ARM Beats the Street, Profits Up 16 Percent
Life is good for ARM, the British chip designer that's riding the mobile wave just as fast and furious as it can. In its most recent financial report, ARM posted a pre-tax profit of 80 million pounds (~$126.2 million) on revenue of 164.2 million pounds ($~262.8 million), representing positive growth of 16 percent and 19 percent, respectively.
"ARM has seen good revenue and earnings growth throughout 2012. Customers are developing products to meet the needs of the post PC era and are driving demand for ARM's most advanced technology," said Warren East, CEO or ARM. "In Q4 we again saw influential market-leaders demonstrating their commitment to ARM technology by licensing our latest products. Royalty revenue has also grown strongly during Q4 underpinned by ARM's market share gains and an increased royalty percentage from Cortex-A class processors being deployed into smartphones and tablets."
As the mobile world goes, so too does ARM, though that's not the only area the company competes in. In the fourth quarter alone, ARM doled out 36 processor licenses for a broad range of applications, from smartphones and mobile computers to medical devices and microcontrollers. ARM says it's also gaining momentum in computing, servers ,and networking applications with the signing of two ARMv8 architecture licenses, six ARMv8 processor licenses, and three ARM Cortex A15 processor licenses.
ARM expects more of the same in 2013. Looking back, ARM's royalty revenues have outperformed the semiconductor industry by 15-20 percent, thanks in large part to widespread popularity of mobile devices like tablets and smartphones. ARM expects to collect $250 million in total revenues in the first quarter of 2013.
"ARM has seen good revenue and earnings growth throughout 2012. Customers are developing products to meet the needs of the post PC era and are driving demand for ARM's most advanced technology," said Warren East, CEO or ARM. "In Q4 we again saw influential market-leaders demonstrating their commitment to ARM technology by licensing our latest products. Royalty revenue has also grown strongly during Q4 underpinned by ARM's market share gains and an increased royalty percentage from Cortex-A class processors being deployed into smartphones and tablets."
As the mobile world goes, so too does ARM, though that's not the only area the company competes in. In the fourth quarter alone, ARM doled out 36 processor licenses for a broad range of applications, from smartphones and mobile computers to medical devices and microcontrollers. ARM says it's also gaining momentum in computing, servers ,and networking applications with the signing of two ARMv8 architecture licenses, six ARMv8 processor licenses, and three ARM Cortex A15 processor licenses.
ARM expects more of the same in 2013. Looking back, ARM's royalty revenues have outperformed the semiconductor industry by 15-20 percent, thanks in large part to widespread popularity of mobile devices like tablets and smartphones. ARM expects to collect $250 million in total revenues in the first quarter of 2013.
