This story has been updated from 4:22 p.m. ET with additional information.

Shares of Nvidia (NVDA) - Get Report   rose after the close on Thursday after the chipmaker reported stronger-than-expected third-quarter financial results.

For the quarter, Nvidia posted adjusted earnings of $1.33 per share on revenue of $2.64 billion. On average, analysts polled by FactSet expected adjusted earnings of 95 cents per share on quarterly revenue of $2.37 billion. 

The stock was up 1.7% to $208.74 in after-hours trading on Thursday, and is up more than 90% this year.

Nvidia's gaming revenue grew 25% year-over-year to $1.56 billion, making up the biggest portion of the company's top line. Data center chips were the biggest gainers, increasing 109% to $500 million.

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In addition to topping third-quarter expectations, Nvidia told investors to expect fourth quarter sales of $2.65 billion, plus or minus two percent, ahead of Wall Street's consensus of $2.44 billion.

The company intends to return $1.25 billion to shareholders in fiscal 2018. For fiscal 2019, Nvidia intends to return $1.25 billion to shareholders through ongoing quarterly cash dividends and share repurchases.

Nvidia founder and chief executive officer Jensen Huang said that global adoption of artificial intelligence across multiple industries drove record sales for the quarter.

The company released its new gaming chips and announced its PX Pegasus automotive AI systems during the quarter. 

Nvidia began shipping its powerful Tesla V100 server GPU, the first chip based on its next-gen Volta architecture, in late July. Alibaba (BABA) - Get Report , Baidu and Tencent said they would use Volta GPUs during the quarter, joining existing customers such as Amazon (AMZN) - Get Report , Facebook (FB) - Get Report , Alphabet (GOOGL) - Get Report  and Microsoft (MSFT) - Get Report . Meanwhile, Nvidia said that Dell EMC, Hewlett Packard Enterprise (HPE) - Get Report , IBM (IBM) - Get Report and others have developed servers based on the Tesla V100.

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