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Nvidia CEO: AI Demand Goes Parabolic!
31 May
Summary
- Nvidia's Q1 2027 revenue surged 85% year-over-year to $81.6 billion.
- The AI-driven data center business saw revenue climb 92%.
- Nvidia raised its quarterly dividend 25-fold and authorized $80 billion in buybacks.
Nvidia CEO Jensen Huang announced that demand for AI systems has "gone parabolic," indicating an exponential increase in agentic AI adoption. This surge is driving unprecedented growth for the chipmaker.
Nvidia's fiscal first quarter of 2027, ending April 26, 2026, reported revenues of $81.6 billion, an 85% jump from the previous year. This acceleration follows a period of decelerating growth. The company's data center business, a primary AI driver, achieved $75.2 billion in revenue, up 92% year-over-year.
Profitability also experienced parabolic growth, with adjusted earnings per share increasing by 140% year-over-year. In parallel, Nvidia significantly increased its capital returns to shareholders. The quarterly dividend was raised 25-fold to $0.25 per share, and an additional $80 billion share repurchase program was authorized.
As of May 31, 2026, these financial results suggest that the current AI build-out phase is likely still in its middle stages, with considerable room for continued expansion. Nvidia returned approximately $20 billion to shareholders in the quarter.
