BROADCOM INC.

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - UNAUDITED

(IN MILLIONS)

Fiscal Quarter Ended

Three Fiscal Quarters Ended

August 2,

May 3,

August 4,

August 2,

August 4,

2020

2020

2019

2020

2019

Cash flows from operating activities:

Net income

$

688

$

563

$

715

$

1,636

$

1,877

Adjustments to reconcile net income to net cash provided by operating activities:

  Amortization of intangible and right-of-use assets

1,581

1,583

1,309

4,746

3,930

  Depreciation

138

147

141

431

426

  Stock-based compensation

465

517

632

1,527

1,641

  Deferred taxes and other non-cash taxes

(436)

(175)

(235)

(683)

(708)

  Loss on debt extinguishment

55

93

2

153

2

  Non-cash restructuring, impairment and disposal charges

15

6

15

32

113

  Non-cash interest expense

22

31

23

83

50

  Other

(54)

(8)

(23)

(43)

(83)

  Changes in assets and liabilities, net of acquisitions and disposals:

    Trade accounts receivable, net

542

440

(60)

590

201

    Inventory

(128)

(10)

(57)

(98)

33

    Accounts payable

(123)

233

244

227

105

    Employee compensation and benefits

231

61

104

75

(360)

    Other current assets and current liabilities

(2)

118

(354)

462

115

    Other long-term assets and long-term liabilities

184

(386)

(37)

(425)

(124)

Net cash provided by operating activities

3,178

3,213

2,419

8,713

7,218

Cash flows from investing activities:

  Acquisitions of businesses, net of cash acquired

(2)

-

(6)

(10,872)

(16,033)

  Proceeds from sales of businesses

50

168

-

218

957

  Purchases of property, plant and equipment

(105)

(148)

(112)

(361)

(336)

  Proceeds from disposals of property, plant and equipment

10

-

82

10

82

  Other

1

4

1

(4)

(4)

Net cash provided by (used in) investing activities

(46)

24

(35)

(11,009)

(15,334)

Cash flows from financing activities:

  Proceeds from long-term borrowings

7,953

4,468

-

27,802

28,793

  Repayment of debt

(6,825)

(4,452)

-

(15,814)

(12,000)

  Other borrowings, net

(3,028)

1,025

(230)

(1,285)

1,345

  Payment of dividends

(1,386)

(1,381)

(1,057)

(4,139)

(3,181)

  Repurchases of common stock - repurchase program

-

-

(736)

-

(5,002)

  Shares repurchased for tax withholdings on vesting of equity awards

(192)

(219)

(241)

(580)

(818)

  Issuance of common stock

46

91

11

174

194

  Other

(50)

(6)

3

(60)

(45)

Net cash provided by (used in) financing activities

(3,482)

(474)

(2,250)

6,098

9,286

Net change in cash and cash equivalents

(350)

2,763

134

3,802

1,170

Cash and cash equivalents at the beginning of period

9,207

6,444

5,328

5,055

4,292

Cash and cash equivalents at end of period

$

8,857

$

9,207

$

5,462

$

8,857

$

5,462

Supplemental disclosure of cash flow information:

Cash paid for interest

$

269

$

375

$

368

$

1,025

$

980

Cash paid for income taxes

$

44

$

124

$

98

$

299

$

618