Nvidia Corporation announces the financial results for the Fourth Quarter

The Nvidia Corporation declared the financial results for the fourth quarter of the Fiscal year 2019 as the market closed on Thursday. The graphics card maker exceeded all the estimates in terms of its revenue as well as its earnings; this led to the surging of the share prices by as much as 8 percent within the prolonged trading hours.

As for the fourth quarter, the chipmaker reportedly announced their earnings to be around 80 cents for every share and the total revenue of as much as 2.21 Billion US Dollars. The analysts at Refinitiv predicted these earnings to be 75 cents for every share and the total revenue of 2.20 Billion US Dollars.

According to the founder and CEO of the firm, Mr. Jensen Huang: “This was a turbulent close to what had been a great year,”

He continued with: “The combination of post-crypto excess channel inventory and recent deteriorating end-market conditions drove a disappointing quarter.

Mr. Huang further said: “Despite this setback, NVIDIA’s fundamental position and the markets we serve are strong. The accelerated computing platform we pioneered is central to some of the world’s most important and fastest growing industries – from artificial intelligence to autonomous vehicles to robotics. We fully expect to return to sustained growth,”

The share prices of Nvidia plunged by as much as 17 percent during the late January following the fact that the firm completely slashed their guidance for the fourth quarter. The Nvidia Corporation has reported that its revenue from gaming as well as datacenter was lower than what they expected, showing weaker sales on the whole.

The total revenue from the Data-centers increased by around 12 percent to 679 Million US Dollars, which was higher than the expected total revenue of around 670.5 Million US Dollars. The Professional visualization’s revenue rose by almost 15 percent to as much as 293 Million US Dollars, while the revenue from the automotive increased by as much as 23 percent to a high of 163 Million US Dollars. At the same time, the revenue from the OEM as well as IP revenue reduced by over 36 percent to a low of 116 Million US Dollars.