American electronics chip giant Nvidia remained on a breakneck growth pace in the third quarter of its staggered financial year, still supported by “steadily increasing” demand, according to its boss, Jensen Huang. Net profit for the quarter ending in late October jumped 65% year-on-year, to $31.9 billion, according to a press release published on Wednesday, a figure that was welcomed on Wall Street, where the group’s action rose nearly 4% in electronic trading after the close.
Reported per share and excluding extraordinary items, the indicator most widely followed by investors, profit came to $1.30, versus the $1.26 expected by analysts. The Nikkei index jumped more than 4% on Thursday shortly after the opening of the Tokyo Stock Exchange this Thursday morning, welcoming these good results.
Unknown to the general public three years ago, Nvidia has become one of the symbols of the generative artificial intelligence revolution, because its graphics processors, also called GPUs, are considered an important ingredient for AI development. Although concerns about a bubble around AI have been growing in recent weeks, Nvidia CEO Jensen Huang’s statement has been eagerly awaited by the market.
The sixty-year-old assured that sales of Blackwell, its most efficient chip for AI applications and remote (cloud) computing, are “out of the ordinary” and that GPUs aimed at the cloud are “all sold out”. “Demand for computing capacity continues to increase,” he added, quoted in a press release. “AI is spreading everywhere and can do anything. »
Turnover increased by 62% compared to the same period last year, to $57 billion. “Nvidia met huge market expectations,” commented Matt Britzman, analyst at Hargreaves Lansdown.
And Nvidia doesn’t see its momentum slowing, banking on its revenue growth of 65% for the current quarter, a much higher pace than analysts expected, with Matt Britzman calling it “terrifying.” Santa Clara Group (California) also announced gross margins of between 74.8% and 75.0%, still for the fourth quarter (closed at the end of January), a level not seen for five quarters.
“There’s been a lot of talk about an AI bubble,” Jensen Huang said during an earnings conference call. “From our position, we see something different. (…) Nvidia is an unrivaled accelerator. »
“These results and forecasts are excellent,” commented analysts at Wedbush Securities, who said “this should reinvigorate investor appetite for the technology sector through the end of the year.”
Revenue is expected to continue to increase
In addition to concerns over the overvaluation of the AI ecosystem, observers question the tendency of California companies to stay ahead of others in the context of increasing competition.
American rival AMD is positioning itself more aggressively on GPUs, while Google has just launched its new generative AI model Gemini 3, developed using only its own chips, Tensor Processing Units (TPU).
During the earnings conference call, Nvidia CFO Colette Kress explained that the company expects to generate approximately $500 billion in revenue from sales of Blackwell and Rubin processors (the new generation of which was announced in late 2026) during the 2025 and 2026 calendar years.
That means the company expects revenue of around $350 billion for the 14 months from November 2025 to the end of 2026. The CFO even warned that this number will “increase.”
The “reach” of Nvidia’s AI and cloud products is “underrated,” says Matt Britzman. “Even if competitors could offer elements of the system, it would be difficult to offer a complete solution like they have. »
The rise of this American company is all the more remarkable because de facto it is now losing sales in China, which was Nvidia’s main market a few months ago, due to export restrictions.
The company earned just $50 million in revenue from China in the third quarter and is not projecting any revenue from that market for the current quarter.
