NVIDIA Q4 Results: AI Revenue Jumps 73%, Earnings Beat Estimates

The strong quarterly performance capped a historic fiscal year. For full-year fiscal 2026, revenue climbed to $215.9 billion, representing a 65% annual increase, underscoring the extraordinary demand for AI-driven computing infrastructure worldwide.

NVIDIA Data Center Drives Record Performance

A major growth engine remained Nvidia’s Data Center segment, which posted record quarterly revenue of $62.3 billion, up 22% from Q3 and 75% compared with a year earlier. The numbers reflect sustained hyperscaler and enterprise investments in AI compute infrastructure, positioning Nvidia as the backbone supplier for large-scale AI model training and inference workloads.

NVIDIA’s Profitability Remains Exceptionally Strong

NVIDIA maintained robust profitability metrics during the quarter. Fourth-quarter GAAP gross margins stood at 75.0%, while non-GAAP gross margins came in at 75.2%. For fiscal 2026, gross margins were 71.1% on a GAAP basis and 71.3% non-GAAP.

Earnings performance was equally impressive. Quarterly GAAP earnings per diluted share reached $1.76, with non-GAAP EPS at $1.62. For the full fiscal year, GAAP EPS was $4.90, while non-GAAP EPS totaled $4.77.

NVIDIA CEO Highlights “Agentic AI” Inflection Point

Founder and CEO Jensen Huang described the current environment as a pivotal shift in computing demand. He stated that “computing demand is growing exponentially, the agentic AI inflection point has arrived,” emphasising the strength of Nvidia’s latest platforms.

Huang highlighted Grace Blackwell with NVLink as “the king of inference today,” noting it delivers an order-of-magnitude lower cost per token. He added that the upcoming Vera Rubin platform will further extend Nvidia’s leadership. According to Huang, enterprise adoption of AI agents is accelerating rapidly, with customers investing aggressively in AI compute infrastructure that he described as the “factories powering the AI industrial revolution.”

NVIDIA Shareholder Returns and Capital Allocation

NVIDIA also returned significant capital to investors during fiscal 2026. The company distributed $41.1 billion through share repurchases and cash dividends. As of the end of the fourth quarter, $58.5 billion remained authorised for future buybacks.

The company confirmed it will pay its next quarterly cash dividend of $0.01 per share on April 1, 2026, to shareholders on record as of March 11, 2026.

NVIDIA Stock Price Extends Year-Long Rally

Following the results, Nvidia shares rose as much as 3% in after-hours trading before paring some gains. The stock remained slightly higher in late trading, extending its remarkable year-long rally of nearly 55% gains, reflecting sustained investor confidence in the company’s AI-driven growth trajectory.

NVIDIA Q1 FY2027 Outlook Signals Continued Momentum

Looking ahead, Nvidia projected first-quarter fiscal 2027 revenue of approximately $78.0 billion, with a margin of error of 2%. The company clarified that it does not anticipate any Data Center compute revenue from China in this forecast.

For the upcoming quarter, gross margins are expected to be approximately 74.9% on a GAAP basis and 75.0% non-GAAP, indicating continued operational strength.

Additionally, Nvidia announced that beginning in fiscal 2027, stock-based compensation will be included in non-GAAP results, underscoring its importance in attracting and retaining top-tier talent.

With record-breaking revenue, expanding margins, strong shareholder returns, and a confident forward outlook, Nvidia’s latest results reinforce its central role in driving the global AI revolution.