Broadcom Inc. reported $63.887 billion in fiscal 2025 revenue, up 24% from fiscal 2024, while its non-GAAP gross margin increased to 78.6%. The company also generated $26.9 billion in free cash flow and raised its quarterly common-stock dividend by 10% to $0.65 per share for fiscal 2026. AI semiconductor demand and infrastructure software, including VMware-related business, were major drivers of the results.

Introduction

Broadcom Inc. delivered a strong fiscal 2025 financial performance, with revenue reaching $63.887 billion, compared with $51.574 billion in fiscal 2024. The semiconductor and infrastructure software company also reported a 78.6% non-GAAP gross margin, highlighting the profitability of its business mix.

The results were reported on December 11, 2025, for the fiscal year that ended November 2, 2025. Broadcom also announced a 10% increase in its quarterly common-stock dividend to $0.65 per share for fiscal 2026.

The FY25 results are particularly important because Broadcom's growth increasingly reflects two major areas: demand for AI infrastructure and the contribution of its infrastructure software business following the VMware acquisition.

What Happened?

Broadcom's fiscal 2025 revenue rose 24% year over year, from $51.574 billion to $63.887 billion.

Its business generated growth across both major segments. Semiconductor revenue reached approximately $36.9 billion, while infrastructure software revenue was about $27.0 billion.

AI was a particularly important part of the semiconductor business. Broadcom disclosed that AI semiconductor revenue increased 65% year over year to $20.2 billion in fiscal 2025.

The company's profitability also remained strong. Broadcom's FY25 non-GAAP gross margin was 78.6%, compared with 76.5% in fiscal 2024. Its non-GAAP adjusted EBITDA rose to approximately $43.0 billion, while free cash flow reached about $26.9 billion.

For investors following AVGO earnings, these numbers show that Broadcom was not simply growing sales; it was also converting a significant portion of those sales into cash and adjusted operating earnings.

Key Details

Several figures stand out from Broadcom's fiscal 2025 results:

• Revenue: $63.887 billion, up 24% year over year.
• GAAP net income: $23.126 billion, compared with $5.895 billion in FY24.
• GAAP diluted EPS: $4.77, versus $1.23 in FY24.
• Non-GAAP diluted EPS: $6.82, up from $4.87.
• Non-GAAP gross margin: 78.6%, compared with 76.5% in FY24.
• Adjusted EBITDA: $43.004 billion.
• Free cash flow: $26.914 billion.
• AI semiconductor revenue: $20.2 billion, up 65%.
• Semiconductor revenue: approximately $36.9 billion.
• Infrastructure software revenue: approximately $27.0 billion.

The difference between GAAP and non-GAAP figures is important. Broadcom reports both measures, and investors should not treat them as interchangeable. The 78.6% gross-margin figure cited in this story is the company's non-GAAP gross margin, not its GAAP gross margin.

Background

Broadcom has increasingly positioned itself as a major supplier of technology used in AI and data-center infrastructure.

Its semiconductor portfolio includes products used for networking, connectivity and custom computing infrastructure. At the same time, the acquisition of VMware significantly expanded Broadcom's infrastructure software business.

The combination has changed the company's revenue mix and increased the scale of recurring software-related revenue.

Broadcom's fiscal 2025 results illustrate this transition. The company generated $44.847 billion from products and $19.040 billion from subscriptions and services, for total revenue of $63.887 billion.

AI was another major growth engine. Broadcom's board said AI semiconductor revenue reached $20.2 billion in FY25, representing 65% year-over-year growth.

That performance helps explain why AI infrastructure has become central to the investment story surrounding AVGO.

What Officials / Organizations Said

Broadcom President and CEO Hock Tan said the company's fourth-quarter record revenue of $18.0 billion increased 28% year over year, with AI semiconductor revenue rising 74% year over year during the quarter.

Tan also said Broadcom expected AI semiconductor revenue to reach $8.2 billion in the first quarter of fiscal 2026, representing a projected doubling from the prior-year period.

Broadcom CFO Kirsten Spears highlighted the company's cash generation, saying fiscal 2025 adjusted EBITDA reached a record $43.0 billion and free cash flow was $26.9 billion.

The company linked the dividend increase to its stronger cash flows.

Broadcom's Dividend Growth

Dividend growth is another important part of the FY25 story.

Broadcom announced that its quarterly common-stock dividend would increase 10% to $0.65 per share beginning in fiscal 2026. The company said the increase was supported by higher cash flows during fiscal 2025.

Broadcom returned approximately $13.6 billion to shareholders during fiscal 2025, consisting of $11.1 billion in cash dividends and $2.5 billion in stock repurchases.

The dividend increase does not mean Broadcom is primarily a high-yield income stock. Rather, it demonstrates the company's ability to return capital while continuing to invest in its semiconductor and software businesses.

Why This Matters

The most important takeaway from these AVGO earnings is the combination of revenue growth, high margins and strong cash generation.

A 78.6% non-GAAP gross margin gives Broadcom substantial room to absorb operating costs and continue investing in research and development while maintaining significant profitability.

AI demand is particularly important. Broadcom's $20.2 billion in AI semiconductor revenue represented a substantial portion of its semiconductor business in FY25. The growth indicates that demand for custom AI accelerators and networking infrastructure was becoming an increasingly important contributor to the company's financial performance.

The VMware-related software business provides another source of scale and diversification. Broadcom reported approximately $27.0 billion in infrastructure software revenue during FY25.

However, investors should also recognize that strong historical earnings do not automatically guarantee future stock performance. AVGO's valuation, future AI spending, customer concentration, semiconductor cycles and execution in infrastructure software can all influence the investment outlook.

What Happens Next?

Broadcom has continued to report strong results after fiscal 2025.

In its third-quarter fiscal 2026 results released September 2, 2026, Broadcom reported quarterly revenue of approximately $29.6 billion, up 86% year over year. It also reported $13.7 billion in free cash flow and maintained its quarterly dividend at $0.65 per share.

For the fourth quarter of fiscal 2026, Broadcom provided revenue guidance of approximately $34.8 billion, representing a projected 93% increase from the comparable prior-year quarter.

This later performance provides important context for anyone researching the FY25 AVGO earnings story: Broadcom's growth did not stop with fiscal 2025.

The next major focus for investors is whether the company's rapid AI-related growth can continue while maintaining its very high margins and strong free-cash-flow generation.

FAQs

What were Broadcom's FY25 earnings?

Broadcom reported fiscal 2025 revenue of $63.887 billion, up 24% from $51.574 billion in fiscal 2024. GAAP net income was $23.126 billion, while non-GAAP net income was $33.728 billion.

What was Broadcom's gross margin in FY2025?

Broadcom's FY25 non-GAAP gross margin was 78.6%, up from 76.5% in fiscal 2024.

How much revenue did Broadcom generate from AI semiconductors?

Broadcom reported $20.2 billion in AI semiconductor revenue for fiscal 2025, representing 65% year-over-year growth.

Did Broadcom increase its dividend?

Yes. Broadcom increased its quarterly common-stock dividend by 10% to $0.65 per share for fiscal 2026.

How much free cash flow did Broadcom generate in FY25?

Broadcom generated approximately $26.9 billion in fiscal 2025 free cash flow.

What drove Broadcom's FY25 revenue growth?

Broadcom identified strong demand for AI semiconductor solutions and growth in infrastructure software as key drivers of its fiscal 2025 performance.

What is Broadcom's current dividend?

The quarterly dividend announced for fiscal 2026 was $0.65 per common share. Broadcom's third-quarter fiscal 2026 results released in September 2026 continued to show a $0.65 quarterly dividend.

Is FY25 still the latest Broadcom earnings report?

No. FY25 was the annual period ending November 2, 2025. Broadcom has subsequently reported fiscal 2026 results, including third-quarter results released on September 2, 2026. Therefore, FY25 figures should be treated as historical annual results rather than the company's latest financial performance.

Sources

Primary sources used for this article:

1. Broadcom Inc. — FY2025 Fourth Quarter and Fiscal Year Results, released December 11, 2025.
2. Broadcom Inc. — 2025 Annual Report / Form 10-K, filed with the U.S. Securities and Exchange Commission.
3. U.S. Securities and Exchange Commission — Broadcom FY2025 filing, including dividend and financial information.
4. Broadcom 2026 company financial overview, providing historical FY21–FY25 revenue, gross margin, EBITDA and free-cash-flow data.
5. Broadcom Inc. — Third Quarter Fiscal 2026 Results, released September 2, 2026, used to establish the latest post-FY25 context.

Editorial note: The headline topic is specifically about FY2025, so I have kept the $63.9B and 78.6% figures clearly labeled as FY25 rather than presenting them as Broadcom's latest results. That distinction is important because Broadcom has already reported FY2026 Q3 results as of September 2, 2026.

For direct source verification, Broadcom maintains its official financial reports and SEC filings archive.