NVIDIA's Q1 revenue exceeded expectations

NVIDIA (NVDA. O) reported a 69% year-on-year increase in overall revenue in the first quarter to $44.10 billion, beating market expectations of $43.10 billion, and data center revenue rose 73% year-on-year to $39.10 billion (market expectations of $39.30 billion), accounting for 88% of sales. NVIDIA rose 5% after hours. The company's shares have been relatively flat so far this year, after nearly tripling last year. NVIDIA said the Quarter 1 H20 chip inventory surplus incurred a $4.50 billion charge, and the company would have recorded an additional $2.50 billion in sales if it had not been restricted. NVIDIA CEO Jen-Hsun Huang had earlier expected the revenue impact related to the H20 chip export restriction to be about $15 billion. Nvidia said in the earnings report that if it does not take into account the loss of sales caused by the recent export restrictions on its H20 chip, its performance is expected to be higher by about 8 billion US dollars. Nvidia expects second-quarter revenue to be 45 billion US dollars, up or down 2%, and the market is expected to be 45.90 billion US dollars.