Investing.com -- Broadcom reported Thursday better-than-expected revenue guidance for current quarter and third-quarter results that beat analysts' forecasts as the chipmaker expects AI-related spending on infrastructure software and semiconductors to boost demand.
Broadcom Inc (NASDAQ:AVGO) shares fell 3.5% in after-hours trading following the report.
Broadcom reported earnings per share of $10.54 on revenue of $8.88 billion. Analysts polled by Investing.com anticipated EPS of $10.43 on revenue of $8.85 billion.
Revenue in quarter was supported by "demand for next generation networking technologies as hyperscale customers scale out and network their AI clusters within data centers," the company said.
Semiconductor solutions, its core business, rose 78% to $6.94B, while infrastructure software rose 22% to $1.94B.
Looking ahead to fourth quarter, revenue was expected to come in at $9.27B, up 4% from the prior year period, and ahead of Wall Street's estimates for $9.27B.