Nvidia’s annual gaming revenue drops 12 percent

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Nvidia’s annual revenue from its Gaming division, which includes GeForce cards, fell 12 percent to $5.5 billion. The last quarter was a good quarter for the division, with a turnover increase of 56 percent.

The quarterly turnover of Nvidia’s Gaming division amounted to 1.49 billion dollars in the fourth quarter of last year, converted to 1.37 billion euros. That was 56 percent higher than in the same quarter in 2018, but 10 percent lower than the previous quarter.

Commenting on the quarterly figures, reported by Seeking Alpha, Nvidia CEO Jensen Huang reports that the influence of gaming laptops and the Nintendo Switch on sales has increased and that the seasonal production of these devices is playing a greater role. According to the CEO, manufacturers mainly produce the products in the second and third quarters. Nvidia therefore expects a further ‘double-digit’ revenue decline for the current quarter, with the company also citing the impact of the coronavirus 2019-nCoV.

Nvidia further reports that laptop manufacturers offered 125 different gaming models with Nvidia GPUs in the fourth quarter of last year, compared to 94 in 2018. The number of models with Max-Q video cards is said to have doubled.

Nvidia’s annual revenue decreased by 7 percent compared to a year earlier to USD 10.91 billion. Despite the drop in revenue, gaming is still by far the most lucrative division of the company. Annual sales of the divisions for Professional Visualization, or Quadro, and Datacenter, especially the Tesla accelerators, did increase, by 7 and 2 percent respectively. As with Gaming, the fourth quarter was a good period for Datacenter, with quarterly revenue increasing 43 percent to $968 million, putting this division well on track to reach $1 billion in quarterly revenue for the first time.

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