Nvidia Just Raised the Bar for the AI Boom 🚀
Nvidia delivered another monster quarter, with revenue more than doubling to $96.22 billion and beating Wall Street expectations of $92.17 billion. Data-center revenue was even stronger, jumping 117% year over year to $89 billion.
The outlook was the real headline. Nvidia expects third-quarter revenue of about $108 billion, comfortably above the $104.19 billion analyst estimate. Management also said it expects revenue to grow about 70% in fiscal 2028.
That guidance suggests demand for AI computing remains enormous. Nvidia is expanding its partnership with Amazon Web Services to deploy an additional 2 million GPUs across Amazon’s infrastructure in 2027 and 2028, showing how aggressively cloud companies are still building AI capacity.
There is one catch. Nvidia expects adjusted gross margin of about 74% next quarter, down from the current level, as the Rubin product ramp and higher memory costs pressure profitability. The company also assumed no data-center chip sales to China in its forecast.
Still, the bigger message is hard to miss: the AI spending machine is nowhere near finished. Nvidia’s numbers reinforce its position at the center of the boom, while raising the expectations and the pressure for every company chasing the AI opportunity.
Nvidia delivered another monster quarter, with revenue more than doubling to $96.22 billion and beating Wall Street expectations of $92.17 billion. Data-center revenue was even stronger, jumping 117% year over year to $89 billion.
The outlook was the real headline. Nvidia expects third-quarter revenue of about $108 billion, comfortably above the $104.19 billion analyst estimate. Management also said it expects revenue to grow about 70% in fiscal 2028.
That guidance suggests demand for AI computing remains enormous. Nvidia is expanding its partnership with Amazon Web Services to deploy an additional 2 million GPUs across Amazon’s infrastructure in 2027 and 2028, showing how aggressively cloud companies are still building AI capacity.
There is one catch. Nvidia expects adjusted gross margin of about 74% next quarter, down from the current level, as the Rubin product ramp and higher memory costs pressure profitability. The company also assumed no data-center chip sales to China in its forecast.
Still, the bigger message is hard to miss: the AI spending machine is nowhere near finished. Nvidia’s numbers reinforce its position at the center of the boom, while raising the expectations and the pressure for every company chasing the AI opportunity.