The earnings call for NVIDIA Corp (NVDA) presented a mixed outlook with both positive and negative aspects highlighted. Here are the specific viewpoints from the earnings call:
Bullish Points:
1. Q3 was another record quarter with revenue of $35.1 billion, up 17% sequentially and up 94% year on year.
2. Data center revenue achieved a record $30.8 billion, up 17% sequentially and up 112% year on year.
3. NVIDIA Hopper demand is exceptional, with H200 sales increasing significantly to double-digit billions.
4. Cloud service providers' revenue increased more than 2x year on year.
5. Consumer Internet revenue more than doubled year on year.
6. Rapid advancements in NVIDIA software algorithms boosted Hopper inference throughput by 5x in one year.
7. Blackwell is in full production, with 13,000 GPU samples shipped to customers in the third quarter.
8. Oracle announced the world's first Zettascale AI cloud computing clusters with over 131,000 Blackwell GPUs.
9. Microsoft announced they will offer Blackwell-based cloud instances powered by NVIDIA GB200 and Quantum InfiniBand.
10. Total revenue for Q4 is expected to be $37.5 billion, plus or minus 2%.
Bearish Points:
1. GAAP gross margin was 74.6% and non-GAAP gross margin was 75%, down sequentially.
2. GAAP operating expenses and non-GAAP operating expenses were up 9% due to higher compute, infrastructure, and engineering development costs.
3. Gaming revenue is expected to decline sequentially in Q4 due to supply constraints.
4. Networking revenue was sequentially down despite strong year-on-year growth.
5. Data center revenue in China grew sequentially but remained well below levels prior to the onset of export controls.
6. GAAP and non-GAAP gross margins are expected to moderate to the low 70s as Blackwell ramps.
For more information about NVIDIA Corp's earnings call, you can read the relevant news: Nvidia (NVDA) Q3 2025 Earnings Call Transcript
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