Chip design giant Arm reported strong results for its fiscal Q2 2026, with revenue reaching $1.14 billion, a 34% year-over-year increase. This marks the third consecutive quarter the company has surpassed the $1 billion revenue milestone.
The company's performance was driven by growth across its business lines. Royalty revenue hit $620 million, up 21%, while licensing and other revenue surged 56% to $515 million. Arm also demonstrated exceptional profitability, with an adjusted gross margin of 98.2%.
The CEO attributed the record royalty revenue to peak demand for the Arm computing platform, positioning the company as a core enabler for the AI era. The quarter also saw new technology license agreements with key players, including Samsung.
ICgoodFind : Arm's strategic positioning in AI and continued ecosystem expansion solidify its foundational role in the global semiconductor industry.
