Cadence Reports Third Quarter 2021 Financial Results

About this update from Cadence Design Systems, Inc.

[{"type":"text","content":" SAN JOSE, Calif.--(BUSINESS WIRE)--\nCadence Design Systems, Inc. (Nasdaq: CDNS) today announced results for the third quarter of 2021.\n\nCadence reported third quarter 2021 revenue of $751 million, compared to revenue of $667 million for the same period in 2020. On a GAAP basis, Cadence achieved operating margin of 26 percent and recognized net income of $176 million, or $0.63 per share on a diluted basis, in the third quarter of 2021, compared to operating margin of 25 percent and net income of $162 million, or $0.58 per share on a diluted basis, for the same period in 2020.\n\nUsing the non-GAAP measure defined below, operating margin for the third quarter of 2021 was 36 percent and net income was $222 million, or $0.80 per share on a diluted basis, compared to operating margin of 36 percent and net income of $197 million, or $0.70 per share on a diluted basis, for the same period in 2020.\n\n“Cadence delivered stronger than expected financial results for the third quarter, fueled by accelerating demand for our highly differentiated solutions,” said Lip-Bu Tan, chief executive officer. “Design activity remains robust and the Cadence team continues to execute exceedingly well to our Intelligent System Design strategy.”\n\n“Delighting customers and accelerating growth requires a relentless commitment to innovation,” added Anirudh Devgan, president. “Our innovation pipeline continued to deliver, as we introduced four additional significant new products this quarter, including the revolutionary Integrity 3D-IC Platform.”\n\n“We exceeded our guidance on all key metrics for the third quarter and as a result, I am pleased to raise our outlook for the year,” said John Wall, senior vice president and chief financial officer.\n\nCFO Commentary\n\nCommentary on the third quarter 2021 financial results by John Wall, senior vice president and chief financial officer, is available at www.cadence.com/cadence/investor_relations.\n\nBusiness Outlook\n\nFor the fourth quarter of 2021, the company expects total revenue in the range of $745 million to $765 million. Fourth quarter GAAP operating margin is expected to be approximately 24 percent and GAAP net income per diluted share is expected to be in the range of $0.49 to $0.53. Using the non-GAAP measure defined below, operating margin is expected to be approximately 35 percent and net incom...

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