Early Access

10-KPeriod: FY2017

NVIDIA CORP Annual Report, Year Ended Jan 29, 2017

Filed March 1, 2017For Securities:NVDA

Summary

NVIDIA Corporation (NVDA) demonstrated significant growth and strategic positioning in its fiscal year 2017 filing, highlighting a substantial increase in revenue driven by strong performance across its key market platforms: Gaming, Professional Visualization, Datacenter, and Automotive. The company's strategic emphasis on Artificial Intelligence (AI) and its underlying GPU technology proved to be a major catalyst, particularly in the booming datacenter market where demand for deep learning applications surged. Financially, NVIDIA reported robust revenue growth of 38% year-over-year, coupled with a significant improvement in profitability, evidenced by a 171% increase in net income. This financial strength was supported by an expanding gross margin and efficient management of operating expenses. The company also returned substantial capital to shareholders through dividends and share repurchases, underscoring its commitment to shareholder value and its confidence in future cash flows. NVIDIA's investment in R&D remains a core focus, essential for maintaining its technological leadership in visual computing and AI.

Financial Statements
Beta
Revenue$6.91B
Cost of Revenue$2.85B
Gross Profit$4.06B
R&D Expenses$1.46B
SG&A Expenses$663.00M
Operating Expenses$2.13B
Operating Income$1.93B
Interest Expense$58.00M
Net Income$1.67B
EPS (Basic)$0.08
EPS (Diluted)$0.06
Shares Outstanding (Basic)21.64B
Shares Outstanding (Diluted)25.96B

Key Highlights

  • 1Revenue grew 38% to $6.91 billion, driven by strong demand across Gaming, Professional Visualization, Datacenter, and Automotive markets.
  • 2Net income surged by 171% to $1.67 billion, reflecting improved operational efficiency and strong sales performance.
  • 3The GPU business saw a 39% revenue increase, largely fueled by high-end GeForce gaming GPUs and significant growth in Datacenter platforms due to AI and deep learning demand.
  • 4Tegra Processor business revenue grew 47%, primarily driven by automotive applications and gaming development platforms.
  • 5Gross margin improved to 58.8% from 56.1% in the prior year, attributed to a favorable product mix and higher-margin product sales.
  • 6NVIDIA returned $1.00 billion to shareholders in fiscal year 2017 through share repurchases and dividends, with plans to return $1.25 billion in fiscal year 2018.
  • 7Research and development expenses increased by 10% to $1.46 billion, reflecting continued investment in innovation for AI and visual computing.

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