CDNS Q3 2025

Q1 2026 Q4 2025 Q3 2025 Q2 2025

Earnings

Cadence Design Systems delivered a strong third quarter, with results clearing Wall Street's bar on both top and bottom lines as demand for its electronic design automation tools held firm. Revenue of $1.34 billion grew 10.2% year over year, edging p… Read more Cadence Design Systems delivered a strong third quarter, with results clearing Wall Street's bar on both top and bottom lines as demand for its electronic design automation tools held firm. Revenue of $1.34 billion grew 10.2% year over year, edging past the $1.32 billion consensus estimate by 1.16%, while non-GAAP diluted EPS of $1.93 beat the $1.79 consensus by 7.85%, up from $1.64 in the year-ago period. A key driver behind the performance was record hardware demand, with significant expansions at AI and hyperscale computing customers lifting the company's backlog to a record $7.00 billion, with $3.50 billion expected to convert to revenue over the next 12 months. Non-GAAP operating margin widened to 47.6% from 44.8% a year ago, reflecting improved operational leverage across the business. Cadence raised its full-year 2025 revenue outlook to a range of $5.26 billion to $5.29 billion, implying roughly 14% growth at the midpoint, and lifted its non-GAAP EPS guidance to $7.02 to $7.08, signaling continued confidence in the demand environment despite ongoing insider selling noted among several executives.