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Arm Holdings plc reported earnings Q3 FY2025 results ended on December 31, 2024

$ARM (-3,76%)


- Total revenue: $983M, +19% YoY

- Record royalty revenue of $580M, +23% YoY

- Non-GAAP operating margin increased to 45.0% from 43.8% YoY


CEO Rene Haas: "With our high-performance, energy efficient, flexible technology, Arm is a key enabler in advancing AI innovation and transforming the user experience, from the edge to the cloud."


🌱Revenue & Growth

- Revenue from external customers: $698M, +21% YoY

- Revenue from related parties: $285M, +15% YoY

- License and other revenue: $403M, +14% YoY

- Added 77 new Arm Total Access and Flexible Access customers


💰Profits & Financials

- GAAP gross profit: $955M vs $788M, +21% YoY

- GAAP operating income: $175M vs $134M, +31% YoY

- Free cash flow: $349M vs $251M, +39% YoY

- Cash and equivalents: $2.67B


📌Business Highlights

- Joined Stargate Project with Microsoft, NVIDIA, Oracle, and OpenAI

- Announced strategic partnership with OpenAI and SoftBank Group

- Samsung Galaxy S25 adopts Arm-based technology for enhanced AI capabilities


🔮Future Outlook

- Q4 FY2025 revenue guidance: $1,175M-$1,275M

- FY2025 revenue guidance raised to $3.94B-$4.04B from $3.80B-$4.10B

- Non-GAAP operating margin expected to be ~45%

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