Nvidia recorded results significantly exceeding market expectations in the fourth quarter of last year (November 2024 to January 2025). With the revenues and operating profits of its latest product Blackwell fully reflecting the demand for artificial intelligence (AI), it posted a net profit 80% higher than the previous year.
On the 26th (local time), Nvidia announced after the market close that its revenue for the fourth quarter of last year was $39.33 billion, a 78% increase from the same period last year. This surpassed Wall Street's forecast of $38.05 billion.
Net profit recorded was $22.09 billion, an 80% increase year-on-year. The adjusted earnings per share (EPS) was $0.89, exceeding the market expectation of $0.84. The gross profit margin was 73%, a decrease of 3 percentage points compared to a year ago.
Revenues from the data center institutional sector, including graphics processing units (GPUs), surged 93% year-on-year to $35.6 billion. This also exceeded the market expectation of $33.65 billion. Nvidia noted that large customers accounted for about 50% of the data center institutional sector revenue, which is on par with the previous quarter.
In particular, the effect of the new product Blackwell drove the overall upward trend. Colette Kress, Nvidia's chief financial officer (CFO), noted during the conference call that "the revenue from Blackwell has exceeded expectations and is showing the fastest growth in the company's history." She added, "We are increasing supply and expanding adoption."
Jensen Huang, Nvidia's chief executive officer (CEO), also stated, "The demand for Blackwell is astonishing as inference AI adds another layer of expansion. The increase in computing for learning makes the models smarter, and the increase in computing for long-term thinking leads to smarter answers."
He further emphasized, "We have successfully ramped up the mass production of the Blackwell AI supercomputer and achieved billions of dollars in revenue in the first quarter. As agent AI and physical AI set the stage for next-generation AI that will revolutionize the industry, AI is advancing at the speed of light."