Company: AIP
Filing Date: 2025-08-05
Form Type: 10-Q
Source: 0001667011-25-000029
Chunk: 36

Company: Arteris, Inc.
Filing Date: 2025-08-05
Form: 10-Q
Item: Part I, Item 1
Chunk 36
---
2024. The increase in R&D expenses was due to higher employee-related costs of $1.8 million, mainly driven by increased headcount to support growth of our business, including stock-based compensation expense. We also incurred higher professional fees of $0.3 million and received lower grants of $0.2 million by our subsidiary in France for R&D projects.

Sales and marketing expenses

S&M expenses increased by $2.4 million or 23%, to $12.9 million for the six months ended June 30, 2025 from $10.5 million for the six months ended June 30, 2024. The increase in S&M expenses was primarily due to higher employee-related costs of $2.1 million mainly driven by increased headcount to support growth of our business, including stock-based compensation expense.

32

General and administrative expenses

G&A expenses remained relatively flat for the six months ended June 30, 2025 compared to the six months ended June 30, 2024.

Interest expense

Six Months Ended June 30,Change20252024$%(dollars in thousands)Interest expense$(90)$(144)$54 (38)%

Interest expense remained relatively flat for the six months ended June 30, 2025 compared to the six months ended June 30, 2024.

Other income (expense), net

Six Months Ended June 30,Change20252024$%(dollars in thousands)Other income (expense), net$1,504 $1,801 $(297)(16)%

Other income (expense), net decreased by $0.3 million, or 16%, to $1.5 million for the six months ended June 30, 2025, from $1.8 million for the six months ended June 30, 2024. The decrease in interest and other income (expense), net was primarily related to foreign currency exchange, as well as lower interest rates on cash balances and lower interest income earned on our available-for-sale investments.

Loss from equity method investment

Six Months Ended June 30,Change20252024$%(dollars in thousands)Loss from equity method investment$1,595 $1,484 $111 7 %

Loss from equity method investment remained relatively flat for the six months ended June 30, 2025 compared to the six months ended June 30, 2024. Such losses are expected to continue in the near future. Transchip's ability to