Nvidia’s revenue in the first quarter soared an incredible 262 percent compared to 2023.

Nvidia today reported first-quarter revenues of $26 billion, which is 18 percent higher than the previous quarter and 262 percent higher than a year ago.

The world’s largest chip manufacturer also announced a 10-for-1 stock split that will take effect on June 7 and said it is increasing its quarterly cash dividend by 150 percent.

The incredible growth in Nvidia’s value has been driven by record sales of chips for artificial intelligence development, and the massive year-on-year increase is similar to the previous quarter, where growth reached 265 percent. For the current quarter, it expects revenue of around $28 billion, plus or minus two percent, compared to consensus estimates of $26.8 billion, the company announced on its official website.

Nvidia’s shares, which have extended their rapid growth by more than 90 percent since the beginning of the year, rose two percent in after-hours trading. Demand for Nvidia’s AI data center graphics processing units surged last year as the largest tech companies rushed to develop the computing infrastructure needed to deliver powerful new AI products at scale. Google, Microsoft, Meta, and Amazon have indicated that their spending (i.e., investments) will remain high throughout 2024.

– The next industrial revolution has begun – companies and countries are collaborating with Nvidia to transition traditional data centers worth trillions of dollars to accelerated computing and build a new type of data center – AI factories – to produce new goods: artificial intelligence. AI will bring significant productivity gains in almost every industry and help companies become more cost- and energy-efficient while expanding revenue opportunities, said Jensen Huang, founder and CEO of Nvidia.

He added that, in addition to cloud service providers, generative artificial intelligence has expanded to ‘consumer internet companies and enterprises, sovereign AI, automotive and healthcare users, creating multiple vertical markets worth billions of dollars.’