The "water sellers" who made a fortune in the AI gold rush have once again delivered a financial report that shook the global market. NVIDIA has officially announced its half-year results and second-quarter performance for fiscal year 2027. All key financial indicators have surged significantly, not only confirming the strong demand for global AI infrastructure, but also marking that its new generation of hardware platforms is accelerating into mass production.
In terms of overall half-year performance, NVIDIA achieved a total operating revenue of $177.837 billion in the first half of fiscal year 2027; gross profit reached $133.299 billion, maintaining a high gross margin of 75%; net income attributable to shareholders of the parent company was as high as $118.01 billion, an increase of 161.1% year-on-year. At the same time, the company recorded an operating cash flow of $74.421 billion and a free cash flow of $69.895 billion in the first half of the year, with basic earnings per share at $4.87 and diluted earnings per share at $4.85 billion.
Focusing on the more impressive second quarter, NVIDIA achieved a total operating revenue of $96.221 billion in the quarter, up 106% year-on-year and 18% quarter-on-quarter; gross profit reached $72.142 billion, with both GAAP and non-GAAP gross margins remaining at 75%, an increase of 2.6 percentage points year-on-year. Net income attributable to shareholders of the parent company reached $59.688 billion in the second quarter, up 126% year-on-year and 2% quarter-on-quarter. The operating cash flow for the second quarter was $24.077 billion, and the free cash flow was $21.341 billion, with basic earnings per share at $2.47 and diluted earnings per share at $2.46 billion. This result not only far exceeded market expectations, but the quarterly revenue also significantly outperformed institutional forecasts.
Looking at the business segments, the data center business remained the core driver of growth, with revenue reaching $89.023 billion in the second quarter, up 117% year-on-year and 18% quarter-on-quarter. Among them, hyperscale (super-scale cloud vendors) revenue doubled year-on-year, and ACIE revenue increased by 138% year-on-year, jointly driving the rapid growth of the entire business. Edge computing business also performed well, with revenue of $7.198 billion in the second quarter, up 27% year-on-year and 13% quarter-on-quarter, mainly driven by the strong growth in Blackwell workstation sales. In terms of shareholder returns, the company returned approximately $26 billion to shareholders in the second quarter, and still has approximately $99 billion in stock repurchase authorization remaining.
In terms of core technology and ecosystem progress, NVIDIA has reached a key industrialization milestone. The next-generation NVIDIA Vera Rubin platform has entered full mass production, and several major cloud vendors have started deploying it. At the same time, the company launched its first CPU for AI agents, NVIDIA Vera, and the Groq 3 LPX inference accelerator has also been fully produced. In addition, NVIDIA is actively expanding AI ecosystem cooperation, establishing an independent computing financing platform with several financial institutions, planning to mobilize over $500 billion in third-party capital for global AI infrastructure construction, and collaborating with the Japanese government to launch the world's first national-level AI infrastructure. In the field of physical AI and humanoid robots, the company also introduced new development platforms such as NVIDIA Cosmos3 and Isaac GR00T humanoid robot reference design, continuously improving the underlying developer ecosystem.
Looking ahead, NVIDIA expects revenue for the third quarter of fiscal year 2027 to reach $108 billion, with a fluctuation of 2% (this forecast does not yet include revenue from data center computing in the Chinese market); GAAP and non-GAAP gross margins are expected to be 74% each, with a fluctuation of 50 basis points; GAAP and non-GAAP operating expenses are expected to be $9.2 billion and $9 billion respectively, and the full-year GAAP and non-GAAP tax rates are expected to be between 16.0% and 18.0%.
