Nvidia’s revenue more than doubled from last year to $96.22 billion, higher than estimates of $92.17 billion. Its Earnings Per Share (EPS) stood at $2.22, also higher than expectations of $2.1.
What Has Nvidia Guided For FY28?
For the next financial year 2028, Nvidia expects revenue growth of 70%. CFO Colette Kress said on the earnings call that customer forecasts point to growth doubling next year. However, the guidance is reflective of the supply-side constraints that the company faces. The revenue growth guidance figure is also well above the street expectations of 44%.
Nvidia expects revenue in the ongoing third quarter of fiscal 2027 to be $108 billion, with a deviation of 2% on either side. Analysts, on average, had projected the figure to be $105.2 billion.
The One Risk That Nvidia Faces
In its results filing, Nvidia has highlighted indebtedness as a “risk factor.” It said that this indebtedness could adversely affect its financial condition and cash flows going forward.
As of July 26, 2026, Nvidia had $33.5 billion in senior notes outstanding and a commercial paper program worth $25 billion. Senior Notes Outstanding refer to corporate bonds or debt a company owes its shareholders that have top priority for repayment incase it goes bankrupt.
At the end of the quarter, Nvidia also disclosed that it now as debt worth $15 billion due in the next one to five years for repayment, compared to just $2.75 billion it had disclosed in the previous quarter.
“Maintenance of our indebtedness, contractual restrictions, and additional issuances of indebtedness could cause us to dedicate a substantial portion of our cash flows from operations towards debt service obligations and principal repayments,” Nvidia’s statement read.Demand Remains Strong For Nvidia
In an interview with CNBC, Nvidia CEO Jensen Huang cited the company’s agreement with Amazon Web Service (AWS) as proof that demand for AI chips continues to remain strong.
Huang said that in addition to the 2 million GPUs that Amazon plans on buying, it can also purchase millions of CPUs. Amazon also plans on using Nvidia’s technology for its robotics, Huang said.
Revenue from the data center business stood at $89 billion during the quarter, surpassing expectations of $86.33 billion and a year-on-year increase of 117%.
Shares of Nvidia ended the extended trading session 4.3% higher at $209.66. The stock has underperformed most of its other chip peers, gaining only 11% so far this year. As a result of Nvidia’s post-result pop, the Nasdaq futures also surged over 300 points.
