NVIDIA Q2 2020 Quarterly Results

How are they reporting Q2 2020 when it's only Q3 2019 (or maybe Q4, depending on the company)? o_O
 
I really want to upgrade my GTX 1080 to a RTX 2070S or higher, but I'm simultaneously without a tangible need and priced-out of the market at that point. Considering the price creep over the years: GTX 770 and GTX 970 were $329 MSRP, GTX 1070 was $379 (but more commonly in the $400's at retail), and RTX 2070 was $499 MSRP, I think gamers were fully justified in giving them the middle finger.
 
How are they reporting Q2 2020 when it's only Q3 2019 (or maybe Q4, depending on the company)? o_O
fiscal year accounting. Most corporations do not follow the calendar year. To do so would mean they had to start operations on January 1, or only report for a partial year. There are a lot of difficulties (accounting and tax-wise) with the latter practice, so we have fiscal years, the start of which will vary depending upon the corporation.
 
I really want to upgrade my GTX 1080 to a RTX 2070S or higher, but I'm simultaneously without a tangible need and priced-out of the market at that point.

You and me both. I keep getting the itch to upgrade my PC but when I get close to making the trip to Micro Center I am reminded that I spend 90% of my gaming time in League of Legends....
 
I'm so confused. I've read on [H] numerous times from several angry posters that Nvidia doesn't care about gaming and that gaming is nothing more than a way for them to offload garbage that wasn't good enough for their Big Bad Enterprise business. But here are actual audited financial statements saying the literal opposite.

I just don't know who to believe these days.
 
fiscal year accounting. Most corporations do not follow the calendar year. To do so would mean they had to start operations on January 1, or only report for a partial year. There are a lot of difficulties (accounting and tax-wise) with the latter practice, so we have fiscal years, the start of which will vary depending upon the corporation.
I understand that, just seems like 1H ahead of the actual year is a bit nonsensical. I mean, you would have to make corrections in future quarters for projections that didn't quite match up. But I guess it works out somehow.
 
Seems like it's trending down, although it is leveling out if you look at the 5yr chart.
Screenshot_20190816-115459.png
 
All I can say is Ouch!
They are blaming crypto even though the crypto bubble popped in Q2 18...

2 years ago: 2.22Bn
1 year ago: 3.12Bn
Now: 2.58Bn

How is it bad? 1 year ago those profits were still boosted by the Crypto craze.
2017 -> 2018 a 40.5% growth increase?? That's nuts and obviously unsustainable.
2017 -> 2019 a 16% growth over a 2 year period, or an average of 8% a year. Really not that bad. That means they had a 32.5% boost from the crypto craze that lasted a few quarters. Good news for us since it means more cash for R&D.
2018 -> 2019 a 21% decrease. ??!? omg so horrible! This only looks bad when taken out of context.

I do still think the new top end cards are priced too high, but the larger die chip does cost more to manufacture. I have a feeling that $1k GPU's will be the new norm. I will just upgrade less often.
 
They are blaming crypto even though the crypto bubble popped in Q2 18...

Maybe price the cards more reasonably and people will upgrade vs. holding onto their Pascal cards?


When a bubble pops, and you've increased production to match demand, you would be stuck with massive amounts of leftover inventory. For Nvidia that oversupply lasted until Q1 2020.

I got a refurbished Zotac 1060 card on sale for a $120 over 2019 Black Friday weekend. That was how much stock they still hadn't unloaded.

Nvidia waited until the 1060/1070 stock was *almost* unloaded before they launched the 1160 Ti, and that wasn't until the middle of February this year. For Q1 2020 they probably took half the inventory hit they did in Q4, as there was still some remaining inventory after Christmas.

If you were actually paying attention, this quarterly revenue (4.5 billion) puts them on pace for about 9 billion in revenue for the year. That's only a hair below their revenue in 2018, so the company has righted itself.

Apparently,there's still plenty of demand for RTX, and 1600-series, and the future seems bright for RT games (despite loud prognostications on our forums) :D But by all means keep pretending you know where the market is headed.
 
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When a bubble pops, and you've increased production to match demand, you would be stuck with massive amounts of leftover inventory. For Nvidia that oversupply lasted until Q1 2020.

I got a refurbished Zotac 1060 card on sale for a $120 over 2019 Black Friday weekend. That was how much stock they still hadn't unloaded.

Nvidia waited until the 1060/1070 stock was *almost* unloaded before they launched the 1160 Ti, and that wasn't until the middle of February this year. For Q1 2020 they probably took half the inventory hit they did in Q4, as there was still some remaining inventory after Christmas.

If you were actually paying attention, this quarterly revenue (4.5 billion) puts them on pace for about 9 billion in revenue for the year. That's only a hair below their revenue in 2018, so the company has righted itself.

Apparently,there's still plenty of demand for RTX, and 1600-series, and the future seems bright for RT games (despite loud prognostications on our forums) :D But by all means keep pretending you know where the market is headed.

The market has potential for RT games. There are some potentially promising releases coming up, but I don't think I'd call it "bright" until more cards are capable of running RT features in games without the massive performance hit we currently see. Plus, I don't think we've seen a "killer app" for RT just yet. There really needs to be a couple of those to get people's attention.
 
They are blaming crypto even though the crypto bubble popped in Q2 18...

Sales don't just evaporate the day the bitcoin pops, there is an empty inventory channel to fill, demand to meet, so there is significant lag between the pop and the real effect on sales.

Q2 18 (Q2 19 as reported by NVidia) was record quarter(revenues up 68%), and GPU price normalcy didn't happen till the back half of the year. AMD also had it's best quarter in 7 years at this point. Crypto was cooling but it didn't hurt either yet. Both AMD and NVidia had stellar Q2, still benefiting from crypto even though the peak was past.
 
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The market has potential for RT games. There are some potentially promising releases coming up, but I don't think I'd call it "bright" until more cards are capable of running RT features in games without the massive performance hit we currently see. Plus, I don't think we've seen a "killer app" for RT just yet. There really needs to be a couple of those to get people's attention.

What part of "the future seems bright for RT games" from my post did you not understand?

You're just repeating my post. If I thought that there was a good variety of RT games available today, I would have said it. I did no such thing.

We can assume that, in a year there will be much higher performing Ampere RTX cards on the market (right about when Cyberpunk is slated to release) plus Big Navi and RT support from AMD. It's not as far away as you think!

And by the time there is a LARGE RT LIBRARY (2021), there will be enough affordable performance cards to justify even the midrange ($200 and up) gamers to jump in.

This isn't going to take as long as the transition to programmable shaders did, because you can add individual effects to your hybrid framebuffer (whereas transitioning from DX7 to DX8 required game engine builders to write a new rendering pipeline).

AAA games will start with simpler effects this year, the transition to full RT over a couple years.
 
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2 years ago: 2.22Bn
1 year ago: 3.12Bn
Now: 2.58Bn

How is it bad? 1 year ago those profits were still boosted by the Crypto craze.
2017 -> 2018 a 40.5% growth increase?? That's nuts and obviously unsustainable.
2017 -> 2019 a 16% growth over a 2 year period, or an average of 8% a year. Really not that bad. That means they had a 32.5% boost from the crypto craze that lasted a few quarters. Good news for us since it means more cash for R&D.
2018 -> 2019 a 21% decrease. ??!? omg so horrible! This only looks bad when taken out of context.

I do still think the new top end cards are priced too high, but the larger die chip does cost more to manufacture. I have a feeling that $1k GPU's will be the new norm. I will just upgrade less often.
Level-headed and long-term thinking, that's what separates actual investors from the average person. Still, a ~%50 drop across the board from Q2 '19 is sharp! Thankfully there are no indicators that this is a trend, just a correction from extremely high and unsustainable profits from the prior fiscal year.
 
I got a refurbished Zotac 1060 card on sale for a $120 over 2019 Black Friday weekend. That was how much stock they still hadn't unloaded.

Uh. Think through what you just said. You bought a used card. In order to be a used card, it had to have been previously sold. It wasn’t “unloaded” inventory.

On top of that, of course the card was on sale. It was the lowest end card, it was used, and it was old.

One thing I’ll say about GPU threads on [H] is that they never cease to be a fountain of facepalm.
 
Refurbished != Used. It might, well, at least on eBay, but refurbished is usually a returned item that has "satisfied" some sort of criteria (testing?) for resale.
 
When a bubble pops, and you've increased production to match demand, you would be stuck with massive amounts of leftover inventory. For Nvidia that oversupply lasted until Q1 2020.

I got a refurbished Zotac 1060 card on sale for a $120 over 2019 Black Friday weekend. That was how much stock they still hadn't unloaded.

Nvidia waited until the 1060/1070 stock was *almost* unloaded before they launched the 1160 Ti, and that wasn't until the middle of February this year. For Q1 2020 they probably took half the inventory hit they did in Q4, as there was still some remaining inventory after Christmas.

If you were actually paying attention, this quarterly revenue (4.5 billion) puts them on pace for about 9 billion in revenue for the year. That's only a hair below their revenue in 2018, so the company has righted itself.

Apparently,there's still plenty of demand for RTX, and 1600-series, and the future seems bright for RT games (despite loud prognostications on our forums) :D But by all means keep pretending you know where the market is headed.

thank you ^^^ saved me the response :D

too many people with decent cards, it will be a while for all of those to cycle out of use.
 
What part of "the future seems bright for RT games" from my post did you not understand?

You're just repeating my post. If I thought that there was a good variety of RT games available today, I would have said it. I did no such thing.

We can assume that, in a year there will be much higher performing Ampere RTX cards on the market (right about when Cyberpunk is slated to release) plus Big Navi and RT support from AMD. It's not as far away as you think!

And by the time there is a LARGE RT LIBRARY (2021), there will be enough affordable performance cards to justify even the midrange ($200 and up) gamers to jump in.

This isn't going to take as long as the transition to programmable shaders did, because you can add individual effects to your hybrid framebuffer (whereas transitioning from DX7 to DX8 required game engine builders to write a new rendering pipeline).

AAA games will start with simpler effects this year, the transition to full RT over a couple years.

Untwist your panties bud. I was just disagreeing on the exact term and giving my own take on where the market is right now and where I feel it needs to reach before I would, personally, call the future bright.

People are really putting a lot on the idea that Nvidia will release some magical RTX cards around Cyberpunk. Given the increasing length between generations early next year might be too soon.
 
Refurbished != Used. It might, well, at least on eBay, but refurbished is usually a returned item that has "satisfied" some sort of criteria (testing?) for resale.

A refurbished device is, literally, a device which has previously been sold. You don't need to make up any excuses or new definitions.
 
Refurbished != Used. It might, well, at least on eBay, but refurbished is usually a returned item that has "satisfied" some sort of criteria (testing?) for resale.

Unless said refurb item has full fledged warranty and is eligible to extended warranty... it's a refurb.
I recommend to stay far from refurb unless they have full warranty and ideally AT LEAST the doubled warranty from CC (So 2y). The 3 months stuff is a no go from me.

If you can say your product had been refurbished and went thru the "same" QA criteria then provide the same warranty.

So yeah, refurb = Used as far as I'm concerned since you get close to no warranty and QA is lowered (Just check how much light bleed you have from Refurb TV LOL)
 
Refurbished != Used. It might, well, at least on eBay, but refurbished is usually a returned item that has "satisfied" some sort of criteria (testing?) for resale.
Or is a blemished factory second. It does not mean it was ever sold.
 
Unless said refurb item has full fledged warranty and is eligible to extended warranty... it's a refurb.
I recommend to stay far from refurb unless they have full warranty and ideally AT LEAST the doubled warranty from CC (So 2y). The 3 months stuff is a no go from me.

If you can say your product had been refurbished and went thru the "same" QA criteria then provide the same warranty.

So yeah, refurb = Used as far as I'm concerned since you get close to no warranty and QA is lowered (Just check how much light bleed you have from Refurb TV LOL)

Paying for extended warranties is a money making scam for retailers, so that wouldn't factor.

IMO, actual manufacturer refurbished units, are just as good as new. Zero qualms with these.

But a "store refurb" is really just "open box" is more like used. That is a returned item that may or may not of have had some kind of testing. I avoid these.
 
Unless said refurb item has full fledged warranty and is eligible to extended warranty... it's a refurb.
I recommend to stay far from refurb unless they have full warranty and ideally AT LEAST the doubled warranty from CC (So 2y). The 3 months stuff is a no go from me.

If you can say your product had been refurbished and went thru the "same" QA criteria then provide the same warranty.

So yeah, refurb = Used as far as I'm concerned since you get close to no warranty and QA is lowered (Just check how much light bleed you have from Refurb TV LOL)

Depends on the manufacturer. Refurbished can also just be something with a cosmetic flaw, so technically "new". Not all refurbished items are "used", you are wrong. Some items/manufacturers' refurbished products come with the full factory warranty. These are often half price if not less and are a great deal. Just hard to find. I've bought several refurbished electronics items over the years and they were fine, one lasting 10 years.
If a refurb comes with a 90 day warranty and is something expected to last years, then yeah I would pass too.

Paying for extended warranties is a money making scam for retailers, so that wouldn't factor.

IMO, actual manufacturer refurbished units, are just as good as new. Zero qualms with these.

But a "store refurb" is really just "open box" is more like used. That is a returned item that may or may not of have had some kind of testing. I avoid these.

A store return, when sold to you, has the full manufacturer warranty. You have a proof of purchase and the manufacturer honors the full warranty. (If they didn't, the retailer would just return the item to the manufacturer, who would refurb/recertify it, and have to sell it for much less anyway. Cheaper to just not go through that hassle and honor the warranty.) Just inspect the item before buying.
Agree that "refurbished" are just as good as new. One company I used to work for sold them as "Better than new" since they had been thru rigorous testing, more than the standard new items are put through (and they had full warranty).
 
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