August 16 MarketWatch published a report on the profits of the US company NVIDIA for the last quarter. As the data show, the profit of one of the largest manufacturers of graphics processors has significantly decreased.
As the data show, the share price of Nvidia fell by 5%. At the last auction, the company’s share price was $ 257.44. Analysts of the company forecast from 3.19 to 3.32 billion dollars of profit in the third quarter. It is worth noting that experts in the industry forecast a higher profit, 3.34 billion dollars.
Representatives of the company noted that sales of graphics processors focused on the production of cryptocurrency were significantly lower than forecasted. Taking the situation in the second quarter, the company does not expect a significant increase in sales until the end of the year. Co-Chief Financial Officer of Nvidia Colette Cross said:
“Our revenue outlook had anticipated cryptocurrency-specific products declining to approximately $100 million, while actual crypto-specific product revenue was $18 million. Whereas we had previously anticipated cryptocurrency to be meaningful for the year, we are now projecting no contributions going forward.”
According to the report, the company’s profit in the second quarter of 2018 amounted to 1.1 billion dollars, which is equivalent to 1.76 dollars per share. It is worth noting that a year ago this figure was almost half as low. In general, the company’s revenue grew by almost 40%.
It is reported that many analysts are confident that despite the decline in profits from sales of equipment for mining, the company can make significant profits due to its gaming graphics processors and servers. Presumably, the company’s profit from the sale of gaming equipment may increase by 47%.
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