Nvidia earnings results: Revenue and EPS moderately beat but shares fall
Earnings headlines:
- Revenue of $96.2
- Gross margin 75% but sees 74.0% next quarter
- EPS $2.22
- Q3 seen at $108B
- Vera Rubin is in full production
- Huang says “compute is revenue"
- Nvidia says not assuming any data center compute revenue from China in its outlook
- Will pay a dividend of $0.25 per share on Oct 1
- NVDA outgoing spending commitments up to $279B from $119B, primarily in memory
Shares are down 3.5% in the initial reaction to $205 per share.
Here is what was expected for Nvidia:
- Q2 revenue estimtes were $91.9B to $92.3B and. Nvidia’s guided range was $91.0B
- Q3 revenue guidance: Wall Street baseline expectations sit at $103B to $104B+ (some talk of even $109B)
- Q2 EPS consensus: $2.08 to $2.09 per share
- Gross margins projected to hold in the mid-70% range
Other things to watch:
- Blackwell and Vera Rubin timelines on shipping
- Hyperscaler spending indications and durability
- End user demand
- Circular financing criticisms
- Calendar 2027 earnings consensus is $9.15, rising to $14.59 in 2028
Here is the pre-earnings chart:
This article was written by Adam Button at investinglive.com.