Arm Holdings plc (ARM) Q1 FY2027 Financial Statements: Revenue $1.29B, Net income $270.00M
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PeriodQ1 FY2027
Published
Arm Holdings plc, which licenses processor designs and collects royalties on chips built with them, reported revenue of $1.29 billion for Q1 FY2027, the quarter ended June 30, 2026, up 22.4% from a year earlier as both royalty and license revenue grew. Net income rose to $270 million from $130 million and diluted EPS to $0.25 from $0.12, but the gain came from below the operating line: operating income fell to $91 million from $114 million as research and development spending grew faster than revenue, while income from equity investments, mainly fair-value gains on stakes in listed companies, was $128 million against $4 million a year earlier.
| Metric | Amount | vs. year ago |
|---|---|---|
| Revenue | $1,289,000,000 | up 22.4% |
| Net income | $270,000,000 | up 107.7% |
| Diluted EPS | $0.25 | up 108.3% |
| Operating income | $91,000,000 | down 20.2% |
| Income from equity investments | $128,000,000 | up 3,100.0% |
Figures link to the filing they came from. Wherever the SEC filing tags a number, that number is linked: click it and the filing opens at the exact line that prints it. Figures calculated here, such as margins, free cash flow and trailing-twelve-month totals, have no line in a filing to point to and are not linked.
About this file
| Ticker | ARM |
|---|---|
| CIK | 0001973239 |
| Company | Arm Holdings plc |
| Business type | technology |
| Schema template | semiconductor IP licensing: revenue by type (license and other, royalty) and by counterparty (external customers, related parties), operating expenses, cash generation, and a balance sheet that presents no borrowings |
| Schema rationale | Arm's revenue in these periods comes from licensing processor designs and collecting per-chip royalties, so cost of sales is small and gross margin has been above 95% in every period shown. What moves the business is the split between license and royalty revenue, the share of revenue from related parties (SoftBank-affiliated entities and Arm China), and research and development spending, so the record carries those lines alongside the standard statement totals. |
| Reporting currency | USD |
| Converted to USD | no |
| Units | actual dollars (not millions); share counts in actual shares; per-share amounts in dollars per share |
| Fiscal calendar note | Arm's fiscal year ends on March 31. The year ended March 31, 2026 is fiscal 2026, and the quarter ended June 30, 2026 is the first quarter of fiscal 2027. |
ARM annual income statement, balance sheet and cash flow
| FY2026 | FY2025 | FY2024 | |
|---|---|---|---|
| Period start | 2025-04-01 | 2024-04-01 | 2023-04-01 |
| Period end | 2026-03-31 | 2025-03-31 | 2024-03-31 |
| Period type | fiscal year | fiscal year | fiscal year |
| Source accession | 20-F | 20-F | 20-F |
| Income statement | |||
| Revenue from external customers | 3,421,000,000 | 3,184,000,000 | 2,509,000,000 |
| Revenue from related parties | 1,499,000,000 | 823,000,000 | 724,000,000 |
| Total revenue | 4,920,000,000 | 4,007,000,000 | 3,233,000,000 |
| Revenue by type | |||
| License and other revenue | 2,307,000,000 | 1,839,000,000 | 1,431,000,000 |
| Royalty revenue | 2,613,000,000 | 2,168,000,000 | 1,802,000,000 |
| Cost of sales | 121,000,000 | 121,000,000 | 154,000,000 |
| Gross profit | 4,799,000,000 | 3,886,000,000 | 3,079,000,000 |
| Research and development | 2,776,000,000 | 2,071,000,000 | 1,979,000,000 |
| Selling general and administrative | 1,115,000,000 | 984,000,000 | 983,000,000 |
| Disposal restructuring and other operating expenses net | 8,000,000 | 0 | 6,000,000 |
| Total operating expenses | 3,899,000,000 | 3,055,000,000 | 2,968,000,000 |
| Operating income | 900,000,000 | 831,000,000 | 111,000,000 |
| Income from equity investments net | 14,000,000 | -237,000,000 | -20,000,000 |
| Interest income net | 111,000,000 | 116,000,000 | 110,000,000 |
| Other non operating income net | 132,000,000 | 10,000,000 | 11,000,000 |
| Income before income taxes | 1,157,000,000 | 720,000,000 | 212,000,000 |
| Income tax benefit expense | -253,000,000 | 72,000,000 | 94,000,000 |
| Net income | 904,000,000 | 792,000,000 | 306,000,000 |
| Basic EPS | 0.85 | 0.75 | 0.30 |
| Diluted EPS | 0.85 | 0.75 | 0.29 |
| Basic shares | 1,061,000,000 | 1,050,000,000 | 1,027,000,000 |
| Diluted shares | 1,068,000,000 | 1,063,000,000 | 1,044,000,000 |
| Cash flow | |||
| Depreciation and amortization | 249,000,000 | 183,000,000 | 162,000,000 |
| Share based compensation | 1,052,000,000 | 820,000,000 | 1,037,000,000 |
| Net cash provided by operating activities | 1,524,000,000 | 397,000,000 | 1,090,000,000 |
| Purchases of property and equipment | -545,000,000 | -219,000,000 | -92,000,000 |
| Purchases of intangible assets | -30,000,000 | -20,000,000 | -51,000,000 |
| Payments of intangible asset obligations | -67,000,000 | -59,000,000 | -40,000,000 |
| Payments of withholding tax on vested shares | -529,000,000 | -120,000,000 | -158,000,000 |
| Cash and cash equivalents end of period | 2,751,000,000 | 2,085,000,000 | 1,923,000,000 |
| Net cash from investing activities | -325,000,000 | -35,000,000 | -516,000,000 |
| Net cash from financing activities | -548,000,000 | -202,000,000 | -208,000,000 |
| Free cash flow | 979,000,000 | 178,000,000 | 998,000,000 |
| Balance sheet | |||
| Cash and cash equivalents | 2,751,000,000 | 2,085,000,000 | |
| Short term investments | 850,000,000 | 740,000,000 | |
| Accounts receivable net | 1,300,000,000 | 1,107,000,000 | |
| Contract assets current | 977,000,000 | 642,000,000 | |
| Total current assets | 6,236,000,000 | 4,830,000,000 | |
| Property and equipment net | 772,000,000 | 354,000,000 | |
| Equity investments | 387,000,000 | 565,000,000 | |
| Goodwill | 1,623,000,000 | 1,620,000,000 | |
| Intangible assets net | 230,000,000 | 151,000,000 | |
| Contract assets non current | 320,000,000 | 346,000,000 | |
| Total assets | 10,703,000,000 | 8,932,000,000 | |
| Contract liabilities current | 294,000,000 | 209,000,000 | |
| Total current liabilities | 1,040,000,000 | 929,000,000 | |
| Contract liabilities non current | 752,000,000 | 702,000,000 | |
| Operating lease liabilities non current | 393,000,000 | 316,000,000 | |
| Total liabilities | 2,417,000,000 | 2,093,000,000 | |
| Total shareholders equity | 8,286,000,000 | 6,839,000,000 | |
| Total liabilities and shareholders equity | 10,703,000,000 | 8,932,000,000 | |
| Ordinary shares outstanding | 1,064,000,000 | 1,057,000,000 | |
- Balance sheet note, FY2024. The FY2026 20-F presents balance sheets as of March 31, 2026 and 2025 only, so no balance sheet is reported here for fiscal 2024.
ARM quarterly income statement, balance sheet and cash flow
| Q1 FY2027 | Q1 FY2026 | |
|---|---|---|
| Fiscal quarter | 1 | 1 |
| Period start | 2026-04-01 | 2025-04-01 |
| Period end | 2026-06-30 | 2025-06-30 |
| Period type | three months | three months |
| Source accession | 6-K | 6-K |
| Income statement | ||
| Revenue from external customers | 901,000,000 | 725,000,000 |
| Revenue from related parties | 388,000,000 | 328,000,000 |
| Total revenue | 1,289,000,000 | 1,053,000,000 |
| Revenue by type | ||
| License and other revenue | 574,000,000 | 468,000,000 |
| Royalty revenue | 715,000,000 | 585,000,000 |
| Cost of sales | 36,000,000 | 30,000,000 |
| Gross profit | 1,253,000,000 | 1,023,000,000 |
| Research and development | 838,000,000 | 650,000,000 |
| Selling general and administrative | 317,000,000 | 259,000,000 |
| Disposal restructuring and other operating expenses net | 7,000,000 | 0 |
| Total operating expenses | 1,162,000,000 | 909,000,000 |
| Operating income | 91,000,000 | 114,000,000 |
| Income from equity investments net | 128,000,000 | 4,000,000 |
| Interest income net | 31,000,000 | 27,000,000 |
| Other non operating income net | 3,000,000 | 1,000,000 |
| Income before income taxes | 253,000,000 | 146,000,000 |
| Income tax benefit expense | 17,000,000 | -16,000,000 |
| Net income | 270,000,000 | 130,000,000 |
| Basic EPS | 0.25 | 0.12 |
| Diluted EPS | 0.25 | 0.12 |
| Basic shares | 1,066,000,000 | 1,058,000,000 |
| Diluted shares | 1,078,000,000 | 1,065,000,000 |
| Related party revenue breakdown | ||
| Arm china license agreement | 189,400,000 | 201,000,000 |
| Softbank group affiliate consulting agreement | 192,900,000 | 126,100,000 |
| Ampere | 5,400,000 | 600,000 |
| Cash flow | ||
| Depreciation and amortization | 75,000,000 | 60,000,000 |
| Share based compensation | 343,000,000 | 241,000,000 |
| Net cash provided by operating activities | 902,000,000 | 332,000,000 |
| Purchases of property and equipment | -197,000,000 | -154,000,000 |
| Purchases of intangible assets | -11,000,000 | -7,000,000 |
| Payments of intangible asset obligations | -29,000,000 | -21,000,000 |
| Payments of withholding tax on vested shares | -278,000,000 | -85,000,000 |
| Cash and cash equivalents end of period | 3,058,000,000 | 1,956,000,000 |
| Non GAAP free cash flow company defined | 665,000,000 | 150,000,000 |
| Net cash from investing activities | -267,000,000 | -372,000,000 |
| Net cash from financing activities | -326,000,000 | -123,000,000 |
| Free cash flow | 705,000,000 | 178,000,000 |
| Balance sheet | ||
| Cash and cash equivalents | 3,058,000,000 | |
| Short term investments | 830,000,000 | |
| Accounts receivable net | 1,119,000,000 | |
| Contract assets current | 881,000,000 | |
| Total current assets | 6,339,000,000 | |
| Property and equipment net | 923,000,000 | |
| Equity investments | 589,000,000 | |
| Goodwill | 1,623,000,000 | |
| Intangible assets net | 217,000,000 | |
| Contract assets non current | 366,000,000 | |
| Total assets | 11,196,000,000 | |
| Contract liabilities current | 200,000,000 | |
| Total current liabilities | 1,207,000,000 | |
| Contract liabilities non current | 739,000,000 | |
| Operating lease liabilities non current | 423,000,000 | |
| Total liabilities | 2,566,000,000 | |
| Total shareholders equity | 8,630,000,000 | |
| Total liabilities and shareholders equity | 11,196,000,000 | |
| Ordinary shares outstanding | 1,068,000,000 | |
- Balance sheet note, Q1 FY2026. The Q1 FY2027 quarterly report presents balance sheets as of June 30, 2026 and March 31, 2026 only, so no balance sheet is reported here as of June 30, 2025.
ARM year-to-date income statement and cash flow
| First three months of FY2027 | |
|---|---|
| Period start | 2026-04-01 |
| Period end | 2026-06-30 |
| Period type | three months |
| Source accession | 6-K |
| Income statement | |
| Revenue from external customers | 901,000,000 |
| Revenue from related parties | 388,000,000 |
| Total revenue | 1,289,000,000 |
| Revenue by type | |
| License and other revenue | 574,000,000 |
| Royalty revenue | 715,000,000 |
| Cost of sales | 36,000,000 |
| Gross profit | 1,253,000,000 |
| Research and development | 838,000,000 |
| Selling general and administrative | 317,000,000 |
| Disposal restructuring and other operating expenses net | 7,000,000 |
| Total operating expenses | 1,162,000,000 |
| Operating income | 91,000,000 |
| Income from equity investments net | 128,000,000 |
| Interest income net | 31,000,000 |
| Other non operating income net | 3,000,000 |
| Income before income taxes | 253,000,000 |
| Income tax benefit expense | 17,000,000 |
| Net income | 270,000,000 |
| Basic EPS | 0.25 |
| Diluted EPS | 0.25 |
| Basic shares | 1,066,000,000 |
| Diluted shares | 1,078,000,000 |
| Cash flow | |
| Depreciation and amortization | 75,000,000 |
| Share based compensation | 343,000,000 |
| Net cash provided by operating activities | 902,000,000 |
| Purchases of property and equipment | -197,000,000 |
| Purchases of intangible assets | -11,000,000 |
| Payments of intangible asset obligations | -29,000,000 |
| Payments of withholding tax on vested shares | -278,000,000 |
| Cash and cash equivalents end of period | 3,058,000,000 |
| Non GAAP free cash flow company defined | 665,000,000 |
| Net cash from investing activities | -267,000,000 |
| Net cash from financing activities | -326,000,000 |
| Free cash flow | 705,000,000 |
- Note. Fiscal 2027 began on April 1, 2026, so the year-to-date period ended June 30, 2026 is the same three months as the first quarter of fiscal 2027.
ARM trailing twelve month income statement and cash flow
| Trailing twelve months ended June 30, 2026 | |
|---|---|
| Period start | 2025-07-01 |
| Period end | 2026-06-30 |
| Period type | trailing twelve months |
| Source accession | 6-K |
| Income statement | |
| Revenue from external customers | 3,597,000,000 |
| Revenue from related parties | 1,559,000,000 |
| Total revenue | 5,156,000,000 |
| Cost of sales | 127,000,000 |
| Gross profit | 5,029,000,000 |
| Research and development | 2,964,000,000 |
| Selling general and administrative | 1,173,000,000 |
| Disposal restructuring and other operating expenses net | 15,000,000 |
| Total operating expenses | 4,152,000,000 |
| Operating income | 877,000,000 |
| Income from equity investments net | 138,000,000 |
| Interest income net | 115,000,000 |
| Other non operating income net | 134,000,000 |
| Income before income taxes | 1,264,000,000 |
| Income tax benefit expense | -220,000,000 |
| Net income | 1,044,000,000 |
| Revenue by type | |
| License and other revenue | 2,413,000,000 |
| Royalty revenue | 2,743,000,000 |
| Cash flow | |
| Depreciation and amortization | 264,000,000 |
| Share based compensation | 1,154,000,000 |
| Net cash provided by operating activities | 2,094,000,000 |
| Purchases of property and equipment | -588,000,000 |
| Purchases of intangible assets | -34,000,000 |
| Net cash from investing activities | -220,000,000 |
| Payments of intangible asset obligations | -75,000,000 |
| Payments of withholding tax on vested shares | -722,000,000 |
| Net cash from financing activities | -751,000,000 |
| Free cash flow | 1,506,000,000 |
| Non GAAP free cash flow company defined | 1,397,000,000 |
| Components | |
| Fiscal year | FY2026 |
| Fiscal year accession | 20-F |
| Quarter added | Q1 FY2027 |
| Quarter removed | Q1 FY2026 |
| Quarter accession | 6-K |
- Derivation. Not a period the financial statements present. Each line is fiscal 2026 as reported in the FY2026 annual report on Form 20-F (accession 0001973239-26-000097), plus the three months ended June 30, 2026, less the three months ended June 30, 2025, both as reported in the Q1 FY2027 quarterly report on Form 6-K (accession 0001973239-26-000114). Arm's Q1 FY2027 results press release (Exhibit 99.2 to the Form 6-K with accession 0001973239-26-000113) prints the same trailing-twelve-month operating cash flow ($2,094 million), purchases of property and equipment ($588 million) and non-GAAP free cash flow ($1,397 million). No per-share figure is shown, because earnings per share cannot be added across periods with different share counts.
Adjustments
| Splits applied | none |
|---|---|
| ADR ratio | 1 |
| ADR note | Arm's American depositary shares each represent one ordinary share (FY2026 20-F, Note 1), so every per-share figure here is equally a per-ADS figure and no conversion was needed. |
| FX | None. Arm reports in U.S. dollars, so no translation was required. |
Notes
- Annual figures for fiscal 2026, 2025 and 2024 are taken from the audited consolidated financial statements in Arm's FY2026 annual report on Form 20-F (accession 0001973239-26-000097). Balance sheets are reported as of March 31, 2026 and 2025, the two dates that report presents.
- Quarterly figures for the three months ended June 30, 2026 and 2025, and the balance sheet as of June 30, 2026, are taken from the unaudited condensed consolidated financial statements in Arm's quarterly report for the three months ended June 30, 2026, furnished on Form 6-K (accession 0001973239-26-000114). Arm is a foreign private issuer and files no Form 10-Q; this Form 6-K is its quarterly report. Its March 31, 2026 balance sheet column agrees with the Form 20-F.
- Arm prepares its financial statements under U.S. GAAP and reports in U.S. dollars, and it operates as a single operating segment.
- Sign convention: cost of sales and operating expenses are stated as positive amounts (the income statement prints them in parentheses). Income from equity investments, net interest income, other non-operating income and the income tax line keep the filing's own sign, so a negative income tax figure is an expense and a positive one a benefit. Cash flow lines keep the filing's sign, with outflows negative.
- Revenue by type (license and other revenue, royalty revenue) comes from the segment information note of each filing. Revenue from related parties is revenue from Arm China, from customers in which Arm has an equity method investment, and from other entities under common control of SoftBank Group, Arm's controlling shareholder. For the two quarters, the related-party detail (Arm China license agreement, consulting agreement with an affiliate of SoftBank Group, and Ampere) is taken from the related-party note of the Q1 FY2027 quarterly report, which states those amounts to one decimal place in millions; the three items sum to within rounding of the related-party revenue line.
- free_cash_flow is computed here as net cash provided by operating activities less purchases of property and equipment; it is not a figure Arm prints. non_gaap_free_cash_flow_company_defined is Arm's own non-GAAP measure, which also deducts purchases of intangible assets and payments of intangible asset obligations. It is taken as printed from the reconciliation in Arm's Q1 FY2027 results press release (Exhibit 99.2 to the Form 6-K with accession 0001973239-26-000113) and is shown only for the periods that release covers.
- ordinary_shares_outstanding is the number of ordinary shares issued and outstanding stated in the shareholders' equity section of each balance sheet (1,068 million at June 30, 2026; 1,064 million at March 31, 2026; 1,057 million at March 31, 2025).
- Each Arm American depositary share represents one ordinary share, so per-share amounts apply equally per ADS. There were no share splits in the periods covered.
- The balance sheets present no line for borrowings or debt; lease obligations appear as operating lease liabilities (finance lease liabilities are included within other current and other non-current liabilities, per the FY2026 Form 20-F).
- The year-to-date view equals the first quarter of fiscal 2027, because the fiscal year began on April 1, 2026. The trailing-twelve-month view is derived as described in its own block.
Uncertainties
- The quarterly statements are unaudited, as is the results press release from which Arm's non-GAAP free cash flow is taken.
- No balance sheet is reported for fiscal 2024 or as of June 30, 2025, because neither filing used here presents one for those dates.
Company details
| Name | Arm Holdings Plc /Uk |
|---|---|
| Ticker | ARM |
| CIK | 0001973239 |
| Exchange | Nasdaq |
| State | United Kingdom |
| Incorporation | United Kingdom |
| SIC | 3674 |
| Office | Manufacturing |
| Industry | Semiconductors & Related Devices |
Fiscal period
| Fiscal year | 2027 |
|---|---|
| Fiscal period | Q1 |
| Tag | FY27Q1 |
| Period end | 2026-06-30 |
| Form | 6-K |
| Accession | 0001973239-26-000114 |
| Fiscal year end | 0331 |
| Source | facts |
Source filings
| Role | Current | Form | Fiscal year | Fiscal period | Tag | Period end | Filed | Accession | Source |
|---|---|---|---|---|---|---|---|---|---|
| annual | no | 20-F | 2026 | FY | FY26 | 2026-03-31 | 2026-05-26 | 0001973239-26-000097 | reported |
| quarterly | yes | 6-K | 2027 | Q1 | FY27Q1 | 2026-06-30 | 2026-07-29 | 0001973239-26-000114 | facts |
FAQ · Arm financial statements
How much revenue did Arm make in Q1 FY2027?
Arm Holdings plc reported revenue of $1.29 billion for Q1 FY2027, the quarter ended June 30, 2026. That is up 22.4% from $1.05 billion in the same quarter a year earlier.
What were Arm's net income and earnings per share in Q1 FY2027?
Arm Holdings plc reported net income of $270 million for Q1 FY2027, up 107.7% from $130 million a year earlier. Diluted earnings per share were $0.25, against $0.12 in the same quarter a year earlier.
Why did Arm's net income rise while its operating income fell?
Arm Holdings plc's operating income fell to $91 million in Q1 FY2027 from $114 million a year earlier, down 20.2%, because operating expenses led by research and development grew faster than revenue. Net income still rose, mainly because income from equity investments, largely fair-value gains on stakes in publicly listed companies, was $128 million against $4 million a year earlier.
Where can I get Arm Holdings plc (ARM) financial data in machine-readable form?
Ticker Scout publishes Arm Holdings plc's financial statements as JSON at https://tickerscout.ai/arm/financials.json, free, with no API key and no signup. The 20-F and 6-K narrative and the 6-K events digest are published as Markdown at https://tickerscout.ai/arm/narrative.md and https://tickerscout.ai/arm/events.md. Arm Holdings plc's SEC CIK is 0001973239. Every figure cites the SEC accession number it came from, so it can be checked against sec.gov.
When does Arm Holdings plc (ARM) next file with the SEC?
Arm Holdings plc (ARM) is expected to file its next Form 6-K with the SEC on or around November 4, 2026. That date is a projection rather than a company-announced date: it is derived from Arm Holdings plc's own filing history with the SEC, by taking the date the company filed the same fiscal period a year earlier and adding 52 weeks. The most recent periodic report on file is the 6-K for Q1 FY2027, the period ended 2026-06-30, SEC accession 0001973239-26-000114.
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How this page was built
This page was built from three of Arm Holdings plc's own filings with the SEC, read one at a time. Nothing on it is taken from a pre-tagged dataset, a data vendor or another website. The figures are on the company's own fiscal calendar and in actual dollars, as the filings report them. Where the filings do not support a figure, the record says so instead of reporting a zero; this period names two such gaps.
A single company files thousands of pages with the SEC in a year, and no two companies file them the same way, so the reading and the assembly here are done by AI rather than by rules that break on the differences. Every pass is then audited back against the filings it came from before the page is published, and anything the filings do not support is left out and named rather than filled in. AI can still make mistakes. That is why the accession numbers are printed: the filing is the authority, and this page is a route to it.
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