- Synopsys (SNPS, Financial) reported Q2 2025 revenue of $1.604 billion, up 10.2% year-over-year.
- The company achieved GAAP EPS of $2.24 and non-GAAP EPS of $3.67, exceeding guidance.
- Synopsys reaffirmed its full-year revenue guidance of $6.745-$6.805 billion for 2025.
Synopsys, Inc. (SNPS) announced its financial results for the second quarter of fiscal year 2025, showcasing a robust performance with a revenue of $1.604 billion. This marks a significant increase of 10.2% from the $1.455 billion reported in the same quarter of 2024, surpassing the company's guidance midpoint.
The company's profitability also showed positive momentum, with GAAP earnings per share (EPS) reported at $2.24 and non-GAAP EPS at $3.67, both exceeding expectations. Net income on a GAAP basis was $349.2 million, while non-GAAP net income reached $572.7 million, representing a 22.7% increase year-over-year.
Synopsys attributes its growth to trends in artificial intelligence, software-defined systems, and silicon proliferation, which continue to drive the complexity and cost of designs higher. The company remains confident in its outlook for the rest of the year, reaffirming its revenue guidance of $6.745 billion to $6.805 billion for the full fiscal year 2025.
For the third quarter of fiscal year 2025, Synopsys anticipates revenue in the range of $1.755 billion to $1.785 billion, with a non-GAAP EPS between $3.82 and $3.87. The company has also successfully completed the sale of its Software Integrity business on September 30, 2024, allowing it to focus on its core Design Automation and Design IP segments.
The financial guidance aligns with the company's strategic emphasis on leveraging AI to enhance innovation among its customers, further strengthening its market position amidst ongoing macroeconomic challenges.
