Broadcom Inc

Broadcom delivered a convincing beat across the board in fiscal Q3 2024, with revenue climbing 47.3% year-over-year to $13.07 billion against a consensus estimate of $12.96 billion, while non-GAAP diluted EPS of $1.24 topped the $1.20 estimate by 3.33%, underscoring the transformative scale of the company's VMware acquisition. The deal, closed in late 2023, was the single most material driver of the quarter, propelling infrastructure software revenue up 200% year-over-year to $5.80 billion and pushing adjusted EBITDA to $8.22 billion, or 63% of revenue. Semiconductor solutions contributed $7.27 billion, with AI-related demand, particularly in Ethernet networking and custom accelerators, remaining a key growth engine as management expects AI revenue to reach $12 billion for the full fiscal year. The VMware integration, which analysts have noted is tracking ahead of schedule, continues to reshape Broadcom's financial profile. Looking ahead, the company guided fiscal Q4 revenue to approximately $14.00 billion, implying 51% year-over-year growth, with adjusted EBITDA margin expected at roughly 64%.