Broadcom Corp. (
BRCM)
Q4 2009 Earnings Call Transcript
February 3, 2010 4:45 p.m. ET
Executives
T. Peter Andrew - Vice President, Corporate Communications
Scott A. McGregor - President and Chief Executive Officer
Eric K. Brandt - Senior Vice President and Chief Financial Officer
Analysts
Sumit Dhanda - Banc of America/Merrill Lynch
Craig Berger - FBR Capital Markets & Co.
Craig Ellis - Caris & Company
Adam Benjamin - Jefferies & Co.
Ross Seymore - Deutsche Bank Securities
Uche Orji - UBS
Tim Luke - Barclays Capital
James Schneider - Goldman Sachs
Ruben Roy - Pacific Crest Securities
Stacy Rasgon - Sanford C. Bernstein & Co.
Arnab Chanda - Roth Capital Partners LLC
David Wong - Wells Fargo Securities, Llc
Allan Mishan - Brigantine Advisors Llc
Edward Snyder - Charter Equity Research
David Wu - GC Research Ltd.
Suji De Silva - Kaufman Brothers
Srini Pajjuri - CLSA
Brian Blair - Wedge Partners
Presentation
Operator
Welcome to the Broadcom Fourth Quarter and Year 2009 Financial Results Conference Call. During the presentation all participants will be in a listen-only mode. Afterwards, we’ll conduct a question-and-answer session. As a reminder, this conference is being recorded, Wednesday, February 3, 2010.
Your speakers for today are Scott McGregor, Broadcom’s President and Chief Executive Officer; Eric Brandt, Broadcom’s Chief Financial Officer; and Peter Andrew, Vice President of Corporate Communications.
I will now turn the call over to Mr. Peter Andrew. Mr. Andrew, you may begin.
T. Peter Andrew
Thank you very much, Monica. During this call, we will discuss some factors that are likely to influence our business going forward. These forward-looking statements include guidance we will provide on future revenue, gross margin and operating expense targets for the first quarter of 2010 and any other future periods, as well as, statements about the prospects for our various businesses, potential market share and the development status and planned availability of new products.
You should note that the guidance we provide today is based upon forecasts that require us to make certain estimates, judgments and assumptions using the information that is available to us at this time. It should be clearly understood that our actual performance and financial results may differ substantially from our forecasts and the other forward-looking statements we make today.
Specific factors that may affect our business and future results include among other things general economic conditions are discussed in the Risk Factors section of our 2009 Annual Report on Form 10-K and subsequent SEC filings. A partial list of these important risk factors is set forth at the end of today’s earnings press lease.
As always, we undertake no obligation to revise or update publicly any forward-looking statement except as required by law. Please refer to the Investors section of our website at www.broadcom.com for additional -- historical, financial and statistical information including the information required by SEC Regulation G.
In addition, we have placed a slide deck which is available now in the Investors section of our website that is on the right-hand side of the page under Q4 2009 earnings information. For increased transparency, we have incorporated additional tables and information regarding our future guidance, historical performance and the last three years of segment operating income.
With that, let me now turn the call over to Scott.
Scott A. McGregor
Good afternoon. And thanks for joining us today. Broadcom continues to execute well in a difficult economy and executed particularly well in the fourth quarter with substantially better results than we originally anticipated, driven by upside demand in several of our businesses.
For the fourth quarter, we reported net revenue of $1.34 billion, which is up over 7% from our third quarter. Broadcom’s quarterly revenue reached a record level and is up 57% from the trough quarter in Q1 2009.
