Nvidia's AI Chip Surge: $39.3B Revenue, 78% YOY Growth
1min read Nvidia's Q4 revenue surged by 78% year-over-year, driven by a soaring demand for its AI-specific chips. The company's quarterly revenue reached $39.3 billion, exceeding Wall Street's expectations of around $38 billion. Nvidia expects its Q1 FY2026 revenue to be approximately $43 billion, aligning with market estimates of $42 billion.
Nvidia CEO Jensen Huang attributed the remarkable demand to the company's Blackwell AI chips, which he believes adds another dimension to Moore's Law. According to Huang, increasing training compute makes the model smarter, while enhancing inference compute makes the answers smarter. This innovative approach has significantly contributed to Nvidia's impressive financial performance.
The strong demand for Nvidia's AI chips has been fueled by the growing adoption of artificial intelligence in various industries. As AI continues to revolutionize businesses and societies, the need for powerful and efficient AI-specific chips has become increasingly crucial. Nvidia's ability to meet this demand has positioned the company as a leader in the AI chip market.
Nvidia's stock price responded positively to the news, surging over 3.5% in after-hours trading. This significant increase reflects investors' confidence in the company's growth prospects and its ability to capitalize on the burgeoning AI market. As the demand for AI chips continues to soar, Nvidia is well-positioned to maintain its competitive edge and drive further growth in the coming quarters.
