• Nvidia reported a 262% jump in sales for Q1 2025, beating expectations, signaling the continuing AI boom.
• Nvidia’s data center revenue, which includes AI chips, rose 427% year-over-year to $2.26 billion, driven by strong demand from cloud providers.
• Nvidia announced a 10-for-1 stock split and raised its quarterly cash dividend.
Nvidia reported blowout earnings for its fiscal first quarter, beating expectations and signaling continued strong demand for its AI chips. The results highlight Nvidia’s position at the center of the ongoing AI boom.
Revenue Soars 62% Year-Over-Year
Nvidia’s revenue for the quarter came in at $2.6 billion, up 62% compared to the same period last year and surpassing analyst estimates of $2.46 billion. The standout segment was data center revenue, which includes sales of Nvidia’s GPUs for AI workloads. Data center revenue leapt to $2.26 billion, up 84% year-over-year.
Driving this growth were sales to large cloud providers who are deploying Nvidia’s Hopper GPUs at scale. Cloud demand accounted for 40% of data center revenue. Nvidia’s networking products also saw a boost as high-speed networking is critical for companies building out AI infrastructure.
Gaming and Automotive Businesses Stay Strong
Beyond data center, Nvidia’s other businesses also performed well. Gaming revenue rose 18% to $2.65 billion thanks to ongoing demand for Nvidia’s graphics cards. Professional visualization and automotive revenue came in at $427 million and $329 million respectively.
Profitability Increases Alongside Revenue
With surging top-line growth, Nvidia’s bottom line saw gains as well. Net income rose to $1.5 billion compared to $204 million in the year-ago quarter. Nvidia’s EPS of $0.98 handily beat estimates of $0.59.
Confident Outlook for Current Quarter
Looking ahead, Nvidia expects its hot streak to continue. For the current quarter, the company guided for $2.8 billion in revenue versus analyst estimates of $2.66 billion. Nvidia believes new products like its next-gen Blackwell GPU will drive additional growth.
Conclusion
Nvidia’s first quarter results show that demand for its AI offerings remains extremely strong. With new products on the horizon, Nvidia looks poised to continue growing at a rapid clip even as its revenue base expands into the billions. For investors betting on the AI revolution, Nvidia’s success highlights the trend’s staying power.
