Nvidia Q2 Revenue Doubles to $96B, Beats Forecasts
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- Nvidia posted Q2 revenue of $96bn, more than double a year earlier, and guided to $108bn for next quarter, per company remarks on Wednesday.
- Nvidia's data centre division generated $89bn last quarter, up 117% year-over-year, underscoring how heavily the AI buildout depends on its processors used by Amazon, Meta, Google, and Microsoft.
- CEO Jensen Huang said "AI has reached its inflection point," calling the infrastructure buildout "at full steam," while Hargreaves Lansdown's Matt Britzman labeled results "another monster set."
- Nvidia shares rose roughly 4% in after-hours trading after revenue and earnings topped forecasts; Britzman noted next-quarter guidance "points to revenue comfortably above $110bn."
- Nvidia has evolved from chip supplier to financial backer, providing funding to OpenAI, Anthropic, and SpaceX to help underwrite their costly AI infrastructure expansion.
- Nvidia's market capitalisation is now above $5tn, making it the world's most valuable firm; competition from customers designing their own processors and cheaper Chinese suppliers "remains limited for now."
- Roughly 40% of the US stock market sits in ten AI-heavy companies, meaning Nvidia's quarterly prints now move index-level capital flows far beyond the chip sector.
Why it matters: Data centre revenue jumping 117% to $89bn confirms Nvidia's grip on the AI infrastructure stack is near-total despite emerging competition from in-house customer chips and cheaper Chinese suppliers. With Nvidia above a $5tn valuation and ~40% of the US stock market concentrated in ten companies riding the AI trade, a single chipmaker's quarterly print now moves index-level capital flows.
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