Revenues Could Fall By 50 Percent, predict Nvidia
It was recently informed by the graphics maker Nvidia Corp. that due to weakness in end-user demand, Q4 revenue will decline by up to 50 percent sequentially.
Nvidia reported, “Specifically, the massive shortfall was a result of further weakness in end-user demand and inventory reductions by Nvidia's channel partners in the global PC supply chain.”
Nvidia reported $897.7 million for the Q3 of fiscal 2009 compared to $1.12 billion for the third quarter of fiscal 2008, a decrease of 20 percent.
“The company's point estimate for the fourth quarter was a revenue decline of 5 percent, but that estimate was difficult to estimate,” said chief financial officer Marv Burkett.
It has been learnt that Nvidia estimate would seem to put revenue guidance at about $449 million or so, nearly 40 percent of fiscal third-quarter revenue, which would represent a 63 percent drop from the fiscal fourth quarter 2008 earnings Nvidia reported in Feb. 2008.
On 10th February, Nvidia will report its fiscal fourth-quarter 2009 earnings.