Broadcom Exceeds Expectations for Fiscal Year 2024

By Denny Jacob

Semiconductor company Broadcom has reported strong financial results for the fourth quarter and expressed optimism for further growth in the current fiscal year.

In the fourth quarter ending on October 29, Broadcom’s net income reached $3.52 billion, or $8.25 per share, compared to $3.36 billion, or $7.83 per share, in the previous year. Adjusted earnings were reported at $11.06 per share, surpassing analysts’ predictions of $10.96.

Furthermore, the company’s revenue increased by 4% to $9.3 billion, exceeding the FactSet consensus estimate of $9.28 billion.

Looking ahead to fiscal year 2024, Broadcom foresees revenue of approximately $50 billion, with Chief Executive Hock Tan attributing this growth to contributions from VMware. Additionally, the company anticipates that adjusted earnings before interest, taxes, depreciation, and amortization will represent around 60% of the projected revenue, amounting to $30 billion.

Broadcom achieved revenue of $35.82 billion in fiscal year 2023.

According to Tan, the acquisition of VMware is a transformative move for the company. He stated, “In fiscal year 2024, we expect the semiconductor industry to sustain a mid to high single-digit revenue growth rate.”