NVIDIA posts record quarterly revenue on AI boom, forecasts $78 billion Q1 sales

NVIDIA on Wednesday reported record fourth-quarter revenue that beat Wall Street expectations, driven by surging demand for its artificial intelligence chips.

The world’s most valuable chipmaker said revenue for the quarter rose 73% from a year earlier to $68.1 billion. Full-year revenue climbed 65% to a record $215.9 billion.

Quarterly data centre revenue, which accounts for the bulk of NVIDIA’s sales, jumped 75% year-on-year to a record $62.3 billion.

“Computing demand is growing exponentially — the agentic AI inflection point has arrived,” CEO Jensen Huang said in a statement. “Enterprise adoption of agents is skyrocketing. Our customers are racing to invest in AI compute — the factories powering the AI industrial revolution and their future growth.”.

NVIDIA returned $41.1 billion to shareholders during fiscal 2026 through share repurchases and dividends. It had $58.5 billion remaining under its buyback authorisation at quarter-end.

The company said it would pay a quarterly dividend of $0.01 per share on April 1 to shareholders of record as of March 11.

China excluded from outlook

For the first quarter of fiscal 2027, NVIDIA forecast revenue of $78.0 billion, plus or minus 2%, ahead of analysts’ expectations.

The company said it was not assuming any data centre compute revenue from China in its outlook.

During the quarter, NVIDIA unveiled its Rubin AI platform, which it said would deliver up to a 10-fold reduction in inference token costs compared with its Blackwell platform. Major cloud providers including Amazon Web Services, Google Cloud, Microsoft Azure and Oracle Cloud Infrastructure are expected to deploy Rubin-based instances.

Gaming revenue rose 47% from a year earlier to $3.7 billion, though it fell 13% sequentially following strong holiday demand.

Professional visualisation revenue surged 159% year-on-year to $1.3 billion, while automotive revenue increased 6% to $604 million.

The company, however, failed to impress investors with its latest sales forecast.

Despite delivering an outlook that easily beat the average Wall Street estimate, Nvidia shares fell as much as 1.5% during a conference call with analysts.

The shares rose over 3% in extended trading after the results.

During the conference call, Huang predicted that AI will not go anywhere and will only get better.

“AI is here, AI is not going to go back…AI is only going to only get better from here,” he said.