Nvidia reports 3Q revenue jump

Nvidia has reported revenue of $903.2 million for the third quarter of fiscal 2010. According to CEO Jen-Hsun Huang, revenue increased 16 percent from the previous quarter and rose slightly from the $897.7 million figure posted during the same period a year earlier.

“We continued to make progress in the third quarter with healthy market demand across the board,” said Jen-Hsun. “Revenue was up from a year ago, with improvement in each of our PC, professional solutions and consumer businesses. It’s great to see us shipping orders with our Tegra mobile-computing solution, and growing enthusiasm for our Tesla platform for parallel computing in the server and cloud-computing markets.”

Nvidia CFO David White explained that the company’s GPU business – which includes desktop, notebook and memory – was up almost 25 percent sequentially.    ??

“Demand was strong throughout the quarter in both the desktop and notebook segments, with many customers on allocation as a result of stronger than anticipated demand, coupled with supply constraints that limited us throughout the entire quarter, particularly regarding 40nm products,” stated White.
He added that the desktop segment of Nvidia’s GPU business increased approximately 19 percent quarter-over-quarter, while the notebook sector was up approximately 41 percent.

Additional highlights include:

  • MCP business – represented 27 percent of total revenue. Sales of chipsets designed for Intel- based desktop and notebook PCs were up 33 percent sequentially. However, sales of chipsets for AMD desktop PCs were down 27 percent due to an AMD “product transition” that reduced the availability of entry-level desktop CPUs and demand for associated chipsets.
  • Professional business – workstation graphics and computing represented 14 percent of total revenue and was up 11 percent quarter-over-quarter.   
  • Consumer and entertainment business – represented 7 percent of total revenue as the first Tegra-based products, Microsoft Zune HD and Samsung’s M1, reached stores in September.