Filing Flows › Arm Holdings (ARM) › Q2 FY26
Arm Holdings (ARM) Q2 FY26 earnings results (second quarter fiscal 2026)
6-K filed Nov 5, 2025
Arm Holdings (ARM) reported revenue of $1.1B for the second quarter fiscal 2026 (Q2 FY26), +34% from a year earlier and +8% from the quarter before. Operating margin was 14.4%, net earnings $238M (21.0% of revenue).
Arm Holdings, Q2 FY26: revenue $1.1B (+34% year over year), operating margin 14.4%, net earnings $238M, operating cash flow $567M. The chart follows the revenue to costs, profit and cash.
| Q2 FY26 | Amount | Q/Q | Y/Y |
|---|---|---|---|
| Revenue | $1.1B | +8% | +34% |
| Gross profit | $1.1B | +8% | +36% |
| Operating profit | $163M | +43% | +155% |
| Net earnings | $238M | +83% | +122% |
| Operating cash flow | $567M | +71% | 94× |
| Free cash flow | $429M | +141% | — |
What changed
Revenue was $1.1B in Q2 FY26, up 34% year over year and up 8% from the previous quarter. Royalty Revenue was the largest line at 55% of revenue. License and Other Revenue added $0.18B year over year (up 56%), 64% of the total change.
Gross margin was 97.4%, up 1.2 points from Q2 FY25. Operating profit was $0.16B, a 14.4% margin (up 6.8 points year over year). Of the extra revenue versus Q2 FY25, 34% reached operating profit, above the 8% margin then. Operating expenses grew 26% against revenue growth of 34%. The fastest-growing cost line was Research & development (+36%). Net earnings were $0.24B, up 122% year over year. The effective tax rate was 21.2%. Non-operating items added $0.14B, 46% of pre-tax earnings, so the bottom line overstates operating performance.
Operating cash flow was $0.57B (up 9350% year over year), 238% of net earnings. Non-cash charges added back $0.06B of depreciation and amortization and $0.27B of share-based compensation. Capital expenditures of $0.14B left free cash flow of $0.43B.
Questions
What was Arm Holdings' revenue in the second quarter fiscal 2026?
Arm Holdings (ARM) reported revenue of $1.1B for the second quarter fiscal 2026 (Q2 FY26), +34% from a year earlier and +8% from the quarter before.
Was Arm Holdings profitable in the second quarter fiscal 2026?
Operating profit was $163M (14.4% of revenue) and net earnings $238M.
Source: Arm Holdings 6-K on SEC EDGAR.