ARM?s recent new licensee wins are beginning to pay off for the UK semiconductor design house whose third quarter profits soared 75 per cent.
Revenues to 30 September leapt 68 per cent to #11.3 million from last year, and increased 13 per cent over Q2. Pre tax profits jumped 75 per cent to #2.5 million.
ARM's nine month revenues were #29.8 million, up 62 per cent, and profits were #6.4 million, up 98 per cent on 1997.
Revenues are still slightly on the puny side however, but its licence deals with 31 semiconductor manufacturers, shows that it packs a punch way beyond its size. It recently added Hewlett-Packard and Qualcomm as licensees in Q3.
The company?s pitch at the quality embedded and hand held devices markets is paying big dividends, and it is pumping more money into research and development.
However operating margins -- currently 18 per cent -- are expected to remain under pressure, the company warns.
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