Nvidia Corporation · NASDAQ:NVDA

Nvidia — Q2 FY2025 Earnings Presentation

27 slides from Nvidia's earnings presentation, Sep 3, 2024

  1. Slide 1: Investor Presentation Q2 FY25

    Investor Presentation Q2 FY25 September 3, 2024

  2. Slide 2: Forward-looking statements

    Except for the historical information contained herein, certain matters in this presentation including, but not limited to, statements as to: our financial position; our business plans; our markets, market opportunity, demand and growth drivers; supply for our products; our financial outlook; the be

  3. Slide 3: Content

    Content • Q2 FY25 Earnings Summary • Key Announcements This Quarter • Reconciliation of Non-GAAP to GAAP Financial Measures

  4. Slide 4: Q2 FY25 Earnings Summary

    Q2 FY25 Earnings Summary

  5. Slide 5: Highlights

    Highlights Record quarter driven by strong Data Center growth • Total revenue up 122% Y/Y to $30.0B, well above outlook of $28.0B +/- 2% • Record Data Center up 154% Y/Y to $26.3B • Gaming up 16% Y/Y to $2.9B Data Center revenue driven by strong demand for NVIDIA Hopper GPU computing and networking

  6. Slide 6: Q2 FY25 Financial Summary

    Q2 FY25 Financial Summary GAAP Non-GAAP 31,500 Revenue($M) Non-GAAP GM $30,040 88.0% Q2 FY25 Y/Y Q/Q Q2 FY25 Y/Y Q/Q 26,500 $26,044 Revenue $30,040 +122% +15% $30,040 +122% +15% 83.0% $22,103 21,500 78.9% $18,120 Gross Margin 75.1% +5.0 pts -3.3 pts 75.7% +4.5 pts -3.2 pts 76.7% 78.0% 16,500 75.7% 7

  7. Slide 7: Data Center

    Data Center Highlights 154% Y/Y and 16% Q/Q • Compute revenue grew more than 2.5x and Networking revenue grew more than 2x from last year $26,272 • Key workloads driving growth include gen AI model training and inference; video, image, and text data pre and post processing with $22,563 CUDA in AI wo

  8. Slide 8: Gaming

    Gaming 16% Y/Y Highlights and 9% Q/Q • Q/Q growth in console, notebook, and desktop revenue $2,856 $2,865 $2,880 • Every PC with RTX is an AI PC, and can deliver up to 1,300 AI TOPS; $2,647 there are now 200+ RTX AI laptop designs from PC manufacturers $2,486 • Recently added RTX and DLSS titles inc

  9. Slide 9: Professional Visualization

    Professional Visualization Highlights 20% Y/Y and • Demand is being driven by AI and graphics use cases, including 6% Q/Q model fine-tuning and NVIDIA Omniverse-related workloads $463 $454 • Automotive and manufacturing were among the key industry $416 $427 verticals driving growth $379 • Foxconn is

  10. Slide 10: Automotive

    Automotive Highlights • Y/Y growth was driven by new customer ramps in self-driving 37% Y/Y platforms and increased demand for AI cockpit solutions and 5% Q/Q • At the Computer Vision and Pattern Recognition conference, NVIDIA won the Autonomous Grand Challenge in the ‘End-to- $346 End Driving at Sc

  11. Slide 11: Sources & Uses of Cash

    Sources & Uses of Cash 128% Y/Y Highlights 6% Q/Q • Y/Y increase reflects higher revenue partially offset by higher cash taxes paid $15,345 $14,489 • Q/Q decrease reflects cash taxes paid partially offset by higher revenue $11,499 • Utilized cash of $7.4B towards shareholder returns, including $7.2B

  12. Slide 12: Q3 FY25 Outlook

    Q3 FY25 Outlook Revenue $32.5 billion, plus or minus 2% Incorporates continued Hopper architecture growth and sampling of Blackwell products Gross Margins 74.4% GAAP and 75.0% non-GAAP, plus or minus 50 basis points For the full year, gross margins are expected to be in the mid-70% range Operating E

  13. Slide 13: Key Announcements This Quarter

    Key Announcements This Quarter

  14. Slide 14: Computer Industry Joins NVIDIA to Build AI Factories and Data Centers

    Computer Industry Joins NVIDIA to Build AI Factories and Data Centers for the Next Industrial Revolution • NVIDIA and the world’s top computer manufacturers unveiled an array of NVIDIA Blackwell architecture-powered systems and NVIDIA networking for building AI factories and data centers • These inc

  15. Slide 15: Widespread Adoption of NVIDIA Spectrum-X

    Widespread Adoption of NVIDIA Spectrum-X1600 Spectrum-X Ethernet for AI 102.4T – 512 Radix CX9 1600G SuperNIC Millions of GPUs • NVIDIA Spectrum-X Ethernet networking platform built for AI is now generally available from OEM & ODM partners; gaining wide adoption by Cloud Service Providers, GPU Cloud

  16. Slide 16: NVIDIA NIM Inference Microservices Now Generally Available

    NVIDIA NIM Inference Microservices Now Generally Available, Adopted by 150+ Partners • NVIDIA NIM are inference microservices that provide pre-trained models as optimized containers to deploy on clouds, data centers or workstations, enabling developers to quickly and easily build generative AI appli

  17. Slide 17: NVIDIA ACE Microservices for Generative AI Avatars

    NVIDIA ACE Microservices for Future of Generative AI Avatars Now Available Digital Human NIMs • NVIDIA ACE generative AI microservices, which help enable the creation and operation of digital humans or generative AI avatars, are now generally available for cloud, and in early access for RTX AI PCs R

  18. Slide 18: Physical AI Is the Next Wave

    Physical AI Is the Next Wave, Driving the Digitalization of $50T of Heavy Industries • The next wave of AI is physical AI – or AI that understands the laws of DESIGN PERFORMANCE AV FACTORY physics – which is essential for robotics and industrial digitalization. DIGITAL TWIN DIGITAL TWIN DIGITAL TWIN

  19. Slide 19: NVIDIA Brings AI Assistants to Life with RTX AI PCs

    NVIDIA Brings AI Assistants to Life with RTX AI PCs • NVIDIA RTX AI PCs, with over 200 RTX AI laptops and more than 600 AI-powered apps and games, are set to revolutionize consumer experiences with generative AI • New laptops from our partners feature up to GeForce RTX 4070 GPUs with Windows 11 AI P

  20. Slide 20: Generative AI Models and NIM Microservices for OpenUSD

    NVIDIA Announces Generative AI Models and NIM Microservices for Generative AI for OpenUSD OpenUSD Language , Geometry, Available on NVIDIA API catalog Physics and Materials USD Code USD Search USD Validate Coming soon • Announced major advancements to Universal Scene Description (OpenUSD), that will

  21. Slide 21: NVIDIA Accelerates Humanoid Robotics Development

    NVIDIA Accelerates Humanoid Robotics Development with New Offerings • Announced new offerings to accelerate humanoid development at a global scale including: • New NVIDIA NIM microservices and frameworks for robot simulation and learning • NVIDIA OSMO orchestration service for running multi-stage ro

  22. Slide 22: NIM Agent Blueprints for Enterprises

    NVIDIA and Global Partners Launch NIM Agent Blueprints for Enterprises to Make Their Own AI • NVIDIA NIM Agent Blueprint is a catalog of pretrained, customizable AI workflows that equip millions of enterprise developers with a full suite of software for building and deploying gen AI applications • T

  23. Slide 23: Reconciliation of Non-GAAP to GAAP Financial Measures

    Reconciliation of Non-GAAP to GAAP Financial Measures

  24. Slide 24: Reconciliation of Non-GAAP to GAAP Financial Measures

    Reconciliation of Non-GAAP to GAAP Financial Measures Acquisition-Related Stock-Based Other Tax Impact of Non-GAAP and Other Costs Compensation GAAP (C) Adjustments (A) (B) Q2 FY25 $22,729 (118) (40) 3 — $22,574 Gross margin ($ in million) 75.7% (0.4) (0.2) — — 75.1% Operating income $19,937 (144) (

  25. Slide 25: Reconciliation of Non-GAAP to GAAP Financial Measures (contd.)

    Reconciliation of Non-GAAP to GAAP Financial Measures (contd.) Acquisition-Related and Stock-Based Other Gross Margin Non-GAAP Other Costs Compensation GAAP (C) (A) (B) Q2 FY 2024 71.2% (0.9) (0.2) — 70.1% Q3 FY 2024 75.0% (0.7) (0.2) (0.1) 74.0% Q4 FY 2024 76.7% (0.5) (0.2) — 76.0% Q1 FY 2025 78.9%

  26. Slide 26: Reconciliation of Non-GAAP to GAAP Financial Measures (contd.)

    Reconciliation of Non-GAAP to GAAP Financial Measures (contd.) ($ in Millions) Q3 FY25 Outlook Non-GAAP gross margin 75.0% Impact of stock-based compensation expense, acquisition-related costs, and other costs (0.6%) GAAP gross margin 74.4% Non-GAAP operating expenses $3,000 Impact of stock-based co

  27. Slide 27: nVIDIA st”

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NVIDIA — Q2 FY2025 Earnings Presentation on 6ix