NVIDIA's latest earnings report further reinforces market confidence in demand for AI infrastructure. The company reported revenue of $96.2 billion for the second quarter of fiscal year 2027, significantly exceeding its prior guidance and Wall Street consensus expectations; revenue guidance for the third quarter has been raised to approximately $108 billion.
This quarter's revenue exceeded market expectations.
The financial report shows that NVIDIA's revenue for the second fiscal quarter increased by 18% sequentially and by 106% year-over-year. Under U.S. GAAP, earnings per share were $2.46; non-GAAP earnings per share were $2.22, with both GAAP and non-GAAP gross margins at 75%.
The market had generally expected the company’s revenue for this quarter to be around $92.2 billion. This means NVIDIA’s actual revenue exceeded the consensus estimate by approximately $4 billion and also surpassed the company’s prior guidance of around $91 billion.
Third-quarter guidance raised to $108 billion
Compared to this quarter’s results, the market is more focused on next quarter’s outlook. NVIDIA expects third-quarter revenue to be approximately $108 billion, with a ±2% range—marking the first time the company’s quarterly revenue guidance has surpassed $100 billion.
Wall Street's previous revenue expectations for this quarter were roughly between $104 billion and $105 billion. The new guidance exceeds the market median, indicating that infrastructure investments related to AI training and inference continue, at least without showing a clear slowdown in the company's revenue.
The industry is paying attention to future statements from management.
Data center business remains the primary driver of this growth cycle. Analysts previously expected data centers to continue contributing the majority of growth, driven by the rollout of Blackwell systems and increasing demand for AI networking equipment.
This earnings report will also impact expectations for the broader AI industry chain. Companies such as Broadcom, AMD, Micron, and TSMC are all viewed by the market as beneficiaries of this same AI investment cycle, spanning networking, accelerators, storage, and manufacturing.
Next, the market will focus on Jensen Huang’s comments during the earnings call, including demand for Blackwell, the progress of Vera Rubin, customer concentration, and whether the gross margin can remain around 75% after quarterly revenue surpasses $100 billion.