Nvidia, a leader in the manufacture of graphics chips, presented its balance sheet and totaled revenues of US$13,507 million against the US$11,220 million estimated by analysts. It also recorded a profit of $2.7 per share, 29% above market forecasts and 400% more than the result for the same period in 2022.
The company has made $13.5 billion in revenue since May, it revealed in its second-quarter 2024 results, with unprecedented demand for its generative AI chips outweighing any difficulty it may have had selling desktop and laptop GPUs. in a shrinking PC industry.
“Revenues, in addition to exceeding the consensus, reflected a 100% growth in relation to the US$6,704 million obtained in 2022, but they also had an exponential growth compared to the first quarter of the year, exceeding what was reported by 88% “, reported Damián Vlassich, Senior Equity Analyst at IOL investoronline.
The Data Center segment (the company’s main business unit) grew 171% year-on-year and accounted for 76% of Nvidia’s revenue.
Additionally, he announced that is already shipping the NVIDIA GH200 Grace Hopper Superchip processors, used for the development of Artificial Intelligence and employment in high performance computing (HPC).
On the other hand, with regard to Gaming, a segment in which it is the market leader, it reached revenues of US$2,490 million, thus registering growth of 11% compared to the first quarter and 22% in relation to the first quarter. same quarter of the previous year. In addition, he reported that he also began shipping his new flagship video card, the GeForce RTX 4060.
“We consider it interesting to highlight the alliance made with Pixar, Adobe, Apple and Autodesk (Alliance for OpenUSD) to promote the standardization, development, and growth of universal scene description technology. Although for Nvidia this is not one of the core segments, the alliance together with other leading companies is attractive and the momentum it can represent in the future,” revealed Vlassich.
And he assured that “the solid results presented, showing exponential growth and widely exceeding analyst estimates, show how central Nvidia can be for the future, in this new computing era. In this sense, chips made by Nvidia are needed to build and run AI applications like OpenAI ChatGPT and other services with similar features“.
In addition, the board approved the repurchase of shares for a total of US$25,000 million.
Nvidia forecasts revenue of $16 billion next quarter, another jump due to the AI. “We expect sequential growth to be largely driven by the data center,” Nvidia CFO Colette Kress said on the earnings conference call. The company’s share price rose 8.5 percent in after-hours trading.
Source: Ambito
I am a 24-year-old writer and journalist who has been working in the news industry for the past two years. I write primarily about market news, so if you’re looking for insights into what’s going on in the stock market or economic indicators, you’ve come to the right place. I also dabble in writing articles on lifestyle trends and pop culture news.
