Nvidia Says Revenue Has More Than Tripled

AI chipmaker is 'poised for next wave of growth'
By Newser Editors and Wire Services
Posted May 22, 2024 5:17 PM CDT
Nvidia Says Revenue Has More Than Tripled
Nvidia CEO Jensen Huang makes the keynote address at Nvidia GTC in San Jose, California on March 18, 2024.   (AP Photo/Eric Risberg)

Nvidia on Wednesday overshot Wall Street estimates as its profit skyrocketed, bolstered by the chip-making dominance that has made the company an icon of the artificial intelligence boom. Its net income rose more than sevenfold compared to a year earlier, jumping to $14.88 billion in the first quarter from $2.04 billion a year earlier, the AP reports. Revenue more than tripled, rising to $26.04 billion from $7.19 billion in the previous year. The company reported earnings per share adjusted to exclude one-time items of $6.12, well above the $5.60 Wall Street analysts had expected, according to FactSet.

The company also announced a 10-for-1 stock split, a move that it noted will make its shares more accessible to employees and investors. Shares in Nvidia Corp. rose more than 5% in after-hours trading. The company, based in Santa Clara, California, carved out an early lead in the hardware and software needed to tailor its technology to AI applications, partly because founder and CEO Jensen Huang began to nudge the company into what was then seen as a still half-baked technology more than a decade ago. It also makes chips for gaming and cars. The company's stock has grown into the third largest on Wall Street, making it one of the most influential stocks in the market.

"The next industrial revolution has begun—companies and countries are partnering with NVIDIA to shift the trillion-dollar traditional data centers to accelerated computing and build a new type of data center—AI factories—to produce a new commodity: artificial intelligence," Huang said in a statement. He said the company is "poised for our next wave of growth" with its new Blackwell platform. (More Nvidia stories.)

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