Synopsys

Synopsys reported Q3 FY2026 revenue of $2.477 billion, up 42% year-over-year, driven by broad-based strength across Design Automation and contributions from the Ansys acquisition. GAAP diluted EPS was $2.84, while adjusted EPS reached $3.91, exceeding guidance highs. Operating income rose to $357.5 million from $165.3 million year-over-year, though GAAP net income surged 125% to $545.8 million. The company raised full-year revenue guidance to $9.715 billion (midpoint) and adjusted EPS guidance to $15.07 (midpoint), citing double-digit EDA growth and AI-driven demand. Design IP, which had contracted in prior periods, returned to year-over-year growth. Full-year adjusted operating margin is expected near 41.5% at midpoint.