NVIDIA beats estimates despite sluggish professional sales
Smartphone and graphics chipmaker NVIDIA has beaten analysts' estimates, announcing a net income of $US209.1 million for the third quarter, up from $US178.3 million for the same quarter last year.
According to a report on the NASDAQ website, the company's total revenue for the quarter stood at $US1.2 billion, up 12.9% from $US1.07 billion during the same quarter last year.
The results were driven by strong demand in the desktop PC market for the company's Kepler graphics chips, along with record sales for the company's Tegra smartphone and tablet processors.
Sales of its Kepler graphics chips were up 14.7% year-on-year, while Tegra chip sales grew by a remarkable 27.6% year-on-year.
The sole weak spot for the company was a 4.2% decline in its high-end professional market sales, including graphics processors in high-end supercomputers, although the company hopes to rectify the situation with the launch of its Kepler-based Tesla products, which are expected to support the US Department of Energy's new Titan supercomputer. Titan, at the Department's Oak Ridge facility, features 299,000 x86 CPU cores alongside 18,600 graphics processors.
The company also announced that it will continue its $US2.7 billion share buyback program until December 2014.