Nvidia’s record $57B revenue and upbeat forecast quiets AI bubble talk

Nvidia founder and CEO Jensen Huang struck a positive tone in the company’s third-quarter earnings results. And based on the company’s results, there may be a reason for that.

Nvidia reported revenue of $57 billion during its fiscal third quarter, up 62% compared to the same quarter last year. The company’s net income on a GAAP basis was $32 billion, up 65% year over year. Both revenue and profit results exceeded Wall Street expectations.

The revenue picture shows a company that is thriving, largely thanks to its data center operations.

Revenue generated by Nvidia’s data center business reached a record $51.2 billion, up 25% from the previous quarter and up 66% from a year ago.

Nvidia Chief Financial Officer Colette Kress noted in a statement to shareholders that its data center business is driven by an acceleration of computing, powerful AI models and agentic applications. During the company’s earnings call, Kress said a total of 5 million GPUs had been sold.

“This demand spans every market, CSPs, governments, modern construction companies and supercomputing centers, and includes multiple historic buildouts,” Kress said.

Blackwell Ultra, a GPU unveiled in March and available in several configurations, was particularly strong and is now the leader within the company. Previous versions of the Blackwell architecture also saw continued strong demand, according to the company.

Huang said sales of his Blackwell GPU chips are “off the charts.”

“Blackwell’s sales are off the charts and cloud GPUs are selling out,” Huang said in the company’s third-quarter earnings statement. “The demand for computing continues to accelerate and grow through training and inference – each growing exponentially. We have entered the virtuous cycle of AI. The AI ​​ecosystem is scaling rapidly – ​​with more new base model makers, more AI startups, in more industries and in more countries. AI goes everywhere and does everything at once.”

Importantly, Nvidia forecasts more growth with expected revenue of $65 billion in the fourth quarter, which could see its share price rise more than 4% in after-hours trading.

The result, at least according to Huang: forget the bubble, there is only growth.