Broadcom (AVGO) shares rose 2% in extended trading on Thursday after the software and semiconductor giant reported fiscal fourth-quarter results and guidance that topped Wall Street’s estimates, amid the continued spending boom for artificial intelligence.
For the period ending Nov. 2, Broadcom said it earned an adjusted $1.95 per share as revenue rose 28% year-over-year to come in at $18.02B. Included in the $18.02B was $11.07B from semiconductors, up 61% year-over-year, while infrastructure revenue jumped 39% to $6.94B.
Analysts had expected the company to earn an adjusted $1.87 per share on $17.47B in revenue.
“In Q4, record revenue of $18.0 billion grew 28% year-over-year, driven primarily by AI semiconductor revenue increasing 74% year-over-year,” said Hock Tan, President and CEO of Broadcom, in a statement. “We see the momentum continuing in Q1 and expect AI semiconductor revenue to double year-over-year to $8.2 billion, driven by custom AI accelerators and Ethernet AI switches. We forecast Q1’26 total revenue of $19.1 billion and adjusted EBITDA of 67%.”
Looking forward, Broadcom said it expects first-quarter revenue to be approximately $19.1B, with adjusted EBITDA around 67%. Analysts had expected $18.38B in first-quarter sales.
Broadcom also upped its quarterly dividend by 10% to $0.65 per share. The dividend will be paid on Dec. 31 to shareholders of records as of the close on Dec. 22.
The company will host a conference call at 5 p.m. EST to discuss the results.