Nvidia topped market expectations with fiscal 2027 second-quarter revenue of $96.2 billion. Nvidia said on Aug. 26 local time it posted fiscal 2027 second-quarter revenue of $96.2 billion and net profit of $59.7 billion. Revenue rose 106 percent and net profit increased 126 percent from a year earlier. Gross margin rose to 75 percent from 72.4 percent a year earlier.

The data center segment drove the results. Revenue in the unit, which runs the artificial intelligence (AI) accelerator business, rose to $89.0 billion, up 117 percent from a year earlier and 18 percent from the previous quarter. That beat Bloomberg's compiled data center estimate of $85.8 billion. Total revenue and profit also exceeded market expectations. Bloomberg's estimates were revenue of $92.5 billion and earnings per share of $2.09, while actual non-GAAP diluted earnings per share came in at $2.22.

Nvidia guided next-quarter revenue at $108.0 billion. It set a plus or minus 2 percent range and forecast gross margin at around 74 percent. The outlook did not include China data center computing revenue.

The stock fell immediately after the earnings release, then rose more than 4 percent in after-hours trading. The rebound was attributed to Chief Financial Officer Colette Kress (콜레트 크레스) citing on a conference call that fiscal 2028 revenue is expected to rise about 70 percent. Kress said the company remains supply constrained and could have doubled next year's revenue otherwise.

Mass production of new products also coincided with the quarter. The Vera Rubin platform entered full mass production during the quarter and adoption is expanding at CoreWeave, Google Cloud, Microsoft Azure, Oracle Cloud Infrastructure and Nebius, the company said. The Groq 3 LPX inference chip, an expanded version of Vera Rubin, also entered full mass production this week.

Chief Executive Officer Jensen Huang (젠슨 황) said, "AI has reached an inflection point and tokens are productive and profitable," and added, "Now compute is revenue." He also said, "The buildout of AI infrastructure is proceeding at full speed," and added, "Vera Rubin, now in full mass production, was made to power this moment."

Financing methods, however, left controversy. Nvidia said it will work with Apollo, BlackRock, Blackstone, Brookfield, Goldman Sachs and KKR to mobilise more than $500.0 billion in external capital for AI infrastructure, and it previously struck a deal to backstop OpenAI data centres. As a structure of providing capital to customers is repeated, a view pointing to circular-finance risk followed.

Kress said, "We recognise the support is large, and we also know some will call it circular finance. We see it differently." Without naming companies, she said, "These are once-in-a-generation companies," and added, "Their technology leadership is proven and customer acquisition and usage are surging. We believe they will become the largest technology companies in history."

Shareholder returns totalled about $26.0 billion this quarter. That included share buybacks and cash dividends. A quarterly dividend of $0.25 per share will be paid on Oct. 1 to shareholders of record on Sept. 10. Nvidia shares rose nearly 39 percent last year and are up 13 percent so far this year, and its market capitalisation is $5.1 trillion.