First Quarter Revenue Grows 151 Percent
SANTA CLARA, CA – MAY 18, 1999 – NVIDIA Corporation (Nasdaq: NVDA) today reported record revenue and operating income for its first quarter of fiscal year 2000.
Revenue for the first quarter of fiscal 2000 ended May 2, 1999 was $71.0 million, an increase of 151 percent compared to revenue of $28.3 million for the first quarter of fiscal 1999 ended April 26,1998. Operating income increased to $9.0 million for the first fiscal quarter ended May 2, 1999 compared to an operating loss of $(1.1) million in the comparable quarter of fiscal 1999. Net income for the first quarter of fiscal 2000 was $6.3 million, compared to a net loss of $(1.0) million for the first quarter of fiscal 1999. Diluted net income per share for the first quarter of fiscal 2000 was $0.18, compared to a diluted net loss per share of $(0.07) for the first quarter of fiscal 1999.
"We are pleased that NVIDIA completed its second quarter as a public company with continued strong financial results. Our performance is a result of the wide adoption of our RIVA TNTTM as the ideal 3D processor companion to Intel's® Pentium® III," commented Jen-Hsun Huang, president and CEO of NVIDIA.
"Also in this quarter, we executed a very successful launch of our highly anticipated RIVA TNT2TM 3D processor. This is a major milestone for NVIDIA as the scalability of the TNT2 architecture enables us to offer our customers an 'architecturally compatible' family of processors that spans the needs of a broad range of consumer and commercial desktop PCs. The market acceptance of TNT2 has been excellent and is a testimony to our technology leadership."
During the quarter, NVIDIA made several announcements that highlight its tradition of delivering industry leading 3D solutions. NVIDIA announced the new high performance RIVA TNT2 3D processor as well as the Vanta graphics processor that was designed specifically for value-conscious users. The RIVA TNT2 sets a new standard for performance and quality by combining best-of-class 3D and 2D performance with 32-bit true color rendering, 32-bit Z-buffer and a 32MB frame buffer. Additionally, NVIDIA announced a roadmap of next-generation technologies that is expected to culminate with the release of new products in fiscal 2000 that are designed to integrate transform and lighting techniques into a single 3D processor.
In addition to these new products and technologies, NVIDIA also announced PC OEM design wins with Hewlett-Packard, Medion, Compaq, Gateway, Dell, Micron, NEC, CompUSA, Progen and Quantex, furthering its leadership in delivering high-performance solutions that are accepted by the world's top PC manufacturers. Also in the first quarter, NVIDIA continued to gain industry acclaim by receiving editorial awards from PC Magazine, PC World, PC Computing, Computer Shopper, Maximum PC and Family PC magazine highlighting the industry leading performance of NVIDIA's portfolio of 3D solutions.
For more financial information please access the new investor relations portion of the Company's web site at http://www.nvidia.com/company.nsf/htmlmedia/investor_information.html.
NVIDIA Family Processors
The RIVA family of 3D/2D graphics processors, the RIVA TNT2™, RIVA TNT™, RIVA 128ZXTM and the RIVA 128™ is the first family of high performance graphics processors for the performance mainstream PC market. The RIVA processors utilize a 128-bit pipeline to support the computational throughput required for current and future graphically intensive applications. The NVIDIA Vanta™ 3D/2D processor is the first in a family of 3D processors designed for the enterprise PC market. Based on the award winning RIVA TNT2 architecture, the NVIDIA Vanta processor is designed for Windows 2000 and the burgeoning market for enterprise visualization applications. By leveraging its graphics technology and massive gate counts, all NVIDIA processors are able to deliver stunningly realistic, high frame rate 3D, along with benchmark winning 2D, VGA and video acceleration in single chip solutions. NVIDIA graphics processors are optimized for both Direct3D™ and OpenGL APIs.
NVIDIA Corporation (Nasdaq: NVDA) designs, markets and sells a complete family of award-winning 3D graphics processors that deliver industry-leading performance and visual quality for a broad range of PC applications, including: enterprise visualization, e-commerce, e-business, entertainment and education. Corporate headquarters are located in California: 3535 Monroe Street, Santa Clara, California 95051. For more information visit the Company's web site at http://www.nvidia.com.
Certain of the statements in this press release, including the statements relating to the Company's performance expectations for NVIDIA's family of products and expectations of continued revenue growth, are forward-looking statements that are subject to risks and uncertainties that could cause results to be materially different than expectations. Such risks and uncertainties include, but are not limited to, manufacturing and other delays relating to new products, difficulties in the fabrication process and dependence of the Company on third party manufacturers, general industry trends, including cyclical trends in the PC and semiconductor industries, the impact of competitive products and pricing alternatives, market acceptance of the Company's new products and the Company's dependence on third party developers and publishers. Investors are advised to read the Company's Annual Report on Form 10-K and quarterly reports on Form 10-Q filed with the Securities and Exchange Commission, particularly those sections entitled "Factors Affecting Operating Results," for a fuller discussion of these and other risks and uncertainties.
Notes to Editors: Please note that the recommended way of writing NVIDIA, RIVA 128, RIVA 128ZX, RIVA TNT and RIVA TNT2 is all CAPITALS.
NVIDIA, the NVIDIA logo, RIVA TNT and NVIDIA Vanta are trademarks of NVIDIA Corporation. RIVA, RIVA 128 and RIVA 128ZX are trademarks of NVIDIA Corporation and STMicroelectronics. Other company and product names may be trademarks or registered trademarks of the respective companies with which they are associated.
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