After it reported earnings on Wednesday for its third fiscal quarter that beat expectations, the stock price of the company rose over 5%.
The company has a bullish forecast for revenue in the current quarter.
It did better than the consensus expectations for the quarter.
The earnings were adjusted to show an increase of 600% year-over-year.
Revenue was $7.10 billion, up 50% from a year ago.
The company said it expects to report around $7.4 billion in the current quarter, higher than the $6.86 billion analysts were expecting.
So far this year, shares of Nvidia have risen more than 120%. The company has had a lot of demand for its hard-to- find graphics cards.
The company has made gains in data centers, where cloud providers and big enterprises are turning to the kind of graphics processors made by Nvidia for artificial intelligence applications.
In the same quarter last year, the data center sales of the company were $1.9 billion. The CFO wrote that the growth was driven by sales to hyperscale customers, a term that means cloud providers such as Amazon.
Customers are using the chips for tasks like understanding human speech and crunching data to offer recommendations.
In the third quarter, gaming sales increased 42% to $3.2 billion from the same quarter last year. The company said that it was due to increased sales of its products, but that supply was limited.
The company said that its gaming graphics cards have software that prevents them from being used for mining. Dedicated graphics cards were introduced earlier this year to help meet demand. In the quarter ending in August, the company sold $266 million in graphics cards.
Even though it is a small part of its sales, the automotive business is being invested in by rival chipmakers in hopes of becoming a multi-billion dollar market in the next decade.
The automotive sales were up 8% annually, but down from the previous quarter. The decline was due to other supply constraints, but self-driving programs using its processors continue to ramp up, according to the company.
The professional visualization product line grew 144% annually to $577 million. The business is for professionals. Firms are buying powerful laptop workstations for their staff to use at home.
Last week, Jensen Huang, the CEO of the company, suggested that the company could be one of the main suppliers for technology companies building the metaverse, or a virtual world that some believe will be home to increasing amounts of commerce, recreation and advertising. The new software products from Nvidia can be used to create virtual characters, interpret speech and create new 3D worlds.
Arm is a British vendor for core mobile Semiconductor technology. The European Commission opened an investigation last month.
The CFO said in the filing that the company was in talks with the FTC to address their concerns about the transactions.
The company said in its third-quarter earnings report that it believes in the benefits of the acquisition to Arm, its licensees, and the industry.
The company paid $100 million in dividends.
