Technology
Nvidia projects 70% revenue growth for fiscal 2028 amid supply constraints
The chipmaker's multi-year forecast would push annual sales to $673 billion, driven by expanding artificial intelligence demand across startups and enterprises.
The short version
- Nvidia projected a 70% revenue growth rate for fiscal 2028 during its latest earnings call, significantly exceeding Wall Street's average estimate of 44%.
- If realized, the forecast would bring the company's annual revenue to $673 billion, positioning it behind only Amazon among U.S. technology firms.
- CEO Jensen Huang noted that underlying customer demand exceeds the 70% figure, but output remains limited by global supply chain shortages for components such as memory.
- Nvidia reported that customer demand is broadening beyond major cloud providers to include startups, enterprise clients, and regional AI companies.
Key facts
- Nvidia CFO Colette Kress announced a fiscal 2028 revenue growth projection of 70%, beating the 44% average analyst estimate tracked by LSEG.[CNBC]
- Applying the 70% growth forecast to consensus fiscal 2027 estimates of $396 billion yields projected fiscal 2028 sales of $673 billion.[CNBC]
- CEO Jensen Huang stated that actual demand exceeds the company's 70% forecast, but delivery is capped by supply constraints in parts like memory.[CNBC]
- Nvidia doubled its quarterly revenue compared to the same period a year earlier.[CNBC]
- Huang issued the long-term guidance to provide transparency for infrastructure partners securing land and power for data centers.[CNBC]
- Earlier in the month, Nvidia launched an initiative to help frontier labs, startups, and enterprise customers secure financing from six major financial institutions.[CNBC]
What remains uncertain
- Whether Nvidia's supply chain partners can scale production sufficiently to meet customer demand above the 70% growth baseline remains uncertain.[CNBC]