AVGO - Earnings call transcript Q1 2021

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Operator

Welcome to Broadcom Inc.'s First Quarter Fiscal Year 2021 Financial Results Conference Call. At this time, for opening remarks and introductions, I'd like to turn the call over to Ji Yoo, Director of Investor Relations for Broadcom Inc. Please go ahead, ma'am.

Ji Yoo

Thank you, Operator, and good afternoon everyone.

Joining me on today's call are Hock Tan, President and CEO; Kirsten Spears, Chief Financial Officer; Tom Krause, President, Infrastructure Software Group; and Charlie Kawwas, Chief Operating Officer. press our financial first financial fiscal 'XX. a market after quarter distributed year describing closed, performance also release tables and the of Broadcom for the

Investors the receive Web telephone Broadcom's at playback of available It and broadcom.com. section is week. you If a section call site a will conference for archived webcast did the Investors one site not may you in Web also via obtain at being information This recording from of be the copy, our be live, will broadcom.com.

and prepared comments, results, will the quarter, of regarding During details our environment. our for quarter Hock as 'XX Kirsten year business be commentary as the fiscal providing well second first guidance

refer with materially press recent forward-looking could to and on our We factors SEC specific results the today to our differ from of will take questions Please the release filings after information our actual that end this risk the on for cause call. the made comments. our statements prepared

In to GAAP reporting, results. GAAP certain made during will basis. is a release. reports addition attached today's to on now included call refer financial press today's A between to measures non-GAAP the Hock. -- to and primarily over Comments U.S. the financial our non-GAAP tables reconciliation non-GAAP today measures in I'll call Broadcom turn

Hock Tan

XX% revenue increasing $X.X up billion, XX% billion, Thank you, Solutions billion, Infrastructure Ji, we was up and thank was you $X.X $X.X everyone of year-on-year. Well, delivered year-on-year. for joining Software us net X% today. revenue revenue Semiconductor year-on-year.

perspective over past be to actually get it first fact, today. But I the into numbers, give on very the Semiconductor evolved And situation for would has Solutions. in constructive turn months. me the what me X to you my Let perhaps before

times that past over our in markets lead as chain highlighted X supply have our we year, saw we stretch times Since we to earnings 'XX, end further product the demand recall lead last these increase. started which may then, call extending we across within portfolio, middle challenges. fiscal of around QX You months continue

customers deliveries today, bookings imbalance, place to XXXX backlog, anticipation put real the demand to forward out early disciplined and demand their accelerating build end user we consumption. for hear phenomenon, process fast reviewing this all attempting In we So there. you our see of buffers and supply to match creating May very carefully a in of more end rigorous, identifying aligning in supply chain our closely and user

balancing we of in markets With end way, users. in Wi-Fi our And XX% end Wi-Fi done generation all wireless, sharp a in in does the increase are the QX peak we to by X XX% consumed demand and In reasonably X. and believe content the reporting we we with I'm a and Semiconductors, but not shipped numbers. content up course, job markets. revenue XX% what good XE, next me get end -- Starting semiconductor Of of seasonal year-on-year have was wireless higher grew into the Wi-Fi large what's FR due was hit same up high was we our reach organically. supply of where year-on-year and mix. behaving let very been volume These reflect that, today part

we year-on-year growth space typical in trend sustaining structuring revenue ramp now in-house should planning capacity QX our we a expected, year, of to XX% for in typical anticipated the sequentially half year-on-year. through second These the up into QX revenue now XX% the will year. in half the wireless show see look revenues as be we're As as will seasonal even and second appropriately. [indiscernible] of result the decline And this

strength cloud largely by and of grew global on, is this in Moving the XX% year-on-year. Demand in Sustainability by their next network. switch continue jump this strong, generation and was center AI But represented XX% Demand as business XX% is of Semiconductor quarter the they robust. the routing quarter. who XX%, as and infrastructure for our year-on-year telcos, platforms, networking to May sequentially. anticipated, driven and bookings upgrade current approximately span as and our well revenue and is Solution seasonally as TPU evidenced both down data of

weakness Moving cloud continuing by driven see in on of and sequentially by to to and we telcos be up trend QX, offset we up in strength year-on-year, expect networking continued the partially been continued enterprise.

in continue which this X% PON driven Wi-FiX U.S cable our wireline of XX% Semiconductor represented points. work-from-home access are out was telcos and revenue by approximately year-on-year DOCSIS. Europe -- Solutions, broadband, to gateways to next up the roll Turning and in Multiple Europe generation the environment. Embedded

was retail than even enterprise demand by Softness to as more the from continue telcos strong routers, home offset spend. in

at platforms American enabling North European for higher QX, Looking launch are the we and new Wi-FiX of content value enabled with telco.

expect As server and as down by we OEMs, original this year-on-year as to in generate revenue. we user represented storage a double-digit increasing depleting XX% we see Server not enterprise well -- space. broadband. in revenue segment as accelerating approximately demand XX% storage in year-on-year of result, their demand QXsemiconductor consumption do was growth driven inventory This and connectivity largely and demand is end reflecting revenue surprisingly, consumption know, continued equipment softness manufacturers

And by to these largely QX improved, in second the for be expect to percentage. in double-digit half. continue we revenue down While bookings accordingly, are demand have year-over-year

a sectors our And of multiple received X% the we finally, do of recovery revenue. represented industrial bookings China. economic some second recovery by based Resales approximately grew in in year-over-year in XX% Semiconductor on Solution driven half. QX However, expect QX,

see resales replenish we the now deplete, in and Europe. we roughly QX, the inventory Japan as at to expect and channel Inventory increase to this occurring grow shipments recovery revenues continues level us to in well may to to as channel same have quarter. we for Turning and

in revenue through this most seasonal a continue wireless. a trend decline Semiconductor be revenue up amount, around XX% is segment it to sustaining percentage spite looks now similar Solution we at The of QX. of year-on-year year-over-year summary, in XXXX. in strong relatively QX, -- appears So -- was way revenue a similar to in expect

view, our this and our pandemic. accelerated unusual this rate, adoption merely secular in during highlights growth connectivity an However, platforms of high very

our on year-on-year other QX, while XXX%. was growth was year-on-year. contracts, dollar software. to the that basis are an average In In accounts bookings segment, quarter a over software comparison averaged organic following XXX% provides infrastructure revenue Turning first XXXX our core acquisition. expiring QX, Symantec X% terms,

these Now of and represented subscription recurring over XX% bookings maintenance.

we on of focusing our perform of well perform too. planned In strategy as our cross to core see and software single-digit our of expect financial have with percentage QX. words, long-term for model on that's Our software continue sell to revenue continues continues to to portfolio track And be as software growth to other in accounts we we portfolio continues year-over-year. something organic around mid

grew So, net year-on-year. in summary, revenue our revenue XX% -- QX consolidated

bring similar QX, which could or to XX% trajectory growth expect billion We in a a growth. revenue year-on-year $X.X

Kirsten. with So call that, I'll now the to turn over

Kirsten Spears

Thank Hock. you,

the performance. billion, Let in approximately from additional revenue year-on-year. quarter, on for $X.X our revenue Operating billion record margins $X.X down up basis a ago. XX% quarter financial me provide was points of were of Net now were Gross the XX% a and was up year-on-year. year-on-year, excludes detail the operations integration. up Operating reflective ago. XX revenue. EBITDA was X% points year completed expenses XX% or Operating full a margin of billion million of quarter was benefit XXX the XX% year continuing This income and the depreciation. from $X.X basis $X.X XX% from of figure revenue, Symantec is of Adjusted for $XXX billion up

streamlined total our quarter, Notwithstanding revenue two operating of This P&L billion were higher the increased for in to SG&A. year-on-year a in year-on-year. XX invested revenue. Operating Solutions in lower were up margins segments. we of year-on-year. basis basis QX, up for the R&D down the year-on-year. Now mix the in Semiconductor Because Solutions of this points review to quarter. $X.X XXX points XX% wireless was for XX% Semiconductor as $XXX in up margins represented QX, was XX% million X% margin expenses of XX% and Revenue approximately Gross and

profit all grew XX% was So while organic. semiconductor XX%, revenue up operating

for Gross software quarter, year-on-year for software for year-on-year on year-over-year. billion points XX% $XXX were QX, the were software $X.X XXX up year-over-year. Operating XX% quarter, up the completed in This in expenses million up Operating X%. margin in line of of the XX%. XX% we've to infrastructure the revenue. as segment. growth infrastructure integration margins down Operating top was Moving of and represented XXX basis infrastructure was year-on-year. points X% profit our XX% P&L Revenue was was basis Symantec. up

days first quarter $XX the flow. Day carefully inventory were approximately We quarter from a first the QX, revenue. representing manage up know outstanding XX% cash billion $XXX Moving $XXX cash of capital. is or to in million million should XX% flow $X XX we quarter. days of in with XX the million, in prior We expenditures. year-ago. sales to end of spent ended year-over-year the a as we Free X% This working capital also compared decrease was on of the quarter

average maturity redeem to debt. approximately On the refinance that financing debt by years X from and extended to we notes issuing front, our existing use weighted we X new

increased which and short with quarter about billion XX $XXX to billion of $X.X is Our average coupon of million points cash weighted the debt, We basis ended of $XX.X term. X.X%.

of quarter, the stockholders cash capital billion we allocation. In common to Turning our paid dividends. $X.X

on vesting approximately adjusted business for billion and revenues with equity, the $XXX concludes prepared be million guidance conditions, my approximately of paid We common of of second diluted also is $XXX We quarter consolidated Operator, XXX,XXX current in open of due XX% and $XXX please resulting up the expect in the count projected fiscal our QX. remarks. we employee $X.X of quarter EBITDA of taxes Based shares. Note the $XXX for million net questions. elimination That shares. on and the to outstanding call that ended for share revenue. diluted trends million withholding million in AVGO shares 'XX

Operator

first Our with Instructions] [Operator Bank. from Deutsche come ahead. question go you. Thank Ross Please will Seymore

Ross Seymore

me of Hock, and it of ask to good Can lead to sort this about mean a ordering billion. of I be little wanted wondering investors the bookings, was an that. talk guys. times And I of dive you follow bit it color a demand the little thereafter? Last your inventory $XX as will the some just are does talked a double the you extending. bit that your think supply if is and too sustainability little bit what number a good excess is backlog digestion absolute quarter, sustainable? the level question. on it inevitably backlog? Hi, to for about Thanks today? about into side that composition How the equation letting

Hock Tan

this started very, And entire any of ever. backlog scrubbing our supply we And we X went process X our interesting at I customers have best as time. appropriate process of we who of before, through a of booked very strong. chain as so started demand -- -- virtually of very, it's indicated, us, very still and question, set a capacity. I very we question And as mentioned we said, we this say, they because how our a and seeing which ensure we more set than by thinking of our almost is good had of ago, -- terms that this quite backlog. process Well, months the follow key way, terms use I for And are rigorously apply, the basically, backlog non-cancelable

been we never are delivery customers booked further from it's bookings customer as are point we for our view, And times, dates issue. double is our So that requested seeing an -- stretch obviously for of lead out. not

to could and think too. then close when we that and we good of fairly and So customers as close always a it that fairly products believe the consumption we repeat and makes ensures supply, that I in I maybe it. And we have are need they create better, but that's it process we've reasonable have be we as process or feel of fact, demand time, get but indicated. in customer against just the process XX% point was pretty our lot revenue our we as in demand I get we And very well managed this makes And done -- of made they was do able are our place why that being I proves as very, in products indicated, booking and up do sense a up itself supply. people highlighted very the match far. by we as out To also but something QX do that could -- year-on-year the to makes sense bookings there's I that XX%, imbalance what

We points, are real we virtually XX% to from in obviously it reach they view we to this And QX, I is cancel your to can backlog of order do out our laid yes, because believe has need. XXXX. And booked it. for when for point increase they it what one that begin began as has. And

we more. generation through have already products, incumbent reflecting out we many that quite rest is launching willing out to start await see not to as by but fact lead today, our XXXX. are of out products, we the and believe customers, And even which We strength, our of are those but proven backlog is for released, have significantly, and book of of delivery what used as have them the coming the next that pipe and stretch products down times only the products,

Operator

Thank you.

Sur Please with Morgan. from Our J.P. Harlan next will ahead. question go come

Harlan Sur

my for strength to half Hock, you trends in you July in October from numbers, question drive the if seasonally range. and profile? you normal the Thanks July storage, question. wireless quarters, in in guess of and me mentioned let's chain in And I'm asking that if is flagship biggest smartphone investors into supply perspective sustained seasonal the but October to your your say concern your backlog I enough fiscal to and those quarter, customers, to by as I with sort stronger second networking ramp combined has afternoon. your revenues apply recovery not endorse revenues and supported your taking second billion higher secured just ability when would now get team a that growth $X.XX the the Good year, right now that of is, drive capacity half start

Hock Tan

earlier to are go. And you. really question. I'm guiding But you where your If planning you I and my to ourselves in me just we and seen prepared do asking trend see of understand not guide you've until remarks the

the decent done where answer mentioned your We to back wireless like the our on we a I've as of job to is, in-house, and our the job, -- in the FVA being what also place to of seasonal over simple cycle have continue up -- handle which critical is big have the capacity half manufacturing a needs it. that is a X The decent put specifically in site we in cycle are the part up do have last able -- I meet question months customers. yes, we we all said, to the of

Operator

Thank you.

Go will question Securities. Arya of please. Vivek from Our next come with Bank America ahead,

Vivek Arya

if recently. how year year. growth Hock, kind this And Thanks auctions were of does much that's content are band for to C benefit then taking forward, rates could growth some wireless was in conducted an Broadcom that you looking you all mentioned back from these hoping outer of on benefit. in I XX% expecting half, more spectrum my expected assume color the us this XX%, what year-on-year question. sustain you give I of you kind

Hock Tan

implemented I'm on of year. I it fast. your don’t This an outer latter question, formal part, get the thing sorry. on And part so is yes, answer can Yes, that, the

too obvious early. For reasons it's

will appropriate. you it when you. is time We Thank tell the about

Operator

Thank you.

Our next Please from with John come Pitzer Credit will question go Suisse. ahead.

John Pitzer

for get to Hock, supply I the thanks demand to back the question. let Yes, just me ask imbalance. want

demand are cushion? guys your look trying of you I'm to as couple customers to build very the feel you good catch supply how of over your do backlog. to such curious, kind as quarters, will job don't to You that kind explaining enough, when think you a have next of did call obligated up out

Hock Tan

time probably you other at question, months, over answering the the a to today have do time. and when equation. past perhaps know we to and as to we're extended John, bookings I is in customer. is the time Today lead don't Maybe disappear. of know now, reduce time the right see reduce. headed we've do looking you probably disappear lead to not of lead demand we know place, answer starting when been way we several a Another indicated. is And That’s normalize. the of from when I way do the extended What extending situation bookings that. I fairly you're And and think that And getting have the that lead

far We this have at not reached point. that point it from yet,

Operator

Thank you.

Our question next will from Rasgon Bernstein come with go Stacy Research. ahead. Please

Stacy Rasgon

Thanks guys. for question. Hi, taking my

were before So Hock, months. times. I us but saying think times lead get the you it, lead that you’re you're stretching out I X told

So if out, you're how convinced now sort shipping are end, into the visibility that actually you're them mean, the them said, that end you’re them of kind doing to consumption. vary do stretching are -- have any any maybe end users, do by that going I into they while How actually have with user visibility products you and what does And order actually the I end And stockpiling today? can? guess into market? How they're them? you know represents of where How do think you And that? you they products? do ordering what’s aren’t you sitting users

Hock Tan

and we keep built be leading demand, of counts in particular, our we because where who track the end you up And the up. it's product. also where XX% in could users to some mean, verticals, we that. see We the We about I for And our -- think a end into -- products -- of complex we're XXX for we been by a demand. at We actually -- many us, go inventory the are been revenues. and a to business consumption. don't about customers. core play -- quarter ship of of distributors, In we of working you That's we customers one OEMs, it that even really in broadband we that’s it. it part to mind, track same applies storage, to the customers whether of forget difference worldwide. can is, do And them those them space. sure. with extent mostly hell distributors. end IT we harder, We people, to and depletion in using customers, But in sure. don't multiple we've between cases versus -- inventory the in of products just we who good do guys day. supply middle to sitting structure, build server the in And the where just way. manufacturers sell segment, with but actually level simply buffer the over they equipment of cuts supply for those we the worldwide. are. in end when many range a or talking talking revenues to for terms at that original areas business is our it’s like remind our I We leadership of a a and -- and track in business, that lesser go really if goes We networking our of supply we we We extent, -- for work never in the not semiconductors, We're it play, we bunch provide supply one not know, in the number products, we connectivity of leader, because And product leader to we've know leading doing. technology don't indicated the tend model, the question Where user middlemen But the much

Operator

you. Thank

with Our ahead. Stanley. go Hettenbach next Morgan Craig question Please will come from

Craig Hettenbach

the on I revenue. Yes. relative to color software bookings appreciate the

transition how can touched basis about that year you are for the accounts you're and you CA XX% growth a that a talk large talking years, of that know how for is have term kind a confidence Now the about? the global you couple -- of which the recurring, rates playing on of just is Symantec out? longer really I on

Hock Tan

Yes.

business by, We say in gone And of prepared previously -- feel are about of them moving to in is and and feel we metrics you’ve both trade will -- across digits key that expect portfolio. a tracking And our over to they core also said years reach which is remarks increased. those truly products very, very but we on indicated, very and is what good we by on we around about it seen where customers we we through be -- level financial we do attrition, focusing as we things we’ve model noncore, I say, to now mid seen -- customers I metrics on good to offset very mean go As X uplifting and on basis. those that consistent the the and that entitlements, a go, -- along manageable, we two. seen don’t And I the core as indicated that along able I my core, capacity, expect single the but happen. you’ve stabilization, a some have see years improvement while X where now. we’ve

We of exact, quarters is -- to that of great sight. have nine eight performance of seen quarters level line and a be

The all of all stating even to other extent if not know most is this and customers, it’s interesting I in that some of the our add also are enterprises, obvious thing might I environment. them,

the world mission less. enterprise simply that consume the are software largest terms we during rather this enterprises environment, those of I telcos, broadband different the how critical and else, when environment products public if these tell by because to have the see who, business -- requirements approach, pandemic, anything behavior -- this semiconductors have, of in in of embedded compared and We of products, approach, tools characteristics more don’t in cloud. software, different the to these demand in heard and the in work-from-home a in process infrastructure You in and than enterprises

Operator

Thank you.

Arcuri Timothy go with UBS. will next come Our from Please question ahead.

Timothy Arcuri

Q-on-Q, Hock, had supply I orders that bit were fiscal backlog, demand. revenue quite QX, a said in obviously a a think lot. given up I also in guess, up Thanks up on question significantly. you was the was Hi. I

wireless look going obviously lot. So into QX, orders down as are a you fiscal to come

orders other I'm be QX that in the up be enough strong orders parts are Thanks. the going total wondering if of in business to fiscal So such will again.

Hock Tan

American I Tim, you say, let we for this orders, are about up you orders, if say North ramp QX up and when as large hear and customer, generation, me we shot the as current and we current talking phones in orders, started as as ramping -- a it this up of early really QX. for QX, up bookings say ramp to started declining late generation QX

I declining. you year-on-year our bookings -- of was and in bookings would netting expect is fairly manner a already is saying what improvement So I’m And have QX when a bookings it wireless decline out indicated as seasonally. of substantial XX% would in that also

wireless showing fairly are So in guys, What which we seeing, the -- bookings QX, bookings all are at reflects to revenue during -- we fully the I’m that that what is answer the in is, showed is seasonally reflecting -- we those yes. in frame. strong, you that out time as that I expect bookings, declining

Operator

you. Thank

from Our next will go come Sachs. Goldman question Please Hari Toshiya with ahead.

Toshiya Hari

on relative much a of thinking paying M&A how and and wanted Thank The dividend the back buying you. about now, about outside basis? how ask three debt, buckets stock you pretty clearly thinking The component are markets to but the are very right software. so Hock, those volatile you down allocation. predictable, I taking Thanks question. about is for but capital dividend, are

Hock Tan

was get interesting very that and I when of enough. to question. will wondering That’s you one a sure guys

it. accumulating are we right, You’re and you heard Kirsten cash mention

And is time to our are in generating cash bonuses -- $X employees. was of QX pay generated We -- we out was we -- QX, the that all cash. also billion

normalize that’s quarter -- free I about is cash a billion $X.X that, we’re if So generating flow.

our -- earnings our And debt. very to look then, would will for know building accumulate you at happen dividends down pay down model seriously, an that money as our And point two into half is that to it’s very time shareholders. If interest that’s to low hard open. goes calendar and at of even very -- choices. we take we almost we’re look increasing business alternative And and half to other strategy, One the and very are say, other And it acquire somewhat add very fiscal investment we we as before and is is that are correctly flexible and add or that our we we may we right. and be buy acquisition, pay But approach seriously. debt. Well, and now it rates predetermined. portfolio, you and and grade. take an available, putting look -- half the still shares. portfolio on continue my that you’re cash. -- back these long-term for this to continue so all want year, done -- So by cash look as our we And are end we a it. to obviously haven’t that this And of and an and take of to is on And takes to stream so -- at other

Operator

you. Thank

Our Barclays. Please next Curtis Blayne with go question come ahead. from will

Blayne Curtis

a question. don't Thanks for bit was Hey, taking good the little afternoon. my have just wireless. Hock, compares more on I We year-over-year. the curious right

So maybe compares XX% what to what as know give a kind really that little just XX% if expecting. I year-over-year to color us you to. just don't you're of

as what color you're us really some versus from in normal seasonal dial help would channel So saying to that to what wireless of just maybe you're kind patterns April. that just for seeing as

Hock Tan

I used QX as is indicated, timing begin there XXXX. the wireless 'XX. in recent prepared seasonality what Don’t in it of when quarter, for I some adjustment be this a sense the our remarks that forget indicated by Well, in QX, this in quarter my QX, big as comes to fiscal generation, wireless, is peak Blayne, to of

a perhaps as can lack roll have down to And that of fiscal normal assume, will somewhat -- we slower. also of back that better, and it seasonality seasonal we slower of phones no we assuming, down, be to So you that be course because cadence wireless 'XX, obviously back wireless the to launch assume cadence. might knowing that we are for things normal of -- rolls new of a in

indicated kind address. a So for of basis through a you of revenue, year-on-year 'XX, us understand increase compressed of XX% the when to and a to begin could you look that therefore as of think -- 'XX run like 'XX rest terms a of look that in content -- quarters increase we between I And couple 'XX XX% fairly remaining 'XX. why might we for with significant of the terms availability in of on each to then market

Operator

Thank you.

with will Muse question from ahead. go next Our Evercore. Please come CJ

CJ Muse

Good optics the or walk your a is help OpEx EBITDA of question. are to the Yes. to off you. moving dig flat, either there? would given that guess wanted us And as you the Thank parts and Thank Can It for can suggest remainder seem through which part gross gross margin year? not afternoon. margins into you through fiscal would kind you margins moving the likely the guide. how that, in I of of taking fall little wireless higher. understand model

Kirsten Spears

that’s year-over-year, wireless. from that points basis we largely margins were So of in and up QX, XX gross said because

QX, we at look you mix. in wireless have the revenues will margin less when So

QX second back Look would year, at to have margins more seasonality we for look that I probably And therefore, normal then similar it at the rest towards so QX. of will at and back as half. And then wireless how would fact on QX. be look consider that’s you the the the QX, model

Operator

Thank you.

Our come Please Piper question Kumar Sandler. next with go ahead. from Harsh will

Harsh Kumar

Hey, guys, Yes. congratulations. Hey, you. thank

you question of sequential identifying demand. Solid for numbers. you. XX% bookings, I around I’m process some stunning for appreciate the in threw my out Hock, wrap XX% numbers a networking, some to increase. trying increase head had I real odd

So with that in just driving there there? that, is it? going something your going that set what your is is or on product markets bookings on Could you specific end is to highlight

Hock Tan

in great words. dancing I’ve And Yes, saying nice around question. and been it

more out the this They’re I home broadband, our to improving products, online mean have media in their of in our networking, networks. else. launching of Let cloud customers from and whether it everything in me hosting demand call a data our our from directly. public also centers of there's in they’re truly need business social particular, cloud retail broadband -- it’s scale And the or And People and environment guys business. need more the demand each customers, products. end-user the work because all products.

need we So soon ours, whether the which to products of work current of the have, we to generation. buy that next those be it’s generation,

months strong in our lead gap now? mind to So basis, They their it a thinking how it if these product an stretch our or months, are they we have of X extended I need they to orders. the place non-cancelable it, Otherwise, critical Do They is an to is out X being order. able franchise a do still from need real end time test will scale our users. It’s that. and capacity mission scale out launches. how is in

when the needed. months, as might fundamental as ability book to they months so our need X months whether -- against stretch months around. it indicate. that so from get it rational tell able out X manage manner you is in may and a in being and products lead it out I report out, to customers those my they they X that’s reserve to from real give out need what us, X or need simple it which don’t It’s is extreme all indicate to great customers people may as It not X they now, believe is And the then reasonable for end your it course, we to I it months capacity. on they mode. want we They out, what they’re that still have structured truly saying to it This need X, about a as out just you it it to the But X more rational months is. seem And much because I’m out way of first X because process, now the you book our to and And a -- to panic entire our be time it believe It’s very first products goes X we And where if time, to my way those is is, match if nothing get that are there products, hear And your chain now, This a say it and so and your of made book behave is do it why need of the only can stretch can even time they out. will you from I need that demand management one because that’s that to I but shows that, manner. products supply demand. only our they they a to do mean, supply pending manage our all we months get which the to trying until lock perspective enable assuming are backlog to are all, happy it to in need is mode. other it. them seeing we not in know today, we are at willing of you months as wait also say the can take Meanwhile, they ship, I’m and if chain to we ahead to than guys. I side, underlying business. match why I months they then. lead as get X and they what

Operator

to remarks. question-and-answer over now closing turn like thank Yoo Ladies and participating call for the for today's you back Ms. I would to in session. gentlemen,

Ji Yoo

businesses. market conclude April broadband Nelson today. and General you Thank close. by Morgan Rich a Broadcom will be Stanley joined presentation That our for you, In broadband XX Managers on after closing, and business please Thank Operator, Hock will will joining. be call earnings operator. our that you of call. on Greg all Monday, Fisher, end our note hosting the may

Operator

this you Thank for gentlemen, and participation. Ladies your conference concludes today's call.

now disconnect. may You

Broadcom (AVGO) 5 Mar 212021 Q1 Earnings call transcript