NVIDIA hits $96.2 billion revenue as Data Center demand surges 117%

NVIDIA (NVDA) — Q2 Fiscal 2027
Revenue: $96.2 billion, up 106% from a year ago
Net income: $59,688 million (GAAP)
EPS: GAAP and non-GAAP earnings per diluted share were $2.46 and $2.22, respectively
Guidance: Revenue is expected to be $108.0 billion, plus or minus 2%. For the full year fiscal 2027, NVIDIA expects GAAP and non-GAAP tax rates to be between 16.0% and 18.0%
Data Center revenue of $89.0 billion, up 117% from a year ago
Edge Computing revenue was $7.2 billion, up 13% from the previous quarter and up 27% from a year ago
returned approximately $26.0 billion to shareholders in the form of shares repurchased and cash dividends
approximately $99.0 billion remaining under its share repurchase authorization

NVIDIA continues to outrun the reality of physics, posting $96.2 billion in revenue for the second quarter of fiscal 2027, a 106% increase year-over-year that significantly outshipped analyst consensus of roughly $92.1 billion. The company posted non-GAAP EPS of $2.22, comfortably clearing the $2.09 Street expectation, while GAAP net income reached a staggering $59,688 million.

Looking ahead, NVIDIA provided guidance that suggests the AI infrastructure buildout shows no signs of slowing. The company expects revenue for the third quarter of fiscal 2027:

• Expected revenue of $108.0 billion, plus or minus 2% -GAAP and non-GAAP gross margins expected at 74.0%, plus or minus 50 basis points
• GAAP and non-GAAP operating expenses of approximately $9.2 billion and $9.0 billion, respectively

The real story remains the Data Center segment, which serves as the primary bellwether for global AI accelerator demand. Data Center revenue hit $89.0 billion, up 117% from a year ago. This represents an acceleration from the $75.2 billion reported in the prior quarter, signaling that the demand from hyperscalers and frontier labs is expanding into a 'golden age' of new AI startups. CEO Jensen Huang noted that AI has reached its 'inflection point,' with the transition to the Vera Rubin platform now moving into full production.

NVIDIA also signaled its massive capital generation by returning approximately $26.0 billion to shareholders via buybacks and dividends this quarter. The company has $99.0 billion remaining under its share repurchase authorization, with the next quarterly cash dividend set at $0.25 per share.

Investors will now focus on the execution speed of the Blackwell architecture and the material contribution of the Vera Rubin platform as the company manages to maintain these high margins.