Nvidia Corporation · NASDAQ:NVDA
Nvidia — Investor Presentation (October 2023)
39 slides from Nvidia's investor presentation, October 2023
Slide 1: Investor Presentation
Investor Presentation October 2023 1
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 markets, market opportunity, demand and growth drivers; the benefits, impact, performance, features and availability of our produc
Slide 3: Headquarters: Santa Clara, CA
Headquarters: Santa Clara, CA NVIDIA pioneered accelerated computing to help solve impactful challenges classical computers cannot. A quarter of a century in the making, NVIDIA accelerated computing is broadly recognized as the way to advance computing as Moore’s law ends and AI lifts off. NVIDIA’s
Slide 4: NVIDIA's Accelerated Computing Platform
NVIDIA’s Accelerated Computing Platform Full-stack innovation across silicon, systems and software AI APPLICATION FRAMEWORK With nearly three decades of a singular focus, NVIDIA is expert at accelerating software and scaling compute by a Million-X, going well beyond Moore’s law. PLATFORMS NVIDIA HPC
Slide 5: Why Accelerated Computing?
Why Accelerated Computing? Advancing computing in the post-Moore’s Law era 109 Trillions of Operations per Second (TOPS) 108 Accelerated computing is needed to tackle the most impactful opportunities of our time—like AI, climate 107 GPU-Computing perf 1000X simulation, drug discovery, ray tracing, a
Slide 6: Waves of Adoption of Accelerated Computing
Waves of Adoption of Accelerated Computing A generational computing platform shift A new computing era has begun. Accelerated computing enabled the rise of AI, Industrial Digitalization which is driving a platform shift from general purpose to accelerated computing, and enabling new, never-before-po
Slide 7: NVIDIA Accelerated Computing for Every Wave
NVIDIA Accelerated Computing for Every Wave Industrial Digitalization NVIDIA Omniverse is a software platform for designing, building, and operating 3D and virtual world simulations. It harnesses the power of NVIDIA graphics and AI technologies and runs on NVIDIA-powered data centers and workstation
Slide 8: NVIDIA's Accelerated Computing Ecosystem
NVIDIA’s Accelerated Computing Ecosystem CUDA The NVIDIA accelerated computing platform has Developers Downloads* attracted the largest ecosystem of developers, supporting a rapidly growing universe of applications and industry innovation. 4M 45M Developers can engage with NVIDIA through 1.8M 20M CU
Slide 9: NVIDIA's Multi-Sided Platform and Flywheel
NVIDIA’s Multi-Sided Platform and Flywheel The virtuous cycle of NVIDIA’s accelerated computing starts with Scale an installed base of several hundred million GPUs, all compatible with the CUDA programming model. R&D $ • For developers – NVIDIA’s one architecture and large installed Installed Base b
Slide 10: Huge ROI from AI Driving a Powerful New Investment Cycle
Huge ROI from AI Driving a Powerful New Investment Cycle AI can augment creativity and productivity by orders of magnitude across industries Knowledge workers will use copilots based on large language models to generate documents, answer questions, or summarize missed meetings, emails and chats – ad
Slide 11: Generative AI
Generative AI The most important computing platform of our generation The era of generative AI has arrived, TEXT ANIMATION unlocking new opportunities for AI across AUDIO MOLECULE many different applications. IMAGE PROTEIN Generative AI is trained on large amounts of data to find patterns and relati
Slide 12: Modern AI is a Data Center Scale Computing Workload
Modern AI is a Data Center Scale Computing Workload Data centers are becoming AI factories: Data as input, intelligence as output Before Transformers = 8x / 2yrs Large Language Models, based on the Transformer architecture, Transformers = 215x / 2yrs are one of today’s most important advanced AI tec
Slide 13: Full-Stack & Data Center Scale Acceleration
Full-Stack & Data Center Scale Acceleration Drive significant cost savings and workload scaling Classical Computing — 960 CPU-only servers Accelerated Computing — 2 GPU servers Application Application Re-Engineered for Acceleration CPU server racks CUDA-X Acceleration Libraries Magnum IO 25X lower c
Slide 14: The High ROI of High Compute Performance
The High ROI of High Compute Performance 4-Year Rental Opportunity @$4 per GPU-HR ~$2.5B Rental 4-Year Cost of AI Infrastructure ~$1B 16K GPU Cost DC Facility Build & Operate GPU Compute 25% Performance 15% Utilization Increase Worth Increase Worth $600M+ Networking $350M+ 14
Slide 15: NVIDIA Go-to-Market Across Cloud and On-Premises
NVIDIA Go-to-Market Across Cloud and On-Premises Reaching customers everywhere CLOUD ON-PREM DGX Cloud NVIDIA AI Foundations DGX PARTNERS HGX INFERENCE MGX AGX IGX 15
Slide 16: Training & Inference — One Architecture
Training & Inference — One Architecture Cloud | On-Prem | Edge TRAINING INFERENCE NVIDIA DGX | HGX H100 IN THE DATA CENTER AT THE EDGE NVIDIA L40S NVIDIA L40 Image Generation IGX Industrial-Grade System for Healthcare, Logistics, NVIDIA L4 Manufacturing AI Video NVIDIA H100 | L40S Universal GPUs AGX
Slide 17: NVIDIA AI Enterprise
NVIDIA AI Enterprise Enterprise is the Next Big Generative AI Opportunity NVIDIA DGX Cloud AI Playground NVIDIA Enterprise On-Prem AI Chatbot AI Cloud AI NVIDIA “RAG” Foundations APIs AI Enterprise LLM Model Enterprise SaaS Container & AI Platforms DGX Cloud Vector DB Enterprise AI Chatbots are buil
Slide 18: NVIDIA DGX Cloud
NVIDIA DGX Cloud AI-training-as-a-service platform for the era of generative AI NVIDIA AI FOUNDATIONS NeMo | Picasso NVIDIA DGX Cloud is a cloud service that allows enterprises immediate access to the infrastructure and software needed to train advanced models for generative AI and other groundbreak
Slide 19: NVIDIA AI Enterprise
NVIDIA AI Enterprise The operating system for enterprise AI NVIDIA AI Enterprise Run Anywhere NVIDIA AI Enterprise is software for deploying and running AI with enterprise-grade security, API stability, manageability and support. Cloud-native and available in every major cloud marketplace — AWS, Mic
Slide 20: NVIDIA AI Enterprise
NVIDIA AI Enterprise Broad and deep ecosystem and distribution to reach every enterprise GSI & Service Delivery AI Platforms Software Platforms Public Cloud Marketplaces Private Cloud Server OEMs 20
Slide 21: Driving Strong & Profitable Growth
Driving Strong & Profitable Growth Operating Income (Non-GAAP, $M) Operating Margin (Non-GAAP) Revenue ($M) $15,000 $12,690 70% $12,000 $10,828 60% $26,914 $26,974 $9,040 $9,000 52% $6,803 47% 50% $6,000 $4,407 41% $3,735 34% 40% $20,699 $3,000 38% 34% $0 30% $16,675 FY19 FY20 FY21 FY22 FY23 1H FY24
Slide 22: NVIDIA Gross Margins Reflect Value of Acceleration
NVIDIA Gross Margins Reflect Value of Acceleration Gross Profit (Non-GAAP, $M) Gross Margin (Non-GAAP) Accelerated computing requires full-stack and data 80% center-scale innovation across silicon, systems, $18,000 $17,969 algorithms and applications. $15,965 75% $14,417 Significant expertise and ef
Slide 23: Strong Cash Flow Generation
Strong Cash Flow Generation Free Cash Flow (Non-GAAP) Capital Allocation $8.7B $8.0B Share Repurchase $10B repurchased in FY23 Additional $25B in stock repurchases authorized, adding to $4B which remained as of end of Q2 $4.7B $4.3B $3.8B Dividend $3.1B $398M in FY 2023 Plan to Maintain1 Strategic I
Slide 24: Our Market Platforms at a Glance
Our Market Platforms at a Glance Data Center Gaming Professional Visualization Automotive 56% of FY23 revenue 33% of FY23 revenue 6% of FY23 revenue 3% of FY23 revenue FY23 Revenue $15.0B FY23 Revenue $9.1B FY23 Revenue $1.5B FY23 Revenue $0.9B 5-yr CAGR 51% 5-yr CAGR 10% 5-yr CAGR 11% 5-yr CAGR 10%
Slide 25: Data Center
Data Center The leading computing platform for AI, HPC & graphics Revenue ($M) Leader in AI & HPC 51% 5-YR CAGR $15,005 $14,607 #1 in AI training and inference Through FY23 Used by all hyperscale & major cloud computing providers and 40,000 enterprises $10,613 Powers 74% of the TOP500 supercomputers
Slide 26: NVIDIA AI – One Architecture | Train and Deploy Everywhere
NVIDIA AI – One Architecture | Train and Deploy Everywhere From Two-Year Rhythm to One-Year Rhythm | Training & Inference | x86 & Arm | Hyperscale & Enterprise 2021 2023 2024 2025 GH200NVL GB200NVL GX200NVL Arm Training & Inference GH200 GB200 GX200 Arm Inference A100 H100 H200 B100 X100 X86 Trainin
Slide 27: NVIDIA Grace Hopper Superchip
NVIDIA Grace Hopper Superchip NVIDIA BlueField-3 NVIDIA GH200 72-Core Grace CPU 500 GB LPDDR5X 4 PFLOPS Hopper GPU 141 GB/5 Tbps HBM3e 27
Slide 28: Addressing the Entire Data Center
Addressing the Entire Data Center $1T+ data center infrastructure installed base $250B Other Data Center Infrastructure Network Infrastructure Servers NVIDIA Data Center Revenue Server CPU $0B FY20 FY21 FY22 FY23 Q2 FY24 Annualized Source: Mercury Research, Dell’Oro Assumes NVIDIA Fiscal Year aligns
Slide 29: Gaming
Gaming GeForce — the world’s largest gaming platform Revenue ($M) Leader in PC Gaming 10% 5-YR CAGR $12,462 Strong #1 market position Through FY23 15 of the top 15 most popular GPUs on Steam Leading performance & innovation $9,067 200M+ gamers on GeForce $7,759 $6,246 $5,518 $4,726 Growth Drivers Ri
Slide 30: GeForce Extends Growth, Large Upgrade Opportunity
GeForce Extends Growth, Large Upgrade Opportunity GeForce Gaming Revenue Installed Base $699+ Cumulative Sell-Through $ NVIDIA 20% CAGR 47% RTX RTX Ada NVIDIA 3YR CAGR Ampere ASP 10% Units 9% 3060+ NVIDIA 20% RTX3060+ Turing Performance 0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 FY20 FY23
Slide 31: Professional Visualization
Professional Visualization Workstation graphics Revenue ($M) Leader in Workstation Graphics 11% 5-YR CAGR 95%+ market share in graphics Through FY23 $2,111 for workstations 45M Designers and Creators Strong software ecosystem with over 100 RTX $1,544 accelerated and supported applications $1,212 $1,
Slide 32: Automotive
Automotive Autonomous Vehicles (AV) & AI Cockpit Revenue ($M) Leader in Autonomous Driving 10% 5-YR CAGR Revenue growth primarily fueled by NVIDIA DRIVE, our AV and AI Through FY23 cockpit platform with full software stack Inflection in FY23 driven by AV as DRIVE Orin SoC began to ramp Next-generati
Slide 33: $1 Trillion Long-Term Annual Market Opportunity
$1 Trillion Long-Term Annual Market Opportunity Omniverse Enterprise $150B Industrial Digitalization Autonomous Vehicles Autonomous Machines & Robotics $300B Enterprise NVIDIA AI Enterprise & DGX Cloud $150B Gaming Data Center Systems Cloud Service Providers & Consumer Internet $100B $300B 33
Slide 34: Summary
Summary Gen AI is the tipping point for the new computing era AI is the new software and Accelerated Computing the new hardware Huge ROI from Gen AI – from new revenue or dramatically lower costs - is driving a powerful new investment cycle NVIDIA’s accelerated computing platform delivers unmatched
Slide 35: Reconciliation of Non-GAAP to GAAP Financial Measures
Reconciliation of Non-GAAP to GAAP Financial Measures 35
Slide 36: Reconciliation of Non-GAAP to GAAP Financial Measures
Reconciliation of Non-GAAP to GAAP Financial Measures Gross Margin Acquisition-Related Stock-Based ($ in Millions & Non-GAAP and Other Costs Compensation IP-Related Costs GAAP Margin Percentage) (A) (B) $7,233 — (27) (35) $7,171 FY 2019 61.7% — (0.2) (0.3) 61.2% $6,821 — (39) (14) $6,768 FY 2020 62.
Slide 37: Reconciliation of Non-GAAP to GAAP Financial Measures (contd.)
Reconciliation of Non-GAAP to GAAP Financial Measures (contd.) Operating Income Acquisition-Related Stock-Based and Margin Acquisition Other Non-GAAP and Other Costs Compensation IP-Related Costs GAAP ($ in Millions & Termination Cost (C) (A) (B) Margin Percentage) $4,407 — (2) (557) (35) (9) $3,804
Slide 38: Reconciliation of Non-GAAP to GAAP Financial Measures
Reconciliation of Non-GAAP to GAAP Financial Measures Purchases Related to Property Principal Payments Net Cash ($ in Millions) Free Cash Flow and Equipment on Property Provided by and Intangible Assets and Equipment and Intangible Assets Operating Activities FY 2019 $3,143 600 — $3,743 FY 2020 $4,2
Slide 39: NVIDIA.
NVIDIA.