Arm Holdings Plc (NASDAQ:ARM) reported its fourth-quarter financial results after the bell Wednesday. Here's a look at the details. 

The Details:

Arm Holdings reported quarterly earnings of 36 cents per share which beat the analyst consensus estimate of 30 cents by 20%.

Quarterly sales clocked in at $928 million, beating the analyst consensus estimate of $875.59 million by 5.99%.

The company reported quarterly royalty revenue of $514 million, up 37% year-over-year, driven by the rapidly increasing penetration of Armv9-based chips which typically command a higher royalty rate, and the recovery in the semiconductor industry.

Arm said license revenue was $414 million, up 60% year-over-year, due to multiple high-value license agreements being
signed as companies increase investment in Arm-based technology for AI across all end markets.

Outlook: 

Arm sees first-quarter revenue in a range of $875 million to $925 million, versus the $857 million estimate and adjusted earnings of between 32 cents and 36 cents per share, versus the 31 cent estimate.

The company sees fiscal year 2025 revenue in a range of $3.8 billion to $4.1 billion, versus the $3.98 billion estimate, and adjusted earnings of between $1.45 and $1.65 per share, versus the $1.54 estimate.

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ARM Price Action: According to Benzinga Pro, Arm Holdings shares are down 7.65% after-hours at $97.96 at the time of publication Wednesday.

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