Arm second quarter revenue rises 27% to $1.44 billion

Nov 4, 2026
Arm reported record fiscal second quarter revenue of $1.44 billion, supported by 50% growth in license revenue and doubled data center royalties.

Arm Holdings Plc reported its best ever second quarter revenue of $1.44 billion on November 4, 2026, up 27% year over year, according to a shareholder letter filed with the SEC. License and other revenue rose 50% to $773 million, while royalty revenue increased 8% to $670 million.

Data center royalties doubled from a year earlier. Arm said its server market share at the top hyperscalers more than tripled from 15% in calendar 2024 to more than 50% in calendar 2025, and expects it to exceed 60% by the end of 2026.

GAAP net income was $130 million, with diluted earnings of $0.12 per share. Non GAAP net income reached $566 million, or $0.52 per diluted share. Arm expects third quarter revenue of $1.54 billion, plus or minus $50 million, and non GAAP diluted earnings of $0.56 per share, plus or minus $0.04.

The company said purchase orders for its AGI CPU extend through calendar 2027, with initial commercial deliveries planned for the fiscal fourth quarter of 2027. Arm expects up to $2 billion in AGI CPU revenue across fiscal 2027 and 2028.

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