Nvidia posts record $60 billion in revenue amid increased demand for AI, accelerated computing

Nvidia reported elevated ask for generative artificial intelligence (AI) and accelerated computing in its most accepted earnings characterize on Feb. 21.

Jensen Huang, founder and CEO of Nvidia, acknowledged:

“Accelerated computing and generative AI own hit the tipping point. Effect a matter to is surging worldwide one day of companies, industries and worldwide locations.”

Huang added that Nvidia RTX has change true into a “huge PC platform for generative AI” ragged by 100 million avid gamers and creators. He extra described Nvidia’s Data Center platform and its enhance in diverse areas, noting that vertical trade issue is now at a multibillion-greenback level.

Boom earnings

Nvidia’s fourth-quarter earnings hit a fable high of $22.1 billion — up 265% when in contrast with the old twelve months. Within the meantime, earnings for the plump twelve months stood at $60.9 billion, up 126% when in contrast with 2022.

The firm reported a ranking profits of $12.28 billion for the fourth quarter — up 769% every twelve months — whereas ranking profits for the plump twelve months stood at $29.76 billion, up 581% every twelve months.

Diluted EPS for the twelve months stood at $11.93, when in contrast with $1.74 within the old twelve months.

Nvidia forecasted its earnings to soar spherical $24.0 billion, with a probable variation of plus or minus 2%. The firm’s anticipated disagreeable margins stand at 76.3% for GAAP and 77.0% for non-GAAP measures, each and every discipline to a probable 50 foundation point deviation.

The certain earnings precipitated NVDA fragment mark to surge 56.88 factors, or 8.43%, after hours, irrespective of seeing a negative day. NVDA used to be trading at $731 per fragment as of press time, irrespective of closing the day at $674.72.

These certain results coincide with enhance within the firm’s stock. NVDA fragment mark, even if down 19.80 factors (2.85%) nowadays, is up 56.88 factors (8.43%) after-hours

Data center division

A predominant chunk of the firm’s yearly earnings used to be generated by the data center industry, which noticed fable enhance one day of the last twelve months as AI know-how spread one day of the globe.

Nvidia’s Data Center division reported a fable-breaking fourth-quarter earnings of $18.4 billion, marking a 27% magnify from the old quarter and a staggering 409% upward thrust from the old twelve months — with annual earnings mountain climbing to $47.5 billion.

The expansion used to be driven by a entire lot of strategic initiatives and partnerships, at the side of collaborations with Google, Cisco, and Amazon Web Products and providers, amongst others.