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Nvidia Shatters Expectations With Record Revenue and Bold Fiscal 2028 Outlook
Electronic Technology · Semiconductors · cnbc · 2026-08-27
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Nvidia reported a massive 106% revenue surge to $96.22 billion, while providing an unprecedented long-term forecast that signals accelerating AI demand.
What Happened
Financial Performance and Growth: Nvidia delivered a stellar performance for its fiscal 2027 second quarter, with revenue climbing 106% to $96.22 billion and adjusted earnings per share rising 128% to $2.46. This growth was fueled primarily by the Data Center segment, which reached $89.02 billion in revenue as hyperscalers and enterprise customers continue to invest heavily in AI infrastructure.
Strategic Forward Guidance: In a rare move, management provided a financial outlook for fiscal 2028, projecting a 70% revenue increase that significantly outpaced analyst expectations of 45%. CEO Jensen Huang emphasized that while demand currently exceeds supply, the company is working closely with its supply chain to scale production capacity to meet this long-term trajectory.
Operational Commitments and Partnerships: The company has aggressively expanded its financial commitments to $530.5 billion, focusing on critical components like memory and data center infrastructure. A major new partnership with Amazon Web Services (AWS) will see the deployment of 2 million additional GPUs and the integration of Nvidia's full physical AI software stack for warehouse robotics.
Margin Pressures and Market Outlook: Despite strong topline results, gross margins faced slight headwinds due to rising memory costs, leading to a conservative margin outlook for the coming quarters. Management remains confident that these strategic investments in land, power, and supply chain security will yield excellent returns as the global AI buildout continues to accelerate.