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Jen-Hsun Huang | May 20, 2015 ANNUAL SHAREHOLDER MEETING

ANNUAL SHAREHOLDER MEETING · 2017-12-01 · our strategies; market trends; future financial results, estimates and forecasts; and other predictions and estimates are forward-looking

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Page 1: ANNUAL SHAREHOLDER MEETING · 2017-12-01 · our strategies; market trends; future financial results, estimates and forecasts; and other predictions and estimates are forward-looking

Jen-Hsun Huang | May 20, 2015

ANNUAL SHAREHOLDER MEETING

Page 2: ANNUAL SHAREHOLDER MEETING · 2017-12-01 · our strategies; market trends; future financial results, estimates and forecasts; and other predictions and estimates are forward-looking

2

SAFE HARBOR Forward-Looking Statements

Except for the historical information contained herein, certain matters in this presentation including, but not limited to, statements as to: our

growth; our market opportunities and TAM; our FY2016 capital return program; the performance and benefits of our products and technologies;

our strategies; market trends; future financial results, estimates and forecasts; and other predictions and estimates are forward-looking

statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements and any other forward-

looking statements that go beyond historical facts that are made in this presentation are subject to risks and uncertainties that may cause

actual results to differ materially. Important factors that could cause actual results to differ materially include: global economic conditions; our

reliance on third parties to manufacture, assemble, package and test our products; the impact of technological development and competition;

development of new products and technologies or enhancements to our existing products and technologies; market acceptance of our products

or our partners’ products; design, manufacturing or software defects; changes in consumer preferences and demands; changes in industry

standards and interfaces; unexpected loss of performance of our products or technologies when integrated into systems and other factors. For a

complete discussion of factors that could materially affect our financial results and operations, please refer to the reports we file from time to

time with the SEC, including our Form 10-K for the fiscal year ended January 25, 2015. Copies of reports we file with the SEC are posted on our

website and are available from NVIDIA without charge. These forward-looking statements are not guarantees of future performance and speak

only as of May 20, 2015, based on information currently available to us. Except as required by law, NVIDIA disclaims any obligation to update

these forward-looking statements to reflect future events or circumstances.

Financial Measures

This presentation contains historical revenue amounts for certain of our market platforms and businesses which provides investors with

additional information to supplement the segment reporting information contained in our Form 10-K for the fiscal year ended January 25, 2015.

In addition to U.S. GAAP financials, this presentation includes a non-GAAP financial measure. This non-GAAP financial measure is in addition to,

and not a substitute for or superior to, measures of financial performance prepared in accordance with U.S. GAAP. See the Appendix for a

reconciliation between the non-GAAP measure and the most comparable GAAP measure. We also present non-GAAP free cash flow which is

calculated as GAAP net cash provided by operating activities less purchases of property and equipment and intangible assets.

Page 3: ANNUAL SHAREHOLDER MEETING · 2017-12-01 · our strategies; market trends; future financial results, estimates and forecasts; and other predictions and estimates are forward-looking

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THE WORLD LEADER IN VISUAL COMPUTING

GAMING ENTERPRISE OEM & IP HPC & CLOUD AUTO

Page 4: ANNUAL SHAREHOLDER MEETING · 2017-12-01 · our strategies; market trends; future financial results, estimates and forecasts; and other predictions and estimates are forward-looking

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FY15 IN REVIEW

Achieved record revenue of $4.6B and gross margins at 55.5%

Growth in each of our core markets

Reshaped our mobile strategies to focus on gaming and car computing

Selected by U.S. DoE for supercomputers

Positioned for growth in exciting new markets — VR, self-driving cars, deep learning

Page 5: ANNUAL SHAREHOLDER MEETING · 2017-12-01 · our strategies; market trends; future financial results, estimates and forecasts; and other predictions and estimates are forward-looking

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LARGE MARKETS. UNIQUE POSITION.

(in millions)

0

600

1200

1800

2400

FY14 FY15

0

50

100

150

200

FY14 FY15

0

225

450

675

900

FY14 FY15

0

75

150

225

300

FY14 FY15

0

400

800

1200

1600

FY14 FY15

GAMING AUTO ENTERPRISE OEM & IP HPC & CLOUD

36% 85% 4% 53%

-13%

Page 6: ANNUAL SHAREHOLDER MEETING · 2017-12-01 · our strategies; market trends; future financial results, estimates and forecasts; and other predictions and estimates are forward-looking

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EXCITING GROWTH DRIVERS ACROSS CORE MARKETS

GAMING GeForce Powered VR

Page 7: ANNUAL SHAREHOLDER MEETING · 2017-12-01 · our strategies; market trends; future financial results, estimates and forecasts; and other predictions and estimates are forward-looking

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EXCITING GROWTH DRIVERS ACROSS CORE MARKETS

GAMING GeForce Powered VR

AUTO DRIVE PX for Self-Driving Cars

Page 8: ANNUAL SHAREHOLDER MEETING · 2017-12-01 · our strategies; market trends; future financial results, estimates and forecasts; and other predictions and estimates are forward-looking

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EXCITING GROWTH DRIVERS ACROSS CORE MARKETS

GAMING GeForce Powered VR

AUTO DRIVE PX for Self-Driving Cars

ENTERPRISE Physically Based Rendering

Page 9: ANNUAL SHAREHOLDER MEETING · 2017-12-01 · our strategies; market trends; future financial results, estimates and forecasts; and other predictions and estimates are forward-looking

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EXCITING GROWTH DRIVERS ACROSS CORE MARKETS

GAMING GeForce Powered VR

AUTO DRIVE PX for Self-Driving Cars

ENTERPRISE Physically Based Rendering

HPC & CLOUD Tesla for Deep Learning

“ We love GPU cards.

We just use a lot of them.”

— Jeff Dean, Google

Page 10: ANNUAL SHAREHOLDER MEETING · 2017-12-01 · our strategies; market trends; future financial results, estimates and forecasts; and other predictions and estimates are forward-looking

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Share Repurchase Dividend

$-

$200

$400

$600

$800

$1,000

$1,200

FY13 FY14 FY15

Free Cash Flow is a non-GAAP measure

FY16

$1.0B

$800M

$1.1B

$147M

CAPITAL RETURN Since FY 2005: $3.8B ~70% FCF

Page 11: ANNUAL SHAREHOLDER MEETING · 2017-12-01 · our strategies; market trends; future financial results, estimates and forecasts; and other predictions and estimates are forward-looking

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THE WORLD LEADER IN VISUAL COMPUTING

GAMING ENTERPRISE OEM & IP HPC & CLOUD AUTO

Page 12: ANNUAL SHAREHOLDER MEETING · 2017-12-01 · our strategies; market trends; future financial results, estimates and forecasts; and other predictions and estimates are forward-looking
Page 13: ANNUAL SHAREHOLDER MEETING · 2017-12-01 · our strategies; market trends; future financial results, estimates and forecasts; and other predictions and estimates are forward-looking

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APPENDIX

Page 14: ANNUAL SHAREHOLDER MEETING · 2017-12-01 · our strategies; market trends; future financial results, estimates and forecasts; and other predictions and estimates are forward-looking

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RECONCILIATION TABLE

in millions Q1FY16 FY15 FY14 FY13 FY12 FY11 FY10 FY09 FY08 FY07 FY06 FY05

GAAP net cash flow provided by operating activities

$246 $906 $835 $824 $909 $676 $488 $249 $1,270 $587 $446 $132

Purchase of property,

equipment and intangible assets

(30) (122) (255) (183) (139) (98) (78) (408) (188) (145) (80) (67)

Free cash flow $217 $783 $580 $641 $770 $578 $410 ($158) $1,082 $442 $367 $65