Nvidia shares were little changed in after hours trading after the AI chipmaker reported record first quarter revenue and issued a stronger outlook for the current quarter.

The stock initially dropped 3% in post market trading before recovering to flat at press time near $223.

Nvidia reported revenue of $81.6 billion for the first quarter of fiscal 2027, up 85% from a year earlier and 20% from the previous quarter. The company posted GAAP net income of $58.3 billion, up 211% year over year, while diluted earnings per share rose to $2.39.

On a non GAAP basis, Nvidia reported net income of $45.5 billion and diluted earnings per share of $1.87, up 140% from the same period last year. Revenue from Compute and Networking reached $74.6 billion, while Graphics revenue came in at $7.1 billion.

Data Center remained Nvidia’s main growth engine, with revenue reaching a record $75.2 billion, up 92% from a year earlier and 21% sequentially. The company said growth was driven by the ramp of Blackwell 300 products and demand for InfiniBand, Spectrum X Ethernet, and NVLink solutions.

Nvidia said hyperscale customers accounted for roughly half of Data Center revenue, while the rest came from AI clouds, industrial, enterprise, and sovereign customers. The company also said it did not ship Data Center Hopper products to China during the quarter, compared with $4.6 billion in the same period last year.

For the second quarter of fiscal 2027, Nvidia expects revenue of $91 billion, plus or minus 2%. The outlook does not assume any Data Center compute revenue from China, keeping export restrictions and geopolitical exposure in focus for investors.

The company also raised its quarterly dividend from $0.01 per share to $0.25 per share and authorized an additional $80 billion for share repurchases. Nvidia returned about $20 billion to shareholders through buybacks and dividends during the first quarter.

Nvidia’s results reinforce the scale of AI infrastructure demand, even as investors weigh whether rapid spending on chips, data centers, and cloud capacity can keep supporting the company’s valuation. The muted stock reaction suggests traders were looking beyond the headline beat toward China exposure, margin stability, and whether growth can keep accelerating from an already massive base.