CAMPBELL, Calif., Feb. 18, 2025 (GLOBE NEWSWIRE) -- Arteris, Inc. (Nasdaq: AIP), a leading provider of system IP which accelerates system-on-chip (SoC) creation, today announced financial results for the fourth quarter and year ended December 31, 2024 and provided first quarter and full year 2025 guidance.

“In the fourth quarter of 2024, we achieved a record Annual Contract Value plus royalties of $65.1 million, driven by strong demand for our commercial semiconductor System IP products, particularly in AI-driven enterprise computing and automotive SoCs,” said K. Charles Janac, President and CEO of Arteris. “As AI adoption accelerates across data centers, autonomous driving, and edge devices, the growing complexity of both high performance and traditional technologies like MCUs is fueling demand for the efficiency enabled by Arteris’ networks-on-chip IP technology, contributing to new customer wins, and expanded partnerships. With a robust product pipeline and deepening relationships with top-tier technology companies, we believe we are well-positioned to capitalize on exciting high-growth opportunities including Generative AI and Autonomous Driving,” concluded Janac.

Fourth Quarter 2024 Financial Highlights:

• Revenue of $15.5 million, up 24% year-over-year
• Annual Contract Value (ACV) plus royalties of $65.1 million, up 16% year-over-year, growing to the highest level we have ever reported
• Remaining performance obligation (RPO) of $88.4 million, up 22% year-over-year, growing to the highest level we have ever reported
• Operating loss of $7.1 million, compared to an operating loss of $9.2 million in the fourth quarter of 2023
• Non-GAAP operating loss of $2.8 million, compared to a Non-GAAP operating loss of $5.5 million in the fourth quarter of 2023
• Net loss of $8.2 million or $0.20 per share
• Non-GAAP net loss of $3.9 million or $0.10 per share

Full year 2024 Financial Highlights:

• Revenue of $57.7 million, up 8% year-over-year
• Operating loss of $31.6 million, compared to an operating loss of $35.1 million for the year-ended 2023
• Non-GAAP operating loss of $14.8 million, compared to a Non-GAAP operating loss of $19.8 million for the year-ended 2023
• Net loss of $33.6 million or $0.86 per share
• Non-GAAP net loss of $16.9 million or $0.43 per share

Fourth Quarter 2024 Business Highlights:

• 2024 was a strong year for Arteris, seeing accelerating demand for commercial system IP. We signed on 14 new customers, including two major automotive OEMs, and increased our footprint in key technology areas, such as chiplets, microcontrollers (MCUs), and AI;
• Record high $65.1 million in ACV plus royalties, driven by the addition of new customers as well as increased uptake by our current customers;
• Large, established customers are continuing to broaden their use of the Arteris product portfolio, with a top 5 technology company licensing Magillem and CSRCompiler, and a top 5 automotive semiconductor company licensing several additional SoC designs;
• Delivered on last quarter’s strategic expansion into the microcontroller space, licensing Arteris interconnect to Infineon, the leading MCU company, serving the world’s top automotive Tier 1 vendors and OEMs;
• Announced design wins with GigaDevice for automotive microcontrollers, and Menta for edge AI and IoT chiplet designs; and
• Announced the release of FlexGen smart NoC IP, which has the potential to deliver up to 10x engineer productivity and lower power consumption, through the automation of NoC design creation.

Non-GAAP gross profit, Non-GAAP gross margin, Non-GAAP operating loss, Non-GAAP operating loss margin, Non-GAAP net loss, Non-GAAP net loss per share, free cash flow and free cash flow margin are Non-GAAP financial measures. Additional information on Arteris’ historic reported results, including a reconciliation of these Non-GAAP financial measures to their most comparable GAAP measures, is included in the financial tables below.

First Quarter and Full Year 2025 Guidance:

The guidance provided above are forward-looking statements and reflects Arteris' expectations as of today's date. Actual results may differ materially. Refer to the section titled "Forward-Looking Statements" below for information on the factors, among others, that could cause our actual results to differ materially from these forward-looking statements.

A reconciliation of Non-GAAP guidance measures reported above to corresponding GAAP measures is not available on a forward-looking basis without unreasonable effort due to the uncertainty of expenses that may be incurred in the future, although it is important to note that these factors could be material to Arteris' results computed in accordance with GAAP.

Definitions of the other business metrics used in this press release including ACV, active customers, confirmed design starts and RPO are included below under the heading “Other Business Metrics.”

Conference Call

Arteris will host a conference call today on February 18, 2025 to review its fourth quarter and full year 2024 financial results and to discuss its financial outlook.

A live webcast will also be available in the Investor Relations section of Arteris’ website at: https://ir.arteris.com/events-and-presentations

A replay of the webcast will be available in the Investor Relations section of Arteris' website approximately two hours after the conclusion of the call and remain available for approximately 30 calendar days.

About Arteris

Arteris is a leading provider of system IP for the acceleration of system-on-chip (SoC) development across today’s electronic systems. Arteris network-on-chip (NoC) interconnect IP and SoC integration automation technology enable higher product performance with lower power consumption and faster time to market, delivering better SoC economics so its customers can focus on dreaming up what comes next. Learn more at arteris.com.

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