Monday, 9 November 2026
Silicon Analytica
Every AI story is a chip story.
All companies
Develops software, hardware and IP for chip design

Cadence Design Systems

Latest quarter: Q3 2026, ended September 2026

CDNS · NasdaqEDA & IP

Compare in Financials

About the company

Cadence Design Systems provides electronic design automation software, hardware and intellectual property used to design chips and electronic systems. Its products cover custom and digital chip design, verification — including hardware emulation and prototyping systems — package and circuit board design, and system analysis software for thermal, electromagnetic and fluid simulation. Cadence also licenses design IP. Its customers include semiconductor companies, hyperscale cloud companies and makers of consumer, automotive and aerospace systems. Most of its revenue is recurring.

Silicon Analytica summary based on the company's latest annual report

Key figures

Q3 2026 · 30 Sept 2026

Revenue
▲ +22.0% y/y
Operating income
▲ +0.8% y/y
Gross marginCalc.
−0.8 pp y/y
Operating marginCalc.
−5.5 pp y/y
Net income
▲ +0.9% y/y
Free cash flow
—

Figures from company filings. Calculated values marked Calc. · Methodology →

How the company earns its revenue

Share of total revenue by product category, as reported (whole percentages). Cadence does not report amounts by category.

$70.0of every $100 · Core EDA

Shares as published by the company. Different classifications are never added together.

View sources

Quarterly trend

12 available quarters · US GAAP

Revenue, USD (left) · gross margin, % (right) · US GAAPRevenueGross margin$0$500M$1B$1.5B$2BQ3 FY2023Q1 FY2024Q3 FY2024Q1 FY2025Q3 FY2025Q1 FY2026Revenue, Q3 FY2023: US$1.0B (Reported)$1.0BRevenue, Q4 FY2023: US$1.1B (Calculated)$1.1BRevenue, Q1 FY2024: US$1.0B (Reported)$1.0BRevenue, Q2 FY2024: US$1.1B (Reported)$1.1BRevenue, Q3 FY2024: US$1.2B (Reported)$1.2BRevenue, Q4 FY2024: US$1.4B (Calculated)$1.4BRevenue, Q1 FY2025: US$1.2B (Reported)$1.2BRevenue, Q2 FY2025: US$1.3B (Reported)$1.3BRevenue, Q3 FY2025: US$1.3B (Reported)$1.3BRevenue, Q4 FY2025: US$1.4B (Calculated)$1.4BRevenue, Q1 FY2026: US$1.5B (Reported)$1.5BRevenue, Q3 2026: US$1.6B (Reported)$1.6B80%100%Gross margin, Q3 FY2023: 89.3% (Calculated)Gross margin, Q4 FY2023: 90.3% (Calculated)Gross margin, Q1 FY2024: 87.6% (Calculated)Gross margin, Q2 FY2024: 86.9% (Calculated)Gross margin, Q3 FY2024: 86.6% (Calculated)Gross margin, Q4 FY2024: 83.8% (Calculated)Gross margin, Q1 FY2025: 86.5% (Calculated)Gross margin, Q2 FY2025: 85.6% (Calculated)Gross margin, Q3 FY2025: 86.4% (Calculated)Gross margin, Q4 FY2025: 86.9% (Calculated)Gross margin, Q1 FY2026: 85.4% (Calculated)Gross margin, Q3 2026: 85.6% (Calculated)85.6%Source: Cadence Design Systems quarterly filings and results releases · gross margin = gross profit ÷ revenue,calculated by Silicon AnalyticaSilicon Analyticasiliconanalytica.com/companies/cadence
View sources
  • Cadence Form 10-Q · XBRL us-gaap:RevenueFromContractWithCustomerExcludingAssessedTax; consolidated statements · Q3 FY2023 · published 30 Oct 2024 · covers
  • Cadence Form 10-K · XBRL us-gaap:RevenueFromContractWithCustomerExcludingAssessedTax; consolidated statements · Q4 FY2023, Q4 FY2024, Q4 FY2025 · published 19 Feb 2026 · covers
  • Cadence Form 10-Q · XBRL us-gaap:RevenueFromContractWithCustomerExcludingAssessedTax; consolidated statements · Q1 FY2024 · published 30 Apr 2025 · covers
  • Cadence Form 10-Q · XBRL us-gaap:RevenueFromContractWithCustomerExcludingAssessedTax; consolidated statements · Q2 FY2024, Q2 FY2025 · published 30 Jul 2025 · covers
  • Cadence Form 10-Q · XBRL us-gaap:RevenueFromContractWithCustomerExcludingAssessedTax; consolidated statements · Q3 FY2024, Q3 FY2025 · published 29 Oct 2025 · covers
  • Cadence Form 10-Q · XBRL us-gaap:RevenueFromContractWithCustomerExcludingAssessedTax; consolidated statements · Q1 FY2025, Q1 FY2026 · published 1 May 2026 · covers
  • Cadence Reports Third Quarter 2026 Financial Results · Condensed consolidated income statements; row 180; value column index 0; read 2026-11-05 · Q3 2026 · published 26 Oct 2026 · covers

Guidance vs actual

Full-year guidance only: Cadence Design Systems does not give a quantitative revenue outlook for the next quarter in its results release.

Financial statements

Full page →

As filed with the SEC (10-K/10-Q), from XBRL data. US$ millions, except per-share amounts; shares in millions.

Line itemQ3 2026To 30 Sept 202610-Q ↗Q2 2026To 30 Jun 202610-Q ↗Q1 FY2026To 31 Mar 202610-Q ↗Q4 FY2025To 31 Dec 202510-K ↗Q3 FY2025To 30 Sept 202510-Q ↗
Revenue1,6331,5841,4741,440c1,339
Research & development538531508—423
Selling, general & administrative355c330c300c310c271c
Operating income429450431463c425
Operating margin26.2%28.4%29.3%32.2%31.8%
Interest & other, net1095−3.2c30c−3.6
Pre-tax income408510428493c393
Income tax11914392105c106
Net income290367336388c287
Net margin17.7%23.2%22.8%27.0%21.4%
Diluted EPS1.051.331.23—1.05
Diluted shares275276274—274

Columns link to the filing. c Calculated by Silicon Analytica from filed figures (hover for the formula); fourth-quarter flows are fiscal year minus nine months. Margins are calculated. Fourth-quarter per-share figures are not filed separately and are left blank.

View sources (5)
  1. Cadence Design Systems 10-Q filed 28 Oct 2026 · accession 0000813672-26-000121
  2. Cadence Design Systems 10-Q filed 29 Jul 2026 · accession 0000813672-26-000092
  3. Cadence Design Systems 10-Q filed 1 May 2026 · accession 0000813672-26-000047
  4. Cadence Design Systems 10-K filed 19 Feb 2026 · accession 0000813672-26-000016
  5. Cadence Design Systems 10-Q filed 29 Oct 2025 · accession 0000813672-25-000148

Values: SEC XBRL company facts (data.sec.gov), refreshed 8 Nov 2026. A period's original filing is used unless a later filing restated it.

Earnings history

Cadence Design Systems's results by period: revenue, margins and segments from stored filings.

Quarters

Fiscal years

Five-year financial history

US GAAP

Latest 5 completed fiscal years, US GAAP, USD, as reported in annual filings (restated comparatives used where later filings revised them). Ratios and growth are Silicon Analytica calculations from the same records.

Revenue

USD · fiscal years · US GAAP · reported

Revenue (USD)FY2021: US$3.0BUS$3.0BFY20211 Jan 2022FY2022: US$3.6BUS$3.6BFY202231 Dec 2022FY2023: US$4.1BUS$4.1BFY202331 Dec 2023FY2024: US$4.6BUS$4.6BFY202431 Dec 2024FY2025: US$5.3BUS$5.3BFY202531 Dec 2025Silicon AnalyticaCadence Form 10-K filed 2026-02-19

Net income attributable to shareholders

USD · fiscal years · US GAAP · reported

Net income attributable to shareholders (USD)FY2021: US$696MUS$696MFY20211 Jan 2022FY2022: US$849MUS$849MFY202231 Dec 2022FY2023: US$1.0BUS$1.0BFY202331 Dec 2023FY2024: US$1.1BUS$1.1BFY202431 Dec 2024FY2025: US$1.1BUS$1.1BFY202531 Dec 2025Silicon AnalyticaCadence Form 10-K filed 2026-02-19
Cadence Design Systems annual results
USDFY2021ended 1 Jan 2022FY2022ended 31 Dec 2022FY2023ended 31 Dec 2023FY2024ended 31 Dec 2024FY2025ended 31 Dec 2025
Revenue
Gross profit
Gross margin
Operating income
Operating margin
Net income (attributable)
Diluted EPS

Business model and industry role

Core EDA

This category includes software, hardware, and services for the design and verification of semiconductors [1].

Semiconductor IP

This portfolio includes silicon subsystems, software, and services that accelerate the semiconductor design process [1].

System Design and Analysis (SD&A)

This category provides solutions for the design and verification of complete electronic systems, from circuit boards to complex assemblies [1].

Who buys it

Customers include semiconductor companies that design integrated circuits and systems companies that manufacture electromechanical systems containing semiconductors and other electronics 1.

How it earns revenue

Revenue comes from time-based software and IP licences, sales and leases of hardware, maintenance, and services such as engineering and cloud-hosted solutions 1.

What it depends on

Success depends on its proprietary technology and its ability to innovate, commercialise new solutions, and enhance its current products 1.

What drives profitabilityIncludes Silicon Analytica view

Growth is driven by the impact of AI, the increasing complexity of chip and system design, and the differentiation and value its products provide to customers 1.

Competitive position, drivers and risks

Competitive position

Competitors include Synopsys, Inc., Ansys, Inc., Siemens EDA, Keysight Technologies, Inc., Schrödinger, Inc., CEVA, Inc., Altium Limited, Zuken, Inc., and emerging players in China such as Huada Empyrean, Xpeedic Technology, X-EPIC, Primarius Technologies, Univista, and Giga Design Automation 1.

Evidence

The company operates in a highly competitive market, facing both domestic and international competition from large providers, specialised firms, and internal design teams 1.

Growth drivers and conditions

Company view: Competition is driven by the ability to deliver technological innovation, the quality of products, customer relationships, the ability to attract talent, and geopolitical trade restrictions 1.

Cyclicality and downside risks

Reported: Competitors range from large, established providers to emerging companies and internal design teams, and some have enhanced their position through acquisitions or strategic alliances 1.

What to watch next

  1. Integration of recent and pending acquisitions
  2. Impact of evolving trade regulations and geopolitical tensions
  3. Adoption and regulation of new AI technologies
  4. Expansion into new verticals such as life sciences
  5. Development of the M2000 supercomputer platform

Peer comparison

Compare with another company

Peers not yet selected by the editor. Financials compares latest reported periods and labels mismatched period ends.

Compare with

Cadence Design Systems vs Synopsys

More data on Cadence Design Systems

Cadence Design Systems income statement and balance sheet

Sources & methodology
  1. Cadence Form 10-K for latest fiscal year ↗ · 19 Feb 2026 · Item 1 Business / Item 4 Information on the Company; risk factors

Annual and quarterly figures come from the company's SEC filings (XBRL financial data and, where needed, the filed statements). Each value keeps its filing, period dates and accounting basis. Ratios, growth rates, free cash flow, split-adjusted EPS and derived quarters are Silicon Analytica calculations, shown with their inputs. Percentage growth is not shown when the prior value is zero or negative. Guidance is shown only as company guidance; no analyst consensus is used.

Data checks: ✓ 27 passed · ⚠ Required fields FY2021: Missing: rd_expense · ⚠ Required fields FY2022: Missing: rd_expense · ⚠ Required fields FY2023: Missing: rd_expense · ⚠ Required fields FY2024: Missing: rd_expense · ⚠ Required fields FY2025: Missing: rd_expense

AW · Reviewed —