Q1 25 EPS

$1.60

BEAT +6.11%

Est. $1.51

Q1 25 Revenue

$14.92B

BEAT +2.23%

Est. $14.59B

vs S&P Since Q1 25

+84.9%

BEATING MARKET

AVGO +110.0% vs S&P +25.1%

Market Reaction

Did AVGO Beat Earnings? Q1 2025 Results

Broadcom opened fiscal 2025 on a record-setting note, posting first-quarter revenue of $14.92 billion, up 24.7% year-over-year and ahead of the $14.59 billion consensus estimate, while non-GAAP diluted EPS of $1.60 cleared the $1.51 analyst forecast … Read more Broadcom opened fiscal 2025 on a record-setting note, posting first-quarter revenue of $14.92 billion, up 24.7% year-over-year and ahead of the $14.59 billion consensus estimate, while non-GAAP diluted EPS of $1.60 cleared the $1.51 analyst forecast by 6.11%. The primary engine behind the quarter was a 77% year-over-year surge in AI semiconductor revenue to $4.10 billion, fueled by hyperscale partners expanding their investments in custom AI accelerators and data center connectivity solutions, a dynamic that helped the broader semiconductor segment contribute $8.21 billion even as infrastructure software, powered by the maturing VMware integration, added $6.70 billion. Adjusted EBITDA reached a record $10.08 billion, representing 68% of revenue, reflecting the company's expanding margin profile. Even as some observers question whether AI-driven chip valuations have run ahead of fundamentals, Broadcom's forward guidance appears grounded, with management projecting Q2 revenue of approximately $14.90 billion and AI semiconductor revenue of $4.40 billion, pointing to continued momentum heading into the back half of the fiscal year.

Key Takeaways

  • AI semiconductor revenue grew 77% year-over-year to $4.1 billion driven by hyperscale partner investments in AI XPUs and connectivity
  • Infrastructure software revenue grew 47% year-over-year to $6.7 billion reflecting VMware integration and subscription transition
  • Adjusted EBITDA increased 41% year-over-year to a record $10.1 billion
  • Free cash flow grew 28% year-over-year to $6.0 billion
  • Declining restructuring charges as VMware integration matures
24/7 Wall St

AVGO YoY Financials

Q1 2025 vs Q1 2024, source: SEC Filings

24/7 Wall St

AVGO Revenue by Segment

With YoY comparisons, source: SEC Filings

Q2 24 Q1 26

“Broadcom's record first quarter revenue and adjusted EBITDA were driven by both AI semiconductor solutions and infrastructure software. Q1 AI revenue grew 77% year-over-year to $4.1 billion and infrastructure software revenue grew 47% year-over-year to $6.7 billion.”

— Hock Tan, Q1 2025 Earnings Press Release