In Q1 2026, Arm Holdings plc achieved a remarkable revenue of $1.05 billion, marking a year-on-year increase of 12.14%, driven predominantly by escalating demand for AI compute across various markets. The company reported a net income of $130 million, reflecting a net income ratio of 12.34%. This robust performance aligns with management's expectation, evidenced by a 25% year-on-year growth in royalty revenue, which reached a record $585 million. Management emphasized their strategic positioning to capture AI opportunities in both cloud and edge devices, particularly highlighting their ability to cater to significant customers such as NVIDIA and AWS. Looking ahead, management remains optimistic, forecasting revenue growth of 25% year-on-year for Q2 2026 based on robust licensing pipeline and customer demand.