Cost of Revenue
Cost of Services
Broadcom Inc. Cost of Services increased by 4.8% to $636M in Q1 2026 compared to the prior quarter. Year-over-year, this metric grew by 10.8%, from $574M to $636M. Over 4 years (FY 2021 to FY 2025), Cost of Services shows an upward trend with a 40.6% CAGR. This is a positive signal — lower values indicate better performance for this metric.
Analysis
StatementIncome Statement
SectionCost of Revenue
CategoryProfitability
SignalLower is better
VolatilityStable
First reportedQ1 2017
Last reportedQ2 2026Jun 9, 2026
Parent metricTotal Cost of Revenue
How to read this metric
Rising costs relative to service revenue may indicate scaling challenges or increased infrastructure requirements for cloud-based software delivery.
Detailed definition
This encompasses the direct costs associated with delivering software subscriptions, maintenance, and professional servi...
Peer comparison
Standard metric for software and SaaS companies; essential for evaluating the gross margin profile of service-based revenue streams.
Metric ID:
cost_of_servicesHistorical Data
20 periods
| Q2 '21 | Q3 '21 | Q4 '21 | Q1 '22 | Q2 '22 | Q3 '22 | Q4 '22 | Q1 '23 | Q2 '23 | Q3 '23 | Q4 '23 | Q1 '24 | Q2 '24 | Q3 '24 | Q4 '24 | Q1 '25 | Q2 '25 | Q3 '25 | Q4 '25 | Q2 '26 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Value | $151M | $157M | $157M | $156M | $158M | $156M | $157M | $149M | $158M | $165M | $159M | $954M | $713M | $699M | $617M | $580M | $574M | $608M | $607M | $636M |
| QoQ Change | — | +4.0% | +0.0% | -0.6% | +1.3% | -1.3% | +0.6% | -5.1% | +6.0% | +4.4% | -3.6% | +500.0% | -25.3% | -2.0% | -11.7% | -6.0% | -1.0% | +5.9% | -0.2% | +4.8% |
| YoY Change | — | — | — | — | +4.6% | -0.6% | +0.0% | -4.5% | +0.0% | +5.8% | +1.3% | +540.3% | +351.3% | +323.6% | +288.1% | -39.2% | -19.5% | -13.0% | -1.6% | +10.8% |
| % of Total Cost of Revenue | 5.9% | 6.1% | 5.7% | 5.9% | 5.9% | 5.6% | 5.2% | 5.1% | 6.0% | 6.1% | 5.5% | 20.8% | 15.1% | 14.8% | 12.2% | 12.2% | 11.9% | 11.6% | 10.5% | 9.4% |
| Share Change | — | +0.2pp | -0.4pp | +0.2pp | +0.1pp | -0.3pp | -0.4pp | -0.1pp | +0.9pp | +0.0pp | -0.6pp | +15.3pp | -5.7pp | -0.3pp | -2.6pp | -0.1pp | -0.2pp | -0.4pp | -1.1pp | -1.1pp |
Range$149M – $954M
CAGR+35.4%
Avg YoY Growth+90.5%
Median YoY Growth+0.6%
Cost of Services at Other Companies
Frequently Asked Questions
- What is Broadcom Inc.'s cost of services?
- Broadcom Inc. (AVGO) reported cost of services of $636M in Q1 2026.
- How has Broadcom Inc.'s cost of services changed year-over-year?
- Broadcom Inc.'s cost of services increased by 10.8% year-over-year, from $574M to $636M.
- What is the long-term trend for Broadcom Inc.'s cost of services?
- Over 4 years (2021 to 2025), Broadcom Inc.'s cost of services has grown at a 40.6% compound annual growth rate (CAGR), from $607M to $2.37B.
- What does cost of services mean?
- The direct expenses required to provide software and service offerings to clients.