(Updates share price in fifth paragraph.)
Oct. 25 (Bloomberg) -- ARM Holdings Plc, the U.K. designer of chips that help power Apple Inc.’s iPhone and iPad, predicts 2011 sales will rise about 21 percent on new business.
Full-year revenue will reach about $763 million, “in line with current market expectations,” Cambridge-based ARM said in a statement today. Analysts in a Bloomberg survey had forecast $750.8 million.
ARM, which has broadened its range of product designs as it steps up competition with the largest chipmaker, Intel Corp., added clients who want low-power chips that won’t drain batteries in mobile phones and computers. Growth is also coming from digital televisions and networking equipment, Chief Executive Officer Warren East said in the statement.
Third-quarter pretax profit more than doubled to 43 million pounds ($69 million) while sales rose 22 percent to $192.3 million. Analysts had estimated revenue at $188.1 million in a Bloomberg survey.
ARM rose 0.6 percent to 579 pence at 8:51 a.m. in London trading, giving the company a market value of about 7.8 billion pounds. The stock has gained 37 percent this year.
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