Broadcom Reports Record Q3 FY2026 Earnings Driven by Strong AI Semiconductor Growth
In its third-quarter fiscal year 2026 earnings call, Broadcom (AVGO) reported record revenue of $29.6 billion, up 86% year-on-year, driven primarily by a surge in demand for artificial intelligence semiconductors. AI semiconductor revenue grew 221% compared to the same period last year and increased 54% sequentially. The company highlighted strong performance from its XPU (accelerator) business, with shipments up over 3.5 times year-on-year and representing 73% of total AI revenue in Q3. Broadcom also announced production shipments for next-generation TPU version 8i to Google and delivered Jalapeno, OpenAI's first custom accelerator, which outperforms certain GPU models from competitors like NVIDIA (NVDA). The company emphasized its leadership in the rapidly growing AI semiconductor market and noted that demand remains robust. Operating income rose by 92% year-on-year with a record operating margin of 68%, reflecting strong operational efficiency. The earnings call included guidance for Q4 FY2026, though specific figures were not detailed in this transcript excerpt.
Tickers: $AVGO
Topics: Conference Call Earnings Financial Results