ARM sees its Q2 revenue rise by 17%
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Investors on the London Stock Exchange have reacted positively to ARM's Q2 2014 results, in which the company saw revenues rise by 17% on a dollar basis over the same period in 2013.
According to the company, sales in Q2 were $309.6million (£187.1m), with half year revenues of $614.8m (£373.7m). Whilst licence revenues were up by 42% year on year on a dollar basis, royalties were almost flat, something ascribed to 'inventory management' in the consumer electronics world.
Simon Segars, pictured, chief executive officer, said: "Our continued strong licensing performance reflects the intent of existing and new customers to base more of their future products on ARM technology.
The company signed 41 processor licences in Q2 2014 – more than would normally be signed, said ARM – and 12 of these were for ARM's Cortex-A series processors. Importantly, seven licences were for processors based on the ARMv8-A architecture, taking the number of ARMv8-A processor and architecture licences to 50. Meanwhile, another 20 licences were signed in Q2 for Cortex-M class processors.
Segars added: "The 41 processor licences signed in Q2 were driven by demand for ARM technology in smart mobile devices, consumer electronics and embedded computing chips for the Internet of Things. This bodes well for growth in ARM's medium and long term royalty revenues."
