- Report quarterly income of $26.0 billion, up 18% from This fall and up 262% from a yr in the past
- Report quarterly Information Heart income of $22.6 billion, up 23% from This fall 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) at this time 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 subsequent 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 provide a brand new commodity: synthetic intelligence,” mentioned Jensen Huang, founder and CEO of NVIDIA. “AI will deliver vital productiveness good points 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 client web corporations, and enterprise, sovereign AI, automotive and healthcare clients, 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 varieties the muse for trillion-parameter-scale generative AI. Spectrum-X opens a brand-new marketplace for us to deliver 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 all places — from the cloud to on-prem knowledge facilities and RTX AI PCs — by way of our expansive community of ecosystem companions.”
NVIDIA additionally introduced a ten-for-one ahead inventory cut up of NVIDIA’s issued widespread inventory to make inventory possession extra accessible to staff and traders. The cut up might be effected by way of an modification to NVIDIA’s Restated Certificates of Incorporation, which can lead to a proportionate improve within the variety of shares of approved widespread inventory. Every report holder of widespread inventory as of the shut of market on Thursday, June 6, 2024, will obtain 9 further shares of widespread 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 growing its quarterly money dividend by 150% from $0.04 per share to $0.10 per share of widespread inventory. The elevated dividend is equal to $0.01 per share on a post-split foundation and might be paid on Friday, June 28, 2024, to all shareholders of report on Tuesday, June 11, 2024.
Q1 Fiscal 2025 Abstract
| GAAP | |||||
| ($ in hundreds of thousands, besides earnings per share) |
Q1 FY25 | This fall FY24 | Q1 FY24 | Q/Q | Y/Y |
| Income | $26,044 | $22,103 | $7,192 | Up 18% | Up 262% |
| Gross margin | 78.4% | 76.0% | 64.6% | Up 2.4 pts | Up 13.8 pts |
| Working bills | $3,497 | $3,176 | $2,508 | Up 10% | Up 39% |
| Working earnings | $16,909 | $13,615 | $2,140 | Up 24% | Up 690% |
| Internet earnings | $14,881 | $12,285 | $2,043 | Up 21% | Up 628% |
| Diluted earnings per share | $5.98 | $4.93 | $0.82 | Up 21% | Up 629% |
| Non-GAAP | |||||
| ($ in hundreds of thousands, besides earnings per share) |
Q1 FY25 | This fall FY24 | Q1 FY24 | Q/Q | Y/Y |
| Income | $26,044 | $22,103 | $7,192 | Up 18% | Up 262% |
| Gross margin | 78.9% | 76.7% | 66.8% | Up 2.2 pts | Up 12.1 pts |
| Working bills | $2,501 | $2,210 | $1,750 | Up 13% | Up 43% |
| Working earnings | $18,059 | $14,749 | $3,052 | Up 22% | Up 492% |
| Internet earnings | $15,238 | $12,839 | $2,713 | Up 19% | Up 462% |
| Diluted earnings per share | $6.12 | $5.16 | $1.09 | Up 19% | Up 461% |
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 complete 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 earnings and expense are anticipated to be an earnings of roughly $300 million, excluding good points and losses from non-affiliated investments.
- GAAP and non-GAAP tax charges are anticipated to be 17%, plus or minus 1%, excluding any discrete gadgets.
Highlights
NVIDIA achieved progress since its earlier earnings announcement in these areas:
Information 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 know-how, 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 client and business electrical car fleets.
- Revealed U.S. and China electrical car makers Lucid and IM Motors are utilizing the NVIDIA DRIVE Orin™ platform for car fashions concentrating 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 government vp and chief monetary officer, is obtainable at https://investor.nvidia.com.
Convention Name and Webcast Info
NVIDIA will conduct a convention name with analysts and traders to debate its first quarter fiscal 2025 monetary outcomes and present monetary prospects at this time at 2 p.m. Pacific time (5 p.m. Jap time). A stay webcast (listen-only mode) of the convention name might be accessible at NVIDIA’s investor relations web site, https://investor.nvidia.com. The webcast might 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 embody non-GAAP gross revenue, non-GAAP gross margin, non-GAAP working bills, non-GAAP earnings from operations, non-GAAP different earnings (expense), internet, non-GAAP internet earnings, non-GAAP internet earnings, or earnings, per diluted share, and free money move. For NVIDIA’s traders to be higher capable of evaluate 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, good points and losses from non-affiliated investments, curiosity expense associated to amortization of debt low cost, and the related tax impression of these things the place relevant. Free money move is calculated as GAAP internet money supplied 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 consumer’s total 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 choice to the corporate’s monetary outcomes ready in accordance with GAAP, and the corporate’s non-GAAP measures could also be completely different from non-GAAP measures utilized by different corporations.
| NVIDIA CORPORATION | |||||||||
| CONDENSED CONSOLIDATED STATEMENTS OF INCOME | |||||||||
| (In hundreds of thousands, besides per share knowledge) | |||||||||
| (Unaudited) | |||||||||
| Three Months Ended | |||||||||
| April 28, | April 30, | ||||||||
| 2024 | 2023 | ||||||||
| Income | $ | 26,044 | $ | 7,192 | |||||
| Value of income | 5,638 | 2,544 | |||||||
| Gross revenue | 20,406 | 4,648 | |||||||
| Working bills | |||||||||
| Analysis and improvement | 2,720 | 1,875 | |||||||
| Gross sales, common and administrative | 777 | 633 | |||||||
| Complete working bills | 3,497 | 2,508 | |||||||
| Working Revenue | 16,909 | 2,140 | |||||||
| Curiosity earnings | 359 | 150 | |||||||
| Curiosity expense | (64 | ) | (66 | ) | |||||
| Different, internet | 75 | (15 | ) | ||||||
| Different earnings (expense), internet | 370 | 69 | |||||||
| Revenue earlier than earnings tax | 17,279 | 2,209 | |||||||
| Revenue tax expense | 2,398 | 166 | |||||||
| Internet earnings | $ | 14,881 | $ | 2,043 | |||||
| Internet earnings per share: | |||||||||
| Fundamental | $ | 6.04 | $ | 0.83 | |||||
| Diluted | $ | 5.98 | $ | 0.82 | |||||
| Weighted common shares utilized in per share computation: | |||||||||
| Fundamental | 2,462 | 2,470 | |||||||
| Diluted | 2,489 | 2,490 | |||||||
| NVIDIA CORPORATION | |||||||||
| CONDENSED CONSOLIDATED BALANCE SHEETS | |||||||||
| (In hundreds of thousands) | |||||||||
| (Unaudited) | |||||||||
| April 28, | January 28, | ||||||||
| 2024 | 2024 | ||||||||
| ASSETS | |||||||||
| Present property: | |||||||||
| Money, money equivalents and marketable securities | $ | 31,438 | $ | 25,984 | |||||
| Accounts receivable, internet | 12,365 | 9,999 | |||||||
| Inventories | 5,864 | 5,282 | |||||||
| Pay as you go bills and different present property | 4,062 | 3,080 | |||||||
| Complete present property | 53,729 | 44,345 | |||||||
| Property and gear, internet | 4,006 | 3,914 | |||||||
| Working lease property | 1,532 | 1,346 | |||||||
| Goodwill | 4,453 | 4,430 | |||||||
| Intangible property, internet | 986 | 1,112 | |||||||
| Deferred earnings tax property | 7,798 | 6,081 | |||||||
| Different property | 4,568 | 4,500 | |||||||
| Complete property | $ | 77,072 | $ | 65,728 | |||||
| LIABILITIES AND SHAREHOLDERS’ EQUITY | |||||||||
| Present liabilities: | |||||||||
| Accounts payable | $ | 2,715 | $ | 2,699 | |||||
| Accrued and different present liabilities | 11,258 | 6,682 | |||||||
| Brief-term debt | 1,250 | 1,250 | |||||||
| Complete present liabilities | 15,223 | 10,631 | |||||||
| Lengthy-term debt | 8,460 | 8,459 | |||||||
| Lengthy-term working lease liabilities | 1,281 | 1,119 | |||||||
| Different long-term liabilities | 2,966 | 2,541 | |||||||
| Complete liabilities | 27,930 | 22,750 | |||||||
| Shareholders’ fairness | 49,142 | 42,978 | |||||||
| Complete liabilities and shareholders’ fairness | $ | 77,072 | $ | 65,728 | |||||
| NVIDIA CORPORATION | ||||||||
| CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS | ||||||||
| (In hundreds of thousands) | ||||||||
| (Unaudited) | ||||||||
| Three Months Ended | ||||||||
| April 28, | April 30, | |||||||
| 2024 | 2023 | |||||||
| Money flows from working actions: | ||||||||
| Internet earnings | $ | 14,881 | $ | 2,043 | ||||
| Changes to reconcile internet earnings to internet money supplied by working actions: | ||||||||
| Inventory-based compensation expense | 1,011 | 735 | ||||||
| Depreciation and amortization | 410 | 384 | ||||||
| Realized and unrealized (good points) losses on investments in non-affiliated entities, internet | (69 | ) | 14 | |||||
| Deferred earnings taxes | (1,577 | ) | (1,135 | ) | ||||
| Different | (145 | ) | (34 | ) | ||||
| Modifications in working property and liabilities, internet of acquisitions: | ||||||||
| Accounts receivable | (2,366 | ) | (252 | ) | ||||
| Inventories | (577 | ) | 566 | |||||
| Pay as you go bills and different property | (726 | ) | (215 | ) | ||||
| Accounts payable | (22 | ) | 11 | |||||
| Accrued and different present liabilities | 4,202 | 689 | ||||||
| Different long-term liabilities | 323 | 105 | ||||||
| Internet money supplied by working actions | 15,345 | 2,911 | ||||||
| Money flows from investing actions: | ||||||||
| Proceeds from maturities of marketable securities | 4,004 | 2,512 | ||||||
| Proceeds from gross sales of marketable securities | 149 | – | ||||||
| Purchases of marketable securities | (9,303 | ) | (2,801 | ) | ||||
| Buy associated to property and gear and intangible property | (369 | ) | (248 | ) | ||||
| Acquisitions, internet of money acquired | (39 | ) | (83 | ) | ||||
| Investments in non-affiliated entities | (135 | ) | (221 | ) | ||||
| Internet money utilized in investing actions | (5,693 | ) | (841 | ) | ||||
| Money flows from financing actions: | ||||||||
| Proceeds associated to worker inventory plans | 285 | 246 | ||||||
| Funds associated to repurchases of widespread inventory | (7,740 | ) | – | |||||
| Funds associated to tax on restricted inventory models | (1,752 | ) | (507 | ) | ||||
| Dividends paid | (98 | ) | (99 | ) | ||||
| Principal funds on property and gear and intangible property | (40 | ) | (20 | ) | ||||
| Internet money utilized in financing actions | (9,345 | ) | (380 | ) | ||||
| Change in money and money equivalents | 307 | 1,690 | ||||||
| Money and money equivalents at starting of interval | 7,280 | 3,389 | ||||||
| Money and money equivalents at finish of interval | $ | 7,587 | $ | 5,079 | ||||
| NVIDIA CORPORATION | |||||||||||||
| RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES | |||||||||||||
| (In hundreds of thousands, besides per share knowledge) | |||||||||||||
| (Unaudited) | |||||||||||||
| Three Months Ended | |||||||||||||
| April 28, | January 28, | April 30, | |||||||||||
| 2024 | 2024 | 2023 | |||||||||||
| GAAP gross revenue | $ | 20,406 | $ | 16,791 | $ | 4,648 | |||||||
| GAAP gross margin | 78.4% | 76.0% | 64.6% | ||||||||||
| Acquisition-related and different prices (A) | 119 | 119 | 119 | ||||||||||
| Inventory-based compensation expense (B) | 36 | 45 | 27 | ||||||||||
| Different (C) | (1 | ) | 4 | 8 | |||||||||
| Non-GAAP gross revenue | $ | 20,560 | $ | 16,959 | $ | 4,802 | |||||||
| Non-GAAP gross margin | 78.9% | 76.7% | 66.8% | ||||||||||
| GAAP working bills | $ | 3,497 | $ | 3,176 | $ | 2,508 | |||||||
| Inventory-based compensation expense (B) | (975 | ) | (948 | ) | (708 | ) | |||||||
| Acquisition-related and different prices (A) | (21 | ) | (18 | ) | (54 | ) | |||||||
| Different (C) | – | – | 4 | ||||||||||
| Non-GAAP working bills | $ | 2,501 | $ | 2,210 | $ | 1,750 | |||||||
| GAAP working earnings | $ | 16,909 | $ | 13,615 | $ | 2,140 | |||||||
| Complete impression of non-GAAP changes to working earnings | 1,150 | 1,134 | 912 | ||||||||||
| Non-GAAP working earnings | $ | 18,059 | $ | 14,749 | $ | 3,052 | |||||||
| GAAP different earnings (expense), internet | $ | 370 | $ | 491 | $ | 69 | |||||||
| (Beneficial properties) losses from non-affiliated investments | (69 | ) | (260 | ) | 14 | ||||||||
| Curiosity expense associated to amortization of debt low cost | 1 | 1 | 1 | ||||||||||
| Non-GAAP different earnings (expense), internet | $ | 302 | $ | 232 | $ | 84 | |||||||
| GAAP internet earnings | $ | 14,881 | $ | 12,285 | $ | 2,043 | |||||||
| Complete pre-tax impression of non-GAAP changes | 1,082 | 875 | 927 | ||||||||||
| Revenue tax impression of non-GAAP changes (D) | (725 | ) | (321 | ) | (257 | ) | |||||||
| Non-GAAP internet earnings | $ | 15,238 | $ | 12,839 | $ | 2,713 | |||||||
| Diluted internet earnings per share | |||||||||||||
| GAAP | $ | 5.98 | $ | 4.93 | $ | 0.82 | |||||||
| Non-GAAP | $ | 6.12 | $ | 5.16 | $ | 1.09 | |||||||
| Weighted common shares utilized in diluted internet earnings per share computation | 2,489 | 2,490 | 2,490 | ||||||||||
| GAAP internet money supplied by working actions | $ | 15,345 | $ | 11,499 | $ | 2,911 | |||||||
| Purchases associated to property and gear and intangible property | (369 | ) | (253 | ) | (248 | ) | |||||||
| Principal funds on property and gear and intangible property | (40 | ) | (29 | ) | (20 | ) | |||||||
| Free money move | $ | 14,936 | $ | 11,217 | $ | 2,643 | |||||||
| (A) Acquisition-related and different prices are comprised of amortization of intangible property and transaction prices, and are included within the following line gadgets: | |||||||||||||
| Three Months Ended | |||||||||||||
| April 28, | January 28, | April 30, | |||||||||||
| 2024 | 2024 | 2023 | |||||||||||
| Value of income | $ | 119 | $ | 119 | $ | 119 | |||||||
| Analysis and improvement | $ | 12 | $ | 12 | $ | 12 | |||||||
| Gross sales, common and administrative | $ | 8 | $ | 6 | $ | 42 | |||||||
| (B) Inventory-based compensation consists of the next: | |||||||||||||
| Three Months Ended | |||||||||||||
| April 28, | January 28, | April 30, | |||||||||||
| 2024 | 2024 | 2023 | |||||||||||
| Value of income | $ | 36 | $ | 45 | $ | 27 | |||||||
| Analysis and improvement | $ | 727 | $ | 706 | $ | 524 | |||||||
| Gross sales, common and administrative | $ | 248 | $ | 242 | $ | 184 | |||||||
| (C) Different consists of IP-related prices and property held on the market associated changes. | |||||||||||||
| (D) Revenue tax impression of non-GAAP changes, together with the popularity of extra tax advantages or deficiencies associated to stock-based compensation beneath GAAP accounting normal (ASU 2016-09). | |||||||||||||
| NVIDIA CORPORATION | ||||
| RECONCILIATION OF GAAP TO NON-GAAP OUTLOOK | ||||
| Q2 FY2025 Outlook |
||||
| ($ in hundreds of thousands) | ||||
| GAAP gross margin | 74.8 | % | ||
| Influence of stock-based compensation expense, acquisition-related prices, and different prices | 0.7 | % | ||
| Non-GAAP gross margin | 75.5 | % | ||
| GAAP working bills | $ | 3,950 | ||
| Inventory-based compensation expense, acquisition-related prices, and different prices | (1,150 | ) | ||
| Non-GAAP working bills | $ | 2,800 | ||