LONDON, Oct 22 (Reuters) - Chipmakers licensing more powerful mobile technology like the 64-bit architecture in the new iPhone helped Britain’s ARM Holdings’ beat expectations for the third quarter on Tuesday.
The company, whose chip designs power more than 95 percent of smartphones and most tablets, posted pretax profit of 92.6 million pounds ($149.6 million), up 36 percent on a year ago, on revenue 27 percent higher at 184 million pounds.
Analysts were forecasting revenues of 175.8 million pounds and pretax profit of 88.9 million pounds, according to a poll of 25 brokers compiled by the Cambridge-based company.
Apple made the leap to 64-bit processing in the iPhone 5S, unveiled last month, and analysts say other smartphone makers will likely follow.
ARM, which licenses its designs to chipmakers like Samsung , receives a higher royalty on every chip shipped for its newest designs.