IRVINE, Calif. (AP) — Broadcom Corp. reported Monday that its second-quarter net income fell 37 percent as rising costs and expenses overshadowed higher demand for its semiconductors.
But its quarterly profit excluding one-time items and its revenue forecast for the current quarter topped Wall Street’s expectations.
Shares of Broadcom, whose chips are used in products ranging from cable boxes to cell phones, rose 8 percent in extended trading.
For the April-June quarter, Broadcom earned $175 million, or 31 cents per share, compared with $278 million, or 52 cents per share, in the same quarter a year earlier.
Excluding one-time items such as stock-based compensation and related payroll taxes, the company earned 72 cents per share — 8 cents more than analysts polled by FactSet were expecting.
Total costs and expenses climbed 22 percent to $1.63 billion.
Revenue rose 12 percent to $1.80 billion. Analysts were expecting $1.81 billion.
For the July-September quarter, Broadcom forecast revenue of $1.9 to $2.0 billion. Analysts have been expecting $1.93 billion in revenue.
Broadcom shares climbed $2.83, or 8.1 percent, to $37.74 in extended trading. The stock finished regular trading down 56 cents at $34.91.