Nvidia reports record Q2 earnings powered by AI boom: Key highlights

Nvidia's strong quarterly revenue forecast sparked gains in many AI-related stocks on August 23. The company's stock jumped almost 10 percent after the bell to a record high of $516

US chipmaker Nvidia on August 23 exceeded expectations as the company reported revenue of $13.51 billion, which was up 101 percent from a year ago and up 88 percent from the previous quarter for the quarter that ended on July 30, 2023.

Nvidia's forecast beat expectations by a huge margin, which shows that a boom in generative Artificial Intelligence (AI) technologies shows no signs of slowing down.

According to a Reuters report, "Companies worldwide are transitioning from general-purpose to accelerated computing and generative AI,” Nvidia's chief executive, Jensen Huang said.

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The company's entire AI systems were the largest contributor to the quarter's growth, according to its executives.

Nvidia's strong quarterly revenue forecast sparked gains in many AI-related stocks on August 23. The company's stock jumped almost 10 percent after the bell to a record high of $516.

As per Reuters, AI software maker C3.ai jumped 5.6 percent and Palantir Technologies rose almost 5 percent. Advanced Micro Devices and Broadcom both were up over 3 percent, Marvell Technology climbed 5 percent whereas Super Micro Computer jumped over percent.

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According to the news website Shacknews, Nvidia's revenue is expected to be $16.00 billion. GAAP and non-GAAP gross margins are expected to be 71.5 percent and 72.5 percent, respectively. GAAP and non-GAAP operating expenses are expected to be approximately $2.95 billion and $2.00 billion, respectively.