Broadcom(AVGO) - 2024 Q4 - Annual Results

Revenue and Growth - Q4 2024 revenue reached $14,054 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 $12.2 billion[3] - Net revenue for the fiscal quarter ended August 4, 2024, was $13.072 billion, compared to $9.295 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 $4,324 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 $1.875 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, while non-GAAP net income was $6,120 million[28] - Net income for the fiscal year ended November 3, 2024, was $14.082 billion, a significant increase from the previous year's $5.895 billion[31] Adjusted EBITDA and Free Cash Flow - Q4 2024 Adjusted EBITDA was $9,089 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 $31,897 million, compared to $23,213 million in the previous year[28] - Q4 2024 free cash flow was $5,482 million, or 39% of revenue[2] - Free cash flow for the fiscal year ended November 3, 2024 was $19,414 million, up from $17,633 million in the prior year[28] Operating Performance - Operating income for the fiscal quarter ended August 4, 2024, was $3.788 billion, compared to $4.240 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 $16.207 billion in the previous year[27] - Non-GAAP operating income for the fiscal year ended November 3, 2024, increased to $30.736 billion from $22.125 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 $1.388 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 $3.740 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 $8.483 billion in the previous year[27] - Non-GAAP operating expenses for the fiscal year ended November 3, 2024, were $8.723 billion, compared to $4.632 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 $638 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 $638 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 $165,645 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 $66,295 million as of November 3, 2024, compared to $37,621 million a year ago[30] - Cash and cash equivalents stood at $9,348 million as of November 3, 2024, down from $14,189 million a year ago[30] - Accounts receivable increased to $4,416 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 $19.962 billion, compared to $18.085 billion in the previous year[31] - Acquisitions of businesses, net of cash acquired, amounted to $25.978 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 $19.608 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 $3.155 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 $4.841 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 $4.5 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) 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 $512 million in the previous year[27] Gross Margin - Gross margin for the fiscal quarter ended August 4, 2024, was $8.356 billion, up from $6.407 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 $24.690 billion in the previous year[27] - Non-GAAP gross margin for the fiscal year ended November 3, 2024, increased to $39.459 billion from $26.757 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]