Broadcom Inc. (AVGO) Earnings History

Broadcom Inc. - Q4 FY2025 Earnings

Filed at: Dec 11, 2025, 4:17 PM EST|Read from source

EXECUTIVE SUMMARY

Broadcom Inc. reported a strong fourth quarter and fiscal year 2025, driven by significant growth in AI semiconductor revenue and robust overall financial performance, including record revenue and adjusted EBITDA.

POSITIVE HIGHLIGHTS

  • •

    Record revenue of $18,015 million for Q4 FY2025, up 28% year-over-year.

    positive
  • •

    AI semiconductor revenue increased 74% year-over-year, a primary growth driver.

    positive
  • •

    Non-GAAP diluted EPS of $1.95 for Q4 FY2025, up 37% year-over-year.

    positive
  • •

    Free cash flow of $7,466 million for Q4 FY2025, up 36% year-over-year, representing 41% of revenue.

    positive
  • •

    Quarterly common stock dividend increased by 10% to $0.65 per share.

    positive
  • •

    Fiscal year 2025 adjusted EBITDA increased 35% year-over-year to a record $43.0 billion.

    positive

CONCERNS & RISKS

  • •

    Infrastructure software revenue growth was 19% year-over-year, lower than the 35% growth in semiconductor solutions.

    attention
  • •

    While GAAP net income grew 97% YoY, the non-GAAP net income grew 39% YoY, indicating significant non-GAAP adjustments.

    attention
  • •

    Inventory levels increased to $2,270 million from $1,760 million in the prior year, a 29% increase.

    attention

FINANCIAL METRICS

Revenue
Quarterly
$18.02B
+28.0%
Prior year: $14.05B
Annual (YTD)
$63.89B
N/A
Prior year: $51.57B
Net Income
Quarterly
$8.52B
+97.0%
Prior year: $4.32B
Annual (YTD)
$23.13B
N/A
Prior year: $5.89B
EPS (Diluted)
Quarterly
$1.74
+93.0%
Prior year: $0.90
Annual (YTD)
$4.77
N/A
Prior year: $1.23
Operating Income
Quarterly
$7.51B
+62.0%
Prior year: $4.63B
Annual (YTD)
$25.48B
N/A
Prior year: $13.46B
EPS (Basic)
Quarterly
$1.80
+95.7%
Prior year: $0.92
Annual (YTD)
$4.91
N/A
Prior year: $1.27

MARGIN ANALYSIS

Gross Margin
Current Quarter
68.0%
Prior Year
64.0%
YoY Change
+394 bps
Operating Margin
Current Quarter
41.7%
Prior Year
32.9%
YoY Change
+875 bps
Net Margin
Current Quarter
47.3%
Prior Year
30.8%
YoY Change
+1651 bps

Margin expansion indicates improving profitability and operational efficiency. Measured in basis points (bps): 100 bps = 1.0%.

REVENUE BY SEGMENT — Q4 FY2025 2025

VISUAL OVERVIEW

|
Semiconductor solutionsFASTEST GROWING
61.5%
$11072000.0B
(+35.0% YoY)
Prior year: $8230000.0B
Infrastructure software
38.5%
$6943000.0B
(+19.0% YoY)
Prior year: $5824000.0B

DETAILED BREAKDOWN

|
SegmentCurrentPrior YrYoY% Total
Semiconductor solutions
$11072000.0B$8230000.0B+35.0%61.5%
Infrastructure software
$6943000.0B$5824000.0B+19.0%38.5%
Total Revenue$18015000.0B——100.0%

Segment performance shows business unit health and growth drivers.

MANAGEMENT GUIDANCE

Q1 FY2026

revenue
$19100000.0B—$19100000.0B
Mid-point: $19100000.0B
"Approximately $19.1 billion, an increase of 28 percent from the prior year period."
Adjusted EBITDA
"67 percent of projected revenue."

Forward-looking guidance is subject to change and does not constitute a guarantee. Actual results may differ materially from these estimates.

MANAGEMENT COMMENTARY

AI semiconductor revenue is expected to double year-over-year to $8.2 billion in Q1 FY2026, driven by custom AI accelerators and Ethernet AI switches.

— Broadcom Inc., Q4 FY2025 2025 Earnings Call

The company is increasing its quarterly common stock dividend by 10% to $0.65 per share, marking the fifteenth consecutive annual increase.

— Broadcom Inc., Q4 FY2025 2025 Earnings Call

Fiscal year 2025 saw record adjusted EBITDA of $43.0 billion and strong free cash flow of $26.9 billion.

— Broadcom Inc., Q4 FY2025 2025 Earnings Call

Commentary excerpts from earnings call transcripts provide management's perspective on performance, strategy, and outlook. Always review full transcripts for complete context.

OPERATIONAL METRICS

Ai Semiconductor Revenue
8200.0M
+100.0% YoY
dollars

Operational metrics provide insight into business drivers and customer engagement beyond traditional financial measures.