Broadcom Corporation CEO: Benefited Not Just From Smartphones, But Across The Rest Of The Space

Shares of chip maker Broadcom Corporation BRCM hit a new 52-week high on Wednesday on back of the strong first-quarter results and upbeat forward guidance that the companydeclared. EPS for the company came at $0.64 on revenue of $2.06 billion, versus analysts expectations of $0.60 and $2.07 billion, respectively.

Broadcom CEO Scott McGregor, was on CNBC post the result declaration to weigh in on the numbers and to discuss the smartphone replacement cycle.

Good Perfromance Across All Businesses

“Our reportable [statements] were up year-over-year and besides smartphones we saw broadband access,” McGregor said. “And in particular our infrastructure business and switching were very strong so really good performance across all our businesses.”

Not Just Smartphones

McGregor was asked whether one can infer good demand for Samsung’s new Galaxy S6 phone from the upbeat guidance given by Broadcom. He replied, “Well I think we benefit from a broad variety of customers in the smartphone space, but it isn’t just smartphones it’s really across the rest of the space and the infrastructure side is still doing pretty well across the world.”

New Functionalities Compelling Consumers To Replace Phones

On whether smartphone makers are turning it up a notch on meeting consumers’ demands, McGregor said, “I think the smartphone makers are doing a great job in terms of creating new functionality. This is really exciting, the customers getting them to replace some of their existing phones. So, the combination of that is really creating that demand and new excitement in that market.”