Executive Summary
NVIDIA Corporation achieved another record financial quarter in Q4 2025, reporting revenues of $39.3 billion, a 12% sequential increase and a remarkable 78% year-over-year surge. This growth underscores the demand for NVIDIA's advanced AI solutions, with management highlighting a robust ramp-up in data center sales, particularly due to the successful introduction of the Blackwell architecture. Notably, data center revenues for the quarter reached $35.6 billion, more than doubling compared to last year. Profitability metrics also demonstrated strength, with net income reaching $22.1 billion, reflecting a net profit margin of 56.2%. Beyond financial metrics, management expressed optimism about future growth driven by AI's expansive applications across various sectors, positioning NVIDIA to continue leading in technological advancements and revenue generation.
Key Performance Indicators
Key Insights
**Revenue:** $39.3 billion (up 78% YoY, up 12% QoQ)
**Net Income:** $22.1 billion (up 79.82% YoY, up 14.41% QoQ)
**EPS:** $0.90 (up 80% YoY, up 13.92% QoQ)
**Gross Margin:** 73%
**Operating Income:** $24.0 billion (operating margin of 61.1%)
**Cash Flow from Operations:** $16.6 billion
**Total Assets:** $111.6 billion
**Total Liabilities:** $32.3 billion
**Current Ratio:** 4.44
**Debt-to-Equity Ratio:** 0.129...
Financial Highlights
Revenue: $39.3 billion (up 78% YoY, up 12% QoQ)
Net Income: $22.1 billion (up 79.82% YoY, up 14.41% QoQ)
EPS: $0.90 (up 80% YoY, up 13.92% QoQ)
Gross Margin: 73%
Operating Income: $24.0 billion (operating margin of 61.1%)
Cash Flow from Operations: $16.6 billion
Total Assets: $111.6 billion
Total Liabilities: $32.3 billion
Current Ratio: 4.44
Debt-to-Equity Ratio: 0.129
Income Statement
| Metric |
Value |
YoY Change |
QoQ Change |
| Revenue |
39.33B |
77.94% |
12.11% |
| Gross Profit |
28.72B |
71.06% |
9.81% |
| Operating Income |
24.03B |
76.54% |
9.90% |
| Net Income |
22.09B |
79.82% |
14.41% |
| EPS |
0.90 |
80.00% |
13.92% |
Key Financial Ratios
operatingProfitMargin
61.1%
operatingCashFlowPerShare
$0.68
freeCashFlowPerShare
$0.64
dividendPayoutRatio
1.11%
Management Commentary
Revenue and Demand Insights:
- Colette Kress stated, "Q4 was another record quarter. Revenue of $39.3 billion was up 12% sequentially and up 78% year on year."
- The rapid growth was largely driven by the data center segment, reporting $35.6 billion in revenue, up 93% YoY.
Product and AI Technology Developments:
- Jensen Huang highlighted the success of Blackwell: "This is the fastest product ramp in our company's history, unprecedented in its speed and scale, delivering $11 billion in revenue in Q4 alone."
- Huang also noted, "We designed Blackwell for reasoning AI models, and in all of these configurations, it is in full production."
"The demand for Blackwell is extraordinary. AI is evolving beyond perception and generative AI into reasoning." - Jensen Huang
â Jensen Huang
"During our Blackwell ramp, our gross margins will be in the low seventies. Once fully ramped, we expect to improve our cost and gross margin." - Colette Kress
â Colette Kress
Forward Guidance
Looking ahead, NVIDIA anticipates a strong Q1 2026, with projected revenues around $43 billion, driven by ongoing demand for AI and data center solutions. Management expects qoq growth in both compute and networking segments as the Blackwell architecture fully ramps up. Gross margin is expected to be around 70.6%, potentially improving as production efficiencies are realized. Investors should monitor global AI investment trends, particularly in Europe and the US, where significant infrastructure build-outs are occurring. The upcoming product releases, including Blackwell Ultra, are expected to sustain growth momentum well into fiscal 2026.