Business Segments · Adjusted operating margin
Design IP — Adjusted operating margin
Synopsys Design IP — Adjusted operating margin decreased by 20.0% to $0.16 in Q4 2025 compared to the prior quarter. Year-over-year, this metric declined by 44.8%, from $0.29 to $0.16. This decline may warrant attention — for this metric, higher values are generally preferred.
Analysis
StatementSegment
CategoryProfitability
SignalHigher is better
VolatilityStable
First reportedQ4 2020
Last reportedQ4 2025
How to read this metric
An increase reflects improved operational efficiency and higher profitability per unit of revenue generated.
Detailed definition
This metric represents the adjusted operating income of the Design IP segment expressed as a percentage of its total rev...
Peer comparison
Comparable to segment operating margins for high-margin software or IP-licensing business units at technology companies.
Metric ID:
snps_segment_design_ip_adjusted_operating_marginHistorical Data
15 periods
| Q2 '21 | Q3 '21 | Q4 '21 | Q1 '22 | Q2 '22 | Q4 '22 | Q1 '23 | Q2 '23 | Q4 '23 | Q1 '24 | Q2 '24 | Q4 '24 | Q1 '25 | Q2 '25 | Q4 '25 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Value | 0.1 | 0.1 | 0.4 | 0.4 | 0.3 | 0.3 | 0.3 | 0.3 | 0.5 | 0.3 | 0.4 | 0.3 | 0.3 | 0.2 | 0.2 |
| QoQ Change | — | +0.0% | +473.3% | -9.3% | -30.8% | +25.9% | -23.5% | -3.8% | +88.0% | -34.0% | +19.4% | -21.6% | +6.9% | -35.5% | -20.0% |
| YoY Change | — | — | — | — | +260.0% | -20.9% | -33.3% | -7.4% | +38.2% | +19.2% | +48.0% | -38.3% | +0.0% | -45.9% | -44.8% |
Range0.1 – 0.5
CAGR+24.2%
Avg YoY Growth+15.9%
Median YoY Growth-7.4%
Current Streak2 quarters decline
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Frequently Asked Questions
- What is Synopsys's design ip — adjusted operating margin?
- Synopsys (SNPS) reported design ip — adjusted operating margin of $0.16 in Q4 2025.
- How has Synopsys's design ip — adjusted operating margin changed year-over-year?
- Synopsys's design ip — adjusted operating margin decreased by 44.8% year-over-year, from $0.29 to $0.16.
- What does design ip — adjusted operating margin mean?
- The percentage of Design IP revenue that remains as profit after accounting for segment-specific operating costs.