- NVIDIA Corp. (NDAQ:NVDA; NEO:NVDA) exceeded market expectations with its fiscal Q1 2025 financial results
- The tech company reported a record quarterly revenue of US$26.0 billion, an 18 per cent increase from the previous quarter and a 262 per cent jump compared with the same period last year
- NVIDIA’s data centre segment, a significant driver of its growth, also hit an all-time high with revenues of US$22.6 billion, up 23 per cent from Q4 and a 427 per cent year-over-year increase
- NVIDIA stock last traded at C$89.60 per share on the NEO Exchange and US$949.50 on the Nasdaq
NVIDIA Corp. (NDAQ:NVDA; NEO:NVDA) exceeded market expectations with its fiscal Q1 2025 financial results that were announced after markets closed Wednesday.
The tech company announced record-breaking revenues and a significant stock split that continues to solidify its status as a leader in the artificial intelligence (AI) and semiconductor industries.
The company reported a record quarterly revenue of US$26.0 billion, an 18 per cent increase from the previous quarter and a 262 per cent jump compared with the same period last year. NVIDIA’s data centre segment, a significant driver of its growth, also hit an all-time high with revenues of US$22.6 billion, up 23 per cent from Q4 and a 427 per cent year-over-year increase.
This surge in revenue points to the demand for NVIDIA’s advanced chips, which are essential for powering data centres that handle complex AI tasks. Enterprises across various industries are investing heavily in these semiconductors to enhance their AI capabilities.
NVIDIA, the world’s largest semiconductor manufacturer, saw its net income soar over sevenfold from the previous year, reaching US$14.88 billion in Q1, up from US$2.04 billion the years before. This growth was mirrored in the company’s earnings per share, which adjusted for one-time items, came in at US$6.12. This figure significantly surpassed Wall Street analysts’ expectations of US$5.60, according to FactSet.
In addition to its financial results, NVIDIA announced a 10-for-1 forward stock split. This move is aimed at making the company’s shares more accessible to a broader range of investors and employees. The stock split reflects NVIDIA’s confidence in its long-term growth prospects.
Each record holder of common stock as of the close of market on June 6 will receive nine additional shares of common stock, to be distributed after the close of market on June 7, according to NVIDIA. Trading is expected to commence on a split-adjusted basis at market open on June 10.
Jensen Huang, NVIDIA’s CEO, commented on the results in a news release, saying, “Our record-breaking performance this quarter highlights the transformative role NVIDIA’s technologies play in the AI and data centre markets. We are uniquely positioned to drive and benefit from the accelerated adoption of AI across various industries.”
Looking ahead, NVIDIA provided an optimistic outlook for its Q2 2025, forecasting revenue above current market estimates.
NVIDIA Corp. accelerates computing to help solve computational problems. The company has two segments. The computer and networking segment includes its data centre accelerated computing platform, networking, automotive AI cockpit, autonomous driving development agreements and autonomous vehicle solutions, as well as electric vehicle computing platforms, Jetson for robotics and other embedded platforms, along with NVIDIA AI Enterprise and other software and cryptocurrency mining processors. The graphics segment includes GeForce GPUs for gaming and personal computers.
The Santa Clara, California-based company’s shares did not respond positively to the news, dropping more than 4 per cent in after-hours trading. Regardless, NVIDIA stock has been trading near all-time highs. While NVIDIA shares moved lower as the markets closed on Wednesday, it has risen more than 200 per cent since this time last year.
NVIDIA stock (NDAQ:NVDA; NEO:NVDA) last traded at C$89.60 per share on the NEO Exchange and US$949.50 on the NASDAQ.
Join the discussion: Find out what everybody’s saying about this stock on the NVIDIA Corp. Bullboard, and check out the rest of Stockhouse’s stock forums and message boards.
The material provided in this article is for information only and should not be treated as investment advice. For full disclaimer information, please click here.