NVDA Earnings May 2023

NVIDIA Corp. (NASDAQ:NVDA) reported its Q1 2024 earnings in a conference call on May 24, 2023. The key points from the call are as follows:

  1. Q1 revenue was $7.19 billion, up 19% sequentially and down 13% year-on-year.

  2. Record data center revenue of $4.28 billion, up 18% sequentially and up 14% year-on-year, driven by accelerated computing platform growth.

  3. Cloud service providers (CSPs) are deploying NVIDIA's flagship Hopper and Ampere architecture GPUs for enterprise and consumer AI applications.

  4. Consumer Internet companies are adopting generative AI and deep learning-based recommendation systems, contributing to strong growth.

  5. Enterprise demand for AI and accelerated computing is increasing, particularly in verticals such as automotive, financial services, healthcare, and telecom.

  6. NVIDIA is shipping DGX H100, its Hopper generation AI system, and launched DGX Cloud in partnership with Microsoft Azure, Google Cloud, and Oracle Cloud Infrastructure.

  7. NVIDIA AI Foundations, model foundry services, were introduced to help businesses build, refine, and operate custom large language models and generative AI models.

  8. Gaming revenue was $2.24 billion, up 22% sequentially, driven by sales of the 40 Series GeForce RTX GPUs and the successful launch of the RTX 4060 and 4060 Ti.

  9. NVIDIA's collaboration with Microsoft is focused on AI-powered Windows PCs and workstations, creating a supercharged platform for generative AI.

  10. Pro Visualization revenue was $295 million, up 31% sequentially, driven by stronger workstation demand and the launch of new RTX GPUs.

  11. NVIDIA Omniverse Cloud, a fully managed service running in Microsoft Azure, allows customers to design, develop, deploy, and manage industrial metaverse applications.

  12. Automotive revenue was $296 million, up 1% sequentially and up 114% year-on-year, driven by the ramp of the NVIDIA DRIVE Orin in new energy vehicles.

  13. NVIDIA's automotive design win pipeline for the next six years stands at $14 billion, providing visibility for continued growth.

  14. GAAP gross margin was 64.6%, and non-GAAP gross margin was 66.8%, largely recovered to prior peak levels.

  15. NVIDIA expects Q2 2024 total revenue to be $11 billion, plus or minus 2%, with data center driving the growth.

  16. GAAP and non-GAAP gross margins are expected to be 68.6% and 70%, respectively.

  17. GAAP and non-GAAP operating expenses are expected to be approximately $2.71 billion and $1.9 billion, respectively.

These key points provide an overview of NVIDIA's Q1 2024 earnings, highlighting their strong performance in data center, gaming, pro visualization, and automotive sectors, as well as their strategic partnerships and future outlook.

Anne Chapman

Let's go trade!

Previous
Previous

Market Report May 26 2023

Next
Next

Market Report May 25 2023