NVIDIA Reports Financial Results for Fourth Quarter and Fiscal Year 2011
SANTA CLARA, CA, Feb 16, 2011 (MARKETWIRE via COMTEX) —
NVIDIA (NASDAQ: NVDA)
— Revenue increased 5.0 percent to $886.4 million from the third
quarter.
— We believe some analyst estimates may have recorded the Intel
settlement as revenue, rather than as a credit to operating
expenses, artificially raising revenue consensus.
— GAAP net income grew to $171.7 million, or $0.29 per diluted share,
from the third quarter’s $84.9 million, or $0.15 per diluted share.
— GAAP gross margin increased to a record 48.1 percent from the third
quarter’s 46.5 percent.
NVIDIA (NASDAQ: NVDA) today reported revenue of $886.4 million for the fourth quarter of fiscal 2011 ended Jan. 30, 2011, up 5.0 percent from the prior quarter and down 9.8 percent from $982.5 million from the same period a year earlier.
On a GAAP basis, the company recorded net income of $171.7 million, or $0.29 per diluted share, compared with $84.9 million, or $0.15 per diluted share, in the previous quarter and GAAP net income of $131.1 million, or $0.23 per diluted share, in the same period a year earlier. GAAP gross margin was a record 48.1 percent compared with 46.5 percent in the previous quarter and 44.7 percent in the same period a year earlier.
Stock closed at 23.38 Up +0.83 (3.68%) on Feb 16
Fourth Quarter Fiscal 2011 and Recent Highlights:
— NVIDIA demonstrated its next-generation mobile processor, the world’s
first quad-core mobile processor, at Mobile World Congress. The
company is sampling to customers now, putting it at least a year ahead
of the competition. NVIDIA expects to see tablets and phones later
this year.
— Customers announced a number of products incorporating the Tegra(R)
2 mobile processor, including Acer, with its EeePad Slider, EeePad
Transformer and Iconia A500 tablets; Dell, with the Dell Streak; LG
Electronics, with the LG Optimus 2X phone and the Optimus Pad; and
Motorola, with the Atrix and Droid Bionic phones, the Xoom tablet for
Verizon and an unnamed tablet for AT&T. After quarter end, Samsung
announced the Galaxy Tab 10.1, and revealed it was working with NVIDIA
on a Tegra-powered superphone and Toshiba announced an unnamed 10″
tablet.
— NVIDIA announced that it is developing a custom CPU that will use the
ARM instruction set, known internally as Project Denver. The Denver
CPU cores will be integrated into future generation processors for
PCs, servers, and supercomputers. Separately, Microsoft announced
that its next generation Windows will include native support for ARM
SOCs such as Tegra.
— NVIDIA extended its licensing agreement with Intel for $1.5 billion
over the agreement’s six-year lifespan. Revenue and costs from the
license portion of this agreement will commence April 1, 2011; see the
CFO Commentary posted on our website for further details.
— In addition to its long partnership with the Volkswagen Audi Group,
NVIDIA announced that BMW will also use NVIDIA GPUs for infotainment
systems in next-generation cars worldwide. Tesla(TM) Motors will
also incorporate Tegra processors to power the infotainment,
navigation and instrument cluster in its Roadster Model S.
— NVIDIA launched the GeForce(R) GTX 570 and GTX 560 Ti, the most
advanced GPUs for gamers.
— NVIDIA announced that PC manufacturers are expected to launch 200 new
PCs that use NVIDIA(R) GeForce GPUs paired with the new generation
of Sandy Bridge CPUs.