Overview
- Broadcom posted first‑quarter revenue of $19.31 billion with $8.4 billion from AI chips, as hyperscalers moved custom accelerators and networking gear into volume use.
- Management guided the second quarter to about $22 billion in sales and projected $10.7 billion in AI semiconductor revenue, pointing to a faster ramp.
- The company reported strong profitability and $8.01 billion in free cash flow, helped by higher‑margin software from VMware subscriptions that add steadier recurring revenue.
- A disclosed AI order book of roughly $73 billion underpins near‑term growth, and leadership says AI chip sales could reach about $100 billion by 2027, though that target is the company’s own goal.
- Shares have pulled back after headlines about the CFO and other executives selling stock, even as analysts highlight rising accelerator shipments, Ethernet‑based networking wins, and new products such as Tomahawk 6 switches and a 3‑nanometer optical DSP.