Nvidia Q1 Highlights: China Export Ban Hits Results But Jensen Huang Says Demand 'Incredibly Strong' (CORRECTED)

Chris Katje

May 28, 2025

Benzinga

Editor's Note: This article has been updated to correct the first-quarter earnings per share.

NVIDIA Corporation (NASDAQ:NVDA) reported first-quarter financial results after market close Wednesday.

Here are the key highlights.

Nvidia's Key Q1 Figures: Nvidia reported first-quarter revenue of $44.1 billion, up 69% year-over-year and up 12% from the fourth quarter. The revenue beat a Street consensus estimate of $43.2 billion.

Nvidia reported adjusted earnings of 81 cents per share in the first quarter, which may not compare to analyst estimates.

Excluding the charges related to restrictions on chip sales to China, Nvidia said adjusted earnings would have been 96 cents per share, which appears to be above varying analyst expectations.

Nvidia faced an export ban on H20 products to China on April 9. The company said it incurred a $4.5 billion charge in the first quarter related to H20 excess inventory and purchase obligations. H20 product sales were $4.6 billion for the first quarter prior to the new export licensing requirements.

The company said without the $4.5 billion charge, adjusted quarterly earnings per share would have been 96 cents per share.

Nvidia’s Q1 Performance By Segment: Nvidia reported record revenue for the company's Gaming segment with news that the company will power the new Nintendo Switch 2 console, shared in the quarter.

Here is a look at the revenue performance by operating business segment.

Segment	Revenue	Year-over-Year change	Quarter-over-Quarter change
Data Center	$39.1 billion	+73%	+10%
Gaming & AI PC	$3.8 billion	+42%	+48%
Professional Visualization	$509 million	+19%	flat
Automotive	$567 million	+72%	-1%

What's Next: Nvidia is guiding for second-quarter revenue of $45.0 billion, +/- 2%. The guidance includes the loss of $8.0 billion in H20 revenue due to the export controls.

The company is guiding for gross margins between 71.8% and 72.0% for the second quarter.

"Our breakthrough Blackwell NVL72 AI supercomputer – a ‘thinking machine' designed for reasoning – is now in full-scale production across system makers and cloud service providers," Nvidia CEO Jensen Huang said.

Huang added that demand for Nvidia's AI infrastructure is "incredibly strong."

"AI inference token generation has surged tenfold in just one year, and as AI agents become mainstream, the demand for AI computing will accelerate. Countries around the world are recognizing AI as essential infrastructure — just like electricity and the internet — and NVIDIA stands at the center of this profound transformation.”

NVDA Price Action: Nvidia stock is up 2.7% to $138.25 in after-hours trading Wednesday versus a 52-week trading range of $86.63 to $153.13.

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