Business highlights

• – Dollar revenue growth at twice the semiconductor industry rate
• – Strong licensing and royalty momentum in the Processor Division; units shipped up 18%
• – Cortex™ family uptake has been the fastest in ARM’s history; 37 licenses since launch in 2005
• – Physical IP business better positioned to capitalise on long-term growth opportunities; started 32nm R&D
• – Record bookings quarter in Q4; backlog at highest ever level up 24%
• – £147 million cash returned to shareholders
• – 100% increase recommended to 2007 total dividend to 2.0 pence per share