NVIDIA Results Beat in Q1 on Record Growth in Data Center, Gaming By Investing.com

By Yasin Ebrahim

Nvidia (NASDAQ:NVDA) reported Wednesday fiscal first-quarter results that topped expectations as its gaming and data center businesses racked up record growth.

NVIDIA announced earnings per share of $3.66 on revenue of $5.66B. Analysts polled by Investing.com anticipated EPS of $3.28 on revenue of $5.39B.

Shares were little changed in the after-market.

The data center business grew 79% to a record $2.05 billion for the quarter year-on-year.

“Mellanox (NASDAQ:MLNX) has expanded our footprint across the data center. And we are making good progress toward acquiring Arm, which will create enormous new opportunities for the entire ecosystem,” the company said.

Its gaming division generated fourth-quarter revenue of $2.76 billion, up 106% from a year earlier.

Gaming revenue was underpinned by demand for Nvidia’s GeForce RTX 30 Series GPUs. “NVIDIA RTX has started a major upgrade cycle as gamers jump to ray tracing, DLSS and AI,” the company said.

Looking ahead to the fiscal second quarter, the company expected to generate revenue of $6.30 billion, give or take 2%, beating Wall Street forecasts for revenue of 5.47B. Gross margins are expected to be 64.6%, plus or minus 50 basis points.

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