NVIDIA CORPORATION
RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES
(In millions, except per share data)
(Unaudited)
| Three Months Ended | Six Months Ended | ||||||||||||||||||||
| July 30, | April 30, | July 31, | July 30, | July 31, | |||||||||||||||||
| 2023 | 2023 | 2022 | 2023 | 2022 | |||||||||||||||||
| GAAP gross profit | $ | 9,462 | $ | 4,648 | $ | 2,915 | $ | 14,110 | $ | 8,346 | |||||||||||
| GAAP gross margin
| 70.1 | % | 64.6 | % | 43.5 | % | 68.2 | % | 55.7 | % | |||||||||||
| Acquisition-related and other costs (A) | 119 | 119 | 121 | 239 | 214 | ||||||||||||||||
| Stock-based compensation expense (B) | 31 | 27 | 38 | 58 | 76 | ||||||||||||||||
| IP-related costs | 2 | 8 | — | 10 | — | ||||||||||||||||
| Non-GAAP gross profit | $ | 9,614 | $ | 4,802 | $ | 3,074 | $ | 14,417 | $ | 8,636 | |||||||||||
| Non-GAAP gross margin | 71.2 | % | 66.8 | % | 45.9 | % | 69.7 | % | 57.6 | % | |||||||||||
| GAAP operating expenses | $ | 2,662 | $ | 2,508 | $ | 2,416 | $ | 5,169 | $ | 5,979 | |||||||||||
| Stock-based compensation expense (B) | (811 | ) | (708 | ) | (611 | ) | (1,518 | ) | (1,151 | ) | |||||||||||
| Acquisition-related and other costs (A) | (18 | ) | (54 | ) | (54 | ) | (72 | ) | (110 | ) | |||||||||||
| Acquisition termination cost | — | — | — | — | (1,353 | ) | |||||||||||||||
| Legal settlement costs | — | — | — | — | (7 | ) | |||||||||||||||
| Contributions | — | — | (2 | ) | — | (2 | ) | ||||||||||||||
| Other (C) | 5 | 4 | — | 10 | — | ||||||||||||||||
| Non-GAAP operating expenses | $ | 1,838 | $ | 1,750 | $ | 1,749 | $ | 3,589 | $ | 3,356 | |||||||||||
| GAAP operating income | $ | 6,800 | $ | 2,140 | $ | 499 | $ | 8,941 | $ | 2,367 | |||||||||||
| Total impact of non-GAAP adjustments to operating income | 976 | 912 | 826 | 1,887 | 2,913 | ||||||||||||||||
| Non-GAAP operating income | $ | 7,776 | $ | 3,052 | $ | 1,325 | $ | 10,828 | $ | 5,280 | |||||||||||
| GAAP other income (expense), net | $ | 181 | $ | 69 | $ | (24 | ) | $ | 249 | $ | (87 | ) | |||||||||
| (Gains) losses from non-affiliated investments | (62 | ) | 14 | 7 | (46 | ) | 24 | ||||||||||||||
| Interest expense related to amortization of debt discount | 1 | 1 | 1 | 2 | 2 | ||||||||||||||||
| Non-GAAP other income (expense), net | $ | 120 | $ | 84 | $ | (16 | ) | $ | 205 | $ | (61 | ) | |||||||||
| GAAP net income | $ | 6,188 | $ | 2,043 | $ | 656 | $ | 8,232 | $ | 2,274 | |||||||||||
| Total pre-tax impact of non-GAAP adjustments | 915 | 927 | 833 | 1,843 | 2,940 | ||||||||||||||||
| Income tax impact of non-GAAP adjustments (D) | (363 | ) | (257 | ) | (197 | ) | (622 | ) | (478 | ) | |||||||||||
| Non-GAAP net income | $ | 6,740 | $ | 2,713 | $ | 1,292 | $ | 9,453 | $ | 4,736 | |||||||||||
