By Sarah Parvini
Los Angeles (AP)-NVIDIA reported a rise in profit and sales within the fourth quarter on Wednesday as a requirement for his specialized Blackwell chips, the bogus intelligence systems, and sent the corporate's stock higher after hours.
For the three months that ended on January 26, the Santa Clara, based in Santa Clara, achieved sales of 39.3 billion US dollars, a rise of 12% in comparison with the previous yr. 89 cents per share was earned for unique items.
“The demand for Blackwell is amazing because the argumentation of AI adds another scaling law – increasing calculation for training makes models of intelligent and increasing calculation for long thinking makes the answer intelligent,” said Nvidia founder Jensen Huang in a press release.
Nvidia has increased the large production of Blackwell Ai-Supercomputers, said Huang:
“The AI is increasing at the speed of light when the Agentic AI and the physical AI provide the stage for the next AI wave to revolutionize the largest industries,” he said.
The winning report on Wednesday exceeded the expectations of Wall Street. According to the very fact set, analysts with sales of 38.1 billion dollars of $ 85 per share of 38.1 billion dollars expected. Nvidia reported a net results of 22.06 billion US dollars within the fourth quarter and exceeded the predictions of the analysts of $ 19.57 billion. The Tech giant expected sales to proceed to grow and forecast around 43 billion US dollars in the primary quarter of the 2026 financial yr.
The sales of the information center, which makes a big a part of NVIDIA's income, were a central a part of this ascent and sales of the fourth quarter was $ 35.6 billion, which corresponds to a rise of 93% in comparison with one yr ago.
The growth of the information center market comes when President Donald Trump recorded a three way partnership that invests as much as 500 billion US dollars for infrastructure, that are sure by a brand new partnership between Openaai, Oracle and Softbank. According to the White House, the Stargate project will begin to create data centers and energy generation for the further development of AI. Nvidia is a partner on this project.
Colette Kress, Chief Financial Officer from Nvidia, said on Wednesday afternoon on Wednesday afternoon that Blackwell's turnover exceeded the corporate's expectations within the fourth quarter.
“In the fourth quarter of the 2025 financial year, we achieved 11 billion US dollars on Blackwell Architecture revenue, the fastest product ramp in our company's history,” said Kress. “The turnover of Blackwell was led by large cloud service providers who made up for about 50% of our data center turnover.”
The poster child of the AI boom, nvidia Value of over 3 trillion US dollars – And the movement of the share has more weight on the S&P 500 and other indices than any company except Apple. Two years ago, the market value of Nvidia was lower than 600 billion US dollars.
Nvidia and other firms that profit from the AI boom have been one foremost explanation why the S&P 500 has recently increased to record after the record. Your explosion of the profit has contributed to driving the market ahead, despite the concerns about stubbornly high inflation and possible pain for the US economy from tariffs and other guidelines of President Donald Trump.
But these tariffs are still “a stranger,” said Kress, until Nvidia can higher understand what the Trump government's plan is.
“We are waiting,” she said, adding that the corporate would follow all export controls or tariff rules.
The results of the fourth quarter is the corporate's first report because the Chinese company Deepseek had developed a big voice model that might compete with Chatgpt and other US competitors, but was more cost effective when using NVIDIA chips to coach the system for data poles.
The madness over Deepseek caused Nvidia's assets of 595 billion US dollars to vanish briefly. In a press release, nonetheless, the corporate praised Deepseek's work as a “excellent AI progress”, the “widespread models and calculation that fully exported,” widespread “.
“Deepseek R1 inflamed global enthusiasm,” said Huang on Wednesday the winning call. “It is an excellent innovation, but it is even more important that it made it possible for a first-class AI model of first-class argument. Almost every AI developer uses R1 or chain of learning and reinforcement learning such as R1 to scale the performance of their models. “
In conversation with the investors, Huang said that the “next wave” of the KI had “Agentic Ai for Enterprise, Physical AI for robotics and sovereign AI, while the different regions expand their AI for their own ecosystems.”
“We are the focus of this development,” said Huang.
Originally published:
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