Arm Reports Net Profit Near Doubling in First Fiscal Quarter
Chip design company Arm Holdings announced its first fiscal quarter 2027 results, with net profit reaching $270 million. This marks a year-over-year increase of 107.69%.
Chip design firm Arm Holdings released its financial results for the first fiscal quarter of 2027, ending June 30, 2026. The company reported a net profit of $270 million, a significant increase of 107.69% compared to the same period last year.
Total revenue for the quarter stood at $1.289 billion, representing a 22.41% increase year-over-year. The gross profit was $1.264 billion, with a high gross margin of 98.1%.
Operating cash flow saw a substantial surge of 171.69%, reaching $902 million. Free cash flow increased by 343.33% to $665 million. Earnings per diluted share were reported at $0.45.
Arm provided guidance for the second fiscal quarter of 2027, anticipating revenues between $1.33 billion and $1.43 billion. The company has previously outlined a long-term goal for royalty income to grow at a 20% compound annual rate through fiscal year 2031, with significant growth expected in the AI chip market.