NVIDIA Announces Financial Results for First Quarter Fiscal 2025

• Document quarterly income of $26.0 billion, up 18% from This autumn and up 262% from a yr in the past 
• Document quarterly Knowledge Heart income of $22.6 billion, up 23% from This autumn and up 427% from a yr in the past
• Ten-for-one ahead inventory cut up efficient June 7, 2024
• Quarterly money dividend raised 150% to $0.01 per share on a post-split foundation

NVIDIA (NASDAQ: NVDA) immediately reported income for the primary quarter ended April 28, 2024, of $26.0 billion, up 18% from the earlier quarter and up 262% from a yr in the past.

For the quarter, GAAP earnings per diluted share was $5.98, up 21% from the earlier quarter and up 629% from a yr in the past. Non-GAAP earnings per diluted share was $6.12, up 19% from the earlier quarter and up 461% from a yr in the past.

“The following industrial revolution has begun — corporations and international locations are partnering with NVIDIA to shift the trillion-dollar conventional knowledge facilities to accelerated computing and construct a brand new sort of information middle — AI factories — to supply a brand new commodity: synthetic intelligence,” stated Jensen Huang, founder and CEO of NVIDIA. “AI will convey important productiveness positive factors to almost each business and assist corporations be extra cost- and energy-efficient, whereas increasing income alternatives.

“Our knowledge middle development was fueled by robust and accelerating demand for generative AI coaching and inference on the Hopper platform. Past cloud service suppliers, generative AI has expanded to shopper web corporations, and enterprise, sovereign AI, automotive and healthcare prospects, creating a number of multibillion-dollar vertical markets.

“We’re poised for our subsequent wave of development. The Blackwell platform is in full manufacturing and kinds the inspiration for trillion-parameter-scale generative AI. Spectrum-X opens a brand-new marketplace for us to convey large-scale AI to Ethernet-only knowledge facilities. And NVIDIA NIM is our new software program providing that delivers enterprise-grade, optimized generative AI to run on CUDA in every single place — from the cloud to on-prem knowledge facilities and RTX AI PCs — by our expansive community of ecosystem companions.”

NVIDIA additionally introduced a ten-for-one ahead inventory cut up of NVIDIA’s issued frequent inventory to make inventory possession extra accessible to workers and buyers. The cut up can be effected by an modification to NVIDIA’s Restated Certificates of Incorporation, which can end in a proportionate improve within the variety of shares of licensed frequent inventory. Every report holder of frequent inventory as of the shut of market on Thursday, June 6, 2024, will obtain 9 extra shares of frequent inventory, to be distributed after the shut of market on Friday, June 7, 2024. Buying and selling is anticipated to start on a split-adjusted foundation at market open on Monday, June 10, 2024.

NVIDIA is rising its quarterly money dividend by 150% from $0.04 per share to $0.10 per share of frequent inventory. The elevated dividend is equal to $0.01 per share on a post-split foundation and can be paid on Friday, June 28, 2024, to all shareholders of report on Tuesday, June 11, 2024.

Q1 Fiscal 2025 Abstract

Outlook
NVIDIA’s outlook for the second quarter of fiscal 2025 is as follows:

• Income is anticipated to be $28.0 billion, plus or minus 2%.
• GAAP and non-GAAP gross margins are anticipated to be 74.8% and 75.5%, respectively, plus or minus 50 foundation factors. For the total yr, gross margins are anticipated to be within the mid-70% vary.
• GAAP and non-GAAP working bills are anticipated to be roughly $4.0 billion and $2.8 billion, respectively. Full-year working bills are anticipated to develop within the low-40% vary.
• GAAP and non-GAAP different revenue and expense are anticipated to be an revenue of roughly $300 million, excluding positive factors and losses from non-affiliated investments.
• GAAP and non-GAAP tax charges are anticipated to be 17%, plus or minus 1%, excluding any discrete objects.

Highlights
NVIDIA achieved progress since its earlier earnings announcement in these areas: 

Knowledge Heart

Gaming and AI PC

• First-quarter Gaming income was $2.6 billion, down 8% from the earlier quarter and up 18% from a yr in the past. 
• Launched new AI gaming applied sciences at GDC for NVIDIA ACE and Neural Graphics.
• Unveiled new AI efficiency optimizations and integrations for Home windows to ship most efficiency on NVIDIA GeForce RTX AI PCs and workstations.
• Introduced extra blockbuster video games that may incorporate RTX expertise, together with Star Wars Outlaws and Black Fantasy Wukong.
• Added help for brand new fashions, together with Google’s Gemma, for ChatRTX, which brings chatbot capabilities to RTX-powered Home windows PCs and workstations.

Skilled Visualization

Automotive and Robotics

• First-quarter Automotive income was $329 million, up 17% from the earlier quarter and up 11% from a yr in the past.
• Introduced BYD, XPENG, GAC’s AION Hyper, Nuro and others have chosen the next-generation NVIDIA DRIVE Thor™ platform, which now options Blackwell GPU structure, to energy their next-generation shopper and business electrical automobile fleets.
• Revealed U.S. and China electrical automobile makers Lucid and IM Motors are utilizing the NVIDIA DRIVE Orin™ platform for automobile fashions focusing on the European market.
• Introduced an array of companions are utilizing NVIDIA generative AI applied sciences to rework in-vehicle experiences.
• Launched the Venture GR00T basis mannequin for humanoid robots and main Isaac robotics platform updates.

CFO Commentary
Commentary on the quarter by Colette Kress, NVIDIA’s govt vp and chief monetary officer, is accessible at https://investor.nvidia.com.

Convention Name and Webcast Info
NVIDIA will conduct a convention name with analysts and buyers to debate its first quarter fiscal 2025 monetary outcomes and present monetary prospects immediately at 2 p.m. Pacific time (5 p.m. Jap time). A dwell webcast (listen-only mode) of the convention name can be accessible at NVIDIA’s investor relations web site, https://investor.nvidia.com. The webcast can be recorded and out there for replay till NVIDIA’s convention name to debate its monetary outcomes for its second quarter of fiscal 2025.

Non-GAAP Measures
To complement NVIDIA’s condensed consolidated monetary statements offered in accordance with GAAP, the corporate makes use of non-GAAP measures of sure elements of economic efficiency. These non-GAAP measures embrace non-GAAP gross revenue, non-GAAP gross margin, non-GAAP working bills, non-GAAP revenue from operations, non-GAAP different revenue (expense), web, non-GAAP web revenue, non-GAAP web revenue, or earnings, per diluted share, and free money circulate. For NVIDIA’s buyers to be higher capable of examine its present outcomes with these of earlier durations, the corporate has proven a reconciliation of GAAP to non-GAAP monetary measures. These reconciliations regulate the associated GAAP monetary measures to exclude stock-based compensation expense, acquisition-related and different prices, different, positive factors and losses from non-affiliated investments, curiosity expense associated to amortization of debt low cost, and the related tax influence of these things the place relevant. Free money circulate is calculated as GAAP web money offered by working actions much less each purchases associated to property and gear and intangible property and principal funds on property and gear and intangible property. NVIDIA believes the presentation of its non-GAAP monetary measures enhances the person’s general understanding of the corporate’s historic monetary efficiency. The presentation of the corporate’s non-GAAP monetary measures will not be meant to be thought of in isolation or as an alternative to the corporate’s monetary outcomes ready in accordance with GAAP, and the corporate’s non-GAAP measures could also be totally different from non-GAAP measures utilized by different corporations.