NASDAQ$AIP

Arteris Inc · Q1 2024 earnings

Q1 2024 earnings · · Investor relations

Briefing

Announced financial results for the first quarter ended March 31, 2024 and provided second quarter and full year 2024 guidance.

Arteris reported a solid start to 2024 with positive free cash flow in the first quarter, driven by robust licensing activity across all verticals including Enterprise Computing and Automotive deals. The company secured five major deals with top 30 global technology firms.

  • Revenue of $12.9 million.
  • Annual Contract Value (ACV) and trailing-twelve-months (TTM) variable royalties of $58.2 million, up 6% year-over-year.
  • Remaining performance obligation (RPO) of $74.7 million, up 30% year-over-year, growing to the highest level the company has ever reported.
  • Non-GAAP free cash flow of positive $0.3 million or 2.2% of revenue.

Headline financials

Total Revenue

$12.9M

Previous: $13.2M-1.6%
EPS (adj)

-$0.15

Previous: -$0.17+11.8%
Capital Expenditures

-$196K

Previous: -$120K-63.3%
Free Cash Flow

-$9.6M

Previous: -$9.13M-5.1%
Net Income

-$9.4M

Previous: -$9.01M-4.4%
Operating Income

-$9.13M

Previous: -$8.76M-4.3%
Gross Profit

$11.5M

Previous: $12M-4.6%
R&D Expense

$10.8M

No prior period
Stock-Based Comp

$3.66M

Previous: $2.99M+22.5%

Revenue & EPS history

Arteris · Revenue · Quarterly

$12.9M

Q1 2024-1.6%vs Q1 2023
Beat estimate in 12 of 15 quarters(80%)
ActualEstimate

Revenue by segment

Arteris · $12.6M total across 2 segments · Q3 2022

  • Licensing, support and maintenance
    $11.1M+36.9%
  • Variable royalties and other
    $1.46M+77.8%

Forward guidance

Arteris provided second quarter and full year 2024 guidance.

Tailwinds

  • Q2 2024 ACV + TTM royalties: $58.0 - $62.0 million
  • FY 2024 ACV + TTM royalties: $62.0 - $68.0 million
  • Q2 2024 Revenue: $13.2 - $14.2 million
  • FY 2024 Revenue: $54.5 - $57.5 million
  • FY 2024 Free cash flow: $(2.4) - $(2.6) million

Headwinds

  • Q2 2024 Free cash flow: $(1.4) - $1.6 million
  • Q2 2024 Non-GAAP operating loss: $4.5 - $6.5 million
  • FY 2024 Non-GAAP operating loss: $19.4 - $23.4 million

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 18 quarterly earnings reports · overlaid with Q1 2024

Historical avgQ1 2024

-1.5%

Avg return

Earnings day

-2.0%

Avg return

5 days after

+0.6%

Avg return

30 days after

27%

6 / 22 earnings

Positive

+31.4%

Q1 2024

Best reaction

-25.1%

Q3 2023

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+9.4%+2.7%+26.6%
Q4 2025-2.0%-3.6%-1.9%
Q3 2025+26.0%+21.3%+42.5%
Q1 2025-10.2%-10.1%-4.9%
Q4 2024-1.5%-8.1%-22.4%
Q3 2024+25.6%+22.7%+31.0%
Q2 2024-8.7%-18.2%+4.8%
Q1 2024+31.4%+41.1%+30.7%
Q4 2023-7.5%-11.2%-1.8%
Q3 2023-25.1%-31.8%-12.4%
Q2 2023+0.1%-1.3%-0.1%
Q1 2023+17.5%+17.0%+77.9%
Q4 2022-16.9%-21.5%-37.7%
Q3 2022-7.4%+9.0%-18.6%
Q2 2022-2.5%-5.8%-17.4%
Q1 2021-3.6%+2.1%-2.0%
Q1 2022-3.6%+2.1%-2.0%
Q2 2021-8.4%-6.1%-3.6%
Q4 2021-8.3%-16.0%-10.9%
Q3 2020-12.1%-10.1%-22.3%
Q4 2020-12.1%-10.1%-22.3%
Q3 2021-13.7%-7.4%-20.1%
Q2 2020
Q1 2020

Discussion

Share your read of this quarter. Sign-in carries your eToro identity.

Join the conversation

Sign in with eToro to post your read of this quarter and vote on others'.

Sign in with eToro