UPDATE—Sept. 4, 2024: This article has been updated to reflect more recent analyst estimates and share price information.

Broadcom (AVGO) is set to report earnings for the third quarter of 2024 after the closing bell on Thursday with 澳洲幸运5官方开奖结果体彩网:artificial intelligence (AI) likely to take center stage.

Investors will watch for updates on the company's quarterly AI-related sales and outlook as well as a potential announcement about ChatGPT maker OpenAI becoming a new custom AI chip customer.

Analysts expect revenue to come in at $13.04 billion, up from $8.88 billion in the year-ago period, according to estimates compiled by Visible Alpha. Net income is projected to be $2.91 billion, down from a year earlier, when earnings were $3.3 billion. Diluted 澳洲幸运5官方开奖结果体彩网:earnings per share (EPS) is expected to fall. The company this summer split its stock 澳洲幸运5官方开奖结果体彩网:10-for-1 stock.

Key Metrics: AI-Related Sales

Broadcom has 澳洲幸运5官方开奖结果体彩网:benefited from the AI boom through offerings including custom AI chips for tech giants. Analysts expect the company's AI sales to grow to $3.24 billion, per consensus estimates compiled by Visible Alpha, more than triple the year-ago period, and representing seque🐽ntial growth.

UBS analysts earlier this week identified Broadcom's AI-related segments, as well as the integration of VMware, a software firm that澳洲幸运5官方开奖结果体彩网: Broadcom acquired last year, "as the primary drivers of sequential growth."

Broadcom could lift its AI-related full-year revenue outlook. Last quarter, the company increased its outlook for the year to $11 billion from $10 billion, a figure that seems conservative given the 澳洲幸运5官方开奖结果体彩网:analyst estimates for the third quarter.

Business Spotlight: OpenAI Could Be New AI Chi🔴p Customer

Citi analysts said they believe Broadcom has secured Microsoft-backed (MSFT) OpenAI as a new AI custom chip customer and could announce the deal in its earnings report.

Broadcom has claimed its position in the AI space by helping Big Tech companies create custom chips to run AI workloads. Broadcom designs such chips for companies including Alphabet's (GOOGL) Google, 澳洲幸运5官方开奖结果体彩网:Meta Platforms (META), and TikTok owner ByteDance.

Broadcom shares were up close to 2% at $155.74 in intraday trading Wednesday, and have gained nearly 40% since the start of the year.