Nvidia's Blackwell GPU Set For Q4 Shipments — Jensen Huang Confirms Mask Change Completion And 'Incredible' Customer Anticipation

On Wednesday, Nvidia Corporation NVDA reported its second-quarter revenue, during which the tech giant announced modifications to the Blackwell GPU mask intending to boost production yields.

What Happened: During the call, Nvidia’s CFO Colette M. Kress, revealed, “We executed a change to the Blackwell GPU mass to improve production yields.”

She also mentioned that the production ramp for Blackwell is scheduled to kick off in the fourth quarter and extend into fiscal year 2026.

“Our third-quarter revenue outlook incorporates continued growth of our Hopper architecture and sampling of our Blackwell products,” she added.

See Also: Here’s What Nvidia’s Jensen Huang Had To Say About AMD’ CEO And His Cousin Lisa Su

On the subject of the impact of the changes on the Blackwell GPU mask, Nvidia CEO Jensen Huang stated, “The change to the mask is complete. There were no functional changes necessary.”

He further stated that customers are sampling Blackwell and the anticipation for it is “incredible.” He expects to start production in the fourth quarter.

“When I said ship production in fourth quarter, I mean shipping out, I don’t mean starting to ship, but I mean — I don’t mean starting production but shipping up,” he stated.

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Why It Matters: Nvidia’s second-quarter revenue exceeded Street expectations. The company’s strong data center revenue contributed significantly to its top line, although the gross margin contracted from the first quarter.

Analysts had anticipated that Blackwell would start full-scale shipments this quarter, but Nvidia now projects “several billions of dollars” in revenue during the last three months of the year.

$NVDA first take: the guidance is much better than investors' first take (stock down 1%). The company guided revenue up ~3% for October, which includes the negative impact of what appears to be a 2-3 month Blackwell delay. In other words, if there was no delay, the guidance would…

— Gene Munster (@munster_gene) August 28, 2024

Price Action: At the time of writing, in the after-hours session, Nvidia shares were down by 6.89% reaching $116.95. The tech giant ended Wednesday’s session at $125.61, a decrease of 2.10%, according to Benzinga Pro data.

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