CDNS Q4 2025

Q1 2026 Q4 2025 Q3 2025 Q2 2025

Earnings

Cadence Design Systems closed out fiscal 2025 on a solid note, beating Q4 expectations on both the top and bottom lines as fourth-quarter revenue came in at $1.44 billion, up 6.2% year over year, and non-GAAP EPS of $1.99 cleared the $1.91 consensus … Read more Cadence Design Systems closed out fiscal 2025 on a solid note, beating Q4 expectations on both the top and bottom lines as fourth-quarter revenue came in at $1.44 billion, up 6.2% year over year, and non-GAAP EPS of $1.99 cleared the $1.91 consensus by 4.06%. The results were powered in large part by broad hyperscaler adoption and expanding digital full-flow deployments, which helped Core EDA grow 13% for the full year, while the IP business surged nearly 25% on demand for HBM, PCIe, and SerDes technologies. Full-year revenue of $5.30 billion represented over 14% growth, and the company exited 2025 with a record backlog of roughly $7.80 billion, reinforcing the durability of its recurring-revenue model. Analysts have noted that Cadence occupies a privileged position within the EDA oligopoly, benefiting from high switching costs and secular tailwinds in AI-driven chip complexity. Looking ahead, management guided fiscal 2026 revenue of $5.90 billion to $6.00 billion and non-GAAP EPS of $8.05 to $8.15, with operating cash flow targeted near $2.00 billion, all before any contribution from the pending Hexagon design and engineering acquisition.