Arm Holdings plc American Depositary Shares(ARM)Earnings, Financials & Key Ratios

ARM•NASDAQ

517.0× P/E·Price updated Jun 19, 2026

SectorTechnology IndustrySemiconductors Sub-IndustryChip Design Software and IP

AboutArm Holdings plc architects, develops, and licenses central processing unit products and related technologies for semiconductor companies and original equipment manufacturers rely on to develop products. It offers microprocessors, systems intellectual property (IPs), graphics processing units, physical IP and associated systems IPs, software, tools, and other related services. Its products are used in various markets, such as automotive, computing infrastructure, consumer technologies, and Internet of things. The company operates in the United States, the People's Republic of China, Taiwan, South Korea, and internationally. The company was founded in 1990 and is headquartered in Cambridge, the United Kingdom. Arm Holdings plc operates as a subsidiary of Kronos II LLC.Show more

Revenue$4.92B+22.8%
EBITDA$1.16B+14.6%
Net Income$904M+14.1%
EPS (Diluted)0.85+13.3%
Gross Margin92.48%-2.5%
EBITDA Margin23.52%-6.7%
Operating Margin18.46%-10.6%
Net Margin18.37%-7.0%
ROE11.95%-8.4%

ARM Key Insights

Arm Holdings plc American Depositary Shares (ARM) fundamental analysis — strengths, weaknesses & financial health based on data analysis

✓Strengths

✓Company is almost debt free
✓FCF machine: 19.9% free cash flow margin
✓Momentum leader: RS Rating 98 (top 2%)
✓High quality earnings: Operating CF exceeds net income
✓Healthy 5Y average net margin of 17.5%
✓Trading near 52-week high

✗Weaknesses

✗Expensive at 56.6x book value

* These insights are generated automatically based on available financial data. Please conduct your own research before making investment decisions.

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ARM Price & Volume

Arm Holdings plc American Depositary Shares (ARM) stock price & volume — 10-year historical chart

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ARM Growth Metrics

Arm Holdings plc American Depositary Shares (ARM) revenue, earnings & EPS growth — 3, 5 & 10-year CAGR

Revenue CAGR

10 Years-

5 Years-

3 Years22.46%

TTM22.79%

Profit CAGR

10 Years-

5 Years-

3 Years19.93%

TTM14.14%

EPS CAGR

10 Years-

5 Years-

3 Years18.56%

TTM12%

Return on Capital

10 Years9.89%

5 Years9.89%

3 Years7.8%

Last Year10.28%

ARM Recent Earnings

Arm Holdings plc American Depositary Shares (ARM) EPS & revenue vs analyst estimates — last 4 quarters

Full history →

●Beat EPS 9/12 qtrs (82%)●Beat Revenue 9/12 qtrs (82%)

Q2 2026Latest

May 6, 2026

Metric

Actual

Est

EPS

$0.60+3.4%

$0.58

Rev

$1.5B+1.1%

$1.5B

Q1 2026

Feb 4, 2026

Metric

Actual

Est

EPS

$0.43+4.9%

$0.41

Rev

$1.2B+1.2%

$1.2B

Q4 2025

Nov 5, 2025

Metric

Actual

Est

EPS

$0.15-54.4%

$0.33

Rev

$1.1B+1.6%

$1.1B

Q3 2025

Jul 30, 2025

Metric

Actual

Est

EPS

$0.35+0.3%

$0.35

Rev

$1.1B-0.8%

$1.1B

Quarter	Date	EPS (Act vs Est)	Revenue (Act vs Est)
Q2 2026Latest	May 6, 2026	$0.60vs $0.58+3.4%	$1.5Bvs $1.5B+1.1%
Q1 2026	Feb 4, 2026	$0.43vs $0.41+4.9%	$1.2Bvs $1.2B+1.2%
Q4 2025	Nov 5, 2025	$0.15vs $0.33-54.4%	$1.1Bvs $1.1B+1.6%
Q3 2025	Jul 30, 2025	$0.35vs $0.35+0.3%	$1.1Bvs $1.1B-0.8%

Based on last 12 quarters of dataView full earnings history →

Company	Market Cap	Stock Price	P/E Ratio (TTM)	Revenue Growth 1Y	Net Margin	Return on Equity (ROE)	Debt / Equity
CEVACEVA, Inc.Direct Competitor	1.39B	49.72	-113	2.49%	-10.47%	-3.89%	0.09
SNPSSynopsys, Inc.Direct Competitor	87.22B	455.51	56.66	15.12%	8.91%	2.64%	0.50
CDNSCadence Design Systems, Inc.Direct Competitor	106.96B	387.39	95.42	14.12%	20.94%	21.68%	0.45
QCOMQUALCOMM IncorporatedDirect Competitor	238.32B	226.11	45.13	13.66%	22.31%	40.19%	0.77
INTCIntel CorporationDirect Competitor	672.77B	133.99	-2274.87	-0.47%	-5.9%	-2.68%	0.37
AMDAdvanced Micro Devices, Inc.Direct Competitor	876.1B	537.37	202.78	34.34%	13.33%	8.05%	0.07
NVDANVIDIA CorporationProduct Competitor	5.1T	210.69	43.00	65.47%	62.97%	111.66%	0.07
MRVLMarvell Technology, Inc.Product Competitor	271.7B	310.58	101.17	42.09%	28.99%	16.84%	0.33

Compare ARM vs Peers

Arm Holdings plc American Depositary Shares (ARM) vs competitors — business, growth, and fundamentals comparison against the closest industry rivals.

Closest Rival

vs CEVA

Most directly comparable listed peer for ARM.

Scale Benchmark

vs NVDA

Larger-name benchmark to compare ARM against a more recognizable public peer.

Peer Set

Compare Top 5

vs CEVA, SNPS, CDNS, QCOM

ARM Income Statement

Arm Holdings plc American Depositary Shares (ARM) annual income statement — 10-year revenue, gross profit & net income history

10Y historyFree accessUpdated daily

Metric	Mar'22	Mar'23	Mar'24	Mar'25	Mar'26
Sales/Revenue	2.7B	2.68B	3.23B	4.01B	4.92B
Revenue Growth %	-	-0.89%	20.68%	23.94%	22.79%
Cost of Goods Sold	220M	195M	234M	206M	370M
COGS % of Revenue	8.14%	7.28%	7.24%	5.14%	7.52%
Gross Profit	2.48B▲ 0%	2.48B▲ 0.0%	3B▲ 20.7%	3.8B▲ 26.7%	4.55B▲ 19.7%
Gross Margin %	91.86%	92.72%	92.76%	94.86%	92.48%
Gross Profit Growth %	-	0.04%	20.73%	26.74%	19.71%
Operating Expenses	1.8B	1.81B	2.9B	2.97B	3.64B
OpEx % of Revenue	66.7%	67.41%	89.7%	74.22%	74.02%
Selling, General & Admin	858M	726M	968M	965M	866M
SG&A % of Revenue	31.74%	27.1%	29.94%	24.08%	17.6%
Research & Development	945M	1.08B	1.93B	2.01B	2.78B
R&D % of Revenue	34.96%	40.31%	59.76%	50.14%	56.42%
Other Operating Expenses	0	0	0	0	0
Operating Income	680M▲ 0%	678M▼ 0.3%	99M▼ 85.4%	827M▲ 735.4%	908M▲ 9.8%
Operating Margin %	25.16%	25.31%	3.06%	20.64%	18.46%
Operating Income Growth %	-	-0.29%	-85.4%	735.35%	9.79%
EBITDA	856.5M	848.2M	261M	1.01B	1.16B
EBITDA Margin %	31.69%	31.66%	8.07%	25.2%	23.52%
EBITDA Growth %	-	-0.97%	-69.23%	286.93%	14.57%
D&A (Non-Cash Add-back)	176.5M	170.2M	162M	182.9M	249M
EBIT	786M	671M	212M	720M	908M
Net Interest Income	2M	42M	110M	116M	111M
Interest Income	2M	42M	110M	116M	111M
Interest Expense	0	0	0	0	0
Other Income/Expense	106M	-7M	113M	-107M	249M
Pretax Income	786M▲ 0%	671M▼ 14.6%	212M▼ 68.4%	720M▲ 239.6%	1.16B▲ 60.7%
Pretax Margin %	29.08%	25.05%	6.56%	17.97%	23.52%
Income Tax	110M	147M	-94M	-72M	253M
Effective Tax Rate %	13.99%	21.91%	-44.34%	-10%	21.87%
Net Income	549M▲ 0%	524M▼ 4.6%	306M▼ 41.6%	792M▲ 158.8%	904M▲ 14.1%
Net Margin %	20.31%	19.56%	9.46%	19.77%	18.37%
Net Income Growth %	-	-4.55%	-41.6%	158.82%	14.14%
Net Income (Continuing)	676M	524M	306M	792M	904M
Discontinued Operations	0	0	0	0	0
Minority Interest	0	0	0	0	0
EPS (Diluted)	0.54▲ 0%	0.51▼ 5.6%	0.29▼ 43.1%	0.75▲ 158.6%	0.85▲ 13.3%
EPS Growth %	-	-5.56%	-43.14%	158.62%	13.33%
EPS (Basic)	0.54	0.51	0.30	0.75	0.85
Diluted Shares Outstanding	1.03B	1.03B	1.04B	1.06B	1.07B
Basic Shares Outstanding	1.03B	1.03B	1.03B	1.05B	1.06B
Dividend Payout Ratio	-	-	-	-	-

ARM Balance Sheet

Arm Holdings plc American Depositary Shares (ARM) balance sheet — assets, liabilities & shareholders' equity

Metric	Mar'22	Mar'23	Mar'24	Mar'25	Mar'26
Total Current Assets	3.09B	3.54B	4.2B	4.83B	6.24B
Cash & Short-Term Investments	1.64B	2.21B	2.92B	2.83B	3.6B
Cash Only	1B	1.55B	1.92B	2.08B	2.75B
Short-Term Investments	631M	661M	1B	740M	850M
Accounts Receivable	1.29B	1.17B	1.13B	1.9B	2.28B
Days Sales Outstanding	174.2	158.73	127.46	172.89	168.92
Inventory	0	0	0	0	0
Days Inventory Outstanding	-	-	-	-	-
Other Current Assets	167M	157M	145M	0	358M
Total Non-Current Assets	3.42B	3.33B	3.73B	4.1B	4.47B
Property, Plant & Equipment	417M	391M	420M	714M	1.15B
Fixed Asset Turnover	6.48x	6.85x	7.70x	5.61x	4.27x
Goodwill	1.64B	1.62B	1.63B	1.62B	1.62B
Intangible Assets	205M	138M	152M	151M	230M
Long-Term Investments	765M	753.9M	773.4M	962.8M	387M
Other Non-Current Assets	260M	287.1M	477.6M	253.2M	701M
Total Assets	6.51B▲ 0%	6.87B▲ 5.5%	7.93B▲ 15.5%	8.93B▲ 12.7%	10.7B▲ 19.8%
Asset Turnover	0.42x	0.39x	0.41x	0.45x	0.46x
Asset Growth %	-	5.47%	15.45%	12.68%	19.83%
Total Current Liabilities	1.4B	1.36B	1.5B	929M	1.04B
Accounts Payable	57M	65M	26M	63M	0
Days Payables Outstanding	94.57	121.67	40.56	111.63	-
Short-Term Debt	31M	26M	32M	40M	39M
Deferred Revenue (Current)	334M	293M	198M	209M	294M
Other Current Liabilities	202M	228M	130M	153M	447M
Current Ratio	2.22x	2.60x	2.79x	5.20x	6.00x
Quick Ratio	2.22x	2.60x	2.79x	5.20x	6.00x
Cash Conversion Cycle	-	-	-	-	-
Total Non-Current Liabilities	1.57B	1.45B	1.13B	1.16B	1.38B
Long-Term Debt	0	0	0	0	0
Capital Lease Obligations	230M	193M	194M	316M	393M
Deferred Tax Liabilities	279M	262M	150.5M	42.6M	39M
Other Non-Current Liabilities	266M	190M	65.5M	103.4M	193M
Total Liabilities	2.96B	2.81B	2.63B	2.09B	2.42B
Total Debt	261M	219M	226M	356M	432M
Net Debt	-743M	-1.33B	-1.7B	-1.73B	-2.32B
Debt / Equity	0.07x	0.05x	0.04x	0.05x	0.05x
Debt / EBITDA	0.30x	0.26x	0.87x	0.35x	0.37x
Net Debt / EBITDA	-0.87x	-1.57x	-6.50x	-1.71x	-2.00x
Interest Coverage	-	-	-	-	-
Total Equity	3.55B▲ 0%	4.05B▲ 14.2%	5.29B▲ 30.7%	6.84B▲ 29.2%	8.29B▲ 21.2%
Equity Growth %	-	14.18%	30.71%	29.16%	21.16%
Book Value per Share	3.46	3.95	5.07	6.43	7.76
Total Shareholders' Equity	3.55B	4.05B	5.29B	6.84B	8.29B
Common Stock	2M	2M	2M	2M	2M
Retained Earnings	1.93B	2.46B	2.75B	3.54B	4.45B
Treasury Stock	0	0	0	0	0
Accumulated OCI	399M	376M	371M	372M	370M
Minority Interest	0	0	0	0	0

ARM Cash Flow Statement

Arm Holdings plc American Depositary Shares (ARM) cash flow — operating, investing & free cash flow history

Metric	Mar'22	Mar'23	Mar'24	Mar'25	Mar'26
Cash from Operations	458M	739M	1.09B	397M	1.52B
Operating CF Margin %	16.94%	27.58%	33.71%	9.91%	30.98%
Operating CF Growth %	-	61.35%	47.5%	-63.58%	283.88%
Net Income	549M	524M	306M	792M	904M
Depreciation & Amortization	185M	170M	162M	182.9M	249M
Stock-Based Compensation	26M	79M	1.04B	0	0
Deferred Taxes	-76M	-34M	-273M	-218M	15M
Other Non-Cash Items	-38M	73M	53M	1.11B	958M
Working Capital Changes	-188M	-73M	-195M	-1.47B	-602M
Change in Receivables	-219M	125M	-89M	-743M	-510M
Change in Inventory	0	0	0	0	0
Change in Payables	0	0	0	0	0
Cash from Investing	-619M	-138M	-516M	-35M	-325M
Capital Expenditures	-75M	-93M	-92M	-239M	-575M
CapEx % of Revenue	2.77%	3.47%	2.85%	5.96%	11.69%
Acquisitions	-8M	-15M	-32M	-57M	127M
Investments	-	-	-	-	-
Other Investing	0	0	-51M	1M	39M
Cash from Financing	-32M	-42M	-208M	-202M	-548M
Debt Issued (Net)	50M	0	0	0	0
Equity Issued (Net)	0	0	0	0	74M
Dividends Paid	0	0	0	0	0
Share Repurchases	0	0	0	0	0
Other Financing	-82M	-42M	-208M	-202M	-622M
Net Change in Cash	-210M▲ 0%	550M▲ 361.9%	369M▼ 32.9%	162M▼ 56.1%	666M▲ 311.1%
Free Cash Flow	383M▲ 0%	646M▲ 68.7%	947M▲ 46.6%	178M▼ 81.2%	979M▲ 450.0%
FCF Margin %	14.17%	24.11%	29.29%	4.44%	19.9%
FCF Growth %	-	68.67%	46.59%	-81.2%	450%
FCF per Share	0.37	0.63	0.91	0.17	0.92
FCF Conversion (FCF/Net Income)	0.83x	1.41x	3.56x	0.50x	1.69x
Interest Paid	1M	0	0	0	0
Taxes Paid	141M	159M	188M	0	0

ARM Key Ratios

Arm Holdings plc American Depositary Shares (ARM) financial ratios — P/E, ROE, debt and 30+ core market and balance-sheet ratios

Metric	2022	2023	2024	2025	2026
Return on Equity (ROE)	15.47%	13.79%	6.55%	13.05%	11.95%
Return on Invested Capital (ROIC)	18.18%	18.42%	2.35%	14.25%	12.3%
Gross Margin	91.86%	92.72%	92.76%	94.86%	92.48%
Net Margin	20.31%	19.56%	9.46%	19.77%	18.37%
Debt / Equity	0.07x	0.05x	0.04x	0.05x	0.05x
FCF Conversion	0.83x	1.41x	3.56x	0.50x	1.69x
Revenue Growth	-	-0.89%	20.68%	23.94%	22.79%

ARM Frequently Asked Questions

Arm Holdings plc American Depositary Shares (ARM) stock FAQ — growth, dividends, profitability & financials explained

Growth & Financials

Arm Holdings plc American Depositary Shares (ARM) reported $4.92B in revenue for fiscal year 2026. This represents a 82% increase from $2.70B in 2022.

Arm Holdings plc American Depositary Shares (ARM) grew revenue by 22.8% over the past year. This is strong growth.

Yes, Arm Holdings plc American Depositary Shares (ARM) is profitable, generating $904.0M in net income for fiscal year 2026 (18.4% net margin).

Dividend & Returns

Arm Holdings plc American Depositary Shares (ARM) has a return on equity (ROE) of 12.0%. This is reasonable for most industries.

Arm Holdings plc American Depositary Shares (ARM) generated $972.0M in free cash flow for fiscal year 2026. Positive FCF indicates the company can fund dividends, buybacks, or reinvestment.

What if you invested $1,000 in ARM back in 2022?

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Arm Holdings plc American Depositary Shares(ARM)Earnings, Financials & Key Ratios

ARM•NASDAQ

517.0× P/E·Price updated Jun 19, 2026

SectorTechnology IndustrySemiconductors Sub-IndustryChip Design Software and IP

Revenue$4.92B+22.8%
EBITDA$1.16B+14.6%
Net Income$904M+14.1%
EPS (Diluted)0.85+13.3%
Gross Margin92.48%-2.5%
EBITDA Margin23.52%-6.7%
Operating Margin18.46%-10.6%
Net Margin18.37%-7.0%
ROE11.95%-8.4%