Chipmaker Nvidia has posted record financial figures for 2014, building on the success of its GeForce and SHIELD range of products.
With the firm’s revenue and profit both looking promising, the only disappointing news is that its Tegra range of chips aimed at the mobile market have received limited third-party uptake.
For the final quarter of 2014, Nvidia posted revenue of $1.25 billion (£814 million), which was up nine per cent on the figure of $1.14 billion recorded 12 months ago. The firm also revealed that its Q4 success was a continuation of a year-long effort, with annual revenue reaching record heights of $4.68 billion, up 13 per cent from a year earlier. Gross profit margin also went up to 55.9 per cent this year, which is sure to make pleasant reading for investors.
In fact, since the restart of its capital return program in Q4 2013, Nvidia has returned an estimated $2.22 billion to its shareholders.
Jen Hsun Huang, president and CEO of the company, believes that the success is built on an expanding product line.
"Momentum is accelerating in each of our market-specialized platforms, driving record revenue in the quarter and full year," he said (opens in new tab). "GeForce and SHIELD are extending our reach in the rapidly growing global gaming market. Our DRIVE auto-computing platform is at the centre of the advance toward self-driving cars. And our Tesla accelerated computing platform is helping to ignite the deep learning revolution. The success of these platforms highlights the growing importance of visual computing and the opportunities ahead for NVIDIA."
Mr Huang’s decision to focus on the firm’s gaming and automotive progress perhaps reflects that its Tegra mobile system-on-chip products have not proven as popular as hoped. For Q4 last year, Tegra sales fell by 15 per cent, to $112 million, which was not enough to offset the increased sales of in-car technology.