- Record revenue from all platforms – Datacenter, Gaming, Professional Visualization, Automotive
- Revenue of $3.12 billion, up 40 percent from a year ago
- GAAP EPS of $1.76, up 91 percent from a year ago
SANTA CLARA, Calif., Aug. 16, 2018 (GLOBE NEWSWIRE) -- NVIDIA (NASDAQ: NVDA) today reported revenue for the second quarter ended July 29, 2018, of $3.12 billion, up 40 percent from $2.23 billion a year earlier, and down 3 percent from $3.21 billion in the previous quarter.
GAAP earnings per diluted share for the quarter were $1.76, up 91 percent from $0.92 a year ago and down 11 percent from $1.98 in the previous quarter. Non-GAAP earnings per diluted share were $1.94, up 92 percent from $1.01 a year earlier and down 5 percent from $2.05 in the previous quarter.
“Growth across every platform – AI, Gaming, Professional Visualization, self-driving cars – drove another great quarter,” said Jensen Huang, founder and CEO of NVIDIA. “Fueling our growth is the widening gap between demand for computing across every industry and the limits reached by traditional computing. Developers are jumping on the GPU-accelerated computing model that we pioneered for the boost they need.
“We announced Turing this week. Turing is the world’s first ray-tracing GPU and completes the NVIDIA RTX platform, realizing a 40-year dream of the computer graphics industry. Turing is a giant leap forward and the greatest advance for computing since we introduced CUDA over a decade ago.”
Capital Return
During the first half of fiscal 2019, NVIDIA returned $837 million to shareholders through a combination of $655 million in share repurchases and $182 million in quarterly cash dividends.
For fiscal 2019, NVIDIA intends to return $1.25 billion to shareholders through ongoing quarterly cash dividends and share repurchases.
NVIDIA will pay its next quarterly cash dividend of $0.15 per share on September 21, 2018, to all shareholders of record on August 30, 2018.
Q2 Fiscal 2019 Summary
| GAAP | |||||
| ($ in millions except earnings per share) | Q2 FY19 | Q1 FY19 | Q2 FY18 | Q/Q | Y/Y |
| Revenue | $3,123 | $3,207 | $2,230 | Down 3% | Up 40% |
| Gross margin | 63.3% | 64.5% | 58.4% | Down 120 bps | Up 490 bps |
| Operating expenses | $818 | $773 | $614 | Up 6% | Up 33% |
| Operating income | $1,157 | $1,295 | $688 | Down 11% | Up 68% |
| Net income | $1,101 | $1,244 | $583 | Down 11% | Up 89% |
| Diluted earnings per share | $1.76 | $1.98 | $0.92 | Down 11% | Up 91% |
| Non-GAAP | |||||
| ($ in millions except earnings per share) | Q2 FY19 | Q1 FY19 | Q2 FY18 | Q/Q | Y/Y |
| Revenue | $3,123 | $3,207 | $2,230 | Down 3% | Up 40% |
| Gross margin | 63.5% | 64.7% | 58.6% | Down 120 bps | Up 490 bps |
| Operating expenses | $692 | $648 | $533 | Up 7% | Up 30% |
| Operating income | $1,290 | $1,428 | $773 | Down 10% | Up 67% |
| Net income | $1,210 | $1,285 | $638 | Down 6% | Up 90% |
| Diluted earnings per share | $1.94 | $2.05 | $1.01 | Down 5% | Up 92% |
NVIDIA’s outlook for the third quarter of fiscal 2019 is as follows:
- Revenue is expected to be $3.25 billion, plus or minus two percent.
- GAAP and non-GAAP gross margins are expected to be 62.6 percent and 62.8 percent, respectively, plus or minus 50 basis points.
- GAAP and non-GAAP operating expenses are expected to be approximately $870 million and $730 million, respectively.
- GAAP and non-GAAP other income and expense are both expected to be income of approximately $20 million.
- GAAP and non-GAAP tax rates are both expected to be 9 percent, plus or minus one percent, excluding any discrete items. GAAP discrete items include excess tax benefits or deficiencies related to stock-based compensation, which are expected to generate variability on a quarter by quarter basis.
Recent Highlights
This week, NVIDIA reinvented computer graphics with the launch of its
Turing™ GPU architecture , the company’s most important innovation since the invention of the CUDA® GPU more than a decade ago. Turing is the world’s first ray-tracing GPU. It features new RT Cores to accelerate ray tracing and new Tensor Cores for AI inferencing -- which, together for the first time, make real-time ray tracing possible – as well as more powerful compute for simulation and enhanced rasterization. Turing completes the NVIDIA RTX™ platform, a new hybrid rendering graphics approach that combines rasterization, ray tracing, compute and AI to enable real-time ray tracing, the Holy Grail of computer graphics. Turing will reset the look of video games and open up the $250 billion visual effects industry to GPUs.
