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Synopsys SNPS Design Automation: — Cost of revenue and operating expenses

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Other financials

Income statement

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Revenue$2.3B+41.9%
Gross profit$1.6B+28.0%
Operating income$120.4M-68.0%
Net income$17.1M-95.0%
EPS (diluted)$0.09-95.9%

Balance sheet

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Cash & equivalents$198.1M-98.6%
Total debt$10.8B+0.9%
Total equity$30.5B+207%
Total assets$46.9B+97.4%

Cash flow

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Operating cash flow$628.9M+128%
CapEx$54.2M-2.5%
Free cash flow$574.7M+162%

Valuation

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Market cap$74.44B-36.8%
Enterprise value$85.08B-34.7%
P/E96.3×+37.4×
P/S8.6×-9.7×

Profitability

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Gross margin73.5%-6.4pp
Operating margin7%-13.9pp
Net margin8.9%-25.9pp
FCF margin30.3%+13.2pp

Returns & leverage

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Return on equity3.8%-21.5pp
Debt / equity0.4×-0.7×
Current ratio1.4×-5.6×

Where this comes from

Reported directly by Synopsys in its filing.

Tagged under the XBRL concept us-gaap:CostsAndExpenses.

The source filing: Synopsys’s 10-Q, filed May 27, 2026.

Filed
May 27, 2026, 4:31 PM EDT
Fiscal quarter
Q2 FY2026
Calendar quarter
Q2 2026
Accession
0000883241-26-000018
Line itemThree Months Ended April 30, 2026Three Months Ended April 30, 2025Six Months Ended April 30, 2026Six Months Ended April 30, 2025
Adjusted operating margin40%38%41%37%
Design Automation:
Revenue$1,821,776$1,122,235$3,823,594$2,142,451
Cost of revenue and operating expenses1,032,718663,4792,087,0041,279,025
Adjusted operating income789,058458,7561,736,590863,426
Adjusted operating margin43%41%45%40%
Design IP:
Revenue$454,209$482,031$861,189$917,130

Item 1. Financial Statements

FAQ

What is Synopsys's design automation: — cost of revenue and operating expenses?
Synopsys (SNPS) reported design automation: — cost of revenue and operating expenses of $1.03B in Q1 2026.
How has Synopsys's design automation: — cost of revenue and operating expenses changed year-over-year?
Synopsys's design automation: — cost of revenue and operating expenses increased by 55.7% year-over-year, from $663.48M to $1.03B.
What does design automation: — cost of revenue and operating expenses mean?
This metric aggregates the direct costs of delivering software and services along with the operating expenses, such as R&D and sales, specifically allocated to the design automation segment. It captures the total investment required to maintain, develop, and sell the company's primary product offerings. Monitoring this helps evaluate the operational efficiency and cost structure of the core business unit.

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