14 DAY TRIAL // Santa Clara, California-based NVIDIA has recently announced the financial results for the second quarter of the fiscal 2010, which ended last month on July 26. According to the graphics chip maker, the total revenue for the second quarter was of US$776.5 million, which basically represents a 13 percent drop from the US$892.7 million recorded a year earlier and up to 17 percent from the financial results in the previous quarter. According to the company, the reported year-on-year loss is largely due to a charge that was meant to cover costs related to the mobile chip issues that were recorded in mid-2008.
“Nvidia's business is recovering. Product demand is improving, and our strategic investments are leading to new growth,” said Jen-Hsun Huang, president and chief executive officer, NVIDIA. “Our two newest businesses began to ship meaningful amounts of product this past quarter and show significant promise. Tesla, the industry's first GPU for general-purpose high performance computing, achieved its highest-ever quarterly revenue. And Tegra, our ultra low-power computer-on-a-chip, is making exciting progress in the market for mobile and embedded devices. Our new businesses are positioned to benefit from the rise of mobile and cloud computing.”
According to NVIDIA, the results show an increase in demand for the company's products, compared to the first quarter of this year. However, it did post a net loss of US$105.3 million, or $0.19 per share, which are related, according to the graphics chip maker, to a net charge of US$119.1 million for the weak die/packaging set that was used on the company's previous generation of graphics chips.
In a recent press statement, NVIDIA highlighted a rather optimistic outlook for the third quarter of this year, claiming that it expected the Q3 revenue to be up 5 to 7 percent over the results in the second quarter.