Nvidia reports $57 bn quarter, shattering AI slowdown fears as Blackwell demand surges

Nvidia has delivered a powerful set of quarterly results, easing concerns of an AI market cooldown and reinforcing its position at the center of the global computing boom. For the quarter spanning August to October, the company reported record revenue of $57 billion, up 22% from the previous quarter and 62% from last year. 

Data-center performance was the standout once again, generating $51.2 billion, a 25% sequential rise and a 66% annual increase, powered by escalating AI infrastructure spending.

The company posted earnings per diluted share of $1.30, matching both GAAP and non-GAAP metrics. Operating income reached $36.01 billion, up 27% from last quarter, while net income climbed to $31.91 billion, marking a 21% sequential and 65% annual increase. On a non-GAAP basis, operating income rose 25% to $37.75 billion, with net income at $31.77 billion, up 23%. Nvidia also returned $37 billion to shareholders this year and holds $62.2 billion for future buybacks.

CEO Jensen Huang underscored accelerating demand for the company’s Blackwell AI platform, noting that cloud GPUs are already sold out. The Blackwell chips, which feature a new Transformer Engine with 4-bit precision, offer major gains in training efficiency and up to 30-fold improvements in inference performance while reducing power consumption. Major cloud providers, server manufacturers and AI companies have already integrated the technology into large-scale model development and deployment.

Nvidia issued an upbeat outlook, projecting Q4 2026 revenue of about $65 billion, above the market expectation of $61.55 billion. The company expects gross margins of 74.8% GAAP and 75% non-GAAP, along with operating expenses of $6.7 billion GAAP and $5 billion non-GAAP.

The strong results helped lift industry peers including AMD, Alphabet and Microsoft in after-hours trading. With data-center demand surging and AI adoption spreading across industries and regions, Nvidia’s latest performance signals that the AI expansion cycle shows no sign of slowing.