Arm Holdings plc Q4 2026 Earnings Recap

Arm's stock gained modestly by 2.1% post-earnings, reflecting a solid quarter with record revenue and EPS but without a strong market reaction that would indicate meaningful upside or downside surprise.

Key Takeaways

• Q4 revenue reached an all-time high of $1.49 billion, up 20% year-over-year, driven by a 29% increase in licensing revenue to $819 million and 11% growth in royalties to $671 million.
• Fiscal 2026 revenue totaled $4.92 billion, up 23%, marking the third consecutive year of over 20% revenue growth.
• Non-GAAP EPS hit a record $0.60 in Q4 and $1.77 for the full year despite increased R&D investment.
• Growth was supported by expanding product strategy, notably with the launch of the Arm AGI CPU targeting Agentic AI workloads and a broad ecosystem backing from over 50 major companies.
• Strong demand is evidenced by more than $2 billion of customer commitments for fiscal 2027 and 2028, more than doubling since the product launch.