NVIDIA Corporation (NASDAQ:NVDA) the company with vision
Let’s just do a quick scan-through on NVIDIA Corporation (NASDAQ:NVDA). The Tegra processor’s headwinds were quite gusty. Despite this, NVDA’s 2013 Q2 earnings topped company projections due to the high demand for high-end GPU’s. GPU sales for Personal computer gaming, a larger acceptance of the Kepler architecture in computers and beyond that as well are all indicators that the company’s ascent will gain momentum in the latter half of 2013.
The introduction of the next-generation Tegra mobile-processor and the Shield gaming-device launch will be definite catalysts in this growth trend. The company’s strong presence in the gaming Pc market, high-computing PC’s and workstation Pc’s insulates it from the drop in the mainstream computer market. NVIDIA believes that open-platforms such as Android and PC’s are overshadowing the conventional console-market.
The projection is that the PC gaming-software market will grow from the $17B that it stood at in 2012 to $20B by 2015 and the company’s GeForce which is a popular choice of gamers for GPU’s might just benefit from this trend.
Q2 earnings report
On August 8, NVIDIA Corporation (NASDAQ:NVDA) reported its 2013 Q2 earnings. The dip in Tegra sales as well as in PC shipments led to a 6.4% drop in revenues and a 19% dip in net income. There was a 2.4% sequential growth in 2nd quarter sales which touched $977M. This was a shade brighter than then what the company had projected. In addition to this, gross margins rose from 54.3% in the 2013 Q1 to 55.8% in the Q2.
The company has always been a frontrunner in the visual computing field and it expects to see sustained growth in the GPU business for the rest of 2013. NVDA is expecting to see a strong growth in Tegra processors over the next 2 quarters and after that as well. NVIDIA Corporation (NASDAQ:NVDA) is involved in the creation of graphics chips that are used in PC’s. It operates in the GPU, PSB and CPB segments.