Broadcom (NASDAQ:AVGO) raised its annual revenue outlook after surpassing expectations in its Q2 results, fueled by record AI revenue. The chipmaker also announced a ten-for-one stock split. Following the announcement, Broadcom saw a 14% increase in pre-market today.
The company reported adjusted earnings per share of $10.96 on revenue of $12.49 billion, exceeding analysts’ expectations of $10.85 EPS on $10.85 billion in revenue.
The revenue beat was significantly driven by a record $3.1 billion in AI product sales during the quarter. Additionally, infrastructure software revenue grew as businesses continued to adopt the VMware software stack to develop their own private clouds.
Looking forward, Broadcom updated its full 2024-year revenue guidance to $51 billion, up from the previous $50 billion.