Nvidia's revenue for the fourth quarter that ended Jan. 27, 2019 was down 24 percent from a year ago, but the company's full year revenue was up 21 percent.
The chipmaker's Q4 2019 revenue was $2.21 billion, down 31 percent from $3.18 billion in the previous quarter. Earnings per share for the firm came in at $0.80.
For fiscal 2019, revenue was $11.72 billion, up 21 percent from $9.71 billion a year earlier.
“This was a turbulent close to what had been a great year,” said Jensen Huang, founder and CEO of NVIDIA. “The combination of post-crypto excess channel inventory and recent deteriorating end-market conditions drove a disappointing quarter.
“Despite this setback, NVIDIA’s fundamental position and the markets we serve are strong. The accelerated computing platform we pioneered is central to some of world’s most important and fastest growing industries – from artificial intelligence to autonomous vehicles to robotics. We fully expect to return to sustained growth,” he said.
Nvidia has made a push into the artificial intelligence and machine learning industries thanks to its data center processing technologies, but the company still relies primarily on its gaming business for more than half of its revenue.
China’s slowing economy is hurting sales for discretionary spending items like Nvidia’s high-priced gaming graphics cards, which allow gamers to play some of the latest games on the market.
Besides gaming, Nvidia saw some of its corporate customers put off data center purchases, which cut into its bottom line.
The company’s data center business, however, increased year-over-year from $606 million to $679 million.
Nvidia forecast first-quarter revenue below etimates, as the chip designer struggles with slowing sales to data centers and weak demand for its gaming chips, especially in China.
The company said it expects first-quarter revenue of $2.20 billion, plus or minus 2 percent.