AIP earnings analysis
What we found in AIP's 10-Q: the parts that mattered, the offsets in the same document, and what the company said about what comes next.
Our reading of the filing · Free to read, no account needed
Arteris, Inc. reported a strong revenue increase in Q1 2026, reaching $22.9 million, up 39% from $16.5 million in Q1 2025. The company achieved an EPS loss of $0.17, an improvement from a loss of $0.20 a year earlier. Despite ongoing operating losses, management remains optimistic about future growth, bolstered by the recent acquisition of Cycuity, and reiterated guidance indicating robust performance going forward, particularly in the semiconductor market.
The parts that mattered.
Pulled out of the filing itself, with the figures the company reported.
- Revenue Growth Surpasses Expectations
- Total revenue was $22.9 million, up 39% from $16.5 million in the prior year.
- Operating Loss Improvement
- Operating loss was $9.3 million, an increase from $7.7 million a year ago, but improved EPS to a loss of $0.17 from $0.20.
- Free Cash Flow Recovery
- Free cash flow showed recovery with a utilization pattern shifting positively, indicating a more sustainable model.
- Segment Expansion from Cycuity
- The acquisition of Cycuity significantly expanded the product offering, contributing to revenue through hardware security services.
- Strong ACV Growth
- Annual Contract Value climbed to $84.9 million from $62.1 million year-over-year.
- Positive Market Outlook
- Management anticipates continued revenue growth driven by demand in semiconductors and AI technology.
And the other side of it.
The offsets in the same document — the things a summary that only listed the good news would have left out.
- Increased Operating Expenses
- Operating expenses rose 28% to $28.9 million with a significant increase in R&D costs impacting profitability.
- Dependence on Key Customers
- Revenue remains concentrated among a small number of customers, exposing the company to risks if any lose business.
- Disruptions from Geopolitical Tensions
- Geopolitical issues, particularly regarding China, may threaten business operations and revenue generation.
What they reported.
What the company itself reported, taken out of the document.
- Earnings per share
- $-0.17
- Gross margin
- 86%
- Operating margin
- -40%
What they said about what is next.
Management expects Q2 2026 revenue between $23.0 million and $24.0 million, and maintains full-year guidance of $91 million to $95 million.
The filing reads better than the one before it.
What came before.
- 10-K · February 12, 2026
- Arteris positions itself as a global leader in System IP (NoC interconnect and SoC integration automation) with solutions embedded in over four billion production SoCs and ~90% average customer retention. Revenue grew…
- 10-Q · August 5, 2025
- Arteris reported quarterly revenue of $16,502 (i.e., $16,502,000), up versus the year-ago quarter but essentially flat sequentially, with gross profit of $14,760 (gross margin ~89.5%). The company remains unprofitable:…
- 10-Q · May 13, 2025
- Arteris reported Q1 revenue of $16,532,000, up $3,585,000 versus the prior-year quarter, with gross margin expanding to 90.8% and operating loss narrowing to -46.6% (loss from operations $7,708,000). The company remains…
- 10-Q · November 7, 2023
- Arteris reported third-quarter revenue of $13,274,000, up from $12,598,000 in the prior-year quarter, with gross profit of $11,994,000 (≈90.4% gross margin). Despite the revenue increase, operating loss widened to…
This is our reading of a public filing, not the filing. Read the original on SEC.gov · Educational only. Nothing here is investment advice.
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