Nvidia (NASDAQ: NVDA) revenue for the third quarter ending 10/31/22 was $5.93 billion, down 17% from the previous year quarter. Data center revenue was up 31% to $3.83 billion while gaming revenue was down 51% from the previous year to $1.57 billion.
Nvidia has had a rough year in its game segment. Shortages led to high prices and it was hard to find graphic cards in the first part of the year. Going into the second half of 2022, many consumers were waiting for the launch of new high-end GPUs.
The Nvidia RTX 4090 launched in October, with the Nvidia RTX 4080 just now launching. These are premium cards at $1,600 for the RTX 4090 and $1,200 for the RTX 4080. This is part of the new “Ada Lovelace” architecture generation, and it is expected to be a key driver of consumer-performance PCs.
In the game segment, Nvidia has been trying to clear up the issue with crypto miners buying game GPUs. Miners caused the price of GPUs to soar and then collapse as the sold them into the secondary market. The game division is now more realistic of usage for game GPUs as opposed to crypto users. Of course, it makes comparables more challenging.
Data center revenue is now the largest Nvidia division. Growth in data center revenue was well up over the previous year but only up 1% over the previous quarter. Nvidia stock has been hammered in 2022, but the company has quite a few new products hitting in 2023.