Core Viewpoint - NVIDIA reported strong financial results for the first quarter of fiscal 2026, with significant revenue growth despite challenges related to export licensing for its H20 products to China [1][2][4]. Financial Performance - Revenue for Q1 FY26 was $44.1 billion, representing a 12% increase from the previous quarter and a 69% increase year-over-year [1][6]. - Data Center revenue reached $39.1 billion, up 10% from Q4 FY25 and up 73% from Q1 FY25 [9]. - GAAP gross margin was 60.5%, down from 73.0% in Q4 FY25 and 78.4% in Q1 FY25, while non-GAAP gross margin was 61.0% [3][6]. - The company incurred a $4.5 billion charge related to H20 excess inventory and purchase obligations due to new export licensing requirements [2][6]. - Net income for Q1 FY26 was $18.775 billion, a decrease of 15% from Q4 FY25 but an increase of 26% year-over-year [6][16]. Earnings Per Share - GAAP diluted earnings per share (EPS) was $0.76, down 15% from the previous quarter but up 27% year-over-year [3][6]. - Non-GAAP diluted EPS was $0.81, down 9% from Q4 FY25 but up 33% year-over-year; excluding the H20 charge, it would have been $0.96 [3][6][26]. Strategic Developments - NVIDIA's CEO highlighted the strong global demand for AI infrastructure, emphasizing the company's pivotal role in the AI transformation [4]. - The company announced plans to build factories in the U.S. and collaborate with partners to produce AI supercomputers domestically [14]. - NVIDIA introduced several new products and partnerships aimed at enhancing AI capabilities, including the NVIDIA Blackwell Ultra and partnerships for AI factories in Saudi Arabia and the UAE [14]. Outlook - For Q2 FY26, NVIDIA expects revenue of approximately $45.0 billion, reflecting a loss of about $8.0 billion in H20 revenue due to export control limitations [14]. - The company anticipates GAAP and non-GAAP gross margins of 71.8% and 72.0%, respectively, for the upcoming quarter [14][28].