Nvidia founder and CEO Jensen Huang struck a bullish tone within the firm’s third-quarter earnings. And based mostly on the corporate’s outcomes, there could also be purpose to.

Nvidia reported income of $57 billion within the third quarter, 62% larger in comparison with the identical quarter final 12 months. The corporate’s web earnings on a GAAP foundation was $32 billion, 65% larger year-over-year. Each income and revenue outcomes beat Wall Avenue expectations.

The income image exhibits an organization booming thanks largely to its knowledge middle enterprise. Income generated by Nvidia’s knowledge middle enterprise was a file $51.2 billion, up 25% from the earlier quarter and up 66% from a 12 months in the past. The remaining $5.8 billion in income got here from Nvidia’s gaming enterprise with $4.2 billion, adopted by gross sales in skilled visualization and automotive.

Nvidia’s CFO Colette Kress noted in a statement to shareholders its knowledge middle enterprise has been fueled by an acceleration of computing, highly effective AI fashions, and agentic functions. Through the firm’s Q3 name, Kress mentioned on this previous quarter, the corporate introduced AI manufacturing facility and infrastructure tasks amounting to an combination of 5 million GPUs.

“This demand spans each market, CSPs, sovereigns, trendy builders enterprises and tremendous computing facilities, and contains a number of landmark construct outs,” Kress mentioned.

Blackwell Extremely, a GPU unveiled in March and out there in a number of configurations, has been notably sturdy and is now the chief inside the firm. Earlier variations of the Blackwell structure additionally noticed continued sturdy demand, in accordance with the corporate.

Huang mentioned gross sales of its Blackwell GPU chips “are off the charts.”

“Blackwell gross sales are off the charts, and cloud GPUs are bought out,” Huang mentioned within the firm’s Q3 earnings assertion. “Compute demand retains accelerating and compounding throughout coaching and inference — every rising exponentially. We’ve entered the virtuous cycle of AI. The AI ecosystem is scaling quick — with extra new basis mannequin makers, extra AI startups, throughout extra industries, and in additional international locations. AI goes in every single place, doing every little thing, .”

Kress did be aware that the corporate’s shipments of H20, an information middle GPU designed for generative AI and high-performance computing, have been 50 million, a disappointing outcome attributable to its incapacity to promote to China.

“Sizable buy orders by no means materialized within the quarter attributable to geopolitical points and the more and more aggressive market in China,,” Kress famous on the earnings name. “Whereas we have been upset within the present state that forestalls us from delivery extra aggressive knowledge middle compute merchandise to China, we’re dedicated to continued engagement with the U.S. and China governments, and can proceed to advocate for America’s capability to compete all over the world.”

Importantly, Nvidia is forecasting extra progress with a projected income of $65 billion within the fourth quarter, serving to push its share value up greater than 4% in after-hours buying and selling.

The upshot, at the least in Huang’s view: neglect in regards to the bubble, there’s solely progress.

“There’s been a whole lot of discuss an AI bubble,” Jensen mentioned in the course of the firm’s earnings name. “From our vantage level, we see one thing very completely different.”