Arm Holdings reported solid fiscal first-quarter earnings, with revenue increasing 22% year-over-year to $1.29 billion. The company projects fiscal second-quarter revenue to reach approximately $1.38 billion, also representing 22% year-over-year growth. Arm expressed increased confidence in achieving over $1 billion in server CPU revenue in fiscal 2028, citing a backlog that has grown to over $2 billion and improved supply chain conditions. The company previously announced in March its entry into physical chip manufacturing with the introduction of its Arm Artificial General Intelligence (AGI) CPU, targeting a 15% market share in the data center CPU market, which it expects to grow to $100 billion by 2031.