Nvidia beats on Q2 revenue, EPS and issues strong Q3 guidance
Nvidia reported Q2 revenue of $96.22 billion and adjusted EPS of $2.22, both above Street estimates. Gross margin was 75.0%, and the company guided Q3 revenue to $105.84 billion-$110.16 billion.
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NVIDIA Corporation (NASDAQ: NVDA ) reported second-quarter financial results Wednesday after market close.
Here are the key highlights.
Nvidia Q2 Earnings Nvidia reported second-quarter revenue of $96.22 billion, up 106% year-over-year.
The revenue total beat a Street consensus estimate of $92.18 billion, according to data Pro.
By segment, revenue was as follows: Data Center: $89.0 billion, +117% year-over-year Edge Computing: $7.2 billion, +27% year-over-year.
Adjusted earnings per share were $2.22 in the quarter, beating a Street consensus estimate of $2.10.
Gross margin was 75.0% in the quarter, up from 74.9% in the first quarter and 72.4% in last year’s second quarter.
The company said Vera Rubin is ramping into full production with CoreWeave, Nebius, Microsoft Azure, Google Cloud and Oracle Cloud named as partners. "AI has reached its inflection point.
It’s doing useful work.
Its tokens are productive and profitable.
Now, compute is revenue," Nvidia CEO Jensen Huang said. "And demand is accelerating." Huang said the company is seeing "strong momentum" in the United States and around the world. "The AI infrastructure buildout is at full steam.
Vera Rubin, now in full production, was built to power exactly this moment." Nvidia ended the second quarter with $99.0 billion under its share repurchase authorization plan.
Read Also: Nvidia Q2 Preview: SpaceX Is Becoming the 'Fifth Horseman,' Gene Munster Says What’s Next for Nvidia Nvidia is guiding for third-quarter revenue to be in a range of $105.84 billion to $110.16 billion.
This represents year-over-year growth of 85.7% to 93.2% from last year’s $57.01 billion quarterly total for the third quarter.
This would represent a lower growth rate than in the second quarter, which could explain why the stock is trading lower after hours.
The current Street estimate is $104.20 billion, according to data Pro.
Guidance does not assume any Data Center compute revenue from China.
The company said shipments of Data Center Hopper products to China in the second quarter were less than 1% of Data Center revenue.
Nvidia Stock Price Action Nvidia stock is down 1.8% to $205.94 in after-hours trading Wednesday versus a 52-week trading range of $164.07 to $236.54.
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Here’s How Many Still Do.
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