NVIDIA Reports Strong Q2 FY26 Earnings with 56% Revenue Growth

 NVIDIA Corporation (NASDAQ: NVDA) has reported another blockbuster quarter, with Q2 FY26 revenue reaching $46.74 billion, marking a 56% year-over-year (YoY) growth and a 6% increase quarter-over-quarter (QoQ). The results underscore NVIDIA’s dominant position in the AI and computing markets, particularly in its Compute & Networking segment, which continues to drive record-breaking sales.

Key Highlights from Q2 FY26 Earnings

• Revenue: $46.74 billion, up 56% YoY
  
• Gross Margin (GAAP): 72.4% compared to 75.1% a year ago
  
• Operating Income (GAAP): $28.44 billion, a 53% YoY rise
  
• Net Income (GAAP): $16.6 billion, up 59% YoY
  
• Diluted EPS (GAAP): $1.08, growing 61% YoY
  

On a Non-GAAP basis, net income surged to $25.78 billion, with a gross margin of 75.7%. Diluted EPS stood at $1.05, reflecting an 8% sequential growth.

Segment-Wise Performance

• Compute & Networking: $41.33 billion revenue, up 56% YoY
  
• Graphics: $5.41 billion revenue, up 51% YoY
  

NVIDIA’s Compute & Networking business – heavily fueled by demand for data center AI chips – contributed the lion’s share of earnings, while the Graphics segment also posted strong double-digit growth.

Market Outlook

The company’s continued momentum highlights its pivotal role in the AI revolution, with hyperscalers, enterprises, and research institutions investing aggressively in NVIDIA’s GPU-powered platforms. While gross margins slightly declined YoY, the company’s operating income growth of over 50% demonstrates efficient scaling despite heavy AI infrastructure demand.

Conclusion

NVIDIA’s Q2 FY26 results confirm that the company remains at the center of the AI-driven computing wave, with strong financial fundamentals, record-breaking revenue, and robust demand across its product ecosystem.

Disclaimer: This article is for informational purposes only and does not constitute financial advice, investment recommendations, or an endorsement to buy or sell securities. Investors are advised to conduct their own research or consult with a qualified financial advisor before making investment decisions.

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