Nvidia’s Last Quarter Was Nearly Perfect. One Number in the Fine Print Wasn’t.

NVDA posted 106% revenue growth in fiscal Q2 and guided for 70% annual growth, but a working-capital metric buried in the report signals a shift in deal structure. Days Sales Outstanding climbed from 45 days to 60 days, meaning customers are taking two weeks longer to pay invoices than they did last quarter.

The jump reflects NVDA's push to lock in multi-year commitments by extending payment terms and helping finance customer orders. While that strategy secures long-term revenue, it raises the question of whether near-term demand would hold without the financing incentive. A sustained rise in DSO can flag either weakening cash conversion or aggressive deal-making to hit revenue targets.

NVDA's guidance remains strong, but the 15-day payment extension represents a meaningful operational change. Companies typically tighten terms when demand outstrips supply; loosening them can suggest supply is catching up or competition for hyperscale contracts is intensifying.