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Business Segments · Adjusted operating margin

Design Automation: — Adjusted operating margin

Synopsys Design Automation: — Adjusted operating margin decreased by 95.3% to $0.02 in Q2 2026 compared to the prior quarter. Year-over-year, this metric declined by 95.5%, from $0.44 to $0.02. Over 4 years (FY 2021 to FY 2025), Design Automation: — Adjusted operating margin shows an upward trend with a 40.9% CAGR. This decline may warrant attention — for this metric, higher values are generally preferred.

Analysis

StatementSegment
CategoryProfitability
SignalHigher is better
VolatilityStable
First reportedQ1 2021
Last reportedQ2 2026May 27, 2026

How to read this metric

An increase indicates improved operational efficiency and profitability, while a decrease suggests rising costs or competitive pricing pressure.

Detailed definition

This metric measures the profitability of the design automation segment as a percentage of its total revenue, after adju...

Peer comparison

Comparable to segment operating margin benchmarks for high-margin software and technology services companies.

Metric ID: snps_segment_design_automation_adjusted_operating_margin

Historical Data

21 periods
 Q2 '21Q3 '21Q4 '21Q1 '22Q2 '22Q3 '22Q4 '22Q1 '23Q2 '23Q3 '23Q4 '23Q1 '24Q2 '24Q3 '24Q4 '24Q1 '25Q2 '25Q3 '25Q4 '25Q1 '26Q2 '26
Value0.10.10.10.10.10.10.10.40.400.40.40.400.40.40.400.50.40
QoQ Change+0.0%+0.0%+5.9%+0.0%+0.0%+0.0%+322.2%+7.9%-97.6%>999%+11.1%+2.5%-97.6%>999%+2.5%+7.3%-95.5%>999%-8.5%-95.3%
YoY Change+5.9%+5.9%+5.9%+322.2%+355.6%-88.9%+300.0%+5.3%+0.0%+0.0%+11.1%+2.5%+7.3%+100.0%+17.5%+4.9%-95.5%
Range00.5
CAGR-25.1%
Avg YoY Growth+56.5%
Median YoY Growth+5.9%
Current Streak2 quarters decline

Frequently Asked Questions

What is Synopsys's design automation: — adjusted operating margin?
Synopsys (SNPS) reported design automation: — adjusted operating margin of $0.02 in Q2 2026.
How has Synopsys's design automation: — adjusted operating margin changed year-over-year?
Synopsys's design automation: — adjusted operating margin decreased by 95.5% year-over-year, from $0.44 to $0.02.
What is the long-term trend for Synopsys's design automation: — adjusted operating margin?
Over 4 years (2021 to 2025), Synopsys's design automation: — adjusted operating margin has grown at a 40.9% compound annual growth rate (CAGR), from $0.34 to $1.34.
What does design automation: — adjusted operating margin mean?
The percentage of revenue that remains as profit after accounting for the operating costs of the design automation segment.