Arteris, Inc. (AIP) shares surged 7.15% in after-hours trading on Tuesday, following the release of the company's first-quarter financial results, which significantly exceeded analyst expectations.
The semiconductor IP provider reported Q1 revenue of $22.9 million, a 39% year-over-year increase that beat the consensus estimate of $21.03 million. The company's adjusted loss per share narrowed to $0.03, surpassing the estimated loss of $0.07. Management attributed the strong performance to growing customer engagement in AI-enabled chips and chiplet architectures across data centers, edge devices, and physical AI systems.
Arteris also provided positive forward guidance, forecasting Q2 revenue between $23 million and $24 million and full-year 2026 revenue in the range of $91 million to $95 million. The combination of a robust earnings beat and an optimistic outlook fueled investor optimism, driving the stock higher in extended trading.