Press Release: Arteris Announces Financial Results for the Fourth Quarter and Full Year 2025 and Estimated First Quarter and Full Year 2026 Guidance

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CAMPBELL, Calif., Feb. 12, 2026 (GLOBE NEWSWIRE) -- Arteris, Inc. (Nasdaq: AIP), a leading provider of semiconductor technology for accelerating innovation in the AI era, today announced financial results for the fourth quarter and year ended December 31, 2025 and provided estimated first quarter and full year 2026 guidance.

"In the fourth quarter of 2025, we again delivered strong financial results, including a new record of Annual Contract Value plus royalties reaching $83.6 million, representing 28% year-over-year growth. During the quarter, our customers surpassed the milestone of more than four billion systems shipped with SoCs connected by Arteris System IP, and we enjoyed royalty growth of 50% year-over-year," said K. Charles Janac, President and CEO of Arteris. "As cybersecurity threats intensify not just in software but the underlying hardware used across data centers, edge devices, and mission-critical systems, our recent acquisition of Cycuity strengthens Arteris' ability to help customers secure data movement in silicon through proven technology and deep domain expertise. Combined with the acceleration of AI use in semiconductors and the ever increasing SoC complexities created by the proliferation of chiplet-based, multi-die architectures, Arteris is well positioned to deliver on these transformative opportunities," concluded Janac.

Fourth Quarter 2025 Financial Highlights:

   -- Revenue of $20.1 million, up 30% year-over-year 
 
   -- Annual Contract Value $(ACV)$ plus royalties of $83.6 million, up 28% 
      year-over-year, growing to the highest level we have ever reported 
 
   -- Remaining performance obligation (RPO) of $116.8 million, up 32% 
      year-over-year, growing to the highest level we have ever reported. We 
      expect approximately half of our RPO will be recognized as revenue in 
      2026. This projection excludes cancelable and non-cancelable Flexible 
      Spending Accounts. 
 
   -- Operating loss of $8.5 million, compared to an operating loss of 
      $7.1 million in the fourth quarter of 2024 
 
   -- Non-GAAP operating loss of $2.2 million, compared to a Non-GAAP operating 
      loss of $2.8 million in the fourth quarter of 2024 
 
   -- Net loss of $8.5 million or $0.19 per share 
 
   -- Non-GAAP net loss of $2.3 million or $0.05 per share 
 
   -- Non-GAAP free cash flow of positive $3.0 million or 15% of revenue 

Full year 2025 Financial Highlights:

   -- Revenue of $70.6 million, up 22% year-over-year 
 
   -- Variable royalties of $6.6 million, up 50% year-over-year 
 
   -- Operating loss of $33.1 million, compared to an operating loss of 
      $31.6 million for the year ended 2024 
 
   -- Non-GAAP operating loss of $12.5 million, compared to a Non-GAAP 
      operating loss of $14.8 million for the year ended 2024 
 
   -- Net loss of $34.7 million or $0.82 per share 
 
   -- Non-GAAP net loss of $14.1 million or $0.33 per share 
 
   -- Non-GAAP free cash flow of positive $5.3 million or 8% of revenue 

Recent Business Highlights:

   -- In January 2026, we closed the acquisition of Cycuity, a leading provider 
      of semiconductor security verification software. This acquisition 
      strengthens Arteris' product portfolio, enabling customers to improve 
      security in IP blocks, chiplets, SoCs and firmware; 
 
   -- Our customers have shipped over four billion SoC chips and chiplets 
      incorporating Arteris network-on-chip technology as the underlying 
      interconnect since Arteris' inception; 
 
   -- FlexGen smart NoC IP has seen strong customer adoption, ending the year 
      with over 30 production device deployments by 10 different customers; 
 
   -- In February 2026, we announced NXP's expanded use of Arteris products 
      across its AI enabled silicon solutions for intelligent vehicles, 
      advanced industrial systems, and consumer electronics. This deployment 
      includes Ncore cache coherent interconnect, FlexNoC non-coherent 
      interconnect, CodaCache last-level cache IP, and Magillem software for 
      SoC integration; 
 
   -- We announced that Black Sesame is licensing both Ncore and FlexNoC IP for 
      its next-generation of advanced automotive semiconductors; 
 
   -- Blaize deployed FlexNoC IP for its Blaize AI platform, delivering a 
      programmable, energy-efficient solution spanning edge and cloud-based AI; 
      and 
 
   -- Arteris became a founding member of the CHASSIS program, an initiative 
      led by Bosch and includes automotive OEMs such as BMW, Renault, and 
      Stellantis, with the goal of creating an open automotive chiplet 
      platform. 

Non-GAAP gross profit, Non-GAAP gross margin, Non-GAAP operating loss, Non-GAAP net loss, Non-GAAP net loss per share, and free cash flow are Non-GAAP financial measures. Additional information on Arteris' historic reported results, including a reconciliation of these Non-GAAP financial measures to their most comparable GAAP measures, is included in the financial tables below.

Estimated First Quarter and Full Year 2026 Guidance:

 
                            Q1 2026         FY 2026 
                         -------------  --------------- 
                                 (in millions) 
ACV + royalties          $85.0 - $89.0  $100.0 - $104.0 
Revenue                  $20.5 - $21.5   $89.0 - $93.0 
Non-GAAP operating loss   $2.5 - $3.5     $5.0 - $9.0 
Free cash flow           ($1.5) - $1.5    $5.0 - $9.0 
 
 

The guidance provided above are forward-looking statements and reflects Arteris' expectations as of today's date. Actual results may differ materially. Refer to the section titled "Forward-Looking Statements" below for information on the factors, among others, that could cause our actual results to differ materially from these forward-looking statements.

A reconciliation of Non-GAAP guidance measures reported above to corresponding GAAP measures is not available on a forward-looking basis without unreasonable effort due to the uncertainty of expenses that may be incurred in the future, although it is important to note that these factors could be material to Arteris' results computed in accordance with GAAP.

Definitions of the other business metrics used in this press release including ACV, confirmed design starts and RPO are included below under the heading "Other Business Metrics."

Conference Call

Arteris will host a conference call today on February 12, 2026 to review its fourth quarter and full year 2025 financial results and to discuss its financial outlook.

 
 Time:                               4:30PM ET 
 United States/Canada Toll Free:   1-800-717-1738 
 International Toll:               1-646-307-1865 
 
 

A live webcast will also be available in the Investor Relations section of Arteris' website at: https://ir.arteris.com/events-and-presentations

A replay of the webcast will be available in the Investor Relations section of Arteris' website approximately two hours after the conclusion of the call and remain available for approximately 30 calendar days.

About Arteris

Arteris is a leading provider of semiconductor technology that accelerates the creation of high-performance, power-efficient silicon with built-in safety, reliability, and security. Innovative Arteris products are designed to optimize data movement and help ease complexity in the modern AI era with network-on-chip (NoC) interconnect intellectual property $(IP)$, system-on-chip (SoC) software for integration automation and hardware security assurance. All are used by the world's top technology companies to improve overall performance and engineering productivity, reduce risk, lower costs, and bring cutting-edge designs to market faster. Learn more at arteris.com.

(c) 2004-2026 Arteris, Inc. All rights reserved worldwide. Arteris, Arteris IP, the Arteris IP logo, and the other Arteris marks found at https://www.arteris.com/trademarks are trademarks or registered trademarks of Arteris, Inc. or its subsidiaries. All other trademarks are the property of their respective owners.

Investor Contacts:

Arteris

Nick Hawkins

Chief Financial Officer

IR@arteris.com

Sapphire Investor Relations, LLC

Erica Mannion and Michael Funari

+1 617 542 6180

IR@arteris.com

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, as amended, including but not limited to, statements regarding market trends and whether we are well positioned to capture these opportunities, our long-term growth opportunity and future financial and operating performance, including our GAAP and Non-GAAP estimated first quarter and full year 2026 guidance. The words such as "may," "will," "could," "expect," "approximately," "believe," "estimate," "future," "guidance," "outlook," and similar words or expressions are intended to identify forward-looking statements, although not all forward-looking statements contain these identifying words. Any forward-looking statements contained herein are based on our historical performance and our current plans, estimates and expectations and are not a representation that such plans, estimates, or expectations will be achieved. These forward-looking statements represent our expectations as of the date of this press release. Subsequent events may cause these expectations to change, and we disclaim any obligation to update the forward-looking statements in the future, except as required by law. These forward-looking statements are subject to known and unknown risks and uncertainties that may cause actual results to differ materially from our current expectations. Important factors that could cause actual results to differ materially from those anticipated in our forward-looking statements include, but are not limited to, the significant competition we face from larger companies and third-party providers; our history of net losses; the amount of our future revenue recognition as it relates to our RPO as of December 31, 2025;

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