Nvidia (NASDAQ:) will release its first-quarter 2025 earnings results after the closing bell on Wednesday, May 22.

Investors will mainly focus on growth trends in Nvidia’s data center segment and any updates regarding the recently announced Blackwell platform.

Wall Street analysts forecast Nvidia’s revenue will reach $24.65 billion in the first quarter of fiscal 2025, up from the previous quarter and more than tripling from the year-ago period, according to Visible Alpha consensus estimates.

Net income is expected to enhance to $12.87 billion, significantly higher than the $2.04 billion profit reported a year ago and up from the final quarter of fiscal 2024. Diluted earnings per share are expected to be 5. $17, up sharply from 82 cents in the year-ago period.

However, the data center segment will be the main focus in Nvidia’s upcoming earnings report. Nvidia became an early beneficiary of the artificial intelligence boom, which led to rapid growth in this department. Unprecedented demand for Nvidia’s advanced computing chips that specialize in AI workloads is significantly driving this expansion.

Citi analysts forecast Nvidia’s April total sales and data center sales will be $24 billion and $21 billion, respectively, in line with expectations. They believe the buy-side estimate is higher, at around $26 billion for total sales and $23 billion for data center sales.

For the July quarter, Citi is modeling total sales of $27.5 billion, compared with Street estimates of $26.5 billion and buy-side expectations of about $28 billion.

“We expect smaller increases compared to the previous several quarters with higher volumes, shorter lead times in the first half of the year and normalization of gross margin ahead of GB200 volume growth in the first half of 25.” – analysts of the Wall Street giant wrote in a note.

“On the earnings front, we believe investors are focused on a) GB200 ramp/pipeline, b) potential air pocket in AI demand in 2H24, c) B200 impact on LT gross margins, d) capacity constraints in the implementation of AI data centers and e) sovereign demand for AI and China’s demand for H20,” they added.

Meanwhile, in their preliminary earnings report, Piper Sandler analysts said they continue to see strong demand for Nvidia’s data center products and believe the company is poised for another beat-and-raise quarter.

“Demand for Hopper GPUs remains strong and supply is still struggling to catch up with demand as the product is still in the allocation phase. Our checks indicate that demand for the Blackwell GPU series will also be strong among NVDA’s data center customers,” they noted.

On the performance side, the Piper Sandler case suggests that Nvidia’s total revenue could exceed current expectations by $1.5 billion to $2.0 billion in April, with similar levels projected for July. If that happens, the investment firm expects Nvidia’s stock to remain flat or rise slightly after the print due to high investor expectations.