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Monday, 1 December 2008 19:51 UK Bengaluru, India


 

Nvidia "miscalculated pricing", turns in loss

Results disappointing for the jolly green giant

By Examiner Staff @ Wednesday, August 13, 2008 7:01 AM

 
 Chip firm Nvidia (tick:NVDA) released its financial results for the second quarter, and CEO Jen-Hsun Huang admitted getting its competitive price position on desktop products wrong.

The firm turned in a net loss of $120.9 million, with revenues falling by five per cent compared to Q2 2008. The quarter included a $196 million charge to cover defective products in some versions of its notebook products.

Huang remained bullish about Nvidia's future. He said the firm has a good product line up and has taken steps to compete on pricing. The weak position of the desktop business was not reflected by its notebook family of products, which he said grew a combined 27 per cent year on year.

But he said Nvidia was approaching the near term 'with caution'. Nvidia's share price closed yesterday at $12.11. Its yearly high was $39.67, back in the heady days of the 18th of October 2007. X
 
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