:max_bytes(150000):strip_icc()/GettyImages-20187459501-1370dcc1683342849ba1ec6858fafe02.jpg "Nvidia’s earnings beat expectations, but slowing growth weighs on stock")
Key findings
- Nvidia reported second-quarter earnings and revenue that beat analysts’ expectations, even as the pace of growth slowed. Shares fell in trading Wednesday after the release.
- The chipmaker’s revenue and net profit more than doubled from the same period last year as data center sales hit a new record.
- Nvidia CEO Jensen Huang said Blackwell samples were being delivered to partners and customers, but did not provide further information amid reports of delays.
Nvidia (NVDA) reported better-than-expected revenue and earnings for the second quarter of fiscal 2025, even as the pace of growth slowed. Shares fell in further trading on Wednesday following the release.
The chipmaker reported second-quarter revenue of $30 billion, more than double from the same period last year. Net income for the fiscal second quarter was $16.6 billion, also more than double the year-ago figure. Both figures beat analyst expectations compiled by Visible Alpha, although growth slowed compared to previous quarters.
Data center revenues rise to record levels due to demand for artificial intelligence
Data center revenue for the second fiscal quarter was $26.3 billion, a new record and more than double the year-over-year.
“Demand for Hopper remains strong and the anticipation for Blackwell is incredible,” said Nvidia CEO Jensen Huang, adding that the chipmaker “has achieved record sales as global data centers are running at full speed to modernize the entire computing stack with accelerated computing and generative AI.”
Nvidia: Blackwell plans still on schedule
After concerns about reported delays in Nvidia’s Blackwell AI chip sent the company’s stock price into a tailspin earlier this month, the chipmaker said Wednesday that it had begun shipping some samples of its Blackwell chip in the second quarter and expected “multi-billion dollar Blackwell revenue” in the fourth quarter as production ramps up.
The chipmaker gave a better-than-expected outlook for the third quarter of fiscal 2025 and expects sales of around $32.5 billion.
Nvidia’s board also approved a new $50 billion share repurchase plan. The company said it had already completed authorized share repurchases worth $7.5 billion at the end of the first half of the year.
Despite above-average earnings and revenue from Nvidia, the chipmaker’s stock fell more than 5% to $118.40 in extended trading on Wednesday following the release of the company’s earnings results.
