Chip designer ARM beats in Q2 on strong licensing
LONDON, July 24
LONDON, July 24 (Reuters) - British chip designer ARM Holdings beat expectations for its second quarter with a 30 percent rise in adjusted pretax profit on Wednesday, helped by demand for its latest processors and graphics technology.
In the first set of results since Simon Segars took over as chief executive from Warren East on July 1, the Cambridge-based company reported pretax profit of 86.6 million pounds ($133 million) on revenue up 26 percent, in sterling terms, to 171.2 million, both ahead of forecasts.
ARM has outpaced the wider semiconductor market for the last five years or so, helped by the dominance of its processor architecture in smartphones and tablet computers.
There have been some signs of softness at the top end of the smartphone market, marked by weaker-than-expected sales of Samsung's flagship Galaxy S4 smartphone. Apple , however, comfortable beat forecasts for iPhone sales on Tuesday.