Lates News

Earnings report shows Arm (ARM.O) FY2026 Q2 revenue of $1.44 billion, up 27% year-over-year, beating market expectations of $1.38 billion; adjusted EPS of $0.52, above expectations of $0.47. The company expects Q3 revenue of approximately $1.54 billion, broadly in line with market expectations of $1.53 billion. Data center business growth offset weakness in the smartphone market, and Arm is transitioning from a chip architecture licensor to a chip manufacturer, with its in-house CPUs expected to contribute up to $2 billion in combined revenue in fiscal 2027 and fiscal 2028. CEO Haas said the company is more confident in achieving this revenue target, but supply capacity is still constraining growth. Q2 licensing revenue grew 50% year-over-year to $773 million, while royalty revenue rose 8% to $670 million. Following the earnings release, Arm's after-hours stock fluctuated, having previously risen more than 4% and now down 3.8%.