Arm Holdings delivered robust Q1 FY2025 results with total revenue reaching $939 million, up 39% YoY. License and other revenue grew 72% to $472 million driven by multiple high-value license agreements, while royalty revenue increased 17% to $467 million due to smartphone market recovery and higher adoption of Armv9 technology. Operating income rose to $182 million from $111 million YoY.Research and development expenses increased 44% to $485 million as the company continued investing in next-generation products. Selling, general and administrative expenses grew 22% to $239 million. The effective tax rate decreased to 8.6% from 17.3% YoY, primarily due to tax benefits from share-based compensation.The company maintained a strong liquidity position with $1.47 billion in cash and cash equivalents plus $1 billion in short-term investments as of June 30, 2024. Operating cash flow was negative $290 million for the quarter, primarily due to timing of contract assets and payments.

Arm Holdings delivered robust Q1 FY2025 results with total revenue reaching $939 million, up 39% YoY. License and other revenue grew 72% to $472 million driven by multiple high-value license agreements, while royalty revenue increased 17% to $467 million due to smartphone market recovery and higher adoption of Armv9 technology. Operating income rose to $182 million from $111 million YoY.Research and development expenses increased 44% to $485 million as the company continued investing in next-generation products. Selling, general and administrative expenses grew 22% to $239 million. The effective tax rate decreased to 8.6% from 17.3% YoY, primarily due to tax benefits from share-based compensation.The company maintained a strong liquidity position with $1.47 billion in cash and cash equivalents plus $1 billion in short-term investments as of June 30, 2024. Operating cash flow was negative $290 million for the quarter, primarily due to timing of contract assets and payments.