Nvidia, the world’s most valuable publicly traded company, reported third-quarter revenue of $57 billion, up 62% from a year ago, surpassing analysts’ expectations of $54.9 billion. Net income rose 65% year-on-year to $31.9 billion, beating forecasts of $30.7 billion.
The California-based chipmaker also projected sales of $65 billion for the current quarter, exceeding Wall Street estimates of $62 billion. Following the earnings report, shares rose 4.2% in after-hours trading to $194.35, giving the company a market valuation of $4.6 trillion.
CEO Jensen Huang said demand for the company’s advanced Blackwell chips was “off the charts” and emphasized that computing power requirements “keep accelerating.” He dismissed concerns of an AI bubble, stating: “From our vantage point, we see something very different.”
Founded in 1993, Nvidia became the first trillion-dollar chip manufacturer in May 2023. The company has seen surging demand for its chips amid the boom in generative AI, with major clients including Microsoft, Amazon, Alphabet, and Meta Platforms planning to expand their AI infrastructure investments.
Nvidia has signed multibillion-dollar deals with AI developers including OpenAI and Anthropic, and partnered with rival tech firms to build data centers powered by its chips. Despite the strong financial results, some investors remain cautious about Silicon Valley’s large-scale AI investments, warning of potential overvaluation in the market.
The company’s earnings underscore its central role in the AI revolution, highlighting both the rapid growth in demand for high-performance computing and the scrutiny investors are placing on tech valuations.
