Broadcom Inc will report its third quarter 2023 financial results and business outlook after the market close on Thursday, August 31, 2023, with earnings per share (EPS) expected to increase 7.1% to $10.42, according to the Zacks Consensus Estimate.
The semiconductor maker’s revenue for the quarter, meanwhile, is forecast to rise 4.6% to $8.86 billion.
Broadcom has exceeded EPS and revenue estimates in eight straight quarters.
Zacks noted that the company’s revenue growth is expected to benefit from strong demand for its networking solutions, which include Tomahawk 4 and Jericho switches.
In June, Broadcom boosted its 3Q revenue guidance, as sales tied to generative artificial intelligence (AI) are expected to exceed $1 billion in the quarter, while networking revenues are anticipated to grow about 20% on a year-over-year basis.
The company said it expects generative AI to make up about 25% of its semiconductor revenue in fiscal 2024, compared to about 10% in fiscal 2022.
Broadcom supplies chips used in data centers for networking and specialized chips that accelerate AI work, according to Reuters.
Shares of Broadcom edged 0.5% higher to $894.29 ahead of Wednesday’s close and have gained 62% year to date.
Contact Sean at sean@proactiveinvestors.com