Record Revenue and Strong AI Demand Propel …

Revenue: $35.1 billion, up 17% sequentially and 94% year on year.
Data Center Revenue: $30.8 billion, up 17% sequentially and 112% year on year.
Gaming Revenue: $3.3 billion, increased 14% sequentially and 15% year on year.
Pro-Vis Revenue: $486 million, up 7% sequentially and 17% year on year.
Automotive Revenue: $449 million, up 30% sequentially and 72% year on year.
GAAP Gross Margin: 74.6%.
Non-GAAP Gross Margin: 75%.
Shareholder Returns: $11.2 billion in share repurchases and cash dividends.
Q4 Revenue Outlook: Expected to be $37.5 billion plus or minus 2%.
Q4 GAAP Gross Margin Outlook: Expected to be 73% plus or minus 50 basis points.
Q4 Non-GAAP Gross Margin Outlook: Expected to be 73.5% plus or minus 50 basis points.
Q4 GAAP Operating Expenses: Expected to be approximately $4.8 billion.
Q4 Non-GAAP Operating Expenses: Expected to be approximately $3.4 billion.
Q4 GAAP and Non-GAAP Tax Rates: Expected to be 16.5% plus or minus 1%.

Release Date: November 20, 2024

For the complete transcript of the earnings call, please refer to the full earnings call transcript.

NVIDIA Corp (NASDAQ:NVDA) reported record revenue of $35.1 billion for Q3, up 17% sequentially and 94% year-on-year, surpassing their outlook of $32.5 billion.
Data center revenue reached a record $30.8 billion, with a 17% sequential increase and 112% year-on-year growth, driven by strong demand for NVIDIA Hopper and H200 products.
NVIDIA’s AI enterprise revenue is expected to more than double from last year, with a growing pipeline and annualizing software service and support revenue at $1.5 billion, projected to exceed $2 billion by year-end.
The company is experiencing significant demand for its new Blackwell GPUs, with plans to exceed previous revenue estimates and ramp up supply to meet customer needs.
NVIDIA’s gaming revenue increased by 14% sequentially and 15% year-on-year, supported by strong back-to-school sales and healthy channel inventory.

NVIDIA Corp (NASDAQ:NVDA) faces supply constraints in gaming, which are expected to impact Q4 revenue despite strong sell-through in Q3.
Gross margins are expected to moderate to the low 70s as Blackwell ramps up, with initial configurations potentially impacting profitability.
Networking revenue was sequentially down, despite strong year-on-year growth, indicating potential challenges in meeting demand for networking components.
The company anticipates competitive market conditions in China due to export controls, which could affect future data center revenue from the region.
There are concerns about potential digestion phases in hardware deployment cycles, which could impact growth as the market adjusts to new technologies.