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broadcom's q4 guidance highlights weak growth in non-ai chips; ceo strongly optimistic about ai demand!

2024-09-06

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cailianshe news, september 6 (editor: zhou ziyi)on thursday (september 5), us chipmaker broadcom released its third-quarter financial report ending august 4. its revenue performance exceeded wall street expectations, but the company's revenue outlook for the fourth quarter was lower than expected, causing broadcom's stock price to fall nearly 7% in after-hours trading.

broadcom's third-quarter revenue was $13.07 billion, higher than the expected $12.97 billion. among them, semiconductor solution revenue was $7.274 billion, a year-on-year increase of 5%, while analysts expected $7.41 billion and a 6% increase in the previous quarter; infrastructure software revenue was $5.798 billion, a year-on-year increase of 200%, and a 175% increase in the previous quarter.

under non-gaap (u.s. generally accepted accounting principles), the company achieved a net profit of us$6.12 billion, an increase of approximately 33% year-on-year, and adjusted earnings per share of us$1.24, higher than the expected us$1.20 per share; according to gaap, the quarterly net loss was us$1.875 billion, and the net profit for the same period last year was us$3.303 billion, which included a one-time tax provision of us$4.5 billion, which was a supply chain management behavior resulting from broadcom transferring the intellectual property of a business unit to its corporate division in the united states.

investors were disappointed, however, when broadcom gave a less-than-optimistic outlook for the next quarter, reporting that it expects fiscal fourth-quarter revenue of $14 billion, below expectations for $14.1 billion.

broadcom shares closed down 0.84% ​​to $152.82 per share on thursday. the quarterly earnings report was released in the after-hours period, and broadcom shares fell 6.73% in the after-hours trading period.