(Reuters) – Nvidia on Wednesday reported a better-than-expected revenue forecast for the current quarter, as the semiconductor maker banks on solid demand for its artificial intelligence chips ( AI), which dominate the market.

The title of the Santa Clara, California-based company jumped 10% in volatile after-hours trading, after falling during the session.

Nvidia says it expects revenue of $24 billion in the January-March period, with a margin of error of 2% one way or the other. The consensus was 22.17 billion, according to LSEG data.

Over the October-December period, the group recorded a turnover of 22.10 billion dollars, while analysts on average expected an amount of 20.62 billion.

Adjusted earnings came in at $5.16 per share in the fourth quarter, compared with a consensus of $4.64 per share, according to LSEG data.

Nvidia had already beaten analysts’ expectations in the previous three quarters of 2023 by a margin between 10% and 20%.

Since the start of the year, the semiconductor manufacturer has climbed more than 30% on Wall Street, competing with Amazon and Alphabet among the companies with the highest valuations.

Nvidia’s data center division, its main source of revenue, saw its turnover increase 409% to 18.4 billion dollars in the fourth quarter, while the consensus was 16.8 billion according to data LSEG, after an increase of almost 280% in the previous quarter.

Nvidia, among the main companies benefiting from the enthusiasm around artificial intelligence, continues to record growth despite trade restrictions with China, formerly its main market.

(Reporting Arsheeya Bajwa in Bangalore and Max A. Cherney in San Francisco; Jean Terzian)

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