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Investing in Cadence (CDNS)? Don't Miss Assessing Its International Revenue Trends
CDNSCadence(CDNS) ZACKS·2025-02-26 15:15

Core Insights - Cadence Design Systems (CDNS) reported total revenue of 1.36billionforthequarterendingDecember2024,reflectinga26.91.36 billion for the quarter ending December 2024, reflecting a 26.9% increase [4] - The company's international revenue trends are crucial for assessing its financial resilience and growth prospects [1][2] International Revenue Breakdown - Total Asia contributed 409.68 million, accounting for 30.21% of total revenue, which was a surprise decrease of -4.32% compared to expectations [5] - Japan's revenue was 77.54million,representing5.7277.54 million, representing 5.72% of total revenue, exceeding the consensus estimate by +3.99% [6] - Europe, Middle East, and Africa generated 203.06 million, making up 14.97% of total revenue, which was a surprise decrease of -2.57% from projections [7] Future Revenue Projections - For the current fiscal quarter, total revenue is projected to reach 1.23billion,anincreaseof21.61.23 billion, an increase of 21.6% year-over-year, with Total Asia expected to contribute 30.7% or 376.3 million [8] - Full-year revenue is anticipated to be 5.19billion,reflectingan11.75.19 billion, reflecting an 11.7% increase from the previous year, with Total Asia, Japan, and Europe expected to contribute 1.61 billion, 288.66million,and288.66 million, and 777.5 million respectively [9] Market Context - The interconnected global economy makes international market engagement vital for financial success and growth [2][3] - Companies face challenges in international markets, including currency fluctuations and geopolitical risks [3] Stock Performance - Over the past month, Cadence's stock has decreased by 16.8%, underperforming the S&P 500's 2.3% decline [14] - The stock has declined 20.5% over the past three months compared to a 0.2% decline in the S&P 500 [14]