Igor
Golovniov
|
Lightrocket
|
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Broadcom
posted
earnings
for
the
second
fiscal
quarter
on
Wednesday
that
beat
analysts’
estimates.
It
also
announced
a
10-for-1
stock
split,
set
to
begin
trading
on
a
split-adjusted
basis
on
July
15.
The
stock
rose
about
10%
in
extended
trading.
Here
is
how
the
company
did
versus
LSEG
consensus
estimates
for
the
quarter
that
ended
in
May:
-
Earnings
per
share:
$10.96
adjusted
vs.
$10.84
expected -
Revenue:
$12.49
billion
vs.
$12.03
billion
expected
The
chipmaker
expects
about
$51
billion
in
sales
during
its
fiscal
2024
year,
an
increase
over
the
company’s
previous
forecast,
and
slightly
higher
than
consensus
expectations
of
$50.42
billion.
Broadcom
reported
$2.12
billion
in
net
income
during
the
quarter,
or
$4.42
per
share,
versus
$3.48
billion
in
net
income,
or
$8.15
per
share,
in
the
year-ago
period.
Broadcom
is
one
of
the
chipmakers
benefiting
from
the
artificial
intelligence
boom
because
its
devices
can
run
the
sorts
of
AI
applications
that
have
enamored
the
tech
industry.
Broadcom
said
$3.1
billion
in
sales
during
the
quarter
could
be
attributed
to
revenue
from
AI
products.
For
example,
Broadcom
works
with
Google,
which
partially
designs
its
own
AI
chip
called
a
TPU.
“Talking
of
AI
accelerators,
you
may
know
our
hyperscale
customers
are
accelerating
their
investments
to
scale
up
the
performance
of
these
clusters,”
Broadcom
CEO
Hock
Tan
said
on
the
earnings
call.
“And
to
that
end,
we
have
just
been
awarded
the
next-generation
custom
AI
accelerators
for
these
hyperscale
customers
of
ours.”
The
company
also
said
revenue
from
VMware,
an
enterprise
software
company
it
acquired
for
$69
billion
late
last
year,
contributed
to
its
sales
growth
and
forecast
for
the
rest
of
the
year.
The
company’s
overall
revenue
was
up
43%
on
an
annual
basis
during
the
quarter.
Without
VMware
sales,
it
would
have
been
up
12%
on
a
year-over-year
basis,
Broadcom
said.
Correction:
The
consensus
estimate
was
$12.03
billion.
An
earlier
version
misstated
the
figure.
