Arm shares drop on weak forecast

Group 1 - Arm Holdings' shares dropped over 8% in extended trading after issuing weaker-than-expected guidance for the current quarter [1] - For the fiscal fourth quarter, Arm's revenue was between $1 billion and $1.1 billion, which is below the $1.1 billion average estimated by analysts [2] - Earnings per share for the first quarter are projected to be between 30 cents and 38 cents, while analysts expected 42 cents [2] Group 2 - SoftBank controls approximately 90% of Arm and took the company public in 2023, with a current market cap exceeding $130 billion [3] - Arm's royalty revenue increased by 18% year-over-year to $607 million [3] - The company's net income fell 6% to $210 million, or 20 cents per share, compared to $224 million, or 21 cents per share, in the previous year [4]