Nvidia is set to report its quarterly results for the period ending in July, with revenue around $46 billion and net income near $24.7 billion, while weighing potential $8 billion in revenue impact from export controls and about $7 billion in charges from unfulfilled sales earlier in the year.

The earnings outlook comes amid ongoing US-China export controls that affect China sales and broader trade tensions surrounding the company.

Nvidia is reportedly developing a new China-focused, more powerful AI chip, likely named the B30, designed to comply with export rules while remaining commercially viable in China.

Analysts expect roughly $46 billion in revenue and $24.7 billion in net income for the quarter, about 50% higher year over year but a slower pace than last year’s double- and triple-digit growth.

Industry observers note concerns about AI market hype and profitability of AI deployments, yet executives and analysts anticipate Nvidia will beat estimates and maintain a positive long-term outlook.

Policy developments include the White House approving a restart of H20 chip sales to China and a licensing arrangement where Nvidia and AMD will pay 15% of certain chip sales to China to gain export access.

The company had previously warned of an $8 billion revenue hit from export controls on China shipments and carried about $7 billion in charges from unfulfilled sales earlier in the year.

Market sentiment remains cautiously optimistic, with Nvidia viewed as a bellwether for AI demand; the stock has surged more than 30% year to date and the company became the first US-listed company to reach a $4 trillion market value in July.