NVIDIA Corporation (NASDAQ: NVDA) stock fell over 2% on May 11th, 2018 (As of 8:22 AM GMT-4; Source: Google finance) given the lower than expected performance.
In the first quarter of FY 19, NVIDIA Corporation has reported the adjusted earnings per share of $2.05, while delivered the adjusted revenue growth of 66 percent to $3.2 billion in the first quarter of FY 19.
Moreover, in the first quarter of 2019, the Gaming revenue grew 68 percent from a year earlier to $1.72 billion and Datacenter revenue grew 71 percent from a year earlier to $701 million. The company’s Professional Visualization revenue grew 22 percent from a year earlier to $251 million and Automotive revenue grew 4 percent from a year earlier to a record $145 million.
Additionally, during the first quarter of 2019, the company announced NVIDIA RTX, which is a groundbreaking computer graphics technology that produces movie-quality images in real time. The company has announced TensorRT 4, the latest version of the TensorRT AI inference accelerator software, expanding its reach in the inference market by accelerating deep learning across a much broader range of applications. Further, the company announced GPU acceleration for Kubernetes to facilitate enterprise inference deployment on multi-cloud GPU clusters.
During the first quarter 2019, NVDA has returned $746 million to shareholders through a combination of $655 million in share repurchases and $91 million in quarterly cash dividends. NVDA expects to return a total of $1.25 billion in FY19. NVDA will pay its next quarterly cash dividend of $0.15 per share on June 15th, 2018, to all shareholders of record on May 24th, 2018.
NVDA expects revenue for the second quarter of FY19 to be $3.10 billion, plus or minus 2%. The analysts were expecting Q2 revenue to be $2.97 billion. Further, for the second quarter 2019, NVDA expects non-GAAP gross margins to be 63.5 percent, plus or minus 50 basis points. GAAP and non-GAAP operating expenses are expected to be approximately $810 million and $685 million, respectively. GAAP and non-GAAP other income and expense are both expected to be income of approximately $15 million. GAAP and non-GAAP tax rates are both expected to be 11.0 percent, plus or minus one percent, excluding any discrete items.