Nvidia reports record Q3 earnings on strong gaming and data center sales

Shawn Knight

Posts: 13,765   +141
Staff member
In brief: Nvidia reported record revenue of $7.10 billion for the third quarter ending October 31, 2021. The figure represents a 50 percent increase compared to the same period a year ago, a nine percent increase quarter over quarter, and well above Wall Street expectations of $6.81 billion.

Earnings per share were $1.17, compared to the $1.11 return that analysts were anticipating.

Nvidia said record revenue from its gaming, data center and professional visualization divisions was responsible for its impressive quarter. Gaming accounted for $3.22 billion of the record haul, an increase of 42 percent year over year. Nvidia’s data center business, meanwhile, generated a healthy $2.94 billion in revenue, up 55 percent from the same period last year.

Shares in Nvidia are up more than nine percent on the news as of writing, and the company’s market cap has crossed the $800 billion mark for the first time.

Looking ahead to the holiday quarter, Nvidia said it expects revenue to be around $7.4 billion, plus or minus two percent.

As we’ve seen with others in the gaming space as of late, inventory shortages have proven to be the biggest hurdle to even more impressive numbers.

Scalpers continue to scoop up hardware in droves, reselling items like high-end video cards and game consoles on third-party marketplaces for huge profits. Major retailers aren’t helping the matter either, as some insist on continuing to only sell hardware online, making it even easier for scalpers’ bots to do their job. Ongoing component shortages and logistics issues only compound the issue.

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Dimitriid

Posts: 1,569   +3,088
Sure, "gaming" profits. What they mean by that is Eth miners grabbing almost all of the gaming cards but Nvidia not counting those as data center or workstation sales where they should be allocated because of their continued policy of pretending their AIBs and distributors don't sell direct to miners and ignore scalping (Which let's face it: gets picked up mostly by miners too).
 

Squid Surprise

Posts: 4,558   +3,971
Sure, "gaming" profits. What they mean by that is Eth miners grabbing almost all of the gaming cards but Nvidia not counting those as data center or workstation sales where they should be allocated because of their continued policy of pretending their AIBs and distributors don't sell direct to miners and ignore scalping (Which let's face it: gets picked up mostly by miners too).
lol... no one actually has real numbers for how many cards are sold for mining... but... the revenue is from gaming CARDS.... Nvidia doesn't care what you do with them after you buy them - if you want to use them as paperweights or dominoes, it's still "GAMING" revenue.
 

EdmondRC

Posts: 199   +263
Samsung seems to have been a good decision for Nvidia. Despite still being in extremely short supply, it is clear they are putting more GPUs on the market than AMD, vastly more.
 

Dimitriid

Posts: 1,569   +3,088
Samsung seems to have been a good decision for Nvidia. Despite still being in extremely short supply, it is clear they are putting more GPUs on the market than AMD, vastly more.
It helps that they are also not simultaneously competing in the consumer and enterprise CPU market. Nvidia is targeting the enterprise with GPUs and DPUs (Those are Data Processing Unit which is basically networking with a lot of computing horse power behind it, use it to unload heavy networking tasks off the main CPU, kind of getting traction on data centers right now)

But overall it seems like Nvidia is managing their allocation at Samsung a lot better than AMD competing with Apple and many, many others. I'm ok with AMD dedicating most to Ryzen chips instead of RDNA chips for the time being honestly, I just kinda want them to take desktop/consumer APUs a bit more seriously and offer something more directly comparable with what they do for console clients
 

DZillaXx

Posts: 436   +561
Samsung seems to have been a good decision for Nvidia. Despite still being in extremely short supply, it is clear they are putting more GPUs on the market than AMD, vastly more.

TSMC has so much AMD silicon to output, it is crazy AMD has yet to go to Samsung for atleast some of the GPU's. Console's APU's, CPU's and GPU's, all from one company. It is a lot of product. But this is not something that could have been done overnight, AMD really should have seen this being an issue. GPU supply was already an issue two years ago.
 

kiwigraeme

Posts: 748   +543
TSMC has so much AMD silicon to output, it is crazy AMD has yet to go to Samsung for atleast some of the GPU's. Console's APU's, CPU's and GPU's, all from one company. It is a lot of product. But this is not something that could have been done overnight, AMD really should have seen this being an issue. GPU supply was already an issue two years ago.

You had to predict the BC boom , Covid lockdown etc - some natural disasters .
Plus modern business hates holding money in too much stock or unsold product .
( Supermarkets - our warehouse are trucks on the road )
Production I believe is not that far removed from other years.

What they could of predicted is more things need silicon - Cars , control systems etc
 

Yenega

Posts: 302   +206
Samsung seems to have been a good decision for Nvidia. Despite still being in extremely short supply, it is clear they are putting more GPUs on the market than AMD, vastly more.

Yes 100% true. And this is why AMD tries to do the same thing now, they secured Samsung 3nm deal and Nvidia goes back to TSMC 5nm.

Ampere sold WAY BETTER than RDNA2 because AMD had (and has) limited 7nm output and all their current chips are made on the exact same line. This is why AMDs GPU is very low. Steam HW Survey tells the truth and Ampere even beats RDNA2 for mining, meaning tons of miners prefer Ampere YET Nvidia still dominated AMD on the desktop/gaming segment which again Steam HW Survey clearly shows.

AMD will transistion some chips to 6nm soon tho (optimized 7nm - different line), it should help a bit.

Going with Samsung 8nm for Ampere was a very smart decision by Nvidia and now they can keep making Ampere here, while they ramp up RTX 4000 series on TSMC 5nm soon. Ampere will still sell like water in sahara in the next 1-2 years, even if 4000 series is coming, because GPU supply and prices won't be back to normal before 2023+ probably
 
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DubiousFishHook

Posts: 41   +7
I'd check the source on this news article, the shelfs are almost empty & have been since release of the 3k series, even scalpers must have it tough.