Broadcom reported record first quarter revenue driven by strong AI semiconductor solutions, with AI revenue growing significantly year-over-year. The company also announced a new $10 billion share repurchase program, signaling confidence in its financial outlook and commitment to shareholder returns.
Record first quarter revenue of $19.311 billion, up 29% year-over-year.
positiveAI semiconductor revenue reached $8.4 billion, growing 106% year-over-year and exceeding forecast.
positiveAdjusted EBITDA of $13.128 billion, up 30% year-over-year, representing 68% of revenue.
positiveFree cash flow of $8.010 billion, up 33% year-over-year, representing 41% of revenue.
positiveAnnounced a new $10 billion share repurchase program.
positiveInventory increased by $692 million sequentially, outpacing revenue growth in the semiconductor segment.
attentionInfrastructure software revenue grew only 1% year-over-year, representing a significant deceleration compared to the semiconductor segment.
attentionSequential decline in cash and cash equivalents from $16.178 billion to $14.174 billion.
attentionSignificant sequential increase in short-term debt from $3.152 billion to $2.252 billion.
attentionMargin expansion indicates improving profitability and operational efficiency. Measured in basis points (bps): 100 bps = 1.0%.
| Segment | Current | Prior Yr | YoY | % Total |
|---|---|---|---|---|
Semiconductor solutions | N/A | — | — | — |
Infrastructure software | N/A | — | — | — |
| Total Revenue | $0.00M | — | — | 100.0% |
Segment performance shows business unit health and growth drivers.
Forward-looking guidance is subject to change and does not constitute a guarantee. Actual results may differ materially from these estimates.
| Metric | Value | Period | Specificity | vs Prior |
|---|---|---|---|---|
| AI revenue | $8.2 billion | Q1 FY2026 | — | — |
| nonAI semiconductor revenue | approximately $4.1 billion | Q1 FY2026 | — | — |
| infrastructure software revenue | approximately 6.8 billion | Q1 FY2026 | — | — |
| infrastructure software revenue | low double digits percentage | FY2026 | — | — |
| consolidated revenue | approximately 19.1 billion dollars | Q1 FY2026 | — | — |
| adjusted EBIDA | approximately 67% of revenue | Q1 FY2026 | — | — |
| semiconductor revenue | approximately 12.3 billion | Q1 FY2026 | — | — |
| AI semiconductor revenue | 8.2 billion | Q1 FY2026 | — | — |
| infrastructure software revenue | approximately 6.8 8 billion | Q1 FY2026 | — | — |
| consolidated gross margin | down approximately 100 basis points sequentially | Q1 FY2026 | — | — |
| adjusted EBA dot | approximately 67% | Q1 FY2026 | — | — |
| non-GAAP tax rate | 16 1.5% | Q1 FY2026 | — | — |
| non-GAAP tax rate | 16 1.5% | FY2026 | — | — |
| quarterly common stock cash dividend | 65 cents per share | Q1 FY2026 | — | — |
| annual common stock dividend | $2.60 per share | FY2026 | — | — |
Broadcom achieved record first quarter revenue on continued strength in AI semiconductor solutions.
Q1 AI revenue of $8.4 billion grew 106% year-over-year, above our forecast, driven by robust demand for custom AI accelerators and AI networking.
Our AI revenue growth is accelerating, and we expect AI semiconductor revenue to be $10.7 billion in Q2.
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Operational metrics provide insight into business drivers and customer engagement beyond traditional financial measures.