Broadcom — Mar 6, 2025 release

FINANCIAL RECONCILIATION: GAAP TO NON-GAAP — UNAUDITED (IN MILLIONS) Fiscal Quarter Ended February 2, 2025 November 3, 2024 February 4, 2024 Gross margin on GAAP basis $ 10,145  $ 9,002  $ 7,375  Amortization of acquisition-related intangible assets 1,484  1,602  1,380  Stock-based compensation expense 153  159  161  Restructuring charges 14  51  92  Acquisition-related costs —  —  6  Gross margin on non-GAAP basis $ 11,796  $ 10,814  $ 9,014  Research and development on GAAP basis $ 2,253  $ 2,234  $ 2,308  Stock-based compensation expense 822  839  863  Acquisition-related costs —  —  1  Research and development on non-GAAP basis $ 1,431  $ 1,395  $ 1,444  Selling, general and administrative expense on GAAP basis $ 949  $ 1,010  $ 1,572  Stock-based compensation expense 305  316  548  Acquisition-related costs 107  86  285  Selling, general and administrative expense on non-GAAP basis $ 537  $ 608  $ 739  Total operating expenses on GAAP basis $ 3,885  $ 4,375  $ 5,292  Amortization of acquisition-related intangible assets 511  813  792  Stock-based compensation expense 1,127  1,155  1,411  Restructuring and other charges 172  318  620  Acquisition-related costs 107  86  286  Total operating expenses on non-GAAP basis $ 1,968  $ 2,003  $ 2,183  Operating income on GAAP basis $ 6,260  $ 4,627  $ 2,083  Amortization of acquisition-related intangible assets 1,995  2,415  2,172  Stock-based compensation expense 1,280  1,314  1,572  Restructuring and other charges 186  369  712  Acquisition-related costs 107  86  292  Operating income on non-GAAP basis $ 9,828  $ 8,811  $ 6,831  Interest expense on GAAP basis $ (873) $ (916) $ (926) Loss on debt extinguishment 65  52  —  Interest expense on non-GAAP basis $ (808) $ (864) $ (926) Other income, net on GAAP basis $ 103  $ 52  $ 185  (Gains) losses on investments 4  30  (33) Other (31) —  —  Other income, net on non-GAAP basis $ 76  $ 82  $ 152  Fiscal Quarter Ended February 2, 2025 November 3, 2024 February 4, 2024 Provision for (benefit from) income taxes on GAAP basis $ (13) $ (442) $ 68  Non-GAAP tax reconciling adjustments 1,286  1,506  735  Provision for income taxes on non-GAAP basis $ 1,273  $ 1,064  $ 803  Net income on GAAP basis $ 5,503  $ 4,324  $ 1,325  Amortization of acquisition-related intangible assets 1,995  2,415  2,172  Stock-based compensation expense 1,280  1,314  1,572  Restructuring and other charges 186  369  712  Acquisition-related costs 107  86  292  Loss on debt extinguishment 65  52  —  (Gains) losses on investments 4  30  (33) Other (31) —  —  Non-GAAP tax reconciling adjustments (1,286) (1,506) (735) Income from discontinued operations, net of income taxes —  (119) (51) Net income on non-GAAP basis $ 7,823  $ 6,965  $ 5,254  Net income on GAAP basis $ 5,503  $ 4,324  $ 1,325  Non-GAAP Adjustments: Amortization of acquisition-related intangible assets 1,995  2,415  2,172  Stock-based compensation expense 1,280  1,314  1,572  Restructuring and other charges 186  369  712  Acquisition-related costs 107  86  292  Loss on debt extinguishment 65  52  —  (Gains) losses on investments 4  30  (33) Other (31) —  —  Non-GAAP tax reconciling adjustments (1,286) (1,506) (735) Income from discontinued operations, net of income taxes —  (119) (51) Other Adjustments: Interest expense 808  864  926  Provision for income taxes on non-GAAP basis 1,273  1,064  803  Depreciation 142  156  139  Amortization of purchased intangibles and right-of-use assets 37  40  34  Adjusted EBITDA $ 10,083  $ 9,089  $ 7,156  Weighted-average shares used in per share calculations - diluted on GAAP basis 4,836  4,828  4,666  Non-GAAP adjustment (1) 59  77  113  Weighted-average shares used in per share calculations - diluted on non-GAAP basis 4,895  4,905  4,779  Net cash provided by operating activities $ 6,113  $ 5,604  $ 4,815  Purchases of property, plant and equipment (100) (122) (122) Free cash flow $ 6,013  $ 5,482  $ 4,693   Fiscal Quarter Ending May 4, Expected average diluted share count: 2025 Weighted-average shares used in per share calculation - diluted on GAAP basis 4,840  Non-GAAP adjustment (1) 107  Weighted-average shares used in per share calculation - diluted on non-GAAP basis 4,947  (1) Non-GAAP adjustment for the number of shares used in the diluted per share calculations excludes the impact of stock-based compensation expense expected to be incurred in future periods and not yet recognized in the financial statements, which would otherwise be assumed to be used to repurchase shares under the GAAP treasury stock method. BROADCOM INC. CONDENSED CONSOLIDATED BALANCE SHEETS — UNAUDITED (IN MILLIONS) February 2, 2025 November 3, 2024 ASSETS Current assets: Cash and cash equivalents $ 9,307  $ 9,348  Trade accounts receivable, net 4,955  4,416  Inventory 1,908  1,760  Other current assets 4,820  4,071  Total current assets 20,990  19,595  Long-term assets: Property, plant and equipment, net 2,465  2,521  Goodwill 97,871  97,873  Intangible assets, net 38,583  40,583  Other long-term assets 5,449  5,073  Total assets $ 165,358  $ 165,645  LIABILITIES AND EQUITY Current liabilities: Accounts payable $ 1,905  $ 1,662  Employee compensation and benefits 922  1,971  Short-term debt 5,653  1,271  Other current liabilities 12,430  11,793  Total current