Company: AIP
Filing Date: 2025-11-04
Form Type: 10-Q
Source: 0001628280-25-048977
Chunk: 359

Company: Arteris, Inc.
Filing Date: 2025-11-04
Form: 10-Q
Item: Part I, Item 2
Chunk 359
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 period but generally decrease over the long term.

Interest expense: Interest expense consists primarily of interest expense on our vendor financing arrangements.

Other income (expense), net: Other income (expense), net consists primarily of interest income earned on our cash and cash equivalents and available-for-sale investments, gains and losses from foreign currency exchange, gain on deconsolidation of subsidiary, realized gains and losses from available-for-sale investments as well as deferred income.

Loss from equity method investment: Loss from equity method investment consists of our proportionate share of net losses from our equity method investee. 

Provision for (benefit from) income taxes: Our income tax provision consists primarily of income taxes in certain foreign jurisdictions in which we conduct business and includes foreign non-recoverable withholding taxes. We have a full valuation allowance against our U.S. federal and state deferred tax assets as the realization of the full amount of these deferred tax assets is uncertain, including net operating loss carryforwards and tax credits related primarily to research and development. We expect to maintain this full valuation allowance until it becomes more likely than not that the deferred tax assets will be realized.

26

Results of Operations

The following table summarizes our GAAP results of operations for the periods presented. The results below are not necessarily indicative of results to be expected for future periods. 

Three Months EndedNine Months EndedSeptember 30,September 30,2025202420252024(in thousands)Total revenue$17,408 $14,713 $50,442 $42,235 Cost of revenue (1)1,766 1,461 5,034 4,387 Gross profit15,642 13,252 45,408 37,848 Operating expenses:Research and development (1)12,648 11,923 36,681 33,475 Sales and marketing (1)6,850 4,962 19,714 15,431 General and administrative (1)4,858 4,286 13,683 13,436 Total operating expenses24,356 21,171 70,078 62,342 Loss from operations(8,714)(7,919)(24,670)(24,494)Interest expense(49)(55)(139)(199)Other income (expense), net636 775 2,140 2,576 Loss before income taxes and loss from equity method investment(8,127)(7,199)(22