Chipmaker Broadcom, Inc. (NASDAQ: AVGO) has reported better-than-expected earnings and revenues for the fourth quarter of 2021. The company’s shares traded higher during Friday’s premarket session, hovering near the recent peak.
The company posted adjusted earnings of $7.81 per share for the October quarter, up from last year’s profit of $6.35 per share. Unadjusted net profit was$1.99 billion or $4.45 per share, compared to $1.32 billion or $2.93 per share in the fourth quarter of 2020. Analysts had predicted a slightly smaller number for the most recent quarter.
Driving the profit growth, fourth-quarter net revenues rose 15% annually to $7.41 billion and exceeded the Street view. For the first quarter of 2022, the management expects revenue of approximately $7.6 billion, which represents a 14% increase from the prior-year period.
“Broadcom concluded the year with record fourth-quarter results driven by a rebound in enterprise and continued strength from cloud and service provider demand. Our infrastructure software growth continues to be steady with our focus on strategic customers. With the strength and breadth of our IP portfolio, we continue to be able to uniquely deliver leading-edge, best-in-class semiconductor solutions, and extend our leadership in our franchise markets,” said Broadcom’s CEO Hock Tan.
Read management/analysts’ comments on Broadcom’s Q4 results
Broadcom’s stock has gained about 44% in the past twelve months and reached an all-time high this week. Over the past several months, the stock outperformed the market, setting new records regularly.