Overview

• Broadcom reported Q3 fiscal 2025 revenue of $15.95 billion, adjusted EBITDA of $10.7 billion, roughly $7 billion in free cash flow, and a 63% surge in AI sales to $5.2 billion.
• Management guided to $17.4 billion in revenue next quarter and $6.2 billion in AI semiconductor sales, citing immediate demand from newly booked orders.
• The company disclosed a $10 billion one-time order from a new customer that multiple outlets reported is OpenAI, with Bloomberg also reporting collaboration on a custom inference chip.
• Custom AI accelerators (XPUs) made up 65% of AI revenue, with the rest tied to Tomahawk switches and Jericho routers, reflecting Broadcom’s combined compute and networking play.
• Shares jumped nearly 10% Friday and rose again Monday as Citi and Melius projected market-share shifts, with Citi trimming its Nvidia price target on potential demand moving to custom chips.