Nvidia CEO Jensen Huang stated that compute demand is accelerating and directly tied to power availability, following Q2 results that exceeded analyst estimates.
US chipmaker NVIDIA reported better-than-expected fiscal second-quarter results on Wednesday, issuing revenue guidance that exceeded market estimates and sending its shares up approximately 4 percent in extended trading. For the quarter ended July 26, 2026, the company posted revenue of USD 96.2 billion, representing an 18 percent increase from the prior quarter and a 106 percent jump year-over-year. GAAP and non-GAAP gross margins both stood at 75 percent, while diluted earnings per share came in at USD 2.46 on a GAAP basis and USD 2.22 on a non-GAAP basis, according to a company release.
“AI has reached its inflection point. It’s doing useful work. Its tokens are productive and profitable. Now, compute is revenue. And demand is accelerating,” NVIDIA founder and CEO Jensen Huang said. He noted that the landscape has shifted dramatically: “This time last year, one lab alone was driving the buildout; today, we have a golden age of new AI labs and startups, multiple frontier labs scaling in parallel, a thriving open-model ecosystem and physical AI coming online — with strong momentum across the U.S. and around the world.”
Huang emphasized that the AI infrastructure buildout is “at full steam,” adding that NVIDIA’s Vera Rubin platform was specifically engineered to support this surging demand. Data center revenue reflected this momentum, reaching USD 89 billion for the quarter, up 18 percent sequentially and 117 percent year-over-year. The company confirmed that the Vera Rubin platform is now ramping into full production, with racks actively operating for partners including CoreWeave, Google Cloud, Microsoft Azure, Oracle Cloud Infrastructure, and Nebius.
Looking ahead, NVIDIA expects revenue of USD 108 billion, plus or minus 2 percent, for the upcoming quarter. During the second quarter of fiscal 2027, the company returned approximately USD 26 billion to shareholders through share repurchases and cash dividends, leaving roughly USD 99 billion available under its existing share repurchase authorization.
In strategic developments, NVIDIA announced partnerships with Apollo, BlackRock, Blackstone, Brookfield, Goldman Sachs, and KKR to establish independent compute financing platforms. These initiatives aim to mobilize more than USD 500 billion in third-party capital for AI infrastructure development over time, pending definitive agreements. Additionally, the company revealed that SpaceXAI will deploy NVIDIA Vera CPUs to accelerate its next-generation agentic AI applications. NVIDIA also announced the formation of the Open Secure AI Alliance alongside industry leaders to advance AI safety and security protocols.
On the developer front, NVIDIA highlighted the release of a comprehensive suite of open-source agent tools and skills for physical AI, designed to help developers translate complex robotics, autonomous vehicle, and vision AI workflows into agent-executable tasks. Separately, the company announced that its next quarterly cash dividend of USD 0.25 per share will be paid on October 1, 2026, to shareholders of record as of September 10.