Nvidia’s fiscal Q3 earnings report beats estimates
Nvidia, world’s biggest independent maker of graphics chips for personal computers, has beat its estimated Q3 fiscal earnings. Nvidia reported GAAP net income of $178.3 million which was double its projections.
Analysts had expected non-GAAP earnings of 26 cents a share and revenues of $1.06 billion. Overall, analysts have been wary of Nvidia because Apple, which doesn’t use Nvidia chips, has been so successful in the smartphone and tablet businesses. Android devices are taking off, but the competition with rivals such as Qualcomm is stiff in that market.Eleven smartphones and 23 tablets are now using Tegra.
“Nvidia’s strategy is coming into its own as the world becomes increasingly visual and mobile,” said Jen-Hsun Huang, chief executive of Nvidia, in a statement. “Our graphics processing unit (GPU) business accelerated in the third quarter, driven by strong demand from gamers and the professional market. And our mobile business benefited from new devices coming onto the market.”