Nvidia enjoys enviable Q4 2016 and fiscal 2017 growth

Nvidia disclosed how much green it made during the fourth quarter of 2016 today, along with its whole-year results for its fiscal 2017. In the fourth quarter, the company's year-on-year revenue rocketed to $2.17 billion, a 55% year-on-year increase, and it made $733 million in operating income, up a gobsmacking 191% year-on-year. Gross margin was an impressive 60%, up 3.5% from this time last year.

Nvidia's GPU division took in the vast majority of the company's Q4 revenue with $1.85 billion of the total pie. That's a 57% year-on-year increase. Nvidia says the boost came from growth across all of its GPU segments, but it put forth its GeForce consumer graphics cards and datacenter graphics businesses as particular highlights. For its part, the datacenter division took in $296 million, a 205% year-on-year increase that the company ties to sales of its cloud and deep learning services, as well as sales of its DGX-1 hardware.

In Nvidia's other businesses, the Tegra division pulled in $257 million, a 64% year-on-year increase, while the automotive division scared up $128 million that the company says is mostly related to in-car infotainment system sales. That represents a 38% year-on-year increase for the company's car hardware.

For its fiscal 2017, Nvidia raked in $6.9 billion in revenue and made $1.9 billion in operating profit. Gross margin finished out at 58.8%, up 2.7% from the company's fiscal 2016.

In the first quarter of its fiscal 2018, Nvidia expects $1.9 billion in revenue, plus or minus two percent, and gross margin is projected to fall ever-so-slightly to 59.5%. 

Comments closed
    • PrincipalSkinner
    • 3 years ago

    nProfitia.

    • TwoEars
    • 3 years ago

    While (Nvidia Speed > AMD Speed):
    AMD: How are you doing that?
    Nvidia: Try outputting better and faster products than your competitiors
    AMD: How do you do that?
    Nvidia: R&D
    AMD: How do you do that?
    Nvidia: Money, and the right people. But mostly money.
    AMD: How do you get that?
    Nvidia: Try selling more products, and at higher margins, than your competitiors
    AMD: How do you do that?
    Nvidia: Try outputting better and faster products than your competitiors

      • tipoo
      • 3 years ago

      Yup. Low margin products are a vicious cycle.

    • AMDisDEC
    • 3 years ago

    Very well run company with a sharp CEO and good upper managers.
    AMD make a mistake buying ATI and then having to compete with both Intel and NVIDIA together when they were having problems competing with Intel alone.
    AMD’s new CEO wouldn’t have made that Yuge mistake.

    • ronch
    • 3 years ago

    “How are you doing that???”

    -AMD

      • tipoo
      • 3 years ago

      “Have you tried having money?”
      -Nvidia

        • ronch
        • 3 years ago

        “Yeah but we love spending what little we earn from our products on failed projects, silly gate crashes, and overpriced acquisitions.”

        -AMD

          • tipoo
          • 3 years ago

          Don’t forget golden parachutes!

        • K-L-Waster
        • 3 years ago

        “But if we make money, people will call us AMGreedia.”

          • ronch
          • 3 years ago

          “That’s why we’re the ONLY Silicon Valley company that isn’t greedy. We give away lots of our work for free. Vulkan, FreeSync, HBM…”

          -Who else?

            • vikas.sm
            • 3 years ago

            Or close to free… x86-64bit? Imageon? GlobalFloundries?

            • strangerguy
            • 3 years ago

            [url<]https://techreport.com/news/16519/amd-foundry-spin-off-gets-its-name-globalfoundries[/url<] Doesn't look like AMD latter actually made money (cash + offloading debt to GF - transferring assets to GF = almost 0) in 2009 by spinning of fabs to GF, but I'm pretty sure GF fleeced the shit out of AMD through wafer sharing agreements since then. It's an AMD tradition to get screwed financially from every possible angle.

            • jihadjoe
            • 3 years ago

            Intel.
            And the standards they designed are very essential i.e.: PCIe, USB

            This is where I have a big disagreement with the way Nvidia operates. As an industry leader, and having the biggest market share promoting standards will benefit you the most. Intel gets this. AMD gets this, despite arguably having fallen from the top. Nvidia ought to get this, but somehow they don’t.

      • DrDominodog51
      • 3 years ago

      “CUDA”

      -Nvidia

      • Krogoth
      • 3 years ago

      Brand name among the customer and professional tiers.

      The same reason Intel has been #1 for over 50 years in x86 world now.

    • Tristan
    • 3 years ago

    good revemue and profits, but they also have new 2bln$ debt

      • Flying Fox
      • 3 years ago

      For a quarterly income of 733 million, if they were to service that debt immediately, it will take them 3 quarters to pay everything off. Is it really a reason for concern?

        • strangerguy
        • 3 years ago

        I’m sure JHH would rather want to be the other green logo company with half the revenue, 26% less in gross margins, net losses since forever for the luxury of being in $600 million less debt.

        • tacitust
        • 3 years ago

        Probably not, given how low interest rates still are, historically.

      • tipoo
      • 3 years ago

      What’s the loan rate and payout date? Because they managed 60% increase in gross margin that could be tied directly to large investments (Pascal or Maxwell I think being the highest R&D GPU to date), if you can borrow money and make more than the loan rate back on it it’s not always a bad thing.
      If you can borrow money at 5% and make back 60%, that’s a phenomenal thing.

        • kuraegomon
        • 3 years ago

        If you can borrow money, and make significantly more than the loan interest rate back from it, it’s pretty much always a good thing 🙂

      • beck2448
      • 3 years ago

      For a 60 billion dollar company with 8 billion in yearly revenue and 2 to 3 billion
      in profits, 2 billion in debt is extremely modest.

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