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Broadcom Inc. (NASDAQ: AVGO) reported its most recently quarterly results after the markets closed on Thursday. The company said that it had $5.21 in earnings per share (EPS) and $5.52 billion in revenue, compared with consensus estimates that called for $5.18 in EPS and $5.69 billion in revenue. The same period from last year had $4.88 in EPS and $5.02 billion in revenue.

Overall revenues decreased 4.7% quarter over quarter, but actually increased 10.0% year over year. Gross margin was 72.0% for the quarter, up from 71.4% in the previous quarter, and 66.6% in the same period from last year.

In terms of its segments, the firm reported:

• Semiconductor solutions revenues are down 9.9% year over year to $4.09 billion.
• Infrastructure software revenues increased $1.41 billion, up from $447 million.
• Intellectual property licensing revenues decreased to $16 million from $30 million.

Looking ahead to the fiscal 2019 full year, the company expects to see net revenues of $22.5 billion with an operating margin of 52.5%. Consensus estimates are calling for $23.05 in EPS and $24.41 billion in revenue for the fiscal full year.

Hock Tan, president and CEO of Broadcom, commented:

We executed according to plan in the second quarter with tailwinds from networking offsetting the anticipated headwinds from wireless. We currently see a broad-based slowdown in the demand environment, which we believe is driven by continued geopolitical uncertainties, as well as the effects of export restrictions on one of our largest customers. As a result, our customers are actively reducing their inventory levels, and we are taking a conservative stance for the rest of the year. We remain well-positioned across our various semiconductor and software businesses and are confident this portfolio of franchises will continue to drive sustained long-term revenue growth and increasing free cash flow.

Shares of Broadcom closed Thursday at $281.61, with a 52-week range of $197.46 to $323.20. The stock has a consensus analyst price target of $316.61. Following the announcement, the stock was down 7% at $262.00 in the after-hours session.