Companies /Technology

Broadcom Inc

NASDAQ: AVGO Semiconductors
$357.16
▼ $10.08 (−2.74%) today
Markets closed · 7:40pm ET

Q2 2026 Earnings

Reported Jun 3, 2026, 4:21pm ET · SEC source
$2.44
Beat +1.79%
EPS · est. $2.40
$22.2B
Beat +0.32%
Revenue · est. $22.1B
10 quarters
Consecutive EPS beats

Market Reaction

% change · around the report
−12%−6%0+6%Jun 3Jun 4report 4:21pm ETearnings+0.2%−10.6%
−12%−6%0+6%Jun 3Jun 4earnings+0.2%−10.6%
AVGO −10.6%S&P 500 +0.2%
−12%−6%0+6%Jun 3Jun 4report 4:21pm ETearnings−1.0%−10.6%
−12%−6%0+6%Jun 3Jun 4earnings−1.0%−10.6%
AVGO −10.6%NASDAQ −1.0%
−18%−9%0+9%Jun 2Jun 11report 4:21pm ETearnings−1.9%−15.6%
−18%−9%0+9%Jun 2Jun 11earnings−1.9%−15.6%
AVGO −15.6%S&P 500 −1.9%
−18%−9%0+9%Jun 2Jun 11report 4:21pm ETearnings−3.3%−15.6%
−18%−9%0+9%Jun 2Jun 11earnings−3.3%−15.6%
AVGO −15.6%NASDAQ −3.3%

Did AVGO Beat Earnings? Q2 2026 Results

Broadcom delivered a commanding second quarter of fiscal 2026, beating Wall Street expectations on both the top and bottom lines to extend its consecutive EPS beat streak to eight quarters. Non-GAAP diluted EPS of $2.44 cleared the $2.40 consensus by 1.79%, while revenue of $22.19 billion edged past estimates by 0.32% and grew 47.9% year-over-year, underlining the sustained momentum the chipmaker has built around artificial intelligence infrastructure. The single most powerful engine behind the quarter was AI semiconductor revenue, which reached $10.80 billion, up 143% year-over-year and ahead of management's own forecast, reflecting surging customer demand for custom AI accelerators and AI networking silicon. That strength powered the Semiconductor Solutions segment to $15.01 billion, up 79% year-over-year, even as the broader semiconductor landscape showed pockets of weakness among peers. Looking ahead, Broadcom guided Q3 revenue to approximately $29.40 billion, implying 84% year-over-year growth, with AI semiconductor revenue alone projected at $16.00 billion, a figure that would represent more than 200% year-over-year expansion.

Key Takeaways
  • AI semiconductor revenue of $10.8 billion grew 143% YoY, above forecast
  • Increasing demand for custom AI accelerators and AI networking
  • Strong operating leverage driving margin expansion
  • Adjusted EBITDA margin of 69% of revenue
  • Free cash flow of $10.3 billion, or 46% of revenue

“Broadcom achieved record revenue, operating profit and free cash flow in Q2 driven by accelerating growth in AI semiconductor revenue and strong operating leverage. Q2 semiconductor revenue from AI of $10.8 billion grew 143% year-over-year, above our forecast, driven by increasing demand for custom AI accelerators and AI networking.”

Broadcom CEO, on the earnings call

Forward Guidance & Outlook

For Q3 fiscal 2026 (ending August 2, 2026), Broadcom expects consolidated revenue of approximately $29.4 billion, representing 84% year-over-year growth. Within that, AI semiconductor revenue is expected to reach $16.0 billion, growing over 200% year-over-year. Non-GAAP operating income is guided at approximately 67% of projected revenue, and Adjusted EBITDA at approximately 68% of projected revenue, reflecting strong operating leverage.

AVGO YoY Financials

Q2 2026 vs Q2 2025 · SEC filings Q2 2025 Q2 2026
$0$7.0B$14.0B$21.0B$15.0B$22.2BRevenue$10.2B$15.4BGross Profit$5.8B$10.8BOperating Income$5.0B$9.3BNet Income
$0$7.0B$14.0B$21.0BRevenueGross ProfitOperating IncomeNet Income

AVGO Revenue by Segment

Semiconductor Solutions$15.0B+79.0%
Infrastructure Software$7.2B+9.0%

Figures from SEC filings and company reports. Not investment advice.