UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

[x]QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended April 28, 2019

OR

[_] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission file number: 0-23985

NVIDIA CORPORATION

(Exact name of registrant as specified in its charter)

Delaware

94-3177549

(State or Other Jurisdiction of

(I.R.S. Employer

Incorporation or Organization)

Identification No.)

2788 San Tomas Expressway

Santa Clara, California 95051

(408) 486-2000

(Address, including zip code, and telephone number,

including area code, of principal executive offices)

N/A

(Former name, former address and former fiscal year if changed since last report)

Securities registered pursuant to Section 12(b) of the Act:

Title of each class

Trading Symbol(s)

Name of each exchange on which registered

Common Stock, $0.001 par value per share

NVDA

The Nasdaq Global Select Market

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes x No ¨

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes x No o

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See definitions of "large accelerated filer", "accelerated filer", "smaller reporting company", and "emerging growth company" in Rule 12b-2 of the Exchange Act.

Large accelerated filer x

Accelerated filer o

Non-acceleratedfiler o

Smaller reporting company o

Emerging growth company o

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. o

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes o No x

The number of shares of common stock, $0.001 par value, outstanding as of May 10, 2019 , was 609 million .

NVIDIA CORPORATION

FORM 10-Q

FOR THE QUARTER ENDED April 28, 2019

TABLE OF CONTENTS

Page

PART I : FINANCIAL INFORMATION

Item 1.

Financial Statements (Unaudited)

a) Condensed Consolidated Statements of Income for the three months ended April 28, 2019 and April 29, 2018

3

b) Condensed Consolidated Statements of Comprehensive Income for the three months ended April 28, 2019 and April

29, 2018

4

c) Condensed Consolidated Balance Sheets as of April 28, 2019 and January 27, 2019

5

d) Condensed Consolidated Statements of Shareholders' Equity for the three months ended April 28, 2019 and April

29, 2018

6

e) Condensed Consolidated Statements of Cash Flows for the three months ended April 28, 2019 and April 29, 2018

7

f) Notes to Condensed Consolidated Financial Statements

8

Item 2.

Management's Discussion and Analysis of Financial Condition and Results of Operations

23

Item 3.

Quantitative and Qualitative Disclosures About Market Risk

29

Item 4.

Controls and Procedures

30

PART II : OTHER INFORMATION

Item 1.

Legal Proceedings

30

Item 1A.

Risk Factors

30

Item 2.

Unregistered Sales of Equity Securities and Use of Proceeds

31

Item 6.

Exhibits

33

Signature

34

WHERE YOU CAN FIND MORE INFORMATION

Investors and others should note that we announce material financial information to our investors using our investor relations website, press releases, SEC filings and public conference calls and webcasts. We also use the following social media channels as a means of disclosing information about the company, our products, our planned financial and other announcements and attendance at upcoming investor and industry conferences, and other matters and for complying with our disclosure obligations under Regulation FD:

NVIDIA Twitter Account (https://twitter.com/nvidia)

NVIDIA Company Blog (http://blogs.nvidia.com)

NVIDIA Facebook Page (https://www.facebook.com/nvidia)

NVIDIA LinkedIn Page (http://www.linkedin.com/company/nvidia)

NVIDIA Instagram Page (https://www.instagram.com/nvidia)

In addition, investors and others can view NVIDIA videos on YouTube.

The information we post through these social media channels may be deemed material. Accordingly, investors should monitor these accounts and the blog, in addition to following our press releases, SEC filings and public conference calls and webcasts. This list may be updated from time to time. The information we post through these channels is not a part of this quarterly report on Form 10-Q. These channels may be updated from time to time on NVIDIA's investor relations website.

2

PART I. FINANCIAL INFORMATION

ITEM 1. FINANCIAL STATEMENTS (UNAUDITED)

NVIDIA CORPORATION AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF INCOME

(In millions, except per share data)

(Unaudited)

Three Months Ended

April 28,

April 29,

2019

2018

Revenue

$

2,220

$

3,207

Cost of revenue

924

1,139

Gross profit

1,296

2,068

Operating expenses

Research and development

674

542

Sales, general and administrative

264

231

Total operating expenses

938

773

Income from operations

358

1,295

Interest income

44

25

Interest expense

(13)

(15)

Other, net

-

6

Total other income (expense)

31

16

Income before income tax

389

1,311

Income tax expense (benefit)

(5)

67

Net income

$

394

$

1,244

Net income per share:

Basic

$

0.65

$

2.05

Diluted

$

0.64

$

1.98

Weighted average shares used in per share computation:

Basic

607

606

Diluted

616

627

See accompanying Notes to Condensed Consolidated Financial Statements.

3

NVIDIA CORPORATION AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

(In millions) (Unaudited)

Three Months Ended

April 28,

April 29,

2019

2018

Net income

$

394

$

1,244

Other comprehensive income (loss), net of tax

Available-for-sale securities:

Net change in unrealized gain (loss)

7

(3)

Cash flow hedges:

Net unrealized gain (loss)

4

(3)

Reclassification adjustments for net realized gain (loss) included in net income

(1)

1

Net change in unrealized gain (loss)

3

(2)

Other comprehensive income (loss), net of tax

10

(5)

Total comprehensive income

$

404

$

1,239

See accompanying Notes to Condensed Consolidated Financial Statements.

4

NVIDIA CORPORATION AND SUBSIDIARIES CONDENSED CONSOLIDATED BALANCE SHEETS (In millions)

(Unaudited)

April 28,

January 27,

2019

2019

ASSETS

Current assets:

Cash and cash equivalents

$

2,772

$

782

Marketable securities

5,030

6,640

Accounts receivable, net

1,242

1,424

Inventories

1,426

1,575

Prepaid expenses and other current assets

159

136

Total current assets

10,629

10,557

Property and equipment, net

1,473

1,404

Operating lease assets

536

-

Goodwill

618

618

Intangible assets, net

54

45

Deferred income tax assets

601

560

Other assets

110

108

Total assets

$

14,021

$

13,292

LIABILITIES AND SHAREHOLDERS' EQUITY

Current liabilities:

Accounts payable

$

368

$

511

Accrued and other current liabilities

815

818

Total current liabilities

1,183

1,329

Long-term debt

1,988

1,988

Long-term operating lease liabilities

486

-

Other long-term liabilities

660

633

Total liabilities

4,317

3,950

Commitments and contingencies - see Note 13

Shareholders' equity:

Preferred stock

-

-

Common stock

1

1

Additional paid-in capital

6,317

6,051

Treasury stock, at cost

(9,474)

(9,263)

Accumulated other comprehensive loss

(2)

(12)

Retained earnings

12,862

12,565

Total shareholders' equity

9,704

9,342

Total liabilities and shareholders' equity

$

14,021

$

13,292

See accompanying Notes to Condensed Consolidated Financial Statements.

5

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Nvidia Corporation published this content on 16 May 2019 and is solely responsible for the information contained herein. Distributed by Public, unedited and unaltered, on 16 May 2019 21:27:07 UTC