Nvidia reporting higher sales and lower profits for FY2016
Nvidia's sale of its Icera Modem Division is already paying off according to the company's latest financial results. For its fiscal year ending January 31, 2016, the GPU company reported a revenue increase of 7 percent from $4.685 billion USD the year before to $5.01 billion USD. On the flip side, net income declined slightly by 3 percent from $631 million to $614 million.
When looking at just the fourth quarter, Nvidia reported a revenue growth of 12 percent from $1.251 billion to $1.401 billion. Earnings were also an improvement compared to the same period a year earlier from $193 million to $207 million.
The company's vital GPU division also returned healthy numbers with a revenue growth of 9 percent from $3.839 billion to $4.187 billion for FY2016. Thus, the division remains the most important aspect of the company. Nonetheless, its Tegra branch reported a sales decline of 3 percent from $579 million to $559 million.
Nvidia is expressing caution for its outlook on the first three months of FY2017. The company is projecting $1.26 billion in revenue, which is less than both Q3 2016 and Q4 2016, but more than its Q1 2015 ($1.103 billion) and Q1 2016 revenues ($1.153 billion).
The latest Nvidia flagship for mobile is the GTX 980 designed for larger gaming notebooks like the MSI GT80 or Asus GX700. As for the budget side, the Nvidia 920M, 930M, and 940M will be refreshed later this year to the 920MX, 930MX, and 940MX, respectively.