Far above them all: the revenues of Nvidia Israel will amaze you

● Commentary | Nvidia in the “best quarter in the history of the capital market” – so why is profitability decreasing?
● The real news of Nvidia was hidden in one sentence in the investor call
● Nvidia once again shatters the predictions. Revenues in the quarter: 96 billion dollars

And at the same time, the company already decided two quarters ago to consolidate the sales data of the communication processors and the graphics processors into one unit – thus effectively eliminating the possibility of following Nvidia’s Israeli activities. In the first quarter of this year, we first learned about the intention, but the company left the division in its original configuration, so that one could get the impression that Mellanox products became the fastest growing division of Nvidia – with a rate of 18% of the company’s total revenues and total revenues of almost 15 billion dollars per quarter – a figure that was so high that, according to the CBS, it even contributed to the growth of Israel’s GDP.

Strengthens its position as the most profitable Israeli company

In the second quarter, as expected, the figure disappeared and was merged with GPU sales figures for Nvidia customers, the main and older product line. And yet, in the investor call, the CFO disclosed the results of the communications processor division’s activities nonetheless – and said that sales grew by 18% compared to the previous quarter. This shows that Nvidia Israel’s sales reached $17.5 billion in the second quarter and maintained a record rate of 18% of the company’s total sales. Kers claimed that the “Spectrum X” communications switch based on the Ethernet protocol grew in annual sales Its 2.6 times which has contributed to making Nvidia the fastest growing communication company in the world. The Spectrum X is a system that includes a communication switch and communication cards (NIC) that allow information between the graphics processors to move more quickly and efficiently and thus calculate more AI operations at once.

In this way, Nvidia Israel strengthens its position as the highest-grossing Israeli company – when compared to it, Teva brought in $4.1 billion in the second quarter, and Check Point with $674 million. The aviation industry, which reports in medians, reported revenues of $4.2 billion for the first two quarters of 2026, while Elbit’s revenues in the second quarter reached $2.2 billion.

From the data on Israel’s exports of goods published last week by the CBS, it appears that “exports that did not cross the country’s borders” – attributed mostly to Nvidia and marginally to other companies such as Camtech and Nova – stood for years at about $2 billion every quarter. Last year alone there was a jump of 74% compared to 2024, when we see an increase of $7 billion. In the first quarter of this year it has already jumped to 8 A billion dollars.

Without the activity of Nvidia and the like, the economy would have contracted in the first quarter by 5.8%, the rate of growth is almost three times the actual contraction – a drop in GDP of 2.2%. Over the whole of last year, the Israeli GDP grew by 3.5%, but without Nvidia the growth would have amounted to only 2.1%. Economist Prof. Benjamin Bentel, a senior consultant to the Aharon Institute, told Globes that compared to the same quarter last year, the growth without weighting Nvidia stands at 5.5%, compared to 7.2% with the combination of the company, that is, an increase of 1.7 percentage points.