Nvidia (NVDA) unveiled its third-quarter earnings post-market on Tuesday, surpassing Wall Street’s projections and maintaining the spotlight on artificial intelligence as a prime focus for investors.
Earnings stood at $4.02 per share with revenue hitting $18.12 billion, outperforming analyst forecasts. Bloomberg data had anticipated earnings at $3.36 per share with revenue around $16.1 billion.
Projections for the forthcoming quarter put revenue at $20 billion, plus or minus 2%, contrasting with analysts’ estimates of $17.8 billion.
Kress, in a statement, highlighted, “Our sales in areas like China, subject to licensing requirements, have typically contributed 20-25% of Data Center revenue recently.” He further added, “We anticipate a substantial decline in these sales in Q4 of fiscal 2024. However, we anticipate compensating for this with robust growth in other regions.”
Nvidia’s Data Center revenue, encompassing its AI chips, hit $14.51 billion, well above the anticipated $12.82 billion. Gaming revenue also exceeded expectations, reaching $2.86 billion for the quarter compared to analysts’ forecast of $2.7 billion.
Post-announcement, Nvidia’s stock faced a slight downturn of approximately 1% in after-hours trading on Tuesday.