Last quarter, Nvidia exceeded market expectations despite significant declines in revenue and earnings. The stock rose nearly 9 percent in after-hours trading Wednesday.
The data center business covered the losses in graphics cards the most. The Nvidia space, which is now by far the largest, grew eleven percent annually to $3.62 billion. Nvidia’s technologies are suitable for AI-based offerings. As Nvidia boss Jensen Huang said, the group wants to continue to respond to the trend and make its resources more widely available through partnerships with major cloud service providers.
For this purpose, Nvidia infrastructure with high-performance computers should be installed in data centers, for example from Google or Microsoft, so that companies can access it, he explained in a conference call with analysts. This can speed up the use of applications with artificial intelligence, such as the currently popular text machine ChatGPT in companies. Huang stressed that the computation of such AI models has become a million times faster over the past decade. Undoubtedly, we are in a new computer age.
Graphics card sales fell 46 percent last quarter to $1.83 billion. The company is struggling with the shrinking PC market and stagnating interest in cryptocurrencies, which Nvidia graphics cards are often used to produce.
Overall, Nvidia’s sales in the fourth quarter ended January fell 21 percent to $6.05 billion. Analysts had expected more than six billion dollars. As a result, profit fell 53 percent to $1.4 billion. With a sales forecast of approximately $6.5 billion for the current quarter, Nvidia exceeded analysts’ expectations.
(SDA)
Source :Blick
I’m Tim David and I work as an author for 24 Instant News, covering the Market section. With a Bachelor’s Degree in Journalism, my mission is to provide accurate, timely and insightful news coverage that helps our readers stay informed about the latest trends in the market. My writing style is focused on making complex economic topics easy to understand for everyone.
