NVIDIA announced on Thursday record revenue for the fourth quarter ended January 28, 2018, stating that demand for Nvidia graphics chips remained at a high level due to the cryptocurrency miners.
Strong demand in the cryptocurrency market exceeded our expectations. While the overall contribution of cryptocurrency to our business remains difficult to quantify, we believe it was a higher percentage of revenue than the prior quarter.
Chief Financial Officer, NVIDIA
Nvidia’s revenue from gaming, for which it is best known, rose 29% to $1.74 billion, accounting for a more than half of its total revenue in the fourth quarter, and also beating analysts’ estimate of $1.59 billion.
Nvidia said it had a benefit of $133 million in the quarter as a result of recently enacted U.S. tax reform. The company expects to have a tax rate of 12%, plus or minus 1 percentage point, for the quarter. That's down from around 17% previously, Kress said.
In the fourth quarter, Nvidia introduced the Titan V graphics processing unit for desktop PCs, and it also changed the licensing terms for some of its GPUs.
Nvidia said it's expecting $2.9 billion in revenue, plus or minus 2 percent, for the first quarter of its 2019 fiscal year. Analysts were expecting guidance of $2.46 billion in revenue for the quarter.
We have recently reported that AMD, the main competitor of Nvidia, is planning to increase production of graphics cards, which are currently in short supply because of the crypto mining popularity.