Nvidia breaks records: Revenues doubled in 2024 with Blackwell the chief reason

Nvidia presented the financial results for the fiscal year 2024, revealing that revenues increased 114%, reaching $130.5 billion. According to the results presented on Wednesday, the high demand for Artificial Intelligence (AI) technologies boosted the financial results. 

A key factor in the results was the Data Center segment, which reported a record-breaking $35.6 billion in revenue for the fourth quarter, up 93% from the previous year and 16% from the prior quarter. In the full year, this segment’s revenue rose 142% to a record $115.2 billion.

Surging demands for AI capabilities fueled the growth in this segment, explained the company, thanks to strategic partnerships with major cloud service providers like AWS, Google Cloud, and Microsoft Azure. 

The company highlighted the role of Blackwell in the yearly results. “Demand for Blackwell is amazing as reasoning AI adds another scaling law — increasing compute for training makes models smarter and increasing compute for long thinking makes the answer smarter,” said Jensen Huang, founder and CEO of the company.

During the year, Nvidia ramped up massive-scale production of  Blackwell AI supercomputers, which allowed it to achieve billions of dollars in sales in its first quarter.

The gaming and AI PC segment was the second most relevant in revenues, representing $11.4 billion and a growth of 9% year-over-year.

During the full fiscal year, the operating expenses increased by 48%. “Increases were primarily driven by higher compensation and benefits expenses due to employee growth and compensation increases, and engineering development, compute and infrastructure costs for new product introductions,” explained the company in the CFO commentary.

However, the net income rose 130% to $74.2 billion during the year.