Investor Anthony Pompliano: Nvidia Earns About $1 Billion Daily
Investor Anthony Pompliano stated that Nvidia's revenue is approximately $1 billion per day. Elon Musk responded, "Impressive." According to the recently announced Q2 FY2027 revenue of $96.2 billion, divided by about 91 calendar days, this amounts to about $10.6 billion per day.
The net profit for the quarter was $59.69 billion, more than doubling year-on-year; data center revenue was $89 billion, a 117% year-on-year increase, accounting for about 90% of sales. The gross margin was about 75%. The company guided for this quarter's revenue to be $108 billion plus or minus 2%, crossing the $100 billion threshold for a single quarter for the first time, which is nearly $12 billion per day. Jensen Huang stated that artificial intelligence has reached a turning point.
CFO Colette Kress provided guidance for about 70% growth for the next fiscal year, exceeding analysts' expectations of about 40%, and stated that demand could double, with revenue constrained by supply. The hyperscale cloud showed a quarter-on-quarter increase of about 13%, while AI-native, enterprise, and sovereign customers increased by about 25% quarter-on-quarter. Amazon Web Services announced it would deploy approximately 2 million of the latest graphics processors starting this quarter. About $7.8 billion of the profit was from equity investment gains.
Buyers include cloud providers, laboratories, and sovereign computing, while sellers are platform companies facing tight supply. Capital is flowing from the $1.5 trillion cloud capital expenditure to packaging and optical modules. Benefiting are designers with 75% gross margins; pressured are customers who need to develop their own chips but must first buy spot products. This is a statement converting quarterly reports into daily revenue, not a new contract.
Source: Public Information
ABAB AI Insight
Earning $1 billion a day is a slogan derived from dividing revenue over 92 days. The real structure is that data centers account for 90%, with cloud providers slowing down quarter-on-quarter, while sovereign and native laboratories are catching up. The 70% guidance for next year sets a ceiling on "insufficient supply," indicating to the market that demand has not peaked. Equity investment gains are included in profits, showing that selling cards and investing in customers are intertwined, with part of daily revenue reflecting valuation fluctuations.
The capital path involves prepaying cloud capital expenditures, then Nvidia buying back some equity from customers. The motivation is to lock in the next generation of platforms and prevent customers from migrating training to self-developed silicon. Musk's "Impressive" serves as advertising from buyers who both purchase cards and build clusters. The 18-month depreciation on $365 billion annualized hardware signals a countdown to the next price war.
Similar to how Intel was once described as "taxing every time a computer is turned on," it is also akin to TSMC billing the entire industry with advanced processes. The semiconductor industry is in a phase of platform control: processes and packaging are more rigid than models. Whoever can frame daily revenue as a natural phenomenon can suppress doubts about circular financing on the first trading day after earnings reports.
The essence is capital concentration. The mechanism is to first convert global electricity and capital expenditures into a supply list, then divide that supply list into $1 billion daily. The larger the number, the more it resembles infrastructure; the more it resembles infrastructure, the harder it is for customers to change suppliers in the next quarter.
ABAB News · Law of Cognition
- Dividing quarterly reports by days makes scale feel tangible.
- Insufficient supply allows guidance to be written as a floor.
- When selling cards and investing in customers, revenue and valuation become intertwined.