Broadcom Revenue in Q2 2023 Hits $8.73 Billion, Beating Estimates

The News: Broadcom revenue for the second quarter of 2023 reached $8.73 billion, up 8% from $8.1 billion one year ago, as the semiconductor and infrastructure software vendor reported its latest earnings figures on June 1. The Q2 revenue total beat analyst estimates of $8.7 billion from for the period ending April 30, 2023. Read the full Press Release from the Broadcom Inc. website.

Broadcom Revenue in Q2 2023 Hits $8.73 Billion, Beating Estimates

Analyst Take: Broadcom’s revenue increase of 8% in Q2 of fiscal 2023 was a solid result that puts Broadcom in a good position even as challenging global macroeconomic conditions continue. Beating analyst expectations on revenue was just the start, as Broadcom also beat analyst estimates on earnings per share (EPS) for the quarter.

All of this is evidence that Broadcom is in just the right spot to benefit from the networking explosion that the generative AI boom is creating in the tech marketplace.

Also positive was that the company continued to show increasing demand across its markets for networking, broadband, wireless semiconductor chips, and infrastructure software.

Here are Broadcom’s Q2 fiscal 2023 earnings results by the numbers:

  • Q2 2023 revenue of $8.73 billion, up 8% from $8.1 billion year-over-year. The Q2 revenue figure topped analyst consensus estimates of $8.7 billion from
  • Q2 2023 non-GAAP net income of $4.49 billion, up 12% from $4 billion YoY.
  • Q2 2023 non-GAAP diluted EPS of $10.32 per share, up from $9.07 per share YoY. The non-GAAP EPS beat analyst consensus estimates of $10.12 per diluted share from
  • Q2 2023 non-GAAP gross margin of $6.6 billion, up 7% from $6.18 billion YoY.
  • Q2 2023 free cash flow (FCF) of $4.38 billion, up 5% from $4.15 billion YoY.

Broadcom Revenue by Market Segment in Q2 of 2023

Broadcom’s semiconductor solutions division brought in net revenue of $6.8 billion in Q2, up 9% from $6.2 billion YoY. That represented 78% of the company’s revenue in Q2 2023, compared to 77% of the division’s revenue YoY.

Broadcom’s infrastructure software division brought in net revenue of $1.9 billion in Q2, up 3% from $1.87 billion YoY. That represented 22% of the company’s revenue in Q2 2023, down from 23% of its revenue YoY.

Broadcom’s products serve customers everywhere from data centers to networking, enterprise software, broadband, wireless, storage, and industrial uses. The company also offers software for enterprise, mainframes, and cybersecurity, while also focusing on automation, monitoring and security, smartphone components, telecommunications, and factory automation. With the growing importance of AI and generative AI, Broadcom is in a great place to address these critical and developing markets.

Broadcom Revenue Guidance for Q3 FY2023

As part of its Q2 earnings report, Broadcom provided earnings guidance for the third quarter of FY2023. Broadcom said it expects Q3 2023 revenue to total about $8.85 billion.

Broadcom Revenue Q2 Overview

Last quarter we were writing about Broadcom’s continuing $61 billion acquisition push for virtualization and cloud computing software vendor, VMware, which was spun off by Dell Technologies in October 2021. The acquisition is in process but is now looking like it will be completed by the close of Broadcom’s 2023 fiscal year.

This is good news for Broadcom CEO and President Hock Tan, who continues to bring his energy and expertise to the company, along with the rest of his capable executive team, as they lead Broadcom to further success. As we have said before, Broadcom’s enduring success is positioning this semiconductor and infrastructure software company in a good place for the future, even amid the tough markets being experienced by many other technology and consumer companies today.

Broadcom’s roots date back to technology giants AT&T and Bell Labs, Lucent Technologies, Hewlett-Packard, and Agilent. Over the years, Broadcom has been growing by acquisition, including deals for LSI, Brocade, CA Technologies, and Symantec, giving it a wider footprint in the tech sector that serves a broad range of customer needs.

We believe that the rest of FY2023 will be promising for Broadcom as it pursues its VMware acquisition and drives its business forward around the world.

Daniel Newman and his co-host of The Six Five Webcast, Patrick Moorhead of Moor Insights and Strategy discussed Broadcom earnings in their latest episode. Check it out here and be sure to subscribe to The Six Five Webcast so you never miss an episode.

Disclosure: The Futurum Group is a research and advisory firm that engages or has engaged in research, analysis, and advisory services with many technology companies, including those mentioned in this article. The author does not hold any equity positions with any company mentioned in this article.

Analysis and opinions expressed herein are specific to the analyst individually and data and other information that might have been provided for validation, not those of The Futurum Group as a whole.

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Author Information

Daniel is the CEO of The Futurum Group. Living his life at the intersection of people and technology, Daniel works with the world’s largest technology brands exploring Digital Transformation and how it is influencing the enterprise.

From the leading edge of AI to global technology policy, Daniel makes the connections between business, people and tech that are required for companies to benefit most from their technology investments. Daniel is a top 5 globally ranked industry analyst and his ideas are regularly cited or shared in television appearances by CNBC, Bloomberg, Wall Street Journal and hundreds of other sites around the world.

A 7x Best-Selling Author including his most recent book “Human/Machine.” Daniel is also a Forbes and MarketWatch (Dow Jones) contributor.

An MBA and Former Graduate Adjunct Faculty, Daniel is an Austin Texas transplant after 40 years in Chicago. His speaking takes him around the world each year as he shares his vision of the role technology will play in our future.

Todd joined The Futurum Group as an Analyst after over 20 years as a technology journalist covering such topic areas as artificial intelligence (AI), deep learning (DL), machine learning (ML), open source and Linux, high-performance computing, supercomputers, cloud computing, virtualization, containers and microservices, IT security and more.

Prior to his work with The Futurum Group, Todd previously served as managing editor of from 2020 through 2022 where he worked to drive coverage of AI use and innovation in the enterprise. He also served in the past as a staff writer for Computerworld and eWEEK and freelanced for a wide range of tech websites, including TechRepublic, Channel Futures and Channel Partners, Computerworld, PC World, Data Center Knowledge, IT Pro Today, and The Linux Foundation.

Todd holds a Bachelor’s Degree in Journalism from the University of Wisconsin-Madison. A Philadelphia native, he lives in Lancaster County, Pa., and spends his spare time tinkering with his vintage Mazda Miata convertible and collecting toy taxis from around the world.


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