Synopsys' third quarter revenue of $2.48B and $3.91 EPS beat estimates as full-year guidance was raised

Synopsys delivered a strong beat-and-raise performance for the third quarter 2026, with revenue and non-GAAP earnings exceeding the high end of previous guidance. The results were primarily driven by AI-fueled complexity requiring advanced Design Automation and IP solutions, alongside a significant contribution from the integrated Ansys business.

Key Highlights

• Quarterly revenue of $2.477 billion beat the $2.44 billion estimate, representing 42.3% year-over-year growth including Ansys contributions.
• Non-GAAP EPS reached $3.91, outperforming the $3.67 estimate behind a robust non-GAAP operating margin of 41.6%.
• The company raised its full-year 2026 revenue target to a midpoint of $9.715 billion and non-GAAP EPS to $15.07, citing sustained AI-driven demand.