Synopsys forecasts muted quarter on China export restrictions, shares fall February 25, 202611:39 PM UTCUpdated ago By Reuters Synopsys logo is seen in this illustration taken September 9, 2025. REUTERS/Dado Ruvic/Illustration Purchase Licensing Rights, opens new tab Feb 25 (Reuters) - Synopsys' (SNPS.O), opens new tab second-quarter revenue forecast fell short of investor expectations on Wednesday, as the chip design software maker navigates export restrictions in China and broader economic uncertainty. Sh ...

Synopsys (NasdaqGS:SNPS) Q1 2026 Earnings call February 25, 2026 05:00 PM ET Company ParticipantsGianmarco Conti - Director of Technology Equity ResearchJay Vleeschhouwer - Managing Director of Software ResearchJoshua Tilton - DirectorSassine Ghazi - President and CEOShelagh Glaser - CFOSiti Panigrahi - Managing DirectorTushar Jain - Head of Investor RelationsConference Call ParticipantsCharles Shi - Senior AnalystGary Mobley - Managing Director and Senior Equity AnalystJason Celino - Managing Director and ...

Synopsys (NasdaqGS:SNPS) Q1 2026 Earnings call February 25, 2026 05:00 PM ET Company ParticipantsGianmarco Conti - Director of Technology Equity ResearchJay Vleeschhouwer - Managing Director of Software ResearchJoshua Tilton - DirectorSassine Ghazi - President and CEOShelagh Glaser - CFOSiti Panigrahi - Managing DirectorTushar Jain - Head of Investor RelationsConference Call ParticipantsCharles Shi - Senior AnalystGary Mobley - Managing Director and Senior Equity AnalystJason Celino - Managing Director and ...

Financial Data and Key Metrics Changes - The company reported total revenue of $2.41 billion for Q1 2026, at the high end of guidance, primarily due to timing of Ansys deals [15] - Non-GAAP operating margin was 42.1%, and non-GAAP EPS was $3.77, exceeding expectations [13][16] - Backlog ended at $11.3 billion, indicating a strong and resilient business model [13] Business Line Data and Key Metrics Changes - Design Automation segment revenue was approximately $2 billion, with strong growth in hardware-assisted verification [16] - Design IP segment revenue was $407 million, down approximately 6% year-over-year, indicating a transitional year for the business [16] - Ansys revenue was approximately $886 million, reflecting strong demand for system-level digital engineering and multiphysics simulation [15][16] Market Data and Key Metrics Changes - China revenue grew approximately 21% year-over-year due to the inclusion of Ansys, although excluding Ansys, revenue declined slightly [15] - The company noted a robust design start activity for AI compute, while design starts in consumer, automotive, and industrial markets remained subdued [4][5] Company Strategy and Development Direction - The company is focused on delivering technology promises from the integration of Synopsys and Ansys, with a strong emphasis on AI-driven design capabilities [4][12] - The strategy includes advancing technology leadership and focusing on sustainable growth and margin expansion [11][12] - The planned sale of the processor IP solutions business to GlobalFoundries is aimed at sharpening focus on interconnect and foundation IP [10] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the IP business driven by robust design starts, particularly in the AI segment [24] - The company anticipates continued demand for silicon-to-system solutions, particularly in industries like semiconductors, aerospace, and automotive [6][10] - Management acknowledged challenges in the Chinese market due to geopolitical factors but remains optimistic about the overall demand for their products [68] Other Important Information - The company has replenished its stock repurchase program with authorization to purchase up to $2 billion of common stock [18] - Free cash flow was approximately $822 million in Q1, with total debt at $10 billion [17] Q&A Session Summary Question: Insights on the IP segment and expected growth - Management highlighted confidence in the IP business due to robust design starts and evolving standards, with expectations for a pickup in the second half of the year [24][25] Question: Seasonal trends in bookings and renewal activity - Management noted that backlog is strong at $11.3 billion, and renewal timing can cause fluctuations, but overall confidence remains high [34] Question: AI's impact on the business - Management stated that AI is amplifying their strategic advantage rather than disrupting it, with ongoing developments in AI-driven design capabilities [5][42] Question: Ansys business forecastability - Management expressed confidence in Ansys's ability to service multiple market segments, indicating broad growth opportunities despite accounting variability [44][46] Question: Updates on the NVIDIA partnership - The partnership is focused on GPU acceleration and creating digital twins for physical AI opportunities, with expectations for product delivery in 2026 [90][92]

Corporate Overview for Investors February 2026 Forward-Looking Statements This presentation contains forward-looking statements, including, but not limited to, statements regarding Synopsys, Inc.'s (Synopsys, we or our) short-term and long-term financial targets, expectations and objectives; our businesses, business segments, strategies, partnerships, initiatives and opportunities, including, among other things, the reallocation of resources in our Design IP segment to higher growth opportunities and planne ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q (MARK ONE) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 FOR THE QUARTERLY PERIOD ENDED JANUARY 31, 2026 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 FOR THE TRANSITION PERIOD FROM TO COMMISSION FILE NUMBER: 000-19807 SYNOPSYS, INC. (Exact name of registrant as specified in its charter) Delaware 56-1546236 (State or other jurisdiction ...

Exhibit 99.1 EDITORIAL CONTACT: Cara Walker Synopsys, Inc. 650-584-5000 corp-pr@synopsys.com Synopsys Posts Financial Results for First Quarter Fiscal Year 2026 Results Summary SUNNYVALE, Calif. – Feb. 25, 2026 – Synopsys, Inc. (Nasdaq: SNPS) today reported results for its first quarter of fiscal year 2026. Revenue for the first quarter of fiscal year 2026 was $2.409 billion, compared to $1.455 billion for the first quarter of fiscal year 2025. "Synopsys enters 2026 with an expanded portfolio, leadership po ...

Synopsys (NASDAQ: SNPS) reports Q1 FY2026 results tonight. ...

I want to empower Investors, to make as much money, from both income and capital appreciation, with as little risk as possible, through my coverage of dividend, growth, and value companies. This broad coverage allows for discovering new, exciting ideas while covering what makes up reader's portfolios already."In giving (not investment) advice seek to help, not to please, your friend." - SolonMy investing style:Selective Investor looking for opportunities with a good risk-adjusted ROI. For dividend investing ...

NVIDIA Corporation (NASDAQ:NVDA) is one of Goldman Sachs’s top growth stock picks. On February 18, Morgan Stanley analyst Erik Woodring identified NVIDIA Corporation (NASDAQ:NVDA) as the most under-owned large-cap technology stock in the market. Palantir (PLTR) Balances Growth Deals with Investor Doubts   Woodring stated that the gap between Nvidia’s weight in the S&P 500 and the share of the stock actively held by institutional investors stood at negative 2.57%. This is the largest negative gap among a ...