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Arm Holdings announced its Q3 2026 earnings, reporting a profit of $223 million, a decline from $252 million in the same quarter last year. Revenue increased by 26% to $1.24 billion, exceeding analyst expectations.

Royalty revenue grew 27% to $737 million, and licensing revenue rose 25% to $505 million. The company anticipates adjusted earnings of 58 cents per share for the fiscal fourth quarter, with revenue projected at approximately $1.47 billion. Arm's performance reflects strong demand for chips in AI data centers.