"Data centers propelled NVIDIA's quarterly revenue to over $81 billion"
Original article in Finnish linked below.
You are here. Lumped together with the rest non-business-criticals
"Up to 85% of NVIDIA's revenue came from the data center sector, and the company is now bundling its financial results into just two categories: data centers and edge computing, which includes everything else.
NVIDIA has held its earnings call for the first quarter of fiscal year 2027. As one might expect in the midst of the AI boom, the company's past quarter was another unbelievable success. At the same time, the company decided to announce an $80 billion share buyback program and raise its dividends from one cent to 25 cents per share.
NVIDIA has decided to change the way it reports its financial results. Previously, the company reported data centers, gaming, professional visualization, the automotive market, and OEM/other miscellaneous categories separately. Moving forward, the company will bundle everything into just two categories: data centers and edge computing. Data center revenues will still be split into Hyperscale & AI Clouds and Industrial & Enterprise, but edge computing will not be broken down any further.
NVIDIA's first quarter of fiscal year 2027 brought in a whopping $81.6 billion in revenue, which is a staggering 85% increase compared to the previous year. The company's gross margin rose from 60.5% a year ago to 74.9%. To top it all off, NVIDIA raked in $58.3 billion in net profit.
The data center sector accounted for $75.2 billion of the revenue, while everything else brought in $6.4 billion. Within the data center sector, the pie was split almost evenly: $37.9 billion from the hyperscale side and $37.4 billion from other AI clouds, servers, and similar services. The $6.4 billion from edge computing was not broken down further by category.
For the second quarter of fiscal year 2027, NVIDIA expects a revenue of approximately $91 billion with a 2% margin of error. This figure does not take into account potential revenue from China, should the country decide to permit the delivery of NVIDIA's computing chips again."