ARM Holdings Plc reported second-quarter sales that beat estimates as phone and tablet makers demanded more advanced graphics and processing technology. The company's rvenue increased 26 percent to 171.2 million pounds ($263 million) in the second quarter, ARM said in a statement today.

ARM is focused on increasing its share of the markets for semiconductor designs for connected appliances and Web-enabled televisions, as well as tablets and smartphones.

ARM said it expects a "small sequential increase" in industry revenue in the third quarter based on its performance last quarter. The company expects full-year revenues to be in-line with or better than market expectations of $1.08 billion.