Arteris, Inc. ( (AIP) ) has released its Q4 earnings. Here is a breakdown of the information Arteris, Inc. presented to its investors.
Discover the Best Stocks and Maximize Your Portfolio:
- See what stocks are receiving strong buy ratings from top-rated analysts.
- Filter, analyze, and streamline your search for investment opportunities with TipRanks’ Stock Screener.
Arteris, Inc. is a prominent provider of system IP that accelerates the development of system-on-chip (SoC) for electronic systems, focusing on enhancing product performance while reducing power consumption and time to market. The company, headquartered in Campbell, California, operates primarily in the semiconductor industry, with a unique emphasis on networks-on-chip (NoC) IP and SoC integration automation technology.
In its latest earnings report, Arteris announced a record Annual Contract Value plus royalties of $65.1 million for Q4 2024, mainly due to increased demand for its semiconductor System IP products in sectors like AI-driven enterprise computing and automotive SoCs. The company also reported a Q4 2024 revenue of $15.5 million, representing a 24% year-over-year increase, while its full-year 2024 revenue grew by 8% to reach $57.7 million.
Key financial highlights for the fourth quarter included a significant reduction in operating losses from $9.2 million in Q4 2023 to $7.1 million in Q4 2024, and an improvement in Non-GAAP operating losses from $5.5 million to $2.8 million over the same period. The company also achieved record high levels in its remaining performance obligation, which grew by 22% year-over-year to $88.4 million. Strategic business moves included the signing of 14 new customers, including major automotive OEMs, and the release of FlexGen smart NoC IP aimed at boosting engineer productivity.
Looking ahead, Arteris expects continued growth, projecting its ACV plus royalties for Q1 2025 to be between $65.5 million and $67.5 million, and for the full year 2025, between $73.0 million and $77.0 million. The company is poised to capitalize on growing opportunities in Generative AI and Autonomous Driving markets, given its strong product pipeline and deepening relationships with top-tier tech companies.
