Following the close of the market on Wednesday, Nvidia Corp. (NVDA), an AI powerhouse, disclosed its fourth-quarter financial outcomes and future projections, which exceeded even the most optimistic forecasts.
In Q4, Nvidia reported non-GAAP earnings per share of $5.16, surpassing the Street’s consensus estimate of $4.64, as per data from Benzinga Pro. Moreover, the company’s fourth-quarter revenue amounted to $22.10 billion, outstripping the Street’s projection of $20.62 billion. Notably, this represented a remarkable 22% increase from the previous quarter and an astounding 265% surge year-over-year.
Breaking down the revenue by sector for the fourth quarter, substantial year-over-year increases were observed:
- Data Center: $18.4 billion, up by an impressive 409%
- Gaming: $2.9 billion, marking a solid 56% increase
- Professional Visualization: $463 million, soaring by 105%
- Automotive: $281 million, experiencing a slight dip of 4%
Jensen Huang, the esteemed Chairman and CEO of Nvidia, remarked on the pivotal moment reached by accelerated computing and generative AI, citing a surge in demand across various sectors globally.
Anticipation for Nvidia’s stellar performance was high among sell-side analysts, with forecasts from Morgan Stanley and Rosenblatt pointing towards a beat-and-raise scenario, fueled by product cycle momentum and upcoming offerings.
Looking ahead, Nvidia anticipates first-quarter revenue to reach $24.0 billion, surpassing the Street’s estimate. Additionally, the company expects non-GAAP gross margins for the first quarter to be around 77.0%.
