Jensen Huang, CEO of Nvidia, the world's largest AI semiconductor company and top firm by market capitalization, expressed optimism for continued record-breaking performance, citing surging computing demand.
Speaking on a conference call following the release of fiscal fourth-quarter 2026 results on February 25 local time, Huang projected sustained strength in the company's core computing business.
"Computing demand is growing exponentially," Huang said. "The agentic AI inflection point has arrived."
He added: "The computing landscape has changed. In this new AI era, computing equals revenue. AI is transforming business practices worldwide, and I'm confident we've reached an inflection point where AI tool sales are generating real returns."
Nvidia reported fourth-quarter revenue (November 2024–January 2025) of $68.13 billion, up 73% year-over-year. Net income rose 35% to $43 billion. Adjusted earnings per share reached $1.62, exceeding Wall Street's forecast of $1.53.
The quarterly revenue surpassed LSEG's consensus estimate of $66.2 billion, marking a record quarter. Fiscal 2026 annual revenue climbed 65% year-over-year to $215.9 billion, another all-time high.
Data center operations drove most of the quarterly revenue at $62.3 billion. "Grace Blackwell is currently the leader in inference," Huang said. "Vera Rubin will extend that dominance further."
For fiscal first-quarter 2027 (February–April 2025), Nvidia projected revenue of $78 billion, surpassing Wall Street consensus of $72.6 billion. The guidance exceeded market expectations despite excluding China data center sales from the forecast.
Huang said investment negotiations with OpenAI, developer of ChatGPT, are nearing completion. Nvidia announced in September an agreement to invest up to $100 billion in OpenAI, though recent reports of a reduced investment size raised questions about the relationship.
"We continue to work with OpenAI to finalize a partnership agreement, and I believe we're nearly there," Huang said. "OpenAI, which we've supported since its early days, is a once-in-a-generation innovative company. We're very pleased about this partnership."