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Chasing crypto and LLMs ain't the cashcow nVidia was betting on.

Is it because that includes development that will be made up later?

Why is modern capitalism so insane? Nvidia is a great company that makes good products and lots of money yet even they can't help but thrash around as if they were a failing business trying to deceive shareholders. Not even staggering success is enough anymore.

Since posting a picture of one’s self in a bikini recklessly handling an AR-15 seems to be a right of passage for female MAGA trolls, it probably works either way.

If they didnt put "ai" in the fucking things

Are we sure Trump isn’t running everything AI? This level of financial failure is right in his wheelhouse!

reminds me of the part of covid when oil was $-25 a barrel

My joke about cashing out my 401k and shorting stuff the other day is getting more and more appealing

Is the -220% counting the purchase price that they haven't recouped yet or is it running costs only?

lol

Bit*. Auto correct hates me.

Average 14%. We still have margins for... for further investments!

🤣🤣

[Diavolo inner monologue voice] why are they able to see my gross margins???

LOL. Please applaud the revenue growth

If the margin is negative then "growth" doesn't have the same cachet.

My boss in my first proper grown-up job said something that has stayed with me forever: Turnover is vanity Profit is sanity

Those are Trump numbers.

yeah here’s the thing - those a100s are 5 years old! Their wimpy little asses are dying very soon and even if they aren’t, who’s paying top dollar for those when Vast is selling them at (lol) 67 cents an hour

Capex doesn't affect profit, it affects balance sheet. Depreciation affects profit - I'm not a tax specialist and there may be a carve-out/loophole/etc, but it looks like GPUs should get straight line depreciation over 5 years (and the graph states depreciation is mostly included).

software licensing is a den of iniquity but somehow Oracle has always managed to be the very worst of the worst nuking it from orbit would be too kind

The great thing about losses for a business is you can offset this year's losses against future gains, should the business last long enough.

Also, it was reasonably common to have one BU making a ton of profit and funding / covering for less profitable or unprofitable BUs. Sometimes the future profitability plans would *ahem* stretch my willing suspension of disbelief. That said, less zeroes were involved.

If they just eat less avocado toast

Are we sure those are actually losses and not "losses" for the purpose of tax fraud though? I mean that would be a different problem, but, y'know. I always expect corruption lately.

Wow. I'm hearing there's some sort of tendency for this to happen, perhaps?

That is not what the chart says.

Profits are not down at all. They are up! The chart does not say profits are down at all lol

don't worry they'll make it up in volume

It's a strong reminder that the shovel sellers here are TSMC and ASML Holding. Everyone else downstream of them, even Nvidia, are technically just miners in this gold rush.

Now you're thinking like a VC fund!

You have to take volume into account, which they aren't giving the numbers for. Like, they could lose 220% on that one dumb one, but if they only did that on 5 units, it's not a big deal.

Okay wait hold up this is...more...confusing? Okay so the H100 is a 3 year old piece of hardware. And the horribly unprofitable ones are...extremely new? Like the Gb200 came out this year. So...are they doing profit margin by overall and not age of device because... What?

they don't have enough. the margins, they stack I think? my calculator app won't load

You'll just have to make it up in volume I guess.

Damn.. I knew they were bad.. 14 points as a cloud provider is shit. Cash flow negative. But -220%? I would love to see the Tier 2's.. Coreweave, Tensorwave, Crusoe, Cirrascale, etc.

Someone who is good at the economy please help

Their innovative new strategy is to sell $20 bills for a nickel. Experts are shocked at this bold advancement as many believe that selling dimes for a nickel was as far as anyone could go. But with enough volume, any revenue can become profit.

sadly not but if I’m honest i really like the information and admire their work

I understand AMD doing it because they have to catch up, Intel was also running a big loss on its early consumer GPUs to basically buy market share. I'm not sure I trust Nvidia numbers here though. They're kinda insane.

He actually admitted a few days ago that this is a late stage bubble.

Is it still good if the store owner is taking out loans to buy his own products to joose the margin?

These idiots are going to crush the world economy and blame everyone but themselves.

the trend is definitely one in which nvidia can expect to make a lot of money. or lose a lot of money. certainly one of those.

Ed, buddy, you're all wrong. Yes the margins may be atrocious, but have you seen the stock?? The stock is up big! As CEO I make money when the stock goes up, not because of old-finance concepts like margin! You're in the past! You gotta get on board with the key driver of modern finance: Bullshit!

I mean I'm no chipologist but it seems like the green numbers are next to the older chips and the big red numbers are next to the ones from *checks calendar* this freaking year.

From the trend, by 2027 they’ll have to pay people to rent GPU time

-220% ? Positively Trumpian

It's gonna go on forever!! If we just keep throwing big bricks of money-coal into the furnace we can keep the money locomotive chugging along the track! Where it stops? AI girlfriend and free candy land for every lonely tech CEO that wishes he was Batman but can't lift weights due to his knees.