Nvidia said revenue more than doubled year-on-year to $US96.2 billion in its second fiscal quarter, which ended on July 26. Net profit surged 126 per cent to $US59.7 billion.
Excluding certain items, Nvidia's earnings were $US2.22 per share, well above the $US2.09 per share consensus forecast by Wall Street analysts, according to FactSet.
"AI has reached its inflection point. It's doing useful work. Its tokens are productive and profitable. Now, compute is revenue," CEO Jensen Huang said in a statement.
Along with higher profit and revenue, however, Nvidia's operating expenses surged 55 per cent to $US8.41 billion.
For the current quarter, Nvidia forecast revenue of about $US108 billion. Analysts are forecasting $US104.86 billion.
If Nvidia hits its revenue target for the August-October period, it will translate into a roughly 89 per cent increase from last year - an indication the company's phenomenal growth rate is still accelerating.
Nvidia expects to grow its revenue in its fiscal year ending January 2028 by about 70 per cent, citing surging demand for its AI-powering chips.
Huang emphasised the supply limitations the company is grappling with.
"Our entire supply chain is challenged," he told analysts. "At this point we have supply for 70 per cent ... Our demand is much higher than that."
Nvidia's data centre segment, which includes its AI data centres and factories business, as well as chip demand from hyperscalers such as Amazon, Meta and Google, reported revenue of $US89 billion, up more than twofold from a year earlier.
Nvidia and Amazon Web Services announced a plan to deploy two million additional Nvidia graphic processing units, and will incorporate Nvidia chips to power its fleet of warehouse robots.
Despite the stellar results and still-rosy outlook, many investors worry about a jarring comedown after a three-year boom that has seen Nvidia's market value soar from $US400 billion at the end of 2022 to roughly $US5.2 trillion now.
While AI has powered stock market gains and US economic growth in recent years, there's been growing scepticism about whether AI will justify the trillions of dollars that are being spent to develop the technology.
The AI industry is also increasingly facing pushback amid objections to the expansion in data centres and fears that the speed with which AI is being adopted could lead to widespread job losses for many Americans.
