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Graphic Card Today v7.2 - Part 4




Welcome to GCT v7.2
Graphic Card Today

Credit to Alifium




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Diubah oleh gct.hwf 17-01-2019 01:47
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#7528
NVIDIA Soars By 8% As Gaming Revenue Picks Up During Quarter

1.
Chip designer NVIDIA Corporation reported its earnings for the fourth quarter of fiscal year 2023 earlier today. The quarter saw the company post $6 billion in revenue and $1.4 billion in net income, with sales for the full year remaining flat annually. A breakdown of the results showed that it looks as if NVIDIA's bread and butter, its gaming division, might finally have bottomed out in the previous quarter, as it posted a 16% sequential growth. At the same time, Datacenter remained NVIDIA's largest segment, with its $3.6 billion in net sales marking an 11% annual growth but dropping by 6% sequentially as spending in the sector slows down in an inflationary environment.

2.
NVIDIA, like AMD, is dealing with this problem by reducing the products it is shipping to its channel partners to aid a process called 'inventory digestion.' This digestion is causing the firm's Gaming revenues to drop, according to its chief financial officer Ms. Colette Kress. NVIDIA's latest earnings report for its fourth quarter and full fiscal year 2023 saw it post $1.8 billon and $9 billion in Gaming revenue, respectively. These marked a 27% annual drop for the full fiscal year and a massive 46% annual reduction for the quarterly figures.

3.
However, the latest results just might have a silver lining for the company. While Gaming revenues dropped annually during the quarter, sequentially, they grew by 16% for the second highest growth across all of its business divisions. This confirms prior whispers claiming that Gaming will grow, which indicates that the worst might be over for the segment that had raked in $4.4 billion in Q4 FY 2022 and $12.5 billion in FY 2022.

4.
As gaming starts to recover, NVIDIA's Data Center segment is again its largest earner, with revenues growing by 11% annually but dropping 6% sequentially during the fourth quarter of fiscal year 2023. The slowdown is unsurprising as the cloud and enterprise computing market has slowed this quarter, and analysts expect spending to pick up in the latter half of this year.


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