Irvine, Calif. --
|Third Quarter 2015 Results||GAAP||Non-GAAP|
|Net revenue||$2.19 billion|
|Net income per share||$.69||$.77|
|(including $.03 of other charges)||($.03 better than First Call consensus)|
Broadcom Corporation (NASDAQ: BRCM), a global innovation leader in semiconductor solutions for wired and wireless communications, today reported unaudited financial results for its third quarter ended September 30, 2015.
"Broadcom delivered third quarter revenue ahead of consensus and above the midpoint of the guided range," said Scott McGregor, Broadcom's President and Chief Executive Officer. "These solid results are a testament to the company's operational excellence and leadership in the markets we serve."
Net revenue for the third quarter of 2015 was $2.19 billion. This represents an increase of 4.3% compared with the $2.10 billion reported for the second quarter of 2015 and a decrease of 3.2% compared with the $2.26 billion reported for the third quarter of 2014. Net income computed in accordance with U.S. generally accepted accounting principles (GAAP) for the third quarter of 2015 was $429 million, or $0.69 per share (diluted), compared with GAAP net income of $386 million, or $0.63 per share (diluted), for the second quarter of 2015 and GAAP net income of $98 million, or $0.16 per share (diluted), for the third quarter of 2014. GAAP net income for the third quarter of 2014 included charges for restructuring costs related to Broadcom's decision to exit the cellular baseband business totaling $114 million, or $0.19 per share, and additional charges for the impairment of purchased intangible assets of $200 million, or $0.33 per share.
In addition to GAAP results, Broadcom reports adjusted net income and adjusted net income per share, referred to respectively as "non-GAAP net income" and "non-GAAP diluted net income per share." A discussion of Broadcom's use of these and other non-GAAP financial measures is set forth below. Reconciliations of GAAP to non-GAAP financial measures for the three months ended September 30, 2015, June 30, 2015 and September 30, 2014, respectively, and the nine months ended September 30, 2015 and 2014 appear in the financial statements portion of this release under the heading "Unaudited Schedule of Selected GAAP to Non-GAAP Adjustments."
Non-GAAP net income for the third quarter of 2015 was $477 million, or $0.77 per share (diluted), compared with non-GAAP net income of $445 million, or $0.72 per share (diluted), for the second quarter of 2015 and non-GAAP net income of $461 million, or $0.76 per share (diluted), for the third quarter of 2014.
The financial results included in this release are unaudited. The audited financial statements of the company for the year ended December 31, 2014 are included in Broadcom's Annual Report on Form 10-K, filed with the SEC on January 29, 2015.
In light of Broadcom's pending transaction with Avago, Broadcom has discontinued conducting conference calls with analysts and investors to discuss its financial results.
Broadcom Corporation (NASDAQ: BRCM), a FORTUNE 500® company, is a global leader and innovator in semiconductor solutions for wired and wireless communications. Broadcom® products seamlessly deliver voice, video, data and multimedia connectivity in the home, office and mobile environments. With one of the industry's broadest portfolio of state-of-the-art system-on-a-chip solutions, Broadcom is changing the world by Connecting everything®. For more information, go to www.broadcom.com.
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