Nvidia's financial projections for fiscal 2028 suggest a significant shift in the corporate landscape. The company expects annual revenue to reach approximately $673 billion, representing a growth rate of about 70%. This figure would place Nvidia behind only Amazon in terms of total annual revenue, surpassing both Apple and Alphabet.
The company's second-quarter results showed revenue of $96.2 billion, a 106% increase compared to the same period last year. Data center revenue reached a record $89 billion in Q2, accounting for 89% of total revenue and growing 117% year over year.
For the third quarter, Nvidia forecasts revenue of $108 billion, with a margin of error of 2%. Gross margins are expected to remain around 74% in Q3, before potentially decreasing to 71-72% in subsequent quarters.
CEO Jensen Huang stated that the decision to provide a full-year outlook was necessary for supply chain partners. This is due to constraints on components for next-generation AI chips, specifically high-bandwidth memory. Huang noted that actual customer demand exceeds the 70% growth forecast, but supply limits will cap shipments.
The company's growth trajectory is stark when compared to historical data. Five years ago, Nvidia's annual revenue was around $27 billion. The current projections for 2028 align the company's scale with the GDP of Switzerland.
