Nvidia’s revenue more than doubled in the past quarter to continue its run of blockbuster growth, but its shares fell as the US chipmaker failed to top the highest expectations for what has become one of Wall Street’s most closely watched companies.
The Silicon Valley-based company sought to reassure investors that it would see “several billion dollars” in revenue this fiscal year from the next generation of its powerful artificial intelligence chips, despite hitting production problems. Nvidia’s outlook for the current quarter fell shy of Wall Street’s most ambitious forecasts.
Revenue in the three months to July 31 was $30bn, up 122 per cent from a year ago. Analysts had expected $28.7bn. Nvidia is expecting $32.5bn in revenue for the current quarter, plus or minus 2 per cent, only just ahead of analysts’ consensus expectations. It also authorised another $50bn in share buybacks.