Broadcom Inc
Q4 2025 Earnings
Market Reaction
Did AVGO Beat Earnings? Q4 2025 Results
Broadcom closed out fiscal 2025 with a record fourth quarter, posting revenue of $18.02 billion, up 28.2% year-over-year and ahead of the $17.55 billion consensus, while non-GAAP diluted EPS of $1.95 cleared the $1.87 estimate by 4.28%, underscoring the company's deepening grip on AI infrastructure spending. The single most powerful engine behind the quarter was AI semiconductor demand, with that segment growing 74% year-over-year through custom AI accelerators and Ethernet AI switches, helping the semiconductor solutions division alone generate $11.07 billion in revenue. Infrastructure software contributed an additional $6.94 billion, and adjusted EBITDA reached $12.22 billion, or 68% of revenue. Free cash flow of $7.47 billion for the quarter also reflected the company's strong operating leverage. <a href="https://247wallst.com/investing/2025/12/11/live-broadcom-avgo-q4-earnings-coverage/">Looking ahead</a>, Broadcom guided Q1 FY2026 revenue of approximately $19.10 billion, with CEO Hock Tan projecting AI semiconductor revenue to double year-over-year to $8.20 billion, as the board also approved a 10% dividend increase to $0.65 per share quarterly.
- AI semiconductor revenue increased 74% year-over-year in Q4
- Custom AI accelerators and Ethernet AI switches driving semiconductor growth
- Infrastructure software revenue grew 19% year-over-year
- Adjusted EBITDA margin of 68% of revenue in Q4
- Free cash flow of 41% of revenue in Q4
“In Q4, record revenue of $18.0 billion grew 28% year-over-year, driven primarily by AI semiconductor revenue increasing 74% year-over-year.”
Broadcom CEO, on the earnings call
Forward Guidance & Outlook
Broadcom guided first quarter fiscal year 2026 (ending February 1, 2026) revenue of approximately $19.1 billion, an increase of 28% from the prior year period. Adjusted EBITDA is expected to be 67% of projected revenue. AI semiconductor revenue is expected to double year-over-year to $8.2 billion in Q1, driven by custom AI accelerators and Ethernet AI switches.
AVGO YoY Financials
AVGO Revenue by Segment
Figures from SEC filings and company reports. Not investment advice.