Nvidia has announced its earnings for the 2018 fiscal year’s third quarter: $1.33 per share on revenues of $2.6 billion. The numbers were up by 32% from a year ago, and their gross margin increased to 59.5%. Like last quarter, the revenue increase and gross margin were accompanied by an increase in operating income to $895 million, up 40% from Q3 2017. PC gaming provided a major share around 59% of the company’s Q3 revenue. Up by 25%, gaming revenue was reported at $1.561 billion.
Founded in 1994, Nvidia is a technology company that designs graphic processing units (GPUs). They also manufacture system on a chip units (SOC’s) for the mobile computing and automotive markets. Cryptocurrencies have been a blessing for Nvidia’s GPUs, which are used by crypto miners for performing the sophisticated computing work required to gather currencies.
“Crypto is small for us but not zero, and I believe that crypto will be around for some time,” Nvidia CEO Jensen Huang said on the earnings call.
Nvidia also made an announcement that it would be increasing its dividend per share in December. The company also announced it had purchased land for its new headquarters in Santa Clara, California from Wachovia for about $350 million.
Last week, Intel announced a partnership with AMD to produce a single-chip CPU and GPU combo, after Intel poached the head of AMD’s graphics division to start one at Intel.
Despite growing competition, CEO Jensen Huang maintains an optimistic view about the future of Nvidia’s CUDA GPUs in the crypto market as new virtual currencies emerge. “The ideal platform for new emerging digital currencies turns out to be a CUDA GPU,” he said.