company said massive demand for its high-end AI chips powered strong sales and profits. For the February-April period, the Santa Clara, California-based company reported earnings of $58.32 billion, or $2.39 per share, and revenue of $81.62 billion. That compares with $18.78 billion, or 76 cents per share, and $44.01 billion revenue in the same period a year earlier.

The company’s results arrived after analysts had forecast lower performance for both the profit and revenue lines. According to a FactSet poll, analysts expected Nvidia earnings of $1.75 per share and revenue of $78.91 billion. Nvidia’s earnings per share also came in above the company’s adjusted figure: excluding one-time items, Nvidia earned $1.76 per share.

Nvidia attributed the outperformance to AI demand and said the market has continued to favor its high-end chips as companies expand infrastructure for artificial intelligence. In a statement, CEO Jensen Huang said, “The buildout of AI factories — the largest infrastructure expansion in human history — is accelerating at extraordinary speed.”

Alongside the higher profit and revenue, Nvidia reported that its costs increased as well. The company said operating expenses rose 49% to $7.75 billion, a move that showed up even as sales surged. Nvidia forecast further growth for the current quarter, projecting revenue of about $91 billion, while analysts expected $87.29 billion.

Even with the strong print and outlook, the stock reaction suggested some investors were already focused on whether demand would remain elevated after a multi-year surge in expectations. Shares dipped slightly after hours, to $222.12, after closing at $223.47 in the regular session.

David Wagner, head of equity and portfolio manager at Aptus Capital Advisors, said Nvidia “obliterates expectations and consensus” but cautioned that “the market doesn’t always act as you would expect after a strong report like this one.” He pointed to what investors had expected, especially around data centers, as the key theme behind the company’s results.

Nvidia also signaled additional shareholder returns. The company authorized a plan to buy back $80 billion worth of stock and increased its quarterly cash dividend to 25 cents per share from 1 cent.