Nvidia(US:NVDA) 2 1 Shi Ji Jing Ji Bao Dao·2025-05-29 13:32Core Viewpoint - Nvidia reported strong Q1 FY2026 earnings, exceeding market expectations despite facing export restrictions on AI chips to China, with significant revenue growth driven by AI infrastructure demand [2][7]. Financial Performance - Revenue for the quarter was $44.062 billion, a 69% year-over-year increase and a 12% quarter-over-quarter increase [6]. - Net profit reached $18.775 billion, up 26% year-over-year but down 15% quarter-over-quarter [6]. - Adjusted earnings per share (EPS) was $0.81, reflecting a 33% year-over-year increase [6]. - Gross margin decreased to 61%, down 17.9 percentage points year-over-year [6]. Business Segments - Data center revenue was $39.1 billion, a 73% year-over-year increase, accounting for 89% of total revenue [4][6]. - Gaming and AI PC revenue reached $3.8 billion, a record high with a 42% year-over-year increase [5][6]. - Automotive revenue surged 72% to $567 million, driven by growth in autonomous driving and electric vehicle demand [5][6]. - Professional visualization revenue increased by 19% to $509 million [5][6]. Market Dynamics - Nvidia's CEO highlighted the rising demand for inference models, which is driving exponential growth in inference computing needs [3]. - The company is facing challenges in the Chinese market due to the H20 export ban, which has led to a significant inventory write-down and potential sales loss [7][8]. - Despite these challenges, Nvidia's stock rose nearly 5% in after-hours trading, reaching a market capitalization of approximately $3.288 trillion [3]. Future Outlook - For Q2 FY2026, Nvidia expects revenue to reach $45 billion, accounting for an estimated $8 billion loss from H20 product sales [8]. - The company anticipates a recovery in gross margin to around 72% and operating expenses of $5.7 billion [8]. - Nvidia is transitioning from a GPU company to an AI infrastructure company, emphasizing its comprehensive AI stack capabilities [8][9].