Nvidia said on Wednesday it still believes its arm’s proposed acquisition will greatly benefit the British chip design company’s customers and industry, just days after the UK launched a national security investigation into the deal.
The U.S. chipmaker’s comments came ahead of a call with Wall Street analysts late Wednesday to discuss his quarterly earnings.
The latest figures show that Nvidia’s gaming and data center chip businesses continue to fire on all cylinders, boosting its earnings by 50 percent in the third quarter and pushing a 4 percent post-market bounce on its shares.
Shares of Nvidia have risen nearly 130 percent in the 14 months since the announcement of the proposed ARM deal, with a stock market value of more than $ 730 billion.
Progress has been driven by strong demand for gaming and cloud computing services during the epidemic, with third-quarter revenue exceeding Wall Street expectations of $ 7.1 billion or $ 270 million.
Nvidia further forecasts fourth-quarter earnings of 7.4bn, or 40 540m, higher than expected, as it can offset the worst of the chip supply chain pressure hitting other parts of the sector.
The latest UK investigation, with concerns raised by the US Federal Trade Commission, said Nvidia had dashed the company’s hopes of completing an arm acquisition by next March.
The agency said a formal no-confidence motion had not yet begun in China, although the acquisition was unveiled 14 months ago, although it said the deal was “under review” by authorities there.
Nvidia’s after-tax revenue rose 84 percent to $ 2.46 billion, or 97 cents a share. Evaluating the Wall Street company on a pro-form basis, earnings per share rose চেয়ে 1.17, 6 cents, more than expected.