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Broadcom(AVGO) - 2024 Q4 - Annual Results
AVGOBroadcom(AVGO)2024-12-12 21:23

Revenue and Growth - Q4 2024 revenue reached 14,054million,up5114,054 million, up 51% year-over-year[2] - Fiscal year 2024 revenue grew 44% year-over-year to a record 51.6 billion[3] - AI revenue in fiscal year 2024 grew 220% year-over-year to 12.2billion[3]−NetrevenueforthefiscalquarterendedAugust4,2024,was12.2 billion[3] - Net revenue for the fiscal quarter ended August 4, 2024, was 13.072 billion, compared to 9.295billioninthesameperiodlastyear,representinga40.69.295 billion in the same period last year, representing a 40.6% increase[26] - Q1 2025 revenue guidance is approximately 14.6 billion, an increase of 22% from the prior year period[2] Net Income and Profitability - Q4 2024 GAAP net income was 4,324million,whileNon−GAAPnetincomewas4,324 million, while Non-GAAP net income was 6,965 million[2] - Net income for the fiscal quarter ended August 4, 2024, was a loss of 1.875billion,comparedtoanetincomeof1.875 billion, compared to a net income of 3.524 billion in the previous year[26] - GAAP net income for the fiscal quarter ended August 4, 2024 was (1,875)million,whilenon−GAAPnetincomewas(1,875) million, while non-GAAP net income was 6,120 million[28] - Net income for the fiscal year ended November 3, 2024, was 14.082billion,asignificantincreasefromthepreviousyear′s14.082 billion, a significant increase from the previous year's 5.895 billion[31] Adjusted EBITDA and Free Cash Flow - Q4 2024 Adjusted EBITDA was 9,089million,representing659,089 million, representing 65% of revenue[2] - Fiscal year 2024 Adjusted EBITDA increased 37% year-over-year to a record 31.9 billion[3] - Q1 2025 Adjusted EBITDA guidance is approximately 66% of projected revenue[2] - Adjusted EBITDA for the fiscal year ended November 3, 2024 was 31,897million,comparedto31,897 million, compared to 23,213 million in the previous year[28] - Q4 2024 free cash flow was 5,482million,or395,482 million, or 39% of revenue[2] - Free cash flow for the fiscal year ended November 3, 2024 was 19,414 million, up from 17,633millionintheprioryear[28]OperatingPerformance−OperatingincomeforthefiscalquarterendedAugust4,2024,was17,633 million in the prior year[28] Operating Performance - Operating income for the fiscal quarter ended August 4, 2024, was 3.788 billion, compared to 4.240billioninthesameperiodlastyear,a10.74.240 billion in the same period last year, a 10.7% decrease[26] - GAAP operating income for the fiscal year ended November 3, 2024, was 13.463 billion, down from 16.207billioninthepreviousyear[27]−Non−GAAPoperatingincomeforthefiscalyearendedNovember3,2024,increasedto16.207 billion in the previous year[27] - Non-GAAP operating income for the fiscal year ended November 3, 2024, increased to 30.736 billion from 22.125billioninthepreviousyear[27]ExpensesandCosts−ResearchanddevelopmentexpensesforthefiscalquarterendedAugust4,2024,were22.125 billion in the previous year[27] Expenses and Costs - Research and development expenses for the fiscal quarter ended August 4, 2024, were 2.353 billion, up from 1.388billioninthesameperiodlastyear,a69.61.388 billion in the same period last year, a 69.6% increase[26] - Research and development expenses on a GAAP basis for the fiscal year ended November 3, 2024, were 9.310 billion, up from 5.253 billion in the previous year[27] - Non-GAAP R&D expenses for the fiscal year ended November 3, 2024, were 5.847 billion, compared to 3.740billioninthepreviousyear[27]−TotaloperatingexpensesonaGAAPbasisforthefiscalyearendedNovember3,2024,were3.740 billion in the previous year[27] - Total operating expenses on a GAAP basis for the fiscal year ended November 3, 2024, were 19.046 billion, up from 8.483billioninthepreviousyear[27]−Non−GAAPoperatingexpensesforthefiscalyearendedNovember3,2024,were8.483 billion in the previous year[27] - Non-GAAP operating expenses for the fiscal year ended November 3, 2024, were 8.723 billion, compared to 4.632billioninthepreviousyear[27]−Totalstock−basedcompensationexpenseforthefiscalquarterendedAugust4,2024,was4.632 billion in the previous year[27] - Total stock-based compensation expense for the fiscal quarter ended August 4, 2024, was 1.381 billion, compared to 638millioninthepreviousyear,a116.5638 million in the previous year, a 116.5% increase[26] - Stock-based compensation expense was 1,314 million for the fiscal quarter ended August 4, 2024, up from 638millionayearearlier[28]DividendsandShareholderReturns−Quarterlycommonstockdividendincreasedby11638 million a year earlier[28] Dividends and Shareholder Returns - Quarterly common stock dividend increased by 11% to 0.59 per share for fiscal year 2025[3] Financial Position and Assets - Total assets increased to 165,645millionasofNovember3,2024,from165,645 million as of November 3, 2024, from 72,861 million a year earlier, driven by growth in goodwill and intangible assets[30] - Long-term debt rose to 66,295millionasofNovember3,2024,comparedto66,295 million as of November 3, 2024, compared to 37,621 million a year ago[30] - Cash and cash equivalents stood at 9,348millionasofNovember3,2024,downfrom9,348 million as of November 3, 2024, down from 14,189 million a year ago[30] - Accounts receivable increased to 4,416millionasofNovember3,2024,comparedto4,416 million as of November 3, 2024, compared to 3,154 million a year earlier[30] Cash Flow and Financing Activities - Net cash provided by operating activities for the fiscal year ended November 3, 2024, was 19.962billion,comparedto19.962 billion, compared to 18.085 billion in the previous year[31] - Acquisitions of businesses, net of cash acquired, amounted to 25.978billionforthefiscalyearendedNovember3,2024[31]−Proceedsfromlong−termborrowingsforthefiscalyearendedNovember3,2024,were25.978 billion for the fiscal year ended November 3, 2024[31] - Proceeds from long-term borrowings for the fiscal year ended November 3, 2024, were 39.954 billion[31] - Payments on debt obligations for the fiscal year ended November 3, 2024, totaled 19.608billion[31]−CashpaidforinterestduringthefiscalyearendedNovember3,2024,was19.608 billion[31] - Cash paid for interest during the fiscal year ended November 3, 2024, was 3.250 billion[31] - Cash paid for income taxes during the fiscal year ended November 3, 2024, was 3.155billion[31]−NetcashusedinfinancingactivitiesforthefiscalyearendedNovember3,2024,was3.155 billion[31] - Net cash used in financing activities for the fiscal year ended November 3, 2024, was 1.733 billion[31] - Net change in cash and cash equivalents for the fiscal year ended November 3, 2024, was a decrease of 4.841billion[31]−CashandcashequivalentsattheendoftheperiodforthefiscalyearendedNovember3,2024,were4.841 billion[31] - Cash and cash equivalents at the end of the period for the fiscal year ended November 3, 2024, were 9.348 billion[31] Tax and Other Financial Items - A one-time discrete non-cash tax provision of 4.5billionwasrecordedinthefiscalquarterendedAugust4,2024duetoanintra−groupIPtransfer[29]−InterestexpenseonaGAAPbasisforthefiscalyearendedNovember3,2024,was4.5 billion was recorded in the fiscal quarter ended August 4, 2024 due to an intra-group IP transfer[29] - Interest expense on a GAAP basis for the fiscal year ended November 3, 2024, was (3.953) billion, compared to (1.622)billioninthepreviousyear[27]−Otherincome,netonaGAAPbasisforthefiscalyearendedNovember3,2024,was(1.622) billion in the previous year[27] - Other income, net on a GAAP basis for the fiscal year ended November 3, 2024, was 406 million, down from 512millioninthepreviousyear[27]GrossMargin−GrossmarginforthefiscalquarterendedAugust4,2024,was512 million in the previous year[27] Gross Margin - Gross margin for the fiscal quarter ended August 4, 2024, was 8.356 billion, up from 6.407billioninthepreviousyear,a30.46.407 billion in the previous year, a 30.4% increase[26] - Gross margin on GAAP basis for the fiscal year ended November 3, 2024, was 32.509 billion, compared to 24.690billioninthepreviousyear[27]−Non−GAAPgrossmarginforthefiscalyearendedNovember3,2024,increasedto24.690 billion in the previous year[27] - Non-GAAP gross margin for the fiscal year ended November 3, 2024, increased to 39.459 billion from 26.757billioninthepreviousyear[27]ShareandPerShareData−BasicincomepersharefromcontinuingoperationsforthefiscalquarterendedAugust4,2024,wasalossof26.757 billion in the previous year[27] Share and Per Share Data - Basic income per share from continuing operations for the fiscal quarter ended August 4, 2024, was a loss of 0.31, compared to $0.85 in the same period last year[26] - Weighted-average shares used in per share calculations (basic) for the fiscal quarter ended August 4, 2024, were 4.663 billion, up from 4.133 billion in the previous year[26] - Weighted-average diluted shares used in non-GAAP per share calculations were 4,917 million for the fiscal quarter ended August 4, 2024[28]