Synopsys Reports Strong Q3 Earnings with Revenue Growth of 42% YoY
Synopsys reported strong third-quarter fiscal 2026 results, with revenue rising 42% year over year to $2.477 billion and non-GAAP earnings per share reaching $3.91. The company exceeded guidance across its electronic design automation (EDA), Ansys, and design IP segments. EDA revenue grew by 8.5%, driven in part by record hardware-assisted verification demand. Synopsys raised its full-year fiscal 2026 revenue outlook to between $9.69 billion and $9.74 billion, along with higher operating cash-flow and free-cash-flow expectations of approximately $2.8 billion and $2.6 billion respectively. The company also highlighted progress in integrating Ansys one year post-acquisition, including the launch of Multiphysics Fusion. Management expects EDA growth to accelerate into double digits for Q4 due to increasing complexity in chip design, AI development, and advanced packaging technologies.
Tickers: $ANSS $CSCO $NVDA $SNPS
Topics: eda_growth guidance_update non_gaap_eps revenue_growth