Nvidia Posts $200M Loss

H

HardOCP News

[H] News
Joined
Dec 31, 1969
Messages
0
It looks like NVIDIA is still having a tough time of it, the company posted net loss of $200 million compared to a of almost $177 million a year ago.

The company announced a net loss of $201.3 million, or 37 cents a share. Last year in the same period, the company posted a profit of $176.8 million, or 30 cents a share. Revenue was $664.2 million, down from $1.15 billion for the same period last year. This was better than the analysts' average estimate of $534.4 million, however.
Click to expand...
 
So their still loosing money in the end? Well 200 million wow.
 
I forgot to add that the market share figures in my post above also include the integrated graphics and mobile cards.
 
What!? you mean charging people $589.99 for a top of the line videocard didn't help them with this loss? lol
 
We're no longer calling it a $200 million loss.

Now it's a GTS 200,000,000 Red Edition.
 
It should be noted that they only lost 50M on non-GAAP. They did a one time purchase 150M of thier own stock back from people with stock options. Earnings and revenue beat estimates.
 
i wonder what ati's is since they are merged with amd we never know how ati is doing really. I guess nvidia's big costly cores are coming back and biting them in the butt since no one is buying them.
 
i dont think its so much that nobody is buying them, i think its more along the lines of ati figured out how to do the job cheaper so they see a bigger profit off each card sold as opposed to nvidia
 
tvdang7 said:
i wonder what ati's is since they are merged with amd we never know how ati is doing really.
Click to expand...
It's broken out in each quarterly report. IIRC, the graphics unit managed to get a small profit in one quarter (not enough to cover even one interest payment on the loan used to purchase it) and has otherwise been in the red since purchase. It's not really a big surprise. ATI wasn't making money when it was separate either.
 
Curium244 said:
What!? you mean charging people $589.99 for a top of the line videocard didn't help them with this loss? lol
Click to expand...

It's really because ATI undercut the hell out of their overpriced shit.
 
and i still think both companies' cards are too expensive. :p
 
According to Steam's hardware survey NVidia has ~66% of the market. The most common card is the old 8800 series which is still a great gaming card. I think a lot of gamers aren't ready to open their wallet for an upgrade. ATi has additional revenue coming in from consoles.
 
-$200M for Nvda is miniscule. Qtrly Revenue Growth (yoy): -60.00% this is the issue.
 
nVidia needs a heapin' helpin' of humble pie. Like the kind Intel got in the P4/Athlon64 days. Less marketing smack talk, and better engineering.

Anything past 2 GPUs is diminishing returns. Tri/Quad SLI may be good for waving the e-peen, but not for gaming. They seem to be stepping back from Hybrid SLI, which (with effective implementation) could actually be useful.

**anti-fanboi disclaimer**

I've been using nVidia cards in my primary rig since my AGP 6800GT. I've used ATI in other systems, but my main has had nVidia graphics (and often chipsets) for years. nVidia's software has been disappointing. It's funny how eVGA can make better software for nVidia products than nVidia does. ATI still has work to do on that front, too.

I'd like to see one of them make a product with HDMI that correctly sends BOTH video and multi-channel audio over the connection.
 
Actually is there any bad news? I was worried about hearing bad news but this is no big deal IMO. Everything this up and beat expectations. Am I missing something?
 
bexamous said:
Actually is there any bad news? I was worried about hearing bad news but this is no big deal IMO. Everything this up and beat expectations. Am I missing something?
Click to expand...

They're loosing money. That should be more than enough reason for pause.
 
THRESHIN said:
i dont think its so much that nobody is buying them, i think its more along the lines of ati figured out how to do the job cheaper so they see a bigger profit off each card sold as opposed to nvidia
Click to expand...

I can agree with that. ATI is also having a better "immersion gamer" turnout as well for upgrades. AA+HDR on an Nvidia card is short of a headache and using NTune, while it's cake on an ATI.
 
Hopefully NVIDIA's Tegra processor does well, I can't wait for high definition 3D from a gadget the size of an iPhone. :)
 
So they ended up loosing more that they did make in profit last year? That's bad. Wondering when they're going to launch their nextgen/GT300 GPU.
 
nVidia needs to make a smaller die of their GPU to be profitable. They can't go into the price war with AMD if they are losing money on each card they sell.
 
tvdang7 said:
i wonder what ati's is since they are merged with amd we never know how ati is doing really. I guess nvidia's big costly cores are coming back and biting them in the butt since no one is buying them.
Click to expand...

http://www.fudzilla.com/index.php?option=com_content&task=view&id=13298&Itemid=35
In computing solutions that involve CPU sales, AMD had a revenue of $938 million revenue and reported operating loss of $36 million while the GPU guys had a revenue of $222 million and they even managed to earn a $1 million.
Click to expand...
 
No wonder they lost $200 million, one bank here changed their name once and it cost them $50 mill :cool:
 
brogers said:
According to Steam's hardware survey NVidia has ~66% of the market. The most common card is the old 8800 series which is still a great gaming card. I think a lot of gamers aren't ready to open their wallet for an upgrade. ATi has additional revenue coming in from consoles.
Click to expand...

I still have 2 x 8800GTs in SLI in my main gaming rig. See no reason to upgrade anytime soon either, until maybe true DX11 based cores come out by either camp.
 
brogers said:
According to Steam's hardware survey NVidia has ~66% of the market. The most common card is the old 8800 series which is still a great gaming card. I think a lot of gamers aren't ready to open their wallet for an upgrade. ATi has additional revenue coming in from consoles.
Click to expand...
This. My old 8800 card from...jeeez, 2006 I think? Still plays even new games coming out at native 1920 res. Mirrors Edge, Deadspace, Cryostasis, Prince of Persia to name some recent games that have all played perfectly.

And of course WOW, lol!

GTA4 was a little rough but playable, and Crysis of course killed it, but no helping that.
 
Evil_SPanKY said:
Really, in a massive recession? This is absolutely no surprise at all IMO. Hell ATI has been in the red for years, without a recession as an excuse.
Click to expand...

ATI was in the black this time (during a massive recession.)

Oddly enough, I'm really happy they turned out a profilt (ATI.)


I'm really glad ATI posted a profit. Not for fanboyish reasons (I'm not a fan of GPU companies, I'm a fan of GPUs) moreover, their technology is great and at a great price.

While NVidia took strides into having the fastest tech possible ATI took strides in offering a competitive alternative at a highly competitive price. I was thinking ATI did it at a loss for some kind of future gain with market share. Now that I see them posting profits (albeit not record breaking profits) is great.

It shows they suceeded in offering competitive products with prices that shake the business. I mean without them we'd still be paying 500+ for a GF 280 GTX wouldn't we? Which debuted at 649.99?

This just makes me want a 4890 even more to support their efforts. I have a 275GTX in my shopping cart. Eyeing the 4890 for it's reduced power requirements and temps compared to the 275. However I'm not do for another full system re-install so I'm not fond of switching cards (upgrading from a 8800GTS SSC 340.)
 
martinmsj said:
ATI was in the black this time (during a massive recession.)

Oddly enough, I'm really happy they turned out a profilt (ATI.)


I'm really glad ATI posted a profit. Not for fanboyish reasons (I'm not a fan of GPU companies, I'm a fan of GPUs) moreover, their technology is great and at a great price.

While NVidia took strides into having the fastest tech possible ATI took strides in offering a competitive alternative at a highly competitive price. I was thinking ATI did it at a loss for some kind of future gain with market share. Now that I see them posting profits (albeit not record breaking profits) is great.

It shows they suceeded in offering competitive products with prices that shake the business. I mean without them we'd still be paying 500+ for a GF 280 GTX wouldn't we? Which debuted at 649.99?

This just makes me want a 4890 even more to support their efforts. I have a 275GTX in my shopping cart. Eyeing the 4890 for it's reduced power requirements and temps compared to the 275. However I'm not do for another full system re-install so I'm not fond of switching cards (upgrading from a 8800GTS SSC 340.)
Click to expand...

True, I was just pointing out that NV loosing $$$ for a quarter in a recession, is no big deal at all. They (NV) got hit particulary hard, due to ATI releasing much lower cost/almost equal performance GPUs (and support DX10.1). Where as NV had very (very!) expensive top of the line cards that stopped moving, again due to the recession and ATIs.

ATI posting a profit in same said quarter, albeit small is even better, as it shows they are on the right track in the end by releasing reasonable priced cards with . Maybe the merger is finally starting to pay off (debatable)?

For me, I am waiting to upgrade from my 8800GTs to a true DX 11 part, whoever has the best price/performance ratio when it is released. I have a feeling this next generation I will be going back to an ATI card.
 
Evil_SPanKY said:
True, I was just pointing out that NV loosing $$$ for a quarter in a recession, is no big deal at all. They (NV) got hit particulary hard, due to ATI releasing much lower cost/almost equal performance GPUs (and support DX10.1). Where as NV had very (very!) expensive top of the line cards that stopped moving, again due to the recession and ATIs.

ATI posting a profit in same said quarter, albeit small is even better, as it shows they are on the right track in the end by releasing reasonable priced cards with . Maybe the merger is finally starting to pay off (debatable)?

For me, I am waiting to upgrade from my 8800GTs to a true DX 11 part, whoever has the best price/performance ratio when it is released. I have a feeling this next generation I will be going back to an ATI card.
Click to expand...

I'm waiting too. Though quite frankly I rather wait for the refresh or second gen DX11. And that is too long of a wait to only be with a Geforce 6200TC in my new i7 build. So it's 275 (will push the buy button later today) or 4890 (probably not, not due for a fresh os install) for now.
 
$600 niche cards is hard to swallow for a tough economy.

Besides, they also didn't bring much new to the table lately.
 
*watches nv go the way of 3dfx* towards the end expect them to drop dx11 like voodoo2 cards
 
Doesn't surprise me. Graphics as a whole have stagnated at the moment. My 9800GT runs everything I play perfectly fine. None of the "new" (aka rehashed) offerings from NVIDIA or AMD are worth a couple hundred bucks to me, and there aren't any games on the horizon that will require a new generation of graphics power to run.

Just one of the side effects of this economy. People aren't buying two $500 video cards, and so no one wants to make the next "Crysis" that requires an expensive computer to run. It's why old games like WoW have continued to do so well: they're cheap, and any computer out there can run them.
 
martinmsj said:
I'm waiting too. Though quite frankly I rather wait for the refresh or second gen DX11. And that is too long of a wait to only be with a Geforce 6200TC in my new i7 build. So it's 275 (will push the buy button later today) or 4890 (probably not, not due for a fresh os install) for now.
Click to expand...

Good point on the whole waiting for second gen parts too, I forgot to state thatas well. We all remember how well the first gen DX10 parts were, which is why I waited for the refresh of the 8800GTs to hit before upgrading from a single 6800.

Before that it was ATI for a few gens (still have a fully working clock for clock OC 9500>9700 BIOS hacked card) runnning in one of my now servers, as well as a 9800 AIW card (loved those early AIWs). What is it like, now 7 years old, and it still works great? I just dont game on these cards anymore.
 
You must log in or register to reply here.
Back
Top