Nvidia to report substantial revenue growth to $24.65 billion in the first quarter of fiscal year 2025, propelled by robust demand for AI chips.
The global leader in Artificial Intelligence (AI) hardware and software, Nvidia (NASDAQ: NVDA), will release its fiscal first-quarter 2025 earnings report on Wednesday, May 22, 2024, after the market closes.
Analysts anticipate that Nvidia’s revenue for the first quarter of fiscal year 2025 will amount to $24.65 billion, representing a substantial growth compared to the corresponding period 2020.
Analysts on Wall Street expect Nvidia to deliver strong performance. Comparatively, the anticipated revenue of $24.65 billion for the same quarter last year was $7.19 billion, signifying a significant increase.
This expansion is attributable primarily to the soaring demand for products and services associated with AI. In addition, Nvidia’s net income is anticipated to increase dramatically from $2.04 billion a year ago to $12.87 billion. Earnings per share (EPS) is anticipated to grow significantly from $0.82 in the prior year to $5.17.
The financial outlook presented here is a testament to Nvidia’s strong market position and capacity to leverage the expanding artificial intelligence industry.
The organization has a track record of consistently surpassing earnings projections for the past four quarters. As a result of this development, investor confidence and anticipation for the forthcoming earnings report has grown.
Demand For AI Chips Increases Data Center Sales
The data center sector has significantly contributed to Nvidia’s recent achievements. Revenues for the data center segment peaked at $18.4 billion in the fourth quarter of fiscal year 2024, propelled by rising demand for infrastructure and processors capable of executing AI.
For the first quarter of fiscal year 2025, this segment is anticipated to generate $21 billion in revenue. The expansion of this market for AI technology and Nvidia’s capacity to satisfy this demand are highlighted by this growth.
Analysts and investors will monitor the performance of the data center segment attentively. Considering its substantial revenue contribution to Nvidia as a whole, the outcomes of this segment are anticipated to exert a substantial influence on the company’s stock price.
Moreover, the earnings call is anticipated to feature updates on the Blackwell platform, Nvidia’s forthcoming AI computing architecture, a highly anticipated product. These updates may offer additional perspectives on Nvidia’s potential development and technological progress.Â
