(NASDAQ:AVGO), a global leader in semiconductor and infrastructure software solutions, released results for Q3 FY2025 on September 4, 2025. The most important news from this earnings release was the sharp expansion in AI-driven revenue and outperformance on both the top and bottom lines. Total revenue (GAAP) reached $15.952 billion, exceeding internal guidance of approximately $15.8 billion (GAAP) and consensus expectations. Non-GAAP diluted earnings per share were $1.69, also above estimates, while Free cash flow set a new company record. The overall quarter was strong, with standout performance in custom AI accelerators, networking hardware, and the VMware software franchise, although margin dilution and continued customer concentration remain factors to watch.

Source: Analyst estimates provided by FactSet. Management expectations based on management's guidance, as provided in Q2 2025 earnings report.

The heart of Broadcom’s business lies in two primary areas: semiconductor design and the development of infrastructure software platforms. Its semiconductor products are widely used for networking, wireless connectivity, broadband, storage, and custom accelerators powering modern data centers. On the software side, Broadcom builds and sells solutions for cloud computing, virtualization, and cybersecurity.

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Source Fool.com