British chip designer ARM has revealed its Q3 pre-tax earnings were up 22 per cent to £68.1 million.
Analysts expected ARM to report quarterly pre-tax profit of £67.4m and revenue of £140m. The company beat both these expectations with revenue of £144.6 million.
"ARM is sensitive to some strong growth areas, like smartphones and tablets, and those of course are the parts of the industry that are growing much faster than the average," chief financial officer Tim Score told reporters.
He went on to explain that the figures were largely due to a 25 per cent rise in royalties to $121.1m, about $6m ahead of expectations.
ARM’s technology powers most tablets and a large number of smartphones. Apple is one of its biggest customers and is expected to unveil the iPad Mini later today.
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