Broadcom Shares Gain On Stronger-than-expected Earnings, Dividend Hike
Shares of Broadcom Ltd. rose in Thursday's extended session after the chip maker posted better-than-expected earnings and declared an interim dividend. Broadcom reported it swung to a fourth-quarter loss of $668 million, or $1.59 a share, from a year-earlier profit of $429 million, or $1.49 a share. However, on an adjusted basis, the company would have earned $3.47 a share. Revenue more than doubled to $4.14 billion from $1.84 billion. Analysts surveyed by FactSet had forecast earnings of $3.38 a share on revenue of $4.13 billion. The company's board also approved interim dividend of $1.02 a share, payable on Dec. 30. In the first quarter, Broadcom expects net revenue of about $4.07 billion and a gross margin of roughly 47%. Shares gained 3.3% after hours.
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