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ARM · Nasdaq · United States · Semiconductors & Related Devices
In shortARM HOLDINGS PLC /UK is profitable.
Financial health
Strong
Built from five areas over the last five annual reports. Tap an area to see the figures behind it.
| Operating marginShare of each sale left after running the business, before interest and tax. | 18.3% | 78/100 |
|---|---|---|
| Net marginShare of each sale left as profit after every cost, interest and tax. | 18.4% | 93/100 |
| Return on equityProfit earned on the money shareholders put in. Above 15% is strong. | 12.0% | 60/100 |
| Return on invested capitalProfit earned on all the capital used (equity and debt). Above 10% usually means a real competitive edge. | – | n/a |
Weight in the score: 25%
| Current ratioShort-term assets divided by short-term debts. Below 1 can mean tight cash. | 6.00× | 100/100 |
|---|---|---|
| Debt / equityDebt compared with the shareholders' stake. Above 2 is heavily indebted. | – | n/a |
| Net debt / EBITDAYears of operating profit needed to repay net debt. Below 2 is comfortable. | – | n/a |
| Interest coverageHow many times operating profit covers interest. Below 2 is risky. | – | n/a |
| Altman Z''Bankruptcy-risk model. Above 2.6 safe, below 1.1 distress. | 8.70 | 100/100 |
Weight in the score: 25%
| Free cash flow marginCash left from each sale after investments. The money that can pay dividends or reduce debt. | 19.9% | 100/100 |
|---|---|---|
| Free cash flow / net incomeHow much accounting profit turns into real cash. Near 1 or above is healthy. | 1.08× | 98/100 |
| Years with positive free cash flow (last 5) | 5 of 5 | 100/100 |
Weight in the score: 20%
| Profitable years (last 5) | 5 of 5 | 100/100 |
|---|---|---|
| Years of revenue decline (last 5) | 1 of 4 | 58/100 |
| Revenue growth volatility | 11.8% | 68/100 |
| Operating margin volatility | 8.6% | 31/100 |
Weight in the score: 20%
| Revenue growth, 3-year average | 22.5% | 100/100 |
|---|---|---|
| EPS growth, 3-year average | 18.6% | 100/100 |
Weight in the score: 10%
Fiscal year 2026 · change vs prior year
Annual figures as reported. Hover a bar or point for the exact value.
The last 5 fiscal years from the company's annual reports.
USD millions; negative values in parentheses.
| Fiscal year | FY22 | FY23 | FY24 | FY25 | FY26 |
|---|---|---|---|---|---|
| Revenue | 2,703 | 2,679 | 3,233 | 4,007 | 4,920 |
| Cost of revenue | 131 | 106 | 154 | 121 | 121 |
| Gross profit | 2,572 | 2,573 | 3,079 | 3,886 | 4,799 |
| Research & development | 995 | 1,133 | 1,979 | 2,071 | 2,776 |
| Selling, general & admin | 897 | 762 | 983 | 984 | 1,115 |
| Operating income | 633 | 671 | 111 | 831 | 900 |
| Pre-tax income | 786 | 671 | 212 | 720 | 1,157 |
| Income tax | 110 | 147 | (94) | (72) | 253 |
| Net income | 549 | 524 | 306 | 792 | 904 |
| Diluted EPS | $0.54 | $0.51 | $0.29 | $0.75 | $0.85 |
| Diluted shares (millions) | 1,025 | 1,028 | 1,044 | 1,063 | 1,068 |
8.70 Safe zone
Estimates bankruptcy risk from working capital, retained earnings, operating profit and equity. Above 2.6 is considered safe, below 1.1 signals distress.
8/9
Nine yes-or-no tests on profitability, debt, liquidity and efficiency versus the prior year. 7 to 9 is strong, 0 to 3 is weak.
All figures: SEC EDGAR. Ratios and scores are computed by Scorvest (see how it works). Information only, not investment advice. How it works
Latest annual report: Mar 31, 2026 · Data updated Jul 29, 2026