NVIDIA Corporation (NASDAQ: NVDA) reported its financial results for the first quarter of fiscal year 2026 on May 28, 2025, after the market closed. The company's performance showcased significant growth, driven by its data center segment, but also highlighted challenges due to recent U.S. export restrictions.
📊 Financial Highlights
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Revenue: $44.1 billion, up 12% quarter-over-quarter and 69% year-over-year.
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Data Center Revenue: $39.1 billion, increasing 10% sequentially and 73% annually.
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Gaming Revenue: Reached a record $3.8 billion, up 48% from the previous quarter. Stock Titan
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Net Income: $18.8 billion, or $0.76 per share, compared to $14.9 billion, or $0.60 per share, in the same quarter last year. AlphaStreet
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Adjusted Earnings Per Share (EPS): $0.81, exceeding analyst expectations of $0.75. AlphaStreet
⚠️ Impact of U.S. Export Restrictions
In April 2025, the U.S. government imposed new export licensing requirements for NVIDIA's H20 AI processors to China. This led to a $4.5 billion charge related to excess inventory and purchase obligations. Excluding this charge, the non-GAAP gross margin would have been 71.3%, but it was reported at 61.0%.
NVIDIA was unable to ship an additional $2.5 billion worth of H20 products in Q1 due to these restrictions. The company is actively seeking export licenses and advocating for relaxed regulations, warning that continued limitations could encourage China to develop its own competing hardware ecosystem.
🔮 Forward Guidance
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Q2 Revenue Forecast: $45.0 billion, plus or minus 2%, slightly below analyst expectations.
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Gross Margins: Expected to return to the mid-70% range later this year. Stock Titan
🧠AI and Infrastructure Developments
NVIDIA announced that its Blackwell NVL72 AI supercomputer is now in full-scale production across system makers and cloud service providers. The company is also expanding its global AI infrastructure through partnerships in Saudi Arabia, the UAE, and Taiwan. NVIDIA Newsroom
📞 Earnings Call Details
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Date: May 28, 2025
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Time: 2:00 PM Pacific Time (5:00 PM Eastern Time)NVIDIA Newsroom
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Access: A live webcast and replay are available on NVIDIA’s investor relations website. Investopedia NVIDIA Newsroom
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📈 Stock Performance
Following the earnings report, NVIDIA's stock experienced a 1% increase in after-hours trading and has risen 25% over the past month. Analysts maintain a positive outlook, with price targets ranging between $120 and $160 per share, reflecting confidence in the company's continued growth trajectory.
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