U.S. chipmaker NVIDIA reported its financial results for the second quarter of fiscal year 2027, posting quarterly revenue of $96.221 billion, a 106% year-over-year increase that exceeded prior expectations.

This is a robot, photographed at the NVIDIA exhibition on July 17, 2025. 

For the quarter ended July 26, Nvidia posted a net profit of $59.688 billion, up 126 per cent from a year earlier and a gross margin of 75 per cent, according to the results.

Demand for artificial intelligence (AI) infrastructure continues to drive rapid growth in Nvidia's data center business. In the second quarter, Nvidia's data center business revenue reached $89 billion billion, up 117 percent year-over-year.

On the earnings conference call, Nvidia's chief financial officer Kress said that Nvidia's performance growth will accelerate next year, and revenue is expected to increase by 70% in fiscal year 2028. "Demand is accelerating even at the company's current size, and customer forecasts show that our growth will double next year," she said."

Kress said existing downstream customers estimate that the actual demand growth rate for computing power purchases may be close to 100 percent, but due to capacity constraints in the chip supply chain and storage components, NVIDIA's current stable delivery of products can only support about 70 percent of revenue growth.

His statement sends a signal that the company's short-term performance ceiling is not due to insufficient market demand, but to supply bottlenecks in the upstream supply chain.

Nvidia founder and CEO Rensen Huang said that artificial intelligence has reached a "turning point" and is playing an important role. "Computing power is turning into revenue" and demand is accelerating. A year ago, he said, the infrastructure was largely driven by a handful of large AI labs. Today, new AI labs and start-ups are emerging, multiple leading-edge labs are expanding, the open model ecosystem continues to grow, and the development of physical AI is accelerating.

Nvidia expects its revenue to reach $108 billion billion in the third quarter of fiscal year 2027, with a fluctuation range of 2%. Gross profit margin is 74%, with a fluctuation of 0.5 percentage points.

Nvidia also said that in the second quarter, the company returned about $26 billion to shareholders through share buybacks and cash dividends.

Sectors such as storage, optical communications and AI cloud services surged together after the close of trading on the 26th, driven by Nvidia's strong earnings outlook. SK Hynix ADR surged more than 4%, Applied Optoelectronics rose more than 4%,CoreWeave rose more than 5% and Nebius rose more than 6%.