Nvidia’s Q4 beats expectations on surging AI demand

Business news | February 22, 2024

By Peter Clarke

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Chip market leader Nvidia had quarterly sales of US$22.1 billion in its fourth fiscal quarter, almost 4x the US$6.05 billion the company sold in the same quarter a year before and up 22 percent sequentially.

Wall Street analysts had predicted quarterly sales of US$20.4, which Nvidia beat comfortably by 8.3 percent. Perhaps even more outstanding is Nvidia’s net profit of US$12.3 billion on its sales of US$22.1 billion, a percentage profit of 55.6 percent.

And exceptional sequential revenue growth is expected to continue in the current quarter. Nvidia gave an outlook of US24.0 billion plus or minus 2 percent for the 1QF25.

In the reported quarter the majority of Nvidia’s revenue – some US$18.4 billion – was from sales into the datacentre. This was up 27 percent from 3QF24 and 5x that of the same quarter a year before.

For the full fiscal year 2024, which ended on January 28, 2024, Nvidia made net profit of US$29.76 billion on revenues of US$60.92 billion. The revenue was more than double the US26.97 billion revenue the comany took in fiscal 2023.

“Accelerated computing and generative AI have hit the tipping point. Demand is surging worldwide across companies, industries and nations,” said Jensen Huang, founder and CEO of Nvidia, in a statement. “Our Data Center platform is powered by increasingly diverse drivers — demand for data processing, training and inference from large cloud-service providers and GPU-specialized ones, as well as from enterprise software and consumer internet companies.”