Income Tax Expense (Benefit)
Effective Income Tax Rate (EITR)
Components of Deferred Tax Assets and Liabilities
Adjustments to Financial Statements: Removal of Deferred Taxes
Adjusted Financial Ratios: Removal of Deferred Taxes (Summary)
Adjusted Net Profit Margin
Adjusted Financial Leverage
Adjusted Return on Equity (ROE)
Adjusted Return on Assets (ROA)

Broadcom Inc., income tax expense (benefit), continuing operations

US$ in millions

12 months ended:	Nov 3, 2024	Oct 29, 2023	Oct 30, 2022	Oct 31, 2021	Nov 1, 2020	Nov 3, 2019
Federal	1,030)	952)	174)	446)	7)	(49)
State	52)	23)	48)	46)	51)	(16)
Foreign	701)	541)	762)	534)	506)	342)
Current tax expense	1,783)	1,516)	984)	1,026)	564)	277)
Federal	1,855)	(499)	68)	(876)	(627)	(497)
State	(70)	(31)	(15)	(114)	(161)	(113)
Foreign	180)	29)	(98)	(7)	(294)	(177)
Deferred tax expense (benefit)	1,965)	(501)	(45)	(997)	(1,082)	(787)
Provision for (benefit from) income taxes	3,748)	1,015)	939)	29)	(518)	(510)

Based on: 10-K (reporting date: 2024-11-03), 10-K (reporting date: 2023-10-29), 10-K (reporting date: 2022-10-30), 10-K (reporting date: 2021-10-31), 10-K (reporting date: 2020-11-01), 10-K (reporting date: 2019-11-03).

Download chart

Item	Description	The company
Current tax expense	Amount of current income tax expense (benefit) pertaining to taxable income (loss) from continuing operations.	Broadcom Inc. current tax expense increased from 2022 to 2023 and from 2023 to 2024.
Deferred tax expense (benefit)	Amount of deferred income tax expense (benefit) pertaining to income (loss) from continuing operations.	Broadcom Inc. deferred tax expense (benefit) decreased from 2022 to 2023 but then increased from 2023 to 2024 exceeding 2022 level.
Provision for (benefit from) income taxes	Amount of current income tax expense (benefit) and deferred income tax expense (benefit) pertaining to continuing operations.	Broadcom Inc. provision for (benefit from) income taxes increased from 2022 to 2023 and from 2023 to 2024.

Broadcom Inc., effective income tax rate (EITR) reconciliation

	Nov 3, 2024	Oct 29, 2023	Oct 30, 2022	Oct 31, 2021	Nov 1, 2020	Nov 3, 2019
Statutory tax rate	21.00%	21.00%	21.00%	21.00%	21.00%	21.00%
State, net of federal benefit	-0.10%	0.00%	0.20%	-0.80%	-3.60%	-4.60%
Foreign income taxed at different rates	-22.40%	-17.30%	-19.10%	-22.80%	-48.60%	-52.50%
Deemed inclusion of foreign earnings	16.30%	9.90%	8.00%	9.50%	23.30%	25.90%
Impact of non-recurring intra-group transfer of certain IP rights	39.60%	0.00%	0.00%	0.00%	0.00%	0.00%
Foreign-derived intangible income deduction	0.00%	0.00%	0.00%	-3.10%	-1.50%	0.00%
Uncertain tax benefits	1.80%	-1.90%	1.60%	3.70%	0.00%	0.00%
Excess tax benefits from stock-based compensation	-13.10%	-3.40%	-3.00%	-4.60%	-6.00%	-10.40%
Research and development credit	-6.00%	-1.80%	-1.40%	-2.30%	-4.30%	-7.60%
Other, net	0.70%	0.20%	0.20%	-0.20%	-1.50%	0.20%
Effective tax rate on income (loss) before income taxes, before 2017 Tax reform	37.80%	6.70%	7.50%	0.40%	-21.20%	-28.00%
2017 Tax Reform Act	0.00%	0.00%	0.00%	0.00%	0.00%	5.10%
Effective tax rate on income (loss) before income taxes	37.80%	6.70%	7.50%	0.40%	-21.20%	-22.90%

Based on: 10-K (reporting date: 2024-11-03), 10-K (reporting date: 2023-10-29), 10-K (reporting date: 2022-10-30), 10-K (reporting date: 2021-10-31), 10-K (reporting date: 2020-11-01), 10-K (reporting date: 2019-11-03).

Download chart

Item	Description	The company
Effective tax rate on income (loss) before income taxes, before 2017 Tax reform	Percentage of current income tax expense (benefit) and deferred income tax expense (benefit) pertaining to continuing operations.	Broadcom Inc. effective tax rate on income (loss) before income taxes, before 2017 Tax reform decreased from 2022 to 2023 but then increased from 2023 to 2024 exceeding 2022 level.

Broadcom Inc., components of deferred tax assets and liabilities

US$ in millions

	Nov 3, 2024	Oct 29, 2023	Oct 30, 2022	Oct 31, 2021	Nov 1, 2020	Nov 3, 2019
Net operating loss, credit and other carryforwards	2,905)	1,809)	1,808)	1,774)	1,773)	1,733)
Capitalized research and development	2,459)	275)	—)	—)	—)	—)
Deferred revenue	776)	208)	645)	1,332)	529)	316)
Employee stock awards	291)	190)	183)	192)	273)	218)
Depreciation and amortization	81)	223)	156)	—)	—)	—)
Other deferred income tax assets	672)	329)	343)	446)	449)	313)
Gross deferred income tax assets	7,184)	3,034)	3,135)	3,744)	3,024)	2,580)
Valuation allowance	(2,218)	(1,789)	(1,777)	(1,782)	(1,707)	(1,563)
Deferred income tax assets	4,966)	1,245)	1,358)	1,962)	1,317)	1,017)
Depreciation and amortization	(8,772)	(97)	(341)	(847)	(1,477)	(2,360)
Unamortized debt discount and issuance costs	(420)	(302)	(322)	(374)	(57)	—)
Foreign earnings not indefinitely reinvested	(105)	(86)	(86)	(73)	(112)	(138)
Other deferred income tax liabilities	(210)	(62)	(36)	—)	—)	—)
Deferred income tax liabilities	(9,507)	(547)	(785)	(1,294)	(1,646)	(2,498)
Net deferred income tax assets (liabilities)	(4,541)	698)	573)	668)	(329)	(1,481)

Based on: 10-K (reporting date: 2024-11-03), 10-K (reporting date: 2023-10-29), 10-K (reporting date: 2022-10-30), 10-K (reporting date: 2021-10-31), 10-K (reporting date: 2020-11-01), 10-K (reporting date: 2019-11-03).

Download chart

Item	Description	The company
Gross deferred income tax assets	Amount before allocation of valuation allowances of deferred tax asset attributable to deductible temporary differences and carryforwards.	Broadcom Inc. gross deferred income tax assets decreased from 2022 to 2023 but then increased from 2023 to 2024 exceeding 2022 level.
Deferred income tax assets	Amount after allocation of valuation allowances of deferred tax asset attributable to deductible temporary differences and carryforwards.	Broadcom Inc. deferred income tax assets decreased from 2022 to 2023 but then increased from 2023 to 2024 exceeding 2022 level.
Net deferred income tax assets (liabilities)	Amount, after allocation of valuation allowances and deferred tax liability, of deferred tax asset attributable to deductible differences and carryforwards, without jurisdictional netting.	Broadcom Inc. net deferred income tax assets (liabilities) increased from 2022 to 2023 but then decreased significantly from 2023 to 2024.

Broadcom Inc., adjustments to financial statements

US$ in millions

	Nov 3, 2024	Oct 29, 2023	Oct 30, 2022	Oct 31, 2021	Nov 1, 2020	Nov 3, 2019
Adjustment to Total Liabilities
Total liabilities (as reported)	97,967)	48,873)	50,540)	50,581)	52,032)	42,523)
Less: Noncurrent deferred tax liabilities, net	4,703)	99)	—)	—)	—)	—)
Total liabilities (adjusted)	93,264)	48,774)	50,540)	50,581)	52,032)	42,523)
Adjustment to Stockholders’ Equity
Stockholders’ equity (as reported)	67,678)	23,988)	22,709)	24,962)	23,874)	24,941)
Less: Net deferred tax assets (liabilities)	(4,541)	698)	573)	668)	(329)	(1,481)
Stockholders’ equity (adjusted)	72,219)	23,290)	22,136)	24,294)	24,203)	26,422)
Adjustment to Net Income
Net income (as reported)	5,895)	14,082)	11,495)	6,736)	2,960)	2,724)
Add: Deferred income tax expense (benefit)	1,965)	(501)	(45)	(997)	(1,082)	(787)
Net income (adjusted)	7,860)	13,581)	11,450)	5,739)	1,878)	1,937)

Based on: 10-K (reporting date: 2024-11-03), 10-K (reporting date: 2023-10-29), 10-K (reporting date: 2022-10-30), 10-K (reporting date: 2021-10-31), 10-K (reporting date: 2020-11-01), 10-K (reporting date: 2019-11-03).

Broadcom Inc., Financial Data: Reported vs. Adjusted

Download chart

Broadcom Inc., adjusted financial ratios

	Nov 3, 2024	Oct 29, 2023	Oct 30, 2022	Oct 31, 2021	Nov 1, 2020	Nov 3, 2019
Net Profit Margin
Reported net profit margin	11.43%	39.31%	34.62%	24.54%	12.39%	12.05%
Adjusted net profit margin	15.24%	37.92%	34.48%	20.91%	7.86%	8.57%
Financial Leverage
Reported financial leverage	2.45	3.04	3.23	3.03	3.18	2.71
Adjusted financial leverage	2.29	3.13	3.31	3.11	3.14	2.55
Return on Equity (ROE)
Reported ROE	8.71%	58.70%	50.62%	26.99%	12.40%	10.92%
Adjusted ROE	10.88%	58.31%	51.73%	23.62%	7.76%	7.33%
Return on Assets (ROA)
Reported ROA	3.56%	19.33%	15.69%	8.91%	3.90%	4.04%
Adjusted ROA	4.75%	18.64%	15.63%	7.59%	2.47%	2.87%

Based on: 10-K (reporting date: 2024-11-03), 10-K (reporting date: 2023-10-29), 10-K (reporting date: 2022-10-30), 10-K (reporting date: 2021-10-31), 10-K (reporting date: 2020-11-01), 10-K (reporting date: 2019-11-03).

Financial ratio	Description	The company
Adjusted net profit margin	An indicator of profitability, calculated as adjusted net income divided by total revenue.	Broadcom Inc. adjusted net profit margin ratio improved from 2022 to 2023 but then deteriorated significantly from 2023 to 2024.
Adjusted financial leverage	A measure of financial leverage calculated as adjusted total assets divided by adjusted total equity. Financial leverage is the extent to which a company can effect, through the use of debt, a proportional change in the return on common equity that is greater than a given proportional change in operating income.	Broadcom Inc. adjusted financial leverage ratio decreased from 2022 to 2023 and from 2023 to 2024.
Adjusted ROE	A profitability ratio calculated as adjusted net income divided by adjusted shareholders’ equity.	Broadcom Inc. adjusted ROE improved from 2022 to 2023 but then deteriorated significantly from 2023 to 2024.
Adjusted ROA	A profitability ratio calculated as adjusted net income divided by adjusted total assets.	Broadcom Inc. adjusted ROA improved from 2022 to 2023 but then deteriorated significantly from 2023 to 2024.

Broadcom Inc., Financial Ratios: Reported vs. Adjusted

Download chart

	Nov 3, 2024	Oct 29, 2023	Oct 30, 2022	Oct 31, 2021	Nov 1, 2020	Nov 3, 2019
As Reported
Selected Financial Data (US$ in millions)
Net income	5,895)	14,082)	11,495)	6,736)	2,960)	2,724)
Net revenue	51,574)	35,819)	33,203)	27,450)	23,888)	22,597)
Profitability Ratio
Net profit margin¹	11.43%	39.31%	34.62%	24.54%	12.39%	12.05%
Adjusted for Deferred Taxes
Selected Financial Data (US$ in millions)
Adjusted net income	7,860)	13,581)	11,450)	5,739)	1,878)	1,937)
Net revenue	51,574)	35,819)	33,203)	27,450)	23,888)	22,597)
Profitability Ratio
Adjusted net profit margin²	15.24%	37.92%	34.48%	20.91%	7.86%	8.57%

Based on: 10-K (reporting date: 2024-11-03), 10-K (reporting date: 2023-10-29), 10-K (reporting date: 2022-10-30), 10-K (reporting date: 2021-10-31), 10-K (reporting date: 2020-11-01), 10-K (reporting date: 2019-11-03).

2024 Calculations

¹ Net profit margin = 100 × Net income ÷ Net revenue
= 100 × 5,895 ÷ 51,574 = 11.43%

² Adjusted net profit margin = 100 × Adjusted net income ÷ Net revenue
= 100 × 7,860 ÷ 51,574 = 15.24%

Download chart

Profitability ratio	Description	The company
Adjusted net profit margin	An indicator of profitability, calculated as adjusted net income divided by total revenue.	Broadcom Inc. adjusted net profit margin ratio improved from 2022 to 2023 but then deteriorated significantly from 2023 to 2024.

	Nov 3, 2024	Oct 29, 2023	Oct 30, 2022	Oct 31, 2021	Nov 1, 2020	Nov 3, 2019
As Reported
Selected Financial Data (US$ in millions)
Total assets	165,645)	72,861)	73,249)	75,570)	75,933)	67,493)
Stockholders’ equity	67,678)	23,988)	22,709)	24,962)	23,874)	24,941)
Solvency Ratio
Financial leverage¹	2.45	3.04	3.23	3.03	3.18	2.71
Adjusted for Deferred Taxes
Selected Financial Data (US$ in millions)
Total assets	165,645)	72,861)	73,249)	75,570)	75,933)	67,493)
Adjusted stockholders’ equity	72,219)	23,290)	22,136)	24,294)	24,203)	26,422)
Solvency Ratio
Adjusted financial leverage²	2.29	3.13	3.31	3.11	3.14	2.55

Based on: 10-K (reporting date: 2024-11-03), 10-K (reporting date: 2023-10-29), 10-K (reporting date: 2022-10-30), 10-K (reporting date: 2021-10-31), 10-K (reporting date: 2020-11-01), 10-K (reporting date: 2019-11-03).

2024 Calculations

¹ Financial leverage = Total assets ÷ Stockholders’ equity
= 165,645 ÷ 67,678 = 2.45

² Adjusted financial leverage = Total assets ÷ Adjusted stockholders’ equity
= 165,645 ÷ 72,219 = 2.29

Download chart

Solvency ratio	Description	The company
Adjusted financial leverage	A measure of financial leverage calculated as adjusted total assets divided by adjusted total equity. Financial leverage is the extent to which a company can effect, through the use of debt, a proportional change in the return on common equity that is greater than a given proportional change in operating income.	Broadcom Inc. adjusted financial leverage ratio decreased from 2022 to 2023 and from 2023 to 2024.

	Nov 3, 2024	Oct 29, 2023	Oct 30, 2022	Oct 31, 2021	Nov 1, 2020	Nov 3, 2019
As Reported
Selected Financial Data (US$ in millions)
Net income	5,895)	14,082)	11,495)	6,736)	2,960)	2,724)
Stockholders’ equity	67,678)	23,988)	22,709)	24,962)	23,874)	24,941)
Profitability Ratio
ROE¹	8.71%	58.70%	50.62%	26.99%	12.40%	10.92%
Adjusted for Deferred Taxes
Selected Financial Data (US$ in millions)
Adjusted net income	7,860)	13,581)	11,450)	5,739)	1,878)	1,937)
Adjusted stockholders’ equity	72,219)	23,290)	22,136)	24,294)	24,203)	26,422)
Profitability Ratio
Adjusted ROE²	10.88%	58.31%	51.73%	23.62%	7.76%	7.33%

Based on: 10-K (reporting date: 2024-11-03), 10-K (reporting date: 2023-10-29), 10-K (reporting date: 2022-10-30), 10-K (reporting date: 2021-10-31), 10-K (reporting date: 2020-11-01), 10-K (reporting date: 2019-11-03).

2024 Calculations

¹ ROE = 100 × Net income ÷ Stockholders’ equity
= 100 × 5,895 ÷ 67,678 = 8.71%

² Adjusted ROE = 100 × Adjusted net income ÷ Adjusted stockholders’ equity
= 100 × 7,860 ÷ 72,219 = 10.88%

Download chart

Profitability ratio	Description	The company
Adjusted ROE	A profitability ratio calculated as adjusted net income divided by adjusted shareholders’ equity.	Broadcom Inc. adjusted ROE improved from 2022 to 2023 but then deteriorated significantly from 2023 to 2024.

	Nov 3, 2024	Oct 29, 2023	Oct 30, 2022	Oct 31, 2021	Nov 1, 2020	Nov 3, 2019
As Reported
Selected Financial Data (US$ in millions)
Net income	5,895)	14,082)	11,495)	6,736)	2,960)	2,724)
Total assets	165,645)	72,861)	73,249)	75,570)	75,933)	67,493)
Profitability Ratio
ROA¹	3.56%	19.33%	15.69%	8.91%	3.90%	4.04%
Adjusted for Deferred Taxes
Selected Financial Data (US$ in millions)
Adjusted net income	7,860)	13,581)	11,450)	5,739)	1,878)	1,937)
Total assets	165,645)	72,861)	73,249)	75,570)	75,933)	67,493)
Profitability Ratio
Adjusted ROA²	4.75%	18.64%	15.63%	7.59%	2.47%	2.87%

Based on: 10-K (reporting date: 2024-11-03), 10-K (reporting date: 2023-10-29), 10-K (reporting date: 2022-10-30), 10-K (reporting date: 2021-10-31), 10-K (reporting date: 2020-11-01), 10-K (reporting date: 2019-11-03).

2024 Calculations

¹ ROA = 100 × Net income ÷ Total assets
= 100 × 5,895 ÷ 165,645 = 3.56%

² Adjusted ROA = 100 × Adjusted net income ÷ Total assets
= 100 × 7,860 ÷ 165,645 = 4.75%

Download chart

Profitability ratio	Description	The company
Adjusted ROA	A profitability ratio calculated as adjusted net income divided by adjusted total assets.	Broadcom Inc. adjusted ROA improved from 2022 to 2023 but then deteriorated significantly from 2023 to 2024.

Broadcom Inc. (NASDAQ:AVGO)

Analysis of Income Taxes

Income Tax Expense (Benefit)

Effective Income Tax Rate (EITR)

Components of Deferred Tax Assets and Liabilities

Adjustments to Financial Statements: Removal of Deferred Taxes

Broadcom Inc., Financial Data: Reported vs. Adjusted

Adjusted Financial Ratios: Removal of Deferred Taxes (Summary)

Broadcom Inc., Financial Ratios: Reported vs. Adjusted

Adjusted Net Profit Margin

Adjusted Financial Leverage

Adjusted Return on Equity (ROE)

Adjusted Return on Assets (ROA)