Raspberry Pi reported a 63% surge in pre-tax profits for 2025, reaching $26.5 million as the UK chip designer capitalized on AI-driven demand. The Cambridge-based company saw sales increase throughout the year, particularly in China and the US, while revenues climbed 25% to $323 million. Chief executive Eben Upton highlighted the company's progress toward becoming a two-franchise business.

The company's adjusted EBITDA reached $46.4 million, surpassing analyst estimates of $41.2 million by 12.6%. Upton noted Raspberry Pi had sold more chips than circuit boards for the first time, reflecting strategic business evolution. The manufacturer successfully navigated rising DRAM costs, a crucial memory component in its devices, despite market challenges.

Results followed a dramatic stock surge that briefly pushed Raspberry Pi into "meme stock" territory. Shares rose from £2.57 to over £4.44 as retail investors bet on the AI potential of the British company's credit card-sized computers. The stock later retreated, closing at £2.91 on Monday, reflecting market volatility around AI-themed investments.