Nvidia(US:NVDA) Mei Ri Jing Ji Xin Wen·2025-05-28 23:37Core Insights - Nvidia reported better-than-expected earnings for Q1 of fiscal year 2026 despite facing export restrictions from the U.S. government, leading to a stock price increase of over 5% in after-hours trading [1][3]. Financial Performance - Revenue for Q1 was $44.1 billion, a 69% year-over-year increase, surpassing analyst expectations of $43.29 billion and Nvidia's own guidance of $42.14 to $43.86 billion. This marks a slowdown from the previous quarter's 78% growth [5][13]. - Non-GAAP adjusted EPS for Q1 was $0.81, a 33% increase year-over-year, which was below the analyst expectation of $0.93. Excluding H20-related costs, EPS would have been $0.96, exceeding expectations by over 3% [5][13]. - Adjusted gross margin for Q1 was 61%, down 17.9 percentage points year-over-year, significantly below the expected 71%. Excluding H20 impacts, the gross margin would have been 71.3%, aligning with analyst expectations [6][13]. Segment Performance - Data Center revenue for Q1 was $39.1 billion, a 73% year-over-year increase, slightly below the analyst expectation of $39.22 billion [7][15]. - Gaming and AI PC revenue reached $3.8 billion, a 42% increase year-over-year, exceeding the analyst expectation of $2.85 billion [7]. - Professional Visualization revenue was $509 million, a 19% year-over-year increase, slightly above the analyst expectation of $505 million [8]. - Automotive and Robotics revenue was $567 million, a 72% increase year-over-year, close to the analyst expectation of $579.4 million [9]. Guidance - For Q2, Nvidia expects revenue to be around $45 billion, with a range of $44.1 billion to $45.9 billion, slightly below the analyst consensus of $45.5 billion [10]. - The expected adjusted gross margin for Q2 is 72.0%, with a range of 71.5% to 72.5%, aligning with analyst expectations [11]. - Adjusted operating expenses for Q2 are projected to be approximately $4 billion, with an expected annual growth of around 35% [12]. Strategic Insights - CEO Jensen Huang highlighted the production of the Blackwell MVL72 AI supercomputer and discussed the increasing demand for AI capabilities across various industries [16][17]. - Huang emphasized the significance of the Chinese AI market, noting that U.S. export restrictions have impacted Nvidia's business in China, which is a critical market for AI development [22][23].