Nvidia Beats Q3 Revenue, EPS Estimates, Supply Constraints Ding Stock: Huang Says ‘Age Of AI Is In Full Steam’ (UPDATED)
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Editor’s note: This story has been updated with additional information.
NVIDIA Corporation (NASDAQ:NVDA) continued its streak of beating expectations with third-quarter revenue and earnings per share coming in ahead of Street estimates Wednesday
Nvidia’s Key Q3 Numbers: Nvidia reported third-quarter revenue of $35.1 billion, up 94% year-over-year, which beat a Street consensus estimate of $33.12 billion, according to data from Benzinga Pro.
The company reported earnings per share of 81 cents, which beat Street consensus estimate of 75 cents per share.
The company beat analyst estimates for revenue in nine straight quarters.
The company beat analyst estimates for earnings per share in eight straight quarters.
Analysts and Benzinga readers predicted Nvidia would meet or exceed third-quarter expectations ahead of the report.
“What’s your boldest prediction for Nvidia’s earnings report on Wednesday?” Benzinga asked readers.
The results were:
Meets expectations: 45%
Blowout beat: 42%
Misses expectations: 13%
The majority of Benzinga readers expected the company to meet or beat the estimates from analysts. While more readers expected the company to meet estimates, 42% believed the company would beat estimates Wednesday.
Nvidia’s Q3 Performance By Segment: The data center business posted a quarterly record for revenue in the third quarter.
Here is a look at the revenue performance by operating business segment.
Segment
Revenue
Year-over-Year change
Quarter-over-Quarter change
Data Center
$30.8 billion
+112%
+17%
Gaming & AI PC
$3.3 billion
+15%
+14%
Professional Vizualization
$486 million
+17%
+7%
Auto
$449 million
+72%
+30%
“The age of AI is in full steam, propelling a global shift to NVIDIA computing,” Nvidia CEO Jensen Huang said.
“Demand for Hopper and anticipation for Blackwell — in full production — are incredible as foundation model makers scale pretraining, post-training and inference.
Huang said countries have “awakened to the importance” of AI.
“AI is transforming every industry, company and country. Enterprises are adopting agentic AI to revolutionize workflows. Industrial robotics investments are surging with breakthroughs in physical AI.”
Nvidia Q4 Outlook: Nvidia said it expects fourth-quarter revenue to be $37.5 billion plus or minus 2%.
The company said Blackwell production shipments are scheduled to begin in the fourth quarter of 2025 and will ramp into fiscal 2026. Nvidia said there is a continued demand for Hopper and the initial ramp of Blackwell. Both are seeing “certain supply constraints,” but the company said it was working as hard as it could to ramp up supply.
Demand for the Blackwell greatly exceeds supply and the Blackwell guidance remains on track, the company said. Nvidia expects Blackwell margins to be in mid-70s% when ramped. “Demand for our infrastructure is really great,” Huang said. “Will deliver more Blackwells this quarter than previously estimated.”
Demand for Blackwell is expected to exceed supply for several quarters in fiscal 2026, the company said.
Earnings Call Highlights: Nvidia executives told investors that Blackwell is “in full production” with customers racing to be the first to market with the company’s new product.
The company said the pipeline continues to build and enterprise AI and industrial AI are accelerating.
Nvidia’s gaming segment had a “great quarter” in the third quarter with strong back-to-school sales, the company added. The company said the channel inventory for gaming remains healthy and Nvidia is gearing up for the holiday shopping season.
What’s Next: With the chance of an earnings beat, Benzinga recently asked readers about their expectations for the stock if Nvidia blows out earnings estimates.
“If Nvidia shatters expectations, how high could its stock go by the end of 2024?” Benzinga asked.
The results were:
$150 to $180: 55%
$180 to $200: 26%
Above $200: 18%
Benzinga readers predicted the stock will hit new all-time highs if third-quarter results come in ahead of analyst estimates.
If the stock goes higher, CEO Huang will continue to benefit as one of the key shareholders of the stock. Huang’s wealth soared to $128 billion in 2024, ranking 11th in the world according to Bloomberg.
Huang added $84.3 billion to his wealth and is around $17 billion away from cracking the top 10 richest people in the world milestone. If shares continue to trade higher to the end of the year, this milestone could be within reach.
Check It Out:
Nvidia CEO Jensen Huang. Photo courtesy of Nvidia.
