NVIDIA preliminary financial results for Q2 fiscal 2023: Gaming division revenue plummets

Nvidia said its preliminary estimate of revenue for the second quarter of fiscal 2023 was $6.7 billion, well below expectations of $8.1 billion. Among them, the estimated revenue of the game business is $2.04 billion, down 44% month-on-month and 33% year-on-year, and there is a big gap from the original expectation of $3.12 billion. The data center business is expected to generate $3.81 billion in revenue, an increase of 1% from the previous quarter and a year-on-year increase of 61%, and the performance is basically similar to the previous quarter. Visualization business revenue is expected to be around $500 million, down 4% month-on-month and 20% year-on-year. The automotive business is expected to report revenue of $220 million, up 59% sequentially and up 44% year over year.

“Our gaming product sell-through projections declined significantly as the quarter progressed,” said Jensen Huang, founder, and CEO of NVIDIA. “As we expect the macroeconomic conditions affecting sell-through to continue, we took actions with our Gaming partners to adjust channel prices and inventory.“NVIDIA has excellent products and position driving large and growing markets. As we navigate these challenges, we remain focused on the once-in-a-generation opportunity to reinvent computing for the era of AI,” he said.