From CNBC: 2024-05-22 20:40:14

Nvidia shares surged past $1,000 in extended trading following a strong fiscal first-quarter report that exceeded analyst expectations. The company’s focus on AI chip production has paid off, with quarterly revenue hitting $26.04 billion, beating LSEG estimates of $24.65 billion. Net income for the quarter reached $14.88 billion, compared to $2.04 billion a year earlier.

Nvidia is preparing for further growth, projecting sales of $28 billion for the current quarter. The data center sales category, including AI chips and additional server components, saw a 427% increase to $22.6 billion in revenue. With the announcement of the next-generation AI chip, Blackwell, Nvidia anticipates even more substantial revenue by the end of the year.

The company is expanding in various sectors, from graphics processing units for AI development and deployment to networking parts. Nvidia reported a significant increase in networking revenue, primarily driven by its InfiniBand products. Additional revenue streams include gaming, professional visualization, and automotive sales, reflecting a broad product portfolio catering to various industries.

In the first quarter, Nvidia also prioritized shareholder returns, buying back $7.7 billion of its shares and increasing its quarterly cash dividend. The stock split announcement, followed by strong financial results and strategic growth plans, underscores Nvidia’s position as a key player in the AI and hardware markets. Stay updated with exclusive Nvidia content on CNBC PRO.



Read more at CNBC:: Nvidia (NVDA) earnings report Q1 2025