Company: AIP
Filing Date: 2025-11-04
Form Type: 10-Q
Source: 0001628280-25-048977
Chunk: 274

Company: Arteris, Inc.
Filing Date: 2025-11-04
Form: 10-Q
Item: Part I, Item 8
Chunk 274
---

The following table summarizes our results of operations as a percentage of total revenue for each of the periods indicated:

Three Months EndedNine Months EndedSeptember 30,September 30,2025202420252024(as a percentage of total revenue)Total revenue100 %100 %100 %100 %Cost of revenue10 10 10 10 Gross profit90 90 90 90 Operating expenses:Research and development73 81 73 79 Sales and marketing39 34 39 37 General and administrative28 29 27 32 Total operating expenses140 144 139 148 Loss from operations(50)(54)(49)(58)Interest expense— — — — Other income (expense), net4 5 4 6 Loss before income taxes and loss from equity method investment(46)(49)(45)(52)Loss from equity method investment, net of tax3 4 4 5 Provision for (benefit from) income taxes2 (1)3 3 Net loss(51)%(52)%(52)%(60)%

Comparison of the Three Months Ended September 30, 2025 and 2024

Revenue

Three Months Ended September 30,Change20252024$%(dollars in thousands)Licensing, support and maintenance$15,896 $13,507 $2,389 18 %Variable royalties1,505 1,176 329 28 %Other7 30 (23)(77)%Total$17,408 $14,713 $2,695 18 %

Revenue from licensing, support and maintenance increased by $2.4 million for the three months ended September 30, 2025, compared to the three months ended September 30, 2024. The increase in revenue from licensing, support and maintenance was primarily due to new license arrangements with existing customers, and the addition of new customers. Growth in our variable royalty revenue was primarily due to an increase in product sales of certain existing customers.

Cost of revenue

Three Months Ended September 30,Change20252024$%(dollars in thousands)Cost of revenue$1,766 $1,461 $305 21 %

Cost of revenue increased by $0.3 million or 21%, to $1.8 million for the three months ended September 30, 2025 from $1.5 million for