Nvidia posts record profit and revenue amid AI chip boom

May 21, 2026 - 03:20

Chip giant Nvidia has posted a record-breaking quarter, driven by the relentless global demand for artificial intelligence processors. The company announced a staggering $80 billion stock buyback program alongside a dividend increase, delivering a significant boon to shareholders. Revenue for the quarter soared to $30 billion, more than doubling from the same period last year, while net profit hit an all-time high of $16.6 billion.

The results underscore Nvidia's dominant position in the AI chip market, where its graphics processing units are essential for training large language models and powering data centers. Chief Executive Jensen Huang credited a "new industrial revolution" as companies across sectors race to integrate generative AI. "The next wave of AI is beginning, and Nvidia is at the center of it," Huang said in a statement.

Investors responded positively to the news, with shares climbing in after-hours trading. The company's decision to return capital through buybacks and a higher dividend signals confidence in sustained growth, even as competitors like AMD and Intel ramp up their own AI chip efforts. Analysts noted that Nvidia's profit margins remain exceptionally high, thanks to its pricing power and supply chain advantages. The report caps a remarkable year for the firm, which has seen its market valuation surpass $3 trillion, making it one of the most valuable companies in the world.