𝗔𝗿𝗺 𝗤𝟯’𝟮𝟲: 𝗥𝗲𝘃𝗲𝗻𝘂𝗲 𝗮𝘁 𝗛𝗶𝗴𝗵 𝗘𝗻𝗱 𝗼𝗳 𝗚𝘂𝗶𝗱𝗮𝗻𝗰𝗲; 𝗟𝗶𝗰𝗲𝗻𝘀𝗶𝗻𝗴 𝗮𝗻𝗱 𝗢𝘁𝗵𝗲𝗿 𝗥𝗲𝘃𝗲𝗻𝘂𝗲 𝗚𝗿𝗲𝘄 𝟱𝟬% 𝗬𝗼𝗬

@Arm reported Q3 revenue of $1.4 billion, at the high end of its guidance, growing 27% YoY and marking the fifth straight quarter of revenue growth above 20%, supported by continued YoY growth in both Licensing and Royalty revenues.

𝗞𝗲𝘆 𝗧𝗮𝗸𝗲𝗮𝘄𝗮𝘆𝘀:
  • License and Other Revenue grew by 50% YoY, driven by continued strong licensing agreements for Arm’s IP. Contributions from licensing agreements signed earlier also supported growth.

• Royalty revenue grew 8% YoY, driven by higher Armv9 and Arm Compute Subsystems (CSS) adoption and expanding Arm-based data center deployments, offsetting a weaker smartphone market.

• Data center and AI infrastructure emerged as Arm’s fastest-growing business, with data center royalty revenue more than doubling YoY.

• Physical AI royalty revenue grew by 50% YoY, driven by increasing adoption of Arm’s IP in automotive and robotics platforms.

• Arm’s CY Q3 2026 revenue is expected to be $1.49 billion-$1.59 billion (20%-28% YoY growth). Royalty revenues are projected to grow by a low single-digit % YoY next quarter, whereas Licensing and Other Revenues are projected to grow by 50% YoY

𝗔𝗰𝗰𝗲𝘀𝘀 𝗼𝘂𝗿 𝗚𝗹𝗼𝗯𝗮𝗹 𝗦𝗺𝗮𝗿𝘁𝗽𝗵𝗼𝗻𝗲 𝗦𝗼𝗖 𝗦𝗵𝗶𝗽𝗺𝗲𝗻𝘁𝘀 𝗙𝗼𝗿𝗲𝗰𝗮𝘀𝘁 𝗯𝘆 𝗩𝗲𝗻𝗱𝗼𝗿 𝗵𝗲𝗿𝗲: https://counterpointresearch.com/en/reports/global-smartphone-soc-shipments-forecast-by-vendor-q2-2026

#Arm #AIInfrastructure #PhysicalAI #Semiconductors #DataCenter #Earnings $ARM