{"id":94720,"date":"2026-02-26T11:43:01","date_gmt":"2026-02-26T08:43:01","guid":{"rendered":"https:\/\/forklog.com\/en\/?p=94720"},"modified":"2026-02-26T11:46:32","modified_gmt":"2026-02-26T08:46:32","slug":"nvidia-doubles-net-income-on-record-demand-for-ai-chips","status":"publish","type":"post","link":"https:\/\/forklog.com\/en\/nvidia-doubles-net-income-on-record-demand-for-ai-chips\/","title":{"rendered":"Nvidia doubles net income on record demand for AI chips"},"content":{"rendered":"<p>Nvidia <a href=\"https:\/\/nvidianews.nvidia.com\/news\/nvidia-announces-financial-results-for-fourth-quarter-and-fiscal-2026\">published<\/a> fourth-quarter results that comfortably beat analysts\u2019 forecasts. Revenue in its core data\u2011centre segment rose 75%.<\/p>\n<p>Key figures:<\/p>\n<ul class=\"wp-block-list\">\n<li>earnings per share: $1.62 versus a $1.53 forecast;<\/li>\n<li>revenue: $68.13bn against an expected $66.21bn.<\/li>\n<\/ul>\n<p>Total revenue increased 73% from $39.3bn a year earlier. More than 91% of sales come from the data\u2011centre unit, home to its flagship AI chips.<\/p>\n<p>Net income almost doubled\u2014to $43bn from $22.1bn in the prior period.<\/p>\n<p>Guidance was stronger than expected. The company plans to generate $78bn of revenue in the first fiscal quarter\u2014analysts had pencilled in $72.6bn. The outlook excludes data\u2011centre sales to China.<\/p>\n<p>Nvidia\u2019s shares have outpaced the broader market: year to date they are up 5%, while the Nasdaq is down 0.4%.<\/p>\n<figure class=\"wp-block-image size-full\"><img decoding=\"async\" src=\"https:\/\/forklog.com\/wp-content\/uploads\/img-d78d22b9302f4877-7311426417286635.webp\" alt=\"image\" class=\"wp-image-275829\"\/><figcaption class=\"wp-element-caption\">Nvidia share performance. Source: <a href=\"https:\/\/finance.yahoo.com\/quote\/NVDA\/\">Yahoo Finance<\/a>.<\/figcaption><\/figure>\n<p>Expectations for Nvidia\u2019s print were set weeks earlier, after results from Alphabet, Amazon, Meta and Microsoft. Based on their guidance and analysts\u2019 estimates, combined capital spending over the year could approach $700bn as the tech giants build out their own AI infrastructure.<\/p>\n<p>Nvidia\u2019s CFO, Colette Kress, said hyperscalers remain the company\u2019s biggest customers, accounting for over 50% of data\u2011centre revenue.<\/p>\n<h2 class=\"wp-block-heading\">Potential risks<\/h2>\n<p>A persistent headache for Nvidia is memory supply. Kress noted that constraints will weigh on the gaming business \u201cin the first quarter of fiscal 2027 and beyond\u201d.<\/p>\n<p>Interest is building in next\u2011generation computing systems, <a href=\"https:\/\/forklog.com\/en\/news\/nvidias-2025-gtc-new-ai-chips-pcs-robots-and-partnerships\">Vera Rubin<\/a>. Early samples have already gone to customers, with volume shipments expected in the second half of the year.<\/p>\n<p>Performance per watt is expected to be ten times higher\u2014particularly important given data\u2011centre power constraints.<\/p>\n<p>Nvidia also said it is extending supply chains beyond Asia\u2014to the United States and Latin America. It is producing Blackwell at TSMC\u2019s plants in Arizona, with part of the systems assembled at Foxconn\u2019s new large facility in Mexico.<\/p>\n<h2 class=\"wp-block-heading\">Anthropic\u2019s dispute with the U.S. military<\/h2>\n<p>Nvidia\u2019s CEO, Jensen Huang, <a href=\"https:\/\/www.cnbc.com\/2026\/02\/26\/huang-nvidia-anthropic-pentagon-hegseth-ai.html\">commented<\/a> on the disagreements between the U.S. Department of Defense and Anthropic. In his words, \u201cit\u2019s not the end of the world\u201d.<\/p>\n<p>He noted that the Pentagon has every right to use the technologies it buys. Anthropic, however, can set policies governing the use of its products.<\/p>\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p>\u201cBoth sides have a reasonable position,\u201d Huang said.<\/p>\n<\/blockquote>\n<p>He stressed that even if talks fail there would be no critical consequences: \u201cAnthropic is not the only AI company in the world, and the Department of Defense is not the only client.\u201d<\/p>\n<h2 class=\"wp-block-heading\">A doomsday\u2011economy scenario<\/h2>\n<p>Huang also <a href=\"https:\/\/www.cnbc.com\/2026\/02\/26\/nvidia-jensen-huang-gpu-ai-threat-software-companies-saas-earnings-chips.html\">commented<\/a> on a report by Citrini Research in which analysts sketched a scenario of economic collapse triggered by artificial intelligence.<\/p>\n<p>The paper partly sparked a sell-off in software and payments stocks.<\/p>\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p>\u201cI think the markets got it wrong,\u201d he said.<\/p>\n<\/blockquote>\n<p>In his view, companies will use AI agents to create new products and boost efficiency. Virtual assistants will not replace software; they will use it.<\/p>\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p>\u201cAll these tools we use today\u2014Cadence, Synopsys, ServiceNow or SAP\u2014exist for fundamentally sound reasons. AI agents will become intelligent software that uses these services on our behalf and helps us be more productive,\u201d Huang said.<\/p>\n<\/blockquote>\n<p>In January, the administration of U.S. president Donald Trump <a href=\"https:\/\/forklog.com\/en\/news\/us-permits-export-of-nvidia-h200-ai-chips-to-china\">officially authorised<\/a> the export to China of Nvidia\u2019s H200 AI chips\u2014the second most powerful products in the company\u2019s line\u2011up.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Nvidia released fourth-quarter results that handily beat analysts\u2019 expectations.<\/p>\n","protected":false},"author":1,"featured_media":94721,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"select":"1","news_style_id":"1","cryptorium_level":"","_short_excerpt_text":"Nvidia\u2019s Q4 beat lifts revenue 73% as data\u2011centre sales surge; guidance tops forecasts.","creation_source":"","_metatest_mainpost_news_update":false,"footnotes":""},"categories":[3],"tags":[438,1294,1252],"class_list":["post-94720","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news-and-analysis","tag-artificial-intelligence","tag-nvidia","tag-reports"],"aioseo_notices":[],"amp_enabled":true,"views":"175","promo_type":"1","layout_type":"1","short_excerpt":"Nvidia\u2019s Q4 beat lifts revenue 73% as data\u2011centre sales surge; guidance tops forecasts.","is_update":"","_links":{"self":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts\/94720","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/comments?post=94720"}],"version-history":[{"count":1,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts\/94720\/revisions"}],"predecessor-version":[{"id":94722,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts\/94720\/revisions\/94722"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/media\/94721"}],"wp:attachment":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/media?parent=94720"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/categories?post=94720"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/tags?post=94720"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}