Printed from http://www.electronista.com

ARM pushes past estimates with $103m profit

updated 08:44 am EDT, Wed July 25, 2012

ARM beats industry estimates with 23 percent profit rise

ARM Holdings defied the flat technology sector by pushing past analysts estimates in returning a 23 percent pre-tax profit of $103 million for the second quartert. According to Reuters, ARM out grew the industry as demand for mobile chips based on the Cambridge company's designs continues to increase. Despite forecast warnings issued by Intel and ARM partner Qualcomm in recent weeks, ARM maintains that it is on track to meet its forecast for the full fiscal year.

Although ARM designs chips, it does not manufacture its own designs. Instead, companies like Apple, Samsung, TI, and Qualcomm all pay ARM license fees for developing chips based on its designs. For each chip each company sells, ARM is paid an ongoing royalty although it collects these in arrears - its second quarter results actually reflect its first quarter licensing returns on sales of around 2 billion devices shipping with ARM-based chips.

Looking ahead, ARM expects to earn between $875 and $877 million over the course of the fiscal year. Any downswing would reflect weaker than anticipated consumer demand ahead of the looming holiday season.



By Electronista Staff
Post tools:

TAGS :

toggle

Comments

Login Here

Not a member of the MacNN forums? Register now for free.

toggle

Network Headlines

toggle

Most Popular

Sponsor

Recent Reviews

SMS Audio Sync Sport on-ear headphones

When hitting the gym or going out for a trail run, headphones can cause a number of problems. From the ear buds getting slimy with swe ...

Adesso Xtream S3B Bluetooth speaker

Finding a speaker purpose-built for a specific need is challenging. Even when a Bluetooth speaker can be paired with a mobile device, ...

JBL Synchros E40BT headphones

For all the different configurations of headphones on the market, it's always a tough choice for buyers to get something that is just ...

Sponsor

toggle

Most Commented

 
toggle

Popular News