Nvidia once again made investors smile by reporting revenue and earnings that far exceeded analysts’ expectations. Despite having a quarter that exceeded estimates, Nvidia shares fell sharply over the past day.

Nvidia revenues reach $30 billion in the last quarter

In the fiscal quarter that ended in July, Nvidia generated revenue of $30 billion, up 11 percent from the previous quarter. Earnings per share were 3.49 dollars, up 12 percent, respectively. It exceeded analyst estimates in both monthly and annual results.

The growth in company revenue is driven by data centers and artificial intelligence operations. It is possible to say that the demand for Nvidia’s GPUs is growing rapidly. Data center revenues, the company’s largest market, increased 61 percent year-on-year to $3.81 billion.

But some investors had gotten used to Nvidia far exceeding expectations in recent quarters. In the second quarter, revenue beat estimates by just 1 percent, compared to previous double-digit increases. This led to a drop in share prices.

Nvidia shares fell more than 6 percent on the grounds that it experienced weaker growth than expected. “The bar has been set a little too high this earnings season,” analyst Ryan Detrick of the Carson Group said in a statement.

For the current quarter, Nvidia is forecasting revenues of $32.5 billion. The company is also looking to increase its market dominance with the launch of its next-generation Blackwell artificial intelligence chips.