Nvidia has announced the successful completion of the second quarter, exceeding the expectations of wall Street. Nvidia predicts record sales of products “Games” as a to-be-released gaming console of Microsoft and Sony with Nvidia graphics processors.
Shares of Nvidia (NASDAQ: NVDA) rallied 106,35% since the beginning of the year, fell by 2.17%, despite the release of better-than-expected quarterly results.
For the second quarter of 2021 financial year ended 30 June 2020, Nvidia reported an increase in earnings per share to $of 2.18, which is $0,21 more than the analyst estimate of of $1.97.
The sum of quarterly earnings rose to $622 million from $552 million in the same quarter a year earlier.
Total quarterly revenue grew 50% to $3.87 billion, also above analytical estimates of $3.65 billion to See a history of revenue and profit Nvidia for the last 2 years can link.
Nvidia revenues from the segment “Datacenter”, which includes sales of server chips, as predicted by analysts for the first time exceeded the income of the segment “Games”, including the sale of graphics processing units (GPUs). Both segments grew amid increased demand for video games and cloud services during a pandemic.
Datacenter revenues increased by 167% (compared value) to $1.75 billion, exceeding analyst forecasts of $1.71 billion.
Games revenues increased by 26% to $1.65 billion, also above expectations on wall Street of $1.41 billion
At the same time, two other divisions of Nvidia: “Car” and “Professional imaging“ showed a decline in revenue, as sales of the automobile companies and corporate clients fell during a pandemic.
Revenues of the automotive segment Nvidia in the 2nd quarter decreased by 47% to $111 million, but still topped forecasts of $99 million
Income from “Professional imaging“ (GPU for workstations) fell 30% to $203 million, reaching the estimate of $301 million
In the reported quarter, was completed the largest deal for the 27-year history Nvidia – purchase Mellanox for $7,13 billion – the company that makes Ethernet switches and other network equipment.
Commenting on the report, chief financial officer of Nvidia Collette Kress said that Mellanox has brought about 14% of total revenue and more than 30% of income segment data centers, and “was an important part of several key new products in this quarter.”
In addition, during the quarter we started selling a new high performance server processors NVIDIA Ampere A100 with a new GPU architectures, which are widespread all major manufacturers of servers and cloud service providers. Read more about these processors Marketinfo.pro wrote in the article “Nvidia and Google have joined forces to offer cloud services high performance.“
Forward-looking statements Nvidia
Nvidia said it expects income in the third quarter of $4,40 billion, plus or minus 2%, compared to analysts ‘ estimates of $3,97 billion.
“We’re going to do a lot more in the next quarter,” said CEO of Nvidia Jen-Hsun Huang. “We are going to “gain momentum” in the second half of the year, and it will give us another boost growth.”
It is expected that new products for the gaming industry will be presented at the upcoming event, Nvidia, which will be broadcast live September 1. Microsoft and Sony are preparing to release a long awaited game consoles with Nvidia graphics processors.
“I think this may be one of the best gaming seasons in history,” said Huang. “We are already seeing amazing numbers from our partner consoles, Nintendo”.
“Despite the impact of the pandemic on our professional platform visualization and automotive platform, we have great opportunities for growth because of the game, AI, cloud computing and Autonomous vehicles are the driving force behind the next industrial revolution around the world,” said Huang.