Gotrade News - NVIDIA delivered another record quarter, reporting second-quarter fiscal 2027 revenue of $96.2 billion for the period ended July 26, 2026, up 106% from a year earlier and 18% from the prior quarter. The result beat the roughly $92.1 billion analysts had modeled and reaffirmed that spending on artificial-intelligence infrastructure is still accelerating.
The engine remains the data center. That segment brought in $89.0 billion, a 117% jump year over year and 18% higher sequentially, driven by the ramp of the company's Blackwell Ultra systems. Gross margin held at 75.0% on both a GAAP and non-GAAP basis, and non-GAAP earnings came in at $2.22 per share against the roughly $2.10 consensus.
Guidance is where the report turned heads. NVIDIA expects third-quarter revenue of about $108.0 billion, give or take 2%, and pointedly assumes no data-center compute revenue from China in that outlook. Management guided gross margin to about 74.0%, plus or minus 50 basis points, a modest step down that reflects higher memory costs as the newest systems scale.
The longer view was more striking than the quarter itself. Chief Financial Officer Colette Kress told investors NVIDIA sees revenue growth of about 70% in fiscal 2028, well above the 44% average that analysts had penciled in. Chief Executive Jensen Huang framed the moment in blunt terms.
"AI has reached its inflection point. It's doing useful work. Its tokens are productive and profitable. Now, compute is revenue." Jensen Huang, NVIDIA CEO
Huang added that demand is running well above the roughly 70% level the company can currently supply, a signal that the constraint is production capacity rather than customer appetite. That framing matters for the broader AI-infrastructure complex that NVIDIA anchors, from foundry partner Taiwan Semiconductor to accelerator rival Advanced Micro Devices, networking supplier Broadcom, and hyperscale buyer Microsoft.
The market's first read was split. NVIDIA shares slipped about 1.6% in regular trading before climbing more than 7% in pre-market dealing as investors digested the guidance. In Asia, memory names rallied, with SK Hynix up about 2.5%, Samsung Electronics up 1.7%, and Kioxia up 5%, while some equipment and packaging suppliers fell and Taiwan Semiconductor edged down 0.2%. The divergence reflected a real tension in the print: demand signals are strong, but the same memory costs lifting suppliers are the ones nudging NVIDIA's own margins lower.
For investors watching from outside the US, the takeaway is less about a single session's move and more about the trajectory. A company this size still compounding revenue at triple-digit rates, guiding to a 70% growth year, and describing itself as supply-constrained is an unusual combination. The offsetting risks are equally concrete: an outlook that explicitly excludes China, margins drifting lower on memory inflation, and an AI-capital-spending cycle whose durability the whole complex is now betting on. As always, past performance and management outlooks are not guarantees of future results.
Sources: Investing.com and 24/7 Wall St. reporting on NVIDIA's Q2 fiscal 2027 results, August 26 to 27, 2026.
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M. Alfathan Rahman is a content writer with over 3 years of experience developing digital content strategies across various industries, including fintech. He has experience producing content for tax-related websites and financial education platforms registered with Kominfo (Indonesia's Ministry of Communication and Informatics). His focus areas include data research, and crafting financial articles that are informative, accurate, and accessible to investors of all experience levels.
