ARM revenues rise 7% sequentially on higher royalties from chip makers

ARM revenues rise 7% sequentially on higher royalties from chip makers
By Semiconductor Business News
January 28, 2002 (4:15 p.m. EST)
URL: http://www.eetimes.com/story/OEG20020128S0074

CAMBRIDGE, England -- ARM Holdings plc today reported a 7% sequential increase in revenues to £40.2 million ($56.7 million) in the fourth quarter compared to £37.6 million in Q3. Revenues were 35% higher than £29.8 million in the fourth quarter of 2000, said ARM.

The supplier of RISC processor cores posted profit before taxes of £13.8 million ($19.5 million) vs. £10.1 million in the same period a year ago. ARM's net income for Q4 was £9.2 million ($13.0 million) compared to £8.8 million in Q4 of 2000.

"Licensing activity in the fourth quarter continued to be strong, with 15 licenses signed, and development systems sales were 8% higher when compared to the third quarter," said Warren East, chief executive officer at ARM. "We were also very pleased by the growth in fourth quarter royalty revenues compared to the third quarter 2001. While unit shipments from our semiconductor partners were slightly lower than in the previous quarter, royalty revenues were up 7% due in part to better royalties on higher value semiconductor products using ARM9 family core technology."

ARM said unit shipments for a 12-month period, ended in September (data is received one quarter in arrears), grew from 367 million units in 2000 to 420 million units in 2001, an increase of 14%.