AVGO Q3 2025 Revenue Surges 22%, Exceeding Analyst Estimates

Broadcom (AVGO.US) reported strong financial results for the third quarter of fiscal year 2025, with revenue reaching $15.952 billion, marking a 22% increase from the prior year period. This figure surpassed the analyst estimate of $15.820 billion. Non-GAAP diluted EPS for the quarter was $1.69, exceeding the analyst estimate of $1.66.

Key Business Drivers

The company's performance was driven by continued strength in custom AI accelerators, networking, and VMware. AI revenue growth accelerated to 63% year-over-year, reaching $5.2 billion in Q3 2025. Semiconductor solutions revenue increased 26% year-over-year to $9.166 billion, while infrastructure software revenue grew 17% year-over-year to $6.786 billion.

Management Outlook

Broadcom provided a positive outlook for the fourth quarter of fiscal year 2025, projecting revenue of approximately $17.4 billion. This represents an anticipated increase of 24% from the prior year period. The company expects growth in AI semiconductor revenue to accelerate to $6.2 billion in Q4, indicating continued strong investment from customers.