Nvidia Financial Report highlights Demand for AI Technology

Nvidia’s recent financial report, highlighting a surge in demand for accelerated processing and generative AI.

In their most recent financial report, released on February 21st, Nvidia detailed rising demand for accelerated processing and generative artificial intelligence (AI).

The CEO and founder of Nvidia, Jensen Huang, stated:

“Accelerated computing and generative AI have hit the tipping point. Demand is surging worldwide across companies, industries and nations.”

Nvidia RTX, according to Huang, has grown into a “massive PC platform for generative AI” that 100 million creators and gamers utilize. Noting that vertical industry use is now at a multibillion-dollar level, he went on to highlight Nvidia’s Data Center technology and its expansion in numerous areas.

Accumulate profits

With a 265% year-over-year increase, Nvidia’s record-breaking fourth-quarter revenue was $22.1 billion. As a whole, sales were $60.9 billion, a 126% increase from the previous year.

Net income for the year came to $29.76 billion, an increase of 581% year-over-year, and for the quarter it was $12.28 billion, an increase of 769%.

For the year, diluted earnings per share were $11.93, up from $1.74 the year before.

With a margin of error of plus or minus 2%, Nvidia predicted that its revenue would be approximately $24.0 billion. There is a 50 basis point margin of error for both GAAP and non-GAAP gross margin projections, but the company is projecting 76.3% and 77.0%, respectively.

Despite having a bad day, NVDA’s share price surged 56.88 points, or 8.43%, after hours due to the favorable earnings. NVDA closed the day at $674.72 a share, but as of press time, it was trading at $731 per share.

The stock price of the corporation has risen in tandem with these encouraging outcomes. The stock price of NVDA has fallen 19.80 points, or 2.85%, today, but it has risen 56.88 points, or 8.43%, after-hours.

Department of data centers

The data center division—which accounts for a sizable portion of the company’s annual revenue—had record growth in the last year due to the widespread adoption of AI technology around the world.

Record-breaking fourth-quarter revenue of $18.4 billion was reported by Nvidia’s Data Center division, up 27% from the previous quarter and an astounding 409% from the previous year. As a result, annual revenue climbed to $47.5 billion.

Collaborations with Google, Cisco, and Amazon Web Services were among the many strategic efforts and partnerships that drove the expansion.