Early Access

10-QPeriod: Q3 FY2018

NVIDIA CORP Quarterly Report for Q3 Ended Oct 29, 2017

Filed November 21, 2017For Securities:NVDA

Summary

NVIDIA Corporation (NVDA) reported strong financial results for the third quarter and first nine months of fiscal year 2018, ended October 29, 2017. The company demonstrated significant year-over-year revenue growth, driven by robust performance in its GPU business, particularly within the datacenter and gaming segments. The Tegra Processor business also showed substantial growth, bolstered by contributions from gaming development platforms and automotive applications. Profitability metrics also improved, with net income and diluted earnings per share showing substantial increases. NVIDIA's balance sheet remains strong, with a healthy increase in cash and cash equivalents driven by robust operating activities. The company continued its commitment to returning capital to shareholders through share repurchases and an increased quarterly dividend, signaling confidence in its ongoing financial health and future prospects.

Financial Statements
Beta
Revenue$2.64B
Cost of Revenue$1.07B
Gross Profit$1.57B
R&D Expenses$462.00M
SG&A Expenses$212.00M
Operating Expenses$674.00M
Operating Income$895.00M
Interest Expense$15.00M
Net Income$838.00M
EPS (Basic)$0.03
EPS (Diluted)$0.03
Shares Outstanding (Basic)24.12B
Shares Outstanding (Diluted)25.12B

Key Highlights

  • 1Revenue for the third quarter of fiscal year 2018 increased by 32% year-over-year to $2.64 billion, driven by strong GPU and Tegra processor sales.
  • 2Net income for the third quarter rose 55% year-over-year to $838 million, with diluted earnings per share increasing by 60% to $1.33.
  • 3The GPU business saw a 31% revenue increase, with Datacenter revenue surging 109% year-over-year due to high demand for AI and deep learning applications.
  • 4Tegra Processor business revenue grew by 74% year-over-year, supported by gaming development platforms and automotive sector contributions.
  • 5Gross margin improved to 59.5% from 59.0% in the prior year's third quarter, primarily due to the strong performance of Datacenter and gaming GPUs.
  • 6Operating expenses increased by 24% year-over-year, reflecting investments in growth initiatives like gaming, AI, and autonomous driving.
  • 7The company generated $2.14 billion in net cash from operating activities for the first nine months of fiscal year 2018, demonstrating strong cash flow generation.

Frequently Asked Questions