On November 5, Arm (ARM.O) reported second-quarter results for fiscal 2026: revenue reached $1.44 billion, up 27% year-over-year and surpassing market expectations of $1.38 billion, while adjusted EPS came in at $0.52, above the anticipated $0.47. The company guided third-quarter revenue to approximately $1.54 billion, broadly in line with market expectations of $1.53 billion. Growth in the data center business offset weakness in the smartphone market. Arm is evolving from a chip architecture licensor into a chip manufacturer, with its self-developed CPUs expected to contribute up to $2 billion in combined revenue across fiscal 2027 and 2028. CEO Haas said the company is more confident than ever in hitting that revenue target, though supply constraints remain a headwind to growth. Second-quarter licensing revenue jumped 50% year-over-year to $773 million, while royalty revenue rose 8% to $670 million. Following the earnings release, Arm's after-hours share price fluctuated; the stock had earlier risen more than 4% and was last down 3.8%.