News & Analysis
Comment
eewiz
"Huang said revenue from Tegra last year reached $360 million but predicted that ...
Nvidia beats street but lowers estimates
Sylvie Barak
2/15/2012 8:28 PM EST
MOUNTAIN VIEW, Calif.--Graphics maker Nvidia Corp., remained pessimistic in its revenue forecast on Wednesday (Feb. 15), despite beating analyst expectations for the fourth quarter.
Nvidia had been predicting revenue of $950 million for Q4 of 2011, but reported earnings of $116 million. Financial analysts had been predicting fourth quarter earnings of 19 cents a share on revenue of $950.5 million. Nvidia posted Non-GAAP earnings of 26 cents a share on a revenue of $953.2 million.
While the results are down 10.6 percent from the $1.07 billion in the previous quarter, Nvidia did manage to close out the year with a 12.8 percent revenue increase over the previous full year, taking revenue for fiscal 2012 to $4 billion.
The firm continued to play its estimates safe, however, forecasting revenue of between $900 million and $930 million for the end of fiscal Q1 2013 and just $4.18 billion for the full fiscal year.
The firm blamed its conservative outlook on delays in ramping at 28-nm, and ongoing hard-disk shortages due to last year’s Thai flooding, which continue to hamper PC manufacturing.
With hard drive prices hiked, some PC OEMs have even opted to forgo costly high-end graphics cards in systems, replacing them with cheaper integrated graphics from rivals like Intel and AMD.
Nvidia CEO Jen-Hsun Huang said TSMC’s constricted supply of 28-nm chips was also potentially a limiting factor.
"New generations of smartphones, new generations of GPUs are going to drive the demand for 28-nanometer capacity. ... And so I think you're going to find that this year is going to continue to be tight," he said.
Despite the potential constraints, Huang said he saw plenty of growth ahead as the quad cored Tegra 3 mobile application processor came into the market inside tablets like the Asus Transformer prime and other upcoming devices, purportedly later this quarter.
Huang said revenue from Tegra last year reached $360 million but predicted that would grow by around 50 percent in 2012.
Nvidia had been predicting revenue of $950 million for Q4 of 2011, but reported earnings of $116 million. Financial analysts had been predicting fourth quarter earnings of 19 cents a share on revenue of $950.5 million. Nvidia posted Non-GAAP earnings of 26 cents a share on a revenue of $953.2 million.
While the results are down 10.6 percent from the $1.07 billion in the previous quarter, Nvidia did manage to close out the year with a 12.8 percent revenue increase over the previous full year, taking revenue for fiscal 2012 to $4 billion.
The firm continued to play its estimates safe, however, forecasting revenue of between $900 million and $930 million for the end of fiscal Q1 2013 and just $4.18 billion for the full fiscal year.
The firm blamed its conservative outlook on delays in ramping at 28-nm, and ongoing hard-disk shortages due to last year’s Thai flooding, which continue to hamper PC manufacturing.
With hard drive prices hiked, some PC OEMs have even opted to forgo costly high-end graphics cards in systems, replacing them with cheaper integrated graphics from rivals like Intel and AMD.Nvidia CEO Jen-Hsun Huang said TSMC’s constricted supply of 28-nm chips was also potentially a limiting factor.
"New generations of smartphones, new generations of GPUs are going to drive the demand for 28-nanometer capacity. ... And so I think you're going to find that this year is going to continue to be tight," he said.
Despite the potential constraints, Huang said he saw plenty of growth ahead as the quad cored Tegra 3 mobile application processor came into the market inside tablets like the Asus Transformer prime and other upcoming devices, purportedly later this quarter.
Huang said revenue from Tegra last year reached $360 million but predicted that would grow by around 50 percent in 2012.
|
|
|
|
|
Navigate to related information
eewiz
2/16/2012 6:32 AM EST
"Huang said revenue from Tegra last year reached $360 million but predicted that would grow by around 50 percent in 2012." Nvidia is really fast with Tegra development. they already have the quadcore tegra 3 shipping, while other manufacturers are still mostly selling the dualcore cpus. Its good, that by the time Intel integrated GPUs kills the nVidia discrete GPUs, they have something to hang on :)
Sign in to Reply