ARM Holdings, the Cambridge-based designer and licenser of low-energy chip technology widely adopted by smartphone and tablet manufacturers has announced adjusted pre-tax profits of £89.4 million in the first three months of the year – that’s 44 percent up on the same period last year. First quarter revenue went up 28 percent to £170.3 million. Following the announcement ARM shares increased by 6.4 percent.
The results show a very good start to the year, said CEO Warren East, against a background of weak performance in the industry in general, which at best has stayed flat. They reflect the past success of ARM technology, which has been widely adopted by the mobile telecommunications industry though it does not compete in the PC market.
Warren East, who is due to step down later this year saying that 12 years as CEO may represent stability but 20 looks more like stagnation, is bullish about prospects for the remainder of 2013 and the future, where he sees massive opportunities for the company’s design input. Its existing mobile device market can only continue to expand, while demand for embedded microcontrollers in white goods, industrial automation, cars and wearable products like intelligent glasses will support demand for the firm’s IP, he says.
