Nvidia's Earnings Soar as AI Hits the Mainstream

Nvidia has announced the company's financial results for the fourth quarter that reported a revenue of $22.1 billion, 22% higher from Q3 and 265% increased from last year.

The full year revenue was $60.9 billion, which increased 126% from last year. Contributing to the company's success is its AI platform and data centre platform. Nvidia's data centre was up 27% fromQ3 at $18.4 billion, 409% higher than 2023. In the company's outlook for fiscal 2025, revenue is expected to his $24 billion.

The surge in Nvidia's earnings has made the chip-making company the third-most valuable US-listed company in the stock market, following Microsoft and Apple, having stepped over Amazon and Alphabet to do so.

Founder and CEO of Nvidia, Jensen Huang, stated that there will be new major products to be revealed in their future for this year, "Accelerated computing and generative AI have hit the tipping point. Demand is surging worldwide across companies, industries and nations."

As the US has placed trade restrictions on China, the BBC reported that it might limit Nvidia's future development concerning access to supply chains. Constraints due to competition and regulation could also be in the company's future.

Earlier this week, Nvidia announced its collaboration with Google to launch AI platforms for Gemma, Google's open language model.

(Source: Finextra)