NVIDIA announced its Q2 FY2022 earnings earlier today. As expected, the company smashed all previous records with overall revenue of $6.5 billion, $2.36 billion from the Data Center, and $3 billion from the gaming business. According to Colette Kress, the company CFO, Ampere has been the fastest-selling gaming GPU lineup ever. At the same time, the supply shortages have prevented the chipmaker from fully capitalizing on the incredible demand.
The combination of Turing and Ampere now account for 20% of all GeForce gamers. That still leaves the bulk of the audience with older GTX-class graphics cards and a lack of RTX and DLSS. The reason being that most PC games look for a GTX 1050/GTX 1060/16xx-class GPU rather than an RTX 3080/3090. Despite this, NVIDIA is yet to launch an RTX 3050/3050 Ti for a wider audience.
Regardless, adoption in the industry is looking solid, with over 60 RTX games supporting ray tracing or DLSS, including today’s biggest game franchises. such as Minecraft, Fortnite, and Cyberpunk. New RTX games this quarter includes Red Dead Redemption 2, one of the top-rated games of all time.
At the same time, courtesy of the crypto-crash, the revenue from the CMP mining processors fell by nearly 50%. NVIDIA earned $266 million from these OEM products, down from the originally anticipated $400 million. The company expects minimal contribution from CMP going forward.
GAAP gross margins were up 70 basis points sequentially, non-GAAP gross margins were 66.7% up 70 basis points from a year earlier and up 50 basis points, sequentially, reflecting higher sales prices within the desktop GeForce range, growth in high end and pure architecture products, partially offset by a mix shift within Data Center.