Nvidia recorded 96.2 billion dollars in revenue in the second quarter and provides an unprecedented annual outlook in its enthusiasm
Nvidia closed the second quarter of fiscal year 2027 with 96.2 billion dollars in revenue, more than a doubling (106 percent) compared to a year earlier and eighteen percent more than the previous quarter.
The data center division again accounted for the bulk of the income with 89 billion dollars (up 117 percent). The gross margin remained at 75 percent, causing net profit to climb to 59.7 billion dollars. For the current quarter, Nvidia is aiming for 108 billion dollars, in which not a single dollar of Chinese data center revenue has been factored in.
“AI has reached its tipping point,” says CEO Jensen Huang. “Computing power is now revenue. Demand is accelerating.”
Unprecedented annual forecast
More interesting than the quarterly figures is what Chief Financial Officer Colette Kress said on the sidelines of the presentation. Nvidia expects revenue growth of 70 percent in fiscal year 2028, well above the 44 percent analysts were counting on. “Customer forecasts indicate that our growth will double next year,” said Kress, who immediately added that the outlook also takes into account the supply constraints that Nvidia and every other chipmaker are facing.
That statement is at least as telling as the figure itself. Nvidia usually provides no more than one quarter of outlook and is rarely tempted into making annual predictions. The fact that the company is now breaking that habit reads as a response to those who call the AI hype a bubble.
Real orders
Nvidia is the linchpin of the AI hype, but with an important difference compared to other AI players. While companies like OpenAI and Anthropic build their valuation on promises about the future, Nvidia’s market value is based on real orders and sales with high margins. More and more major players are developing their own AI accelerators, but Nvidia’s chips remain the standard in the broader AI ecosystem.