$CDNS

CADENCE DESIGN SYSTEMS INC

CIK:0000813672|SEC Filings

Condensed Consolidated Income Statements - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2026	Jun. 30, 2025	Jun. 30, 2026	Jun. 30, 2025
Revenues [Abstract]
Revenue	$ 1,584,451	$ 1,275,441	$ 3,058,671	$ 2,517,807
Costs and Expenses:
Marketing and sales	241,034	200,595	452,519	403,295
Research and development	531,273	442,057	1,039,710	881,159
General and administrative	88,548	69,029	176,765	132,127
Amortization of acquired intangibles	34,315	9,204	54,525	18,126
Loss related to contingent liability	0	128,545	0	128,545
Restructuring	(352)	47	(357)	(62)
Total costs and expenses	1,134,136	1,033,644	2,177,027	1,914,490
Income from operations	450,315	241,797	881,644	603,317
Interest expense	(35,136)	(28,948)	(66,749)	(58,066)
Other income, net	95,055	67,758	123,442	91,048
Income before provision for income taxes	510,234	280,607	938,337	636,299
Provision for income taxes	143,158	120,556	235,601	202,669
Net income	$ 367,076	$ 160,051	$ 702,736	$ 433,630
Net income per share - basic (usd per share)	$ 1.34	$ 0.59	$ 2.57	$ 1.60
Net Income per share - diluted (usd per share)	$ 1.33	$ 0.59	$ 2.56	$ 1.59
Weighted average common shares outstanding - basic (in shares)	273,955	271,294	273,012	271,633
Weighted average common shares outstanding - diluted (in shares)	276,163	272,899	274,948	273,264
Product and maintenance [Member]
Revenues [Abstract]
Revenue	$ 1,430,668	$ 1,170,510	$ 2,779,590	$ 2,281,360
Costs and Expenses:
Cost of sales	175,183	139,298	328,495	255,970
Service [Member]
Revenues [Abstract]
Revenue	153,783	104,931	279,081	236,447
Costs and Expenses:
Cost of sales	$ 64,135	$ 44,869	$ 125,370	$ 95,330

Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2026	Jun. 30, 2025
Statement of Cash Flows [Abstract]
Cash and cash equivalents at beginning of period	$ 3,001,317	$ 2,644,030
Cash flows from operating activities:
Net income	702,736	433,630
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	201,611	106,592
Stock-based compensation	285,073	225,938
Gain on divestitures and investments, net	(85,817)	(36,654)
Deferred income taxes	76,189	3,241
ROU asset amortization and change in operating lease liabilities	1,072	2,629
Other non-cash items	3,921	3,502
Changes in operating assets and liabilities, net of effect of acquired businesses:
Receivables	(38,326)	(11,211)
Inventories	(106,987)	7,528
Prepaid expenses and other	56,296	(24,201)
Other assets	(20,470)	12,239
Accounts payable and accrued liabilities	(255,486)	115,603
Deferred revenue	169,728	21,824
Other long-term liabilities	1,171	3,964
Net cash provided by operating activities	990,711	864,624
Cash flows from investing activities:
Purchases of investments	(39,880)	(21,596)
Proceeds from the sale and maturity of investments	162,889	1,989
Proceeds from the sale of IP and other assets	0	11,500
Purchases of property, plant and equipment	(101,448)	(67,146)
Purchases of intangible assets	(6,975)	0
Cash paid in business combinations, net of cash acquired	(2,100,292)	(122,146)
Net cash used for investing activities	(2,085,706)	(197,399)
Cash flows from financing activities:
Proceeds from revolving credit facility	600,000	0
Payments on revolving credit facility	(600,000)	0
Proceeds from issuance of common stock	88,840	78,322
Stock received for payment of employee taxes on vesting of restricted stock	(140,722)	(94,334)
Payments for repurchases of common stock	(400,006)	(525,016)
Net cash used for financing activities	(451,888)	(541,028)
Effect of exchange rate changes on cash and cash equivalents	(13,991)	52,535
Increase (decrease) in cash and cash equivalents	(1,560,874)	178,732
Cash and cash equivalents at end of period	1,440,443	2,822,762
Supplemental cash flow information:
Cash paid for interest	63,629	55,971
Cash paid for income taxes, net	$ 333,744	$ 154,807

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Jun. 30, 2026	Dec. 31, 2025
Current assets:
Cash and cash equivalents	$ 1,440,443	$ 3,001,317
Receivables, net	1,065,023	944,939
Inventories	390,378	303,545
Prepaid expenses and other	326,049	419,872
Total current assets	3,221,893	4,669,673
Property, plant and equipment, net	560,161	517,004
Goodwill	4,914,788	2,749,143
Acquired intangibles, net	1,874,455	718,223
Deferred taxes	832,566	917,733
Other assets	676,462	581,372
Total assets	12,080,325	10,153,148
Current liabilities:
Accounts payable and accrued liabilities	823,724	856,856
Current portion of deferred revenue	1,025,118	778,435
Total current liabilities	1,848,842	1,635,291
Long-term liabilities:
Long-term portion of deferred revenue	144,453	155,997
Long-term debt	2,482,200	2,480,150
Other long-term liabilities	746,867	407,529
Total long-term liabilities	3,373,520	3,043,676
Commitments and contingencies
Stockholders’ equity:
Common stock and capital in excess of par value	5,865,954	4,719,443
Treasury stock, at cost	(6,755,331)	(6,344,213)
Retained earnings	7,803,492	7,100,756
Accumulated other comprehensive loss	(56,152)	(1,805)
Total stockholders’ equity	6,857,963	5,474,181
Total liabilities and stockholders’ equity	$ 12,080,325	$ 10,153,148