Nvidia, the world’s most valuable company, reported another quarter of sustained sales growth in its earnings statement Wednesday. The company achieved $46.7 billion in revenue, which is a 56 percent increase compared to the same period last year. This growth was largely fueled by its AI-dominated data center business, which saw a 56 percent year-over-year increase in revenue.
The company also saw its net income grow substantially since last year. Nvidia reported a net income of $26.4 billion in the second quarter, a 59 percent spike from the same period last year. The company brought in $41.1 billion in revenue from data center sales in the quarter, suggesting that AI companies’ demand for cutting-edge GPUs continues to grow. The company’s most advanced generation of chips, Blackwell, accounted for $27 billion of those sales.
CEO Jensen Huang stated that Blackwell is the AI platform the world has been waiting for. He said the AI race is on and that Blackwell is the platform at its center.
The company made particular note of its role in the launch of OpenAI’s open source GPT-OSS models earlier this month. The launch involved processing 1.5 million tokens per second on a single Nvidia Blackwell GB200 NVL72 rack-scale system.
The earnings also provided a look at Nvidia’s ongoing struggle to sell its chips in Chinese markets. The company reported no sales of its China-focused H20 chip to Chinese customers in the past quarter. However, Nvidia did report that $650 million worth of H20 chips had been sold to a customer outside China.
The United States has long restricted sales of advanced GPUs to Chinese customers, but the geopolitical situation has changed significantly under President Trump. The company is now permitted to sell chips to China as long as it pays a 15 percent export tax to the U.S. Treasury. This arrangement is the result of an unconventional agreement that legal scholars have described as an unconstitutional abuse of power.
On the earnings call, Nvidia CFO Colette Kress made clear that the lack of shipment was a result of uncertainty around the arrangement, which has not been officially codified into a federal regulation. She stated that while a select number of China-based customers have received licenses over the past few weeks, the company has not shipped any H20 devices based on those licenses.
The Chinese government has officially discouraged the use of Nvidia chips by local businesses. This has led the company to reportedly halt production of the H20 chip earlier this month.
Nvidia said it expects $54 billion in revenue in the third quarter. The company noted that its outlook for the third quarter, which could shift 2 percent in either direction, does not include any H20 shipments to China.