Synopsys (SNPS) Q4 FY2025 earnings: revenue $2.3 billion, up 37.8% on the year

Synopsys Inc. (SNPS) reported revenue of $2.3 billion for Q4 FY2025, the quarter ended 31 October 2025, up 37.8% on the same quarter a year earlier. Net income was $449 million, down 59.7% on the year, and diluted earnings per share $2.39. The figures are the company's own, from the 10-K it filed with the SEC on 22 December 2025.

Revenue

$2.3 billion

+37.8% on the year · +29.6% on the quarter

Q1 FY2024Q4 FY2025

Operating margin

5.4%

19.0% a year earlier

Q1 FY2024Q4 FY2025

Net income

$449 million

-59.7% on the year · +85.0% on the quarter

Q1 FY2024Q4 FY2025

Diluted EPS

$2.39

-66.5% on the year · +59.3% on the quarter

Q1 FY2024Q4 FY2025

this quarterthe same quarter a year earlierHover a bar for its figure.

What management said

Guidance figures: 23 new.

Q4 revenue exceeded guidance midpoint: Fourth-quarter revenue was $2.255 billion, against $1.636 billion a year earlier. Ansys contributed $667.7 million of it. Management said revenue exceeded the midpoint of its guidance.
Non-GAAP EPS exceeded guidance: Fourth-quarter non-GAAP diluted EPS was $2.90, against $3.40. Full-year non-GAAP diluted EPS was $12.91, against $13.20. Management said both exceeded guidance.
Design Automation revenue and margin rose: Design Automation revenue was $1,847.7 million in the fourth quarter, against $1,118.2 million, or 81.9% of total. Adjusted operating margin was 41.5%, against 37.0%.

Read the earnings call summary

Income statement (profit and loss)

$ million	Q4 FY2025	Q3 FY2025	Q4 FY2024	On the quarter	On the year
Revenue	2,255	1,740	1,636	+29.6%	+37.8%
Cost of revenue	655	381	375	+72.0%	+74.6%
Gross profit	1,600	1,359	1,261	+17.7%	+26.9%
Gross margin	71.0%	78.1%	77.1%
Research and development	747	625	555	+19.4%	+34.6%
Operating income	121	165	311	-26.5%	-60.9%
Operating margin	5.4%	9.5%	19.0%
Interest expense	195	147	15.8	+32.9%	+1,136.4%
Pre-tax income	517	189	323	+172.8%	+60.0%
Income tax	68.1	-53.0	62.1		+9.6%
Effective tax rate	13.2%	-28.0%	19.2%
Net income	449	243	1,114	+85.0%	-59.7%
Net margin	19.9%	13.9%	68.1%
Diluted EPS	$2.39	$1.50	$7.14	+59.3%	-66.5%

$ million except per share.

Fourth quarters are the year less the first three quarters. Free cash flow is operating cash flow less capital expenditure; the effective tax rate is income tax over pre-tax income; margins are the line over revenue. Gross profit is revenue less cost of revenue, and operating income is revenue less the company's own total costs, where the statement does not print those lines. Those four are arithmetic on the filed numbers; everything else is as filed. Money is in $ million as the company files it, or in $ billion by the switch above the tables; per share figures and share counts are as they are. A quarter marked † is shown as the company last restated it in a later filing, so it compares with the quarters around it on one basis; rest on a figure for the one first filed. EPS is as filed.

Cash flow

$ million	Q4 FY2025	Q3 FY2025	Q4 FY2024	On the quarter	On the year
Operating cash flow	640	671	563	-4.7%	+13.7%
Capital expenditure	n/a	38.6	4.4
Free cash flow	n/a	632	558
Free cash flow margin	n/a	36.3%	34.1%
Cash from investing	564	-16,500	1,443		-60.9%
Cash from financing	-836	4,237	30.1
Depreciation and amortisation	449	114	115	+292.4%	+290.8%
Share-based compensation	237	268	152	-11.3%	+55.9%
Buybacks	n/a	0.0	0.0
Diluted shares, weighted	166m	162m	156m	+2.5%	+6.2%
Shares outstanding at period end	186m	185m	154m	+0.3%	+20.7%

Cash flow lines for the quarter; where the company files them year to date, the quarter is the difference between two filings.

Balance sheet

$ million	Q4 FY2025	Q3 FY2025	Q4 FY2024	On the quarter	On the year
Shareholders' equity	28,328	27,615	8,991	+2.6%	+215.1%
Non-controlling interest	-0.6	-0.3	2.5
Redeemable equity	0.0	0.0	30.0
Debt	13,485	14,340	15.6	-6.0%	+86,333.7%
Operating lease liabilities	681	673	574	+1.2%	+18.6%
Other liabilities	5,732	5,603	3,461	+2.3%	+65.6%
Total liabilities and equity	48,224	48,230	13,074	-0.0%	+268.9%
Fixed assets	697	700	563	-0.4%	+23.7%
Goodwill	26,899	26,946	3,449	-0.2%	+679.9%
Intangible assets	12,680	13,080	195	-3.1%	+6,396.9%
Investments	72.9	67.2	154	+8.5%	-52.6%
Cash and equivalents	2,888	2,526	3,897	+14.3%	-25.9%
Receivables	1,505	1,392	934	+8.1%	+61.1%
Inventory	365	382	362	-4.4%	+0.9%
Other assets	3,117	3,137	3,520	-0.6%	-11.4%
Total assets	48,224	48,230	13,074	-0.0%	+268.9%

Questions

What was Synopsys' revenue in Q4 FY2025?

Synopsys (SNPS) reported revenue of $2.3 billion for Q4 FY2025, the quarter ended 31 October 2025, up 37.8% on the same quarter a year earlier.

How much did Synopsys earn in Q4 FY2025?

Net income for Q4 FY2025 was $449 million, down 59.7% on the year, and diluted earnings per share $2.39.

When did Synopsys report Q4 FY2025 results?

Synopsys filed its 10-K for the year that ended with the quarter on 22 December 2025; the fourth quarter is the year less the first three.

Quarterly results, the last 20 quarters

	Q4 FY2021 *	Q1 FY2022	Q2 FY2022	Q3 FY2022	Q4 FY2022 *	Q1 FY2023	Q2 FY2023 †	Q3 FY2023 †	Q4 FY2023 *	Q1 FY2024 †	Q2 FY2024 †	Q3 FY2024	Q4 FY2024 * †	Q1 FY2025 †	Q2 FY2025	Q3 FY2025	Q4 FY2025 *	Q1 FY2026	Q2 FY2026	Q3 FY2026
Revenue	1,152	1,270	1,279	1,248	1,284	1,361	1,263	1,354	1,599	1,511	1,455	1,526	1,636	1,455	1,604	1,740	2,255	2,409	2,276	2,477
Cost of revenue	235	257	253	271	283	284	248	260	332	279	300	291	375	270	318	381	655	637	630	679
Gross profit	918	1,013	1,026	977	1,002	1,077	1,015	1,094	1,267	1,232	1,154	1,235	1,261	1,185	1,286	1,359	1,600	1,771	1,646	1,797
Gross margin	80%	80%	80%	78%	78%	79%	80%	81%	79%	82%	79%	81%	77%	81%	80%	78%	71%	74%	72%	73%
R&D	414	384	390	445	462	465	460	484	488	526	493	509	555	553	554	625	747	715	700	720
Operating income	190	347	364	234	217	256	292	300	431	353	332	360	311	252	376	165	121	203	120	357
Operating margin	17%	27%	28%	19%	17%	19%	23%	22%	27%	23%	23%	24%	19%	17%	23%	9%	5%	8%	5%	14%
Interest expense	1.1	0.5	0.4	0.4	0.4	0.3	0.3	0.3	0.3	1.3	7.1	11.8	15.8	11.1	94.3	147	195	163	133	133
Pre-tax income	199	327	340	236	212	279	297	326	410	457	342	392	323	291	396	189	517	79.1	19.3	684
Tax rate	-1%	4%	14%	7%	29%	4%	8%	-2%	15%	5%	13%	-8%	19%	-2%	12%	-28%	13%	18%	12%	20%
Net income	201	314	295	223	154	272	273	336	349	449	292	408	1,114	296	345	243	449	65.0	17.1	546
Net margin	17%	25%	23%	18%	12%	20%	22%	25%	22%	30%	20%	27%	68%	20%	22%	14%	20%	3%	1%	22%
Diluted EPS	$1.27	$1.99	$1.89	$1.43	$0.99	$1.75	$1.76	$2.17	$2.26	$2.89	$1.88	$2.61	$7.14	$1.89	$2.21	$1.50	$2.39	$0.34	$0.09	$2.84
Operating cash flow	371	156	750	440	394	115	703	560	326	-87.8	477	455	563	-67.5	275	671	640	857	629	813
Capital expenditure	26.8	41.8	25.6	35.6	33.7	43.5	47.9	45.2	53.1	40.4	38.4	40.0	4.4	40.7	55.6	38.6	n/a	35.3	54.2	66.6
Free cash flow	344	114	724	404	360	71.3	655	514	273	-128	438	415	558	-108	220	632	n/a	822	575	746
Buybacks	215	210	290	217	383	261	300	300	300	0.0	0.0	0.0	0.0	n/a	n/a	0.0	n/a	n/a	n/a	37.5
Shares outstanding	153m	153m	153m	153m	152m	152m	152m	152m	152m	153m	153m	154m	154m	155m	155m	185m	186m	191m	191m	192m
Filing	10-K	10-Q	10-Q	10-Q	10-K	10-Q	10-Q	10-Q	10-K	10-Q	10-Q	10-Q	10-K	10-Q	10-Q	10-Q	10-K	10-Q	10-Q	10-Q

Each quarter as filed, linked to its filing.

* The fourth quarter is the full year less the first three quarters, because the company files the year and not the quarter on its own. A fourth quarter's EPS, and its diluted share count where shown, are from the company's results press release for that quarter, checked against the company's filed figures or a second data source. A quarter marked † is shown as the company last restated it in a later filing, so it compares with the quarters around it on one basis; rest on a figure for the one first filed. EPS is as filed. Money is in $ million as the company files it, or in $ billion by the switch above the tables; per share figures and the share count are as they are. Free cash flow is operating cash flow less capital expenditure; the effective tax rate is income tax over pre-tax income; margins are the line over revenue. Gross profit is revenue less cost of revenue, and operating income is revenue less the company's own total costs, where the statement does not print those lines. Cash flow lines filed year to date are the difference between two filings. Shares outstanding are at the period end where the balance sheet tags them, otherwise the count on the filing's cover page. A derived fourth-quarter EPS is left blank when a split in the year makes the arithmetic meaningless.

10-K for the period ended 31 October 2025, filed 22 December 2025: the filing.