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Cadence Design Systems (CDNS)
NASDAQ:CDNS
Earnings Data
Report Date
Apr 27, 2026After Close (Confirmed)
Period Ending
2026 (Q1)Consensus EPS Forecast
1.93Last Year’s EPS
1.57Same Quarter Last Year
Strong Buy
Based on 12 Analysts Ratings
Earnings Call Summary
Earnings Call Sentiment|Positive
The call delivered a strongly positive operating and financial message: durable double‑digit revenue growth (14%), robust non‑GAAP margins (~44.6%), record backlog ($7.8B), sizable cash generation and active share repurchases, plus clear product and AI momentum (ChipStack, Cerebrus, IP growth). Management did, however, emphasize prudence around hardware pipeline variability, China visibility, export‑control assumptions and excluded the Hexagon deal from guidance — and GAAP vs non‑GAAP differences merit investor attention. On balance, the positive operational results, backlog visibility and AI/product traction materially outweigh the cited risks and conservative assumptions.Company Guidance
Strong Revenue and Earnings Growth
Fiscal 2025 revenue grew 14% to $5.297 billion; fourth quarter revenue was $1.440 billion. Management reported ~20% EPS growth for the year. Non‑GAAP EPS was $7.14 for FY2025 (GAAP EPS $4.06).
Record Backlog and Visibility into 2026
Entered 2026 with a record backlog of $7.8 billion and management stated ~67% of 2026 revenue is coming from beginning backlog — providing strong near‑term revenue visibility.
High Margins and Cash Generation
Non‑GAAP operating margin was 44.6% for FY2025 (Q4 non‑GAAP 45.8%). Operating cash flow was $1.729 billion for the year ($553 million in Q4). Year‑end cash balance was $3.01 billion with $2.5 billion principal debt outstanding; the company repurchased $925 million of shares in 2025 and expects ~50% of free cash flow to be used for buybacks in 2026. Guidance implies ~ $2.0 billion operating cash flow for 2026.
AI and Product Momentum — ChipStack, Cerebrus, Allegro X and IP
Launched ChipStack AI Super Agent (claimed up to 10x productivity on certain tasks) and reported strong traction for Cadence AI products (Cerebrus, Verisium, Allegro X). Samsung reported a 4x productivity improvement using Cadence Cerebrus AI Studio; select customers reported 7–10x improvements on some RTL tasks. IP revenue grew nearly 25% in 2025; core EDA grew ~13%; System Design & Analysis grew 13%.
Hardware and Customer Wins
Hardware delivered a record year with 30+ new customers and higher repeat demand from AI and hyperscalers. Management noted 7 of the top 10 customers in 2025 were Dynamic Duo customers. Company expects further hardware strength entering 2026, albeit with prudent cadence for visibility.
Strategic Partnerships and Foundry Engagements
Deepened collaborations with TSMC (N2, A16), joined Intel Foundry Accelerator Alliance, expanded engagements with Samsung Foundry and Broadcom (Agentic AI workflows), and broadened footprint with marquee hyperscalers — positioning Cadence across AI infrastructure and physical AI opportunities.
Product Innovations with Measurable Benefits
Launched Tensilica HiFi IQ DSP (up to 8x AI performance, >25% energy savings for targeted markets). Management cited example physical design benefits (7–12% PPA improvements) and a customer reporting 30% layout efficiency gain from AI‑driven design migration.
CDNS Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed
CDNS Earnings-Related Price Changes
Report Date | Price 1 Day Before | Price 1 Day After | Percentage Change |
|---|---|---|---|
Feb 17, 2026 | $283.46 | $305.01 | +7.60% |
Oct 27, 2025 | $351.40 | $341.30 | -2.87% |
Jul 28, 2025 | $333.76 | $366.26 | +9.74% |
Apr 28, 2025 | $285.74 | $302.22 | +5.77% |
Earnings announcements can affect a stock’s price. This table shows the stock's price the day before and the day after recent earnings reports, including the percentage change.
FAQ
When does Cadence Design Systems (CDNS) report earnings?
Cadence Design Systems (CDNS) is schdueled to report earning on Apr 27, 2026, After Close (Confirmed).
What is Cadence Design Systems (CDNS) earnings time?
Cadence Design Systems (CDNS) earnings time is at Apr 27, 2026, After Close (Confirmed).
Where can I see when companies are reporting earnings?
You can see which companies are reporting today on our designated earnings calendar.
What companies are reporting earnings today?
You can see a list of the companies which are reporting today on TipRanks earnings calendar.
What is CDNS EPS forecast?
CDNS EPS forecast for the fiscal quarter 2026 (Q1) is 1.93.
