Nvidia has released its Q4 2024 financial results, beating previous forecasts for both revenue and earnings per share. The company also expects revenue to be even higher in the next three months, Yahoo Finance reports.
Key highlights of the report
- Earnings per share were $0.89, compared to expectations of $0.84.
- The company's total revenue reached $39.3 billion, which also beat the previous forecast of $38.2 billion.
- Nvidia expects revenues to grow to $43 billion in the next quarter.
- Data center revenue came in at $35.6 billion, beating the $34 billion forecast.
- Nvidia CFO Colette Kress said 50% of the data center segment's revenue came from cloud providers. The company reported similar results for the third quarter.
- Demand was particularly strong for chips used in data centers that run artificial intelligence systems.
- The company is actively developing its Blackwell microchip line, which has already generated billions of dollars in revenue.
The AI giant's report comes amid the possible introduction of 25% tariffs on chip imports to the US and tighter export controls on shipments to China.
Nvidia is also facing the fallout from the hype surrounding Chinese startup DeepSeek, which developed its models on less powerful chips than its American competitors, challenging the widespread belief that significant investment in powerful hardware is necessary for AI development.
Nvidia remains the leader in the production of AI chips, and competitors have not yet been able to catch up. The company's chips are in high demand not only in Silicon Valley, but around the world.
Major tech companies like Amazon, Google, Meta, and Microsoft are spending billions of dollars building their data centers, and a significant portion of that investment is going directly to Nvidia.
