Chip designer ARM on track for year after encouraging Q1

LONDON, April 21 (Reuters) - ARM Holdings (LSE: ARM.L - news) , the British chip designer whose technology powers Apple (NasdaqGS: AAPL - news) 's iPhones, said it made an encouraging start to the year, with pretax profit up 24 percent, both just ahead of expectations.

The company, which posted pretax profit of 120.5 million pounds, said it expected its royalty revenue in the second quarter to dip on the first, in line with industry seasonality after the busier holiday period, but overall revenue would be in line with market expectations, which stand at $354.6 million. (Reporting by Paul Sandle; editing by Kate Holton)