Nvidia: Execution Amid Regulatory Headwinds
Q1 2025 performance despite U.S.–China export restrictions
Key Analysis
What’s more impressive? Nvidia delivered a blowout quarter despite regulatory friction. The U.S. government’s tightened export restrictions to China forced the company to absorb a $5.5B charge, later revised down to $4.5B after repurposing certain H20 chips. And yet, gross margins held, forward guidance stayed strong, and execution remained precise. This is disciplined, strategic performance from an AI infrastructure leader.
Initial Charge
$5.5 Billion
Export restriction impact
Revised Impact
$4.5 Billion
After component reallocation
Forward Guidance
Maintained
No revision downward
Impact Breakdown