Nvidia Reports Record $68 Billion Revenue as AI Demand Accelerates
Santa Clara, Thursday, 26 February 2026.
Nvidia delivered a crushing blow to market skeptics with its fourth-quarter fiscal 2026 results, posting record revenue of $68.1 billion—a 73% increase year-over-year that comfortably surpassed Wall Street expectations. The report highlights the unrelenting momentum of the artificial intelligence boom, with Data Center revenue alone soaring to $62.3 billion. CEO Jensen Huang declared the arrival of an “agentic AI inflection point,” indicating that the race to build AI infrastructure is intensifying rather than slowing. Furthermore, Nvidia’s bullish guidance projects $78 billion in revenue for the current quarter, signaling continued growth. This performance solidifies the company’s position as the market leader, boasting a $4.8 trillion valuation, and confirms that hyperscalers remain committed to aggressive capital investment in Nvidia’s next-generation chip technology.
Surpassing the Trillion-Dollar Expectations
In a financial disclosure that has reverberated through global markets, Nvidia reported a staggering $68.13 billion in revenue for the fourth quarter ending January 25, 2026, marking a 73.215% increase from the $39.3 billion generated during the same period last year [3][8]. This performance cleared Wall Street’s high bar, beating analyst revenue estimates of $66.21 billion [3]. The company’s profitability metrics were equally robust; net income surged to $42.96 billion, or $1.76 per share on a GAAP basis, a dramatic rise of 94.468% compared to the $22.1 billion reported a year prior [8]. On an adjusted basis, earnings per share came in at $1.62, comfortably ahead of the $1.53 forecasted by analysts [1][3]. Following the release, Nvidia shares—already part of a company valued at approximately $4.8 trillion—climbed nearly 4% in after-hours trading [2].
A Data Center Powerhouse
The engine behind this financial velocity remains the company’s Data Center division, which generated a record $62.3 billion in revenue for the quarter [2][8]. This segment alone grew 75% year-over-year, underscoring the voracious appetite for AI infrastructure among major technology firms [8]. Hyperscalers—massive cloud service providers like Microsoft, Google, and Amazon—accounted for more than 50% of this revenue, validating the thesis that these tech giants are continuing to pour capital into generative AI capabilities [3]. Networking revenue also saw explosive growth, more than tripling to $11 billion, driven by the need for high-speed interconnects in massive computing clusters [2]. CFO Colette Kress noted that the company has secured sufficient inventory to meet this intense Data Center demand for the next several quarters [2].
Innovation and the “Agentic” AI Era
Nvidia is not resting on the success of its current Hopper architecture. The company has already begun manufacturing its next-generation Blackwell GPUs at TSMC’s new fabrication plants in Arizona and has started shipping samples of its future Vera Rubin system to customers [3]. CEO Jensen Huang characterized the current market environment as the arrival of the “agentic AI inflection point,” where enterprise adoption of autonomous AI agents is skyrocketing [8]. This technological shift is expected to drive efficiency by orders of magnitude; according to the company, the Blackwell platform delivers up to 50x better performance for these specific AI workloads compared to its predecessor [8]. Despite the complexity of these new systems, gross margins remained strong at 75% for the quarter, though the company forecasts a slight contraction to roughly 74.9% in the current period as it ramps up new products [2][8].
Broader Market Performance
While the Data Center business dominates the headlines, Nvidia’s other segments showed mixed but generally positive results. The Gaming unit reported revenue of $3.7 billion, a 47% increase year-over-year, although this represented a 13% decline from the previous quarter, with the company anticipating supply constraints to create headwinds for this segment entering fiscal 2027 [3][8]. The Professional Visualization segment was a standout performer in terms of growth rate, with revenue jumping 159% year-over-year to $1.3 billion [3][8]. Meanwhile, the Automotive division continued its steady ascent, generating $604 million in revenue, a 6% increase from the previous year, though this figure came in below some market expectations [3][8].
Forward Guidance
Looking ahead, Nvidia provided a bullish outlook that suggests the AI boom has ample runway. The company forecasts revenue for the first quarter of fiscal 2027 to reach $78.0 billion, plus or minus 2%, which would represent a year-over-year growth rate of approximately 77% [2][8]. This guidance topped analyst estimates, further fueling investor optimism [2]. Additionally, the company demonstrated its commitment to shareholder returns, having repurchased stock and paid dividends totaling $41.1 billion over the fiscal year, with a fresh quarterly cash dividend of $0.01 per share scheduled for payment on April 1, 2026 [8].