Nvidia delivered stellar earnings again, with profit up 80 percent to $22.09 billion for fiscal Q4, the period that ended January 26, 2025. Record quarterly revenue hit $39.3 billion, a 12 percent uptick from Q3 and a 78 percent increase year-over-year, driven in part by sales of the company’s Blackwell AI chips. The results rebut predictions that the leading-edge chipmaker would suffer due to a recent wave of Chinese AI models created using fewer and largely older chips. That trend rocked Nvidia stock over the past quarter, but the Silicon Valley-based company managed to maintain momentum.

“When Nvidia lost $600 billion in market value in a single day last month” after the Chinese startup DeepSeek “said it had made its AI systems with a small fraction of the AI chips used by other companies, and at a small fraction of the cost,” investors feared for the U.S. company’s future, reports The New York Times, concluding “on Wednesday, Nvidia showed those fears were overblown, even as the breakneck pace of its growth slows.”

NYT notes that the achievement comes even as the “breakneck pace of its growth slows.” But record full-year revenue of $130.5 billion, up 114 percent over fiscal 2024, is nothing to shrug at.

By contrast, previous quarters saw Nvidia sales and profits more than doubling, but continuing such super-sized gains becomes “more difficult as its sales and profits rise,” explains NYT, adding that “for a business like Nvidia, it is common for the growth rate to slow after a period of phenomenal increases, a phenomenon known as the law of large numbers.”

“AI is advancing at light speed as agentic AI and physical AI set the stage for the next wave of AI to revolutionize the largest industries,” Nvidia founder and CEO Jensen Huang said in the earnings press release.

Nvidia accrued $11 billion of its revenue from sales of its new Blackwell AI chips, translating to “nearly a third of the revenue in Nvidia’s data-center division for the quarter,” per The Wall Street Journal. Huang called demand for Blackwell “amazing,” attributing it to the trend toward reasoning models, which require increased compute for training as well as for more complex processing.

While WSJ says DeepSeek recently “spooked Nvidia investors” with a new reasoning model that used fewer and older Nvidia chips, the Chinese company “had ‘ignited global enthusiasm,’ Huang said in a call with analysts,” referring to DeepSeek’s move as “an excellent innovation, adding that nearly every AI developer was using it or techniques inspired by it.”

“Reasoning models required a hundred times more computing resources, he said, and future ones were destined to need even more,” WSJ reports.

Related:
Cisco Expands Partnership with Nvidia to Accelerate AI Adoption in the Enterprise, Cisco, 2/25/25
‘I Feel More Empowered’: Nvidia’s CEO Uses an AI Tutor to Learn New Topics, Entrepreneur, 2/26/25
Nvidia’s Priority Access Program Reportedly Kicks Off, Invitations Sent Out for RTX 5090 Customers, Tom’s Hardware, 2/26/25
Razer’s New Blade 18 Offers Nvidia RTX 50-Series GPUs and a Dual Mode Display, The Verge, 2/26/25
Nvidia’s Auto Segment Revenue Surges to Record High on Demand for Driver-Assist Tech, CNBC, 2/27/25