Broadcom | 10-Q: FY2026 Q3 Revenue: USD 29.59 B

Revenue: As of FY2026 Q3, the actual value is USD 29.59 B, compared to the market estimate of USD 29.43 B.

EPS: As of FY2026 Q3, the actual value is USD 2.68, compared to the market estimate of USD 2.5613.

EBIT: As of FY2026 Q3, the actual value is USD 16.05 B.

Fiscal Quarter Ended August 2, 2026 vs. August 3, 2025

Total Net RevenueBroadcom Inc.’s total net revenue increased to $29,591 million from $15,952 million, marking an 86% increase year-over-year .

Gross MarginGross margin rose to $20,456 million from $10,703 million . As a percentage of net revenue, gross margin was 69% for the fiscal quarter ended August 2, 2026, compared to 67% in the prior year period .

Operating IncomeOperating income increased to $15,955 million from $5,887 million, a 171% increase .

Segment: Semiconductor Solutions Net Revenue: Increased to $20,839 million from $9,166 million, a 127% rise . Cost of Revenue: $6,892 million compared to $2,988 million . Research and Development: $1,006 million compared to $850 million . Selling, General and Administrative: $171 million compared to $111 million . Operating Income: Increased to $12,770 million from $5,217 million, a 145% increase .

Segment: Infrastructure Software Net Revenue: Increased to $8,752 million from $6,786 million, a 29% rise . Cost of Revenue: $508 million compared to $465 million . Research and Development: $545 million compared to $627 million . Selling, General and Administrative: $374 million compared to $456 million . Operating Income: Increased to $7,325 million from $5,238 million, a 40% increase .

Unallocated ExpensesUnallocated expenses decreased by 9% .

Three Fiscal Quarters Ended August 2, 2026 vs. August 3, 2025

Total Net RevenueBroadcom Inc.’s total net revenue increased to $71,089 million from $45,872 million, a 55% increase year-over-year .

Gross MarginGross margin rose to $49,028 million from $31,045 million . As a percentage of net revenue, gross margin was 69% for the three fiscal quarters ended August 2, 2026, compared to 68% in the prior year period .

Operating IncomeOperating income increased to $35,306 million from $17,976 million, a 96% increase .

Segment: Semiconductor Solutions Net Revenue: Increased to $48,363 million from $25,786 million, an 88% rise . Cost of Revenue: $15,414 million compared to $8,235 million . Research and Development: $2,946 million compared to $2,488 million . Selling, General and Administrative: $449 million compared to $334 million . Operating Income: Increased to $29,554 million from $14,729 million, a 101% increase .

Segment: Infrastructure Software Net Revenue: Increased to $22,726 million from $20,086 million, a 13% rise . Cost of Revenue: $1,507 million compared to $1,431 million . Research and Development: $1,723 million compared to $1,944 million . Selling, General and Administrative: $1,201 million compared to $1,364 million . Operating Income: Increased to $18,295 million from $15,347 million, a 19% increase .

Unallocated ExpensesUnallocated expenses increased by 4% .

Cash Flow from Operating ActivitiesNet cash provided by operating activities increased to $32,950 million for the three fiscal quarters ended August 2, 2026, from $19,834 million in the prior year period .

Cash Flow from Investing ActivitiesNet cash used in investing activities increased to -$1,436 million from -$213 million .

Cash Flow from Financing ActivitiesNet cash used in financing activities increased to -$23,717 million from -$18,251 million .

Remaining Performance ObligationsAs of August 2, 2026, remaining performance obligations were approximately $179.2 billion, with about 25% expected to be recognized as revenue over the next 12 months . This includes obligations under a long-term contract for custom AI accelerators .

Stock Repurchase ProgramsBroadcom Inc. repurchased 25 million shares for $8,450 million during the three fiscal quarters ended August 2, 2026, compared to 16 million shares for $2,450 million in the prior year period . As of August 2, 2026, $10.1 billion remained available for repurchase under authorized programs .

Outlook and Strategy

Broadcom Inc. is experiencing significant demand for its custom AI accelerators and AI networking solutions, leading to the creation of the AI XPV platform with financial partners . This platform aims to provide over 20 gigawatts in compute capacity for leading frontier AI labs through 2028, addressing upfront investment needs . Broadcom Inc. may offer residual value guarantees, with a maximum potential liability of approximately $29 billion under the Backstop for AI racks, though no payments have been made to date .