Arteris Inc (AIP) FinancialsAIPArteris Inc

Arteris Inc (AIP) generates its revenue through a diversified portfolio of business segments. Currently, the largest contributor to its top-line growth is Licensing, support and maintenance, accounting for 86.3% of total sales, equivalent to $20.82M. Other significant revenue streams include Variable royalties and Other. Understanding this composition is critical for investors evaluating how AIP navigates market cycles within the Software industry.

Evaluating the bottom line, Arteris Inc maintains a gross margin of 85.05%. This metric reflects the company's pricing power and manufacturing efficiency. Further down the income statement, the operating margin stands at -48.45%, while the net margin is -58.28%. These profitability ratios, combined with a Return on Equity (ROE) of -131.41%, provide a clear picture of how effectively AIP converts its operational activities into shareholder value.

In the context of the broader market, AIP competes directly with industry leaders such as AEVA and CEVA. With a market capitalization of $1.19B, it holds a leading position in the sector. When comparing efficiency, AIP's gross margin of 85.05% stands against AEVA's 35.67% and CEVA's 87.07%. Such benchmarking helps identify whether Arteris Inc is trading at a premium or discount relative to its financial performance.

Arteris has shown a consistent increase in revenue, with Q2 2026 revenue at $24.13 million, up from $15.49 million in Q4 2024. However, the company has been reporting net losses, with a net income of -$14.07 million in Q2 2026. The gross margin remains strong at around 85% in recent quarters, indicating efficient cost management.