Synopsys (SNPS) Q2 FY2026 earnings: revenue $2.3 billion, up 41.9% on the year

Synopsys Inc. (SNPS) reported revenue of $2.3 billion for Q2 FY2026, the quarter ended 30 April 2026, up 41.9% on the same quarter a year earlier. Net income was $17 million, down 95.0% on the year, and diluted earnings per share $0.09. The figures are the company's own, from the 10-Q it filed with the SEC on 27 May 2026.

Revenue

$2.3 billion

+41.9% on the year · -5.5% on the quarter

Q3 FY2024Q2 FY2026

Operating margin

5.3%

23.5% a year earlier

Q3 FY2024Q2 FY2026

Net income

$17 million

-95.0% on the year · -73.7% on the quarter

Q3 FY2024Q2 FY2026

Diluted EPS

$0.09

-95.9% on the year · -73.5% on the quarter

Q3 FY2024Q2 FY2026

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

What management said

Guidance figures: 7 raised, 1 lowered, 12 new, 6 kept.

Full-year targets raised, Q3 targets set: Full-year revenue, GAAP and non-GAAP EPS, and free cash flow targets were raised. Third-quarter targets were provided alongside the full-year figures.
Revenue reached $2.276 billion: Second-quarter revenue was $2.276 billion, against $1.604 billion a year earlier. Six-month revenue was $4.685 billion, against $3.060 billion.
Non-GAAP EPS was $3.35: Non-GAAP net income was $643.7 million, or $3.35 per diluted share, against $572.7 million, or $3.67 a year earlier. Diluted share count rose to 192.1 million from 156.1 million.

Read the earnings call summary

Income statement (profit and loss)

$ million	Q2 FY2026	Q1 FY2026	Q2 FY2025	On the quarter	On the year
Revenue	2,276	2,409	1,604	-5.5%	+41.9%
Cost of revenue	630	637	318	-1.2%	+97.9%
Gross profit	1,646	1,771	1,286	-7.1%	+28.0%
Gross margin	72.3%	73.5%	80.2%
Research and development	700	715	554	-2.1%	+26.4%
Operating income	120	203	376	-40.7%	-68.0%
Operating margin	5.3%	8.4%	23.5%
Interest expense	133	163	94.3	-18.0%	+41.4%
Pre-tax income	19.3	79.1	396	-75.6%	-95.1%
Income tax	2.4	14.3	47.2	-83.2%	-94.9%
Effective tax rate	12.5%	18.1%	11.9%
Net income	17.1	65.0	345	-73.7%	-95.0%
Net margin	0.8%	2.7%	21.5%
Diluted EPS	$0.09	$0.34	$2.21	-73.5%	-95.9%

$ million except per share.

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.

Cash flow

$ million	Q2 FY2026	Q1 FY2026	Q2 FY2025	On the quarter	On the year
Operating cash flow	629	857	275	-26.6%	+128.4%
Capital expenditure	54.2	35.3	55.6	+53.4%	-2.5%
Free cash flow	575	822	220	-30.0%	+161.5%
Free cash flow margin	25.3%	34.1%	13.7%
Cash from investing	-52.9	-36.5	76.0
Cash from financing	-281	-1,583	10,096
Depreciation and amortisation	456	451	48.9	+1.3%	+833.4%
Share-based compensation	222	259	202	-14.1%	+10.2%
Diluted shares, weighted	192m	191m	156m	+0.7%	+23.1%
Shares outstanding at period end	191m	191m	155m	-0.0%	+23.4%

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	Q2 FY2026	Q1 FY2026	Q2 FY2025	On the quarter	On the year
Shareholders' equity	30,478	30,549	9,916	-0.2%	+207.4%
Non-controlling interest	-1.1	-0.8	-0.1
Redeemable equity	n/a	n/a	0.0
Debt	10,036	10,044	10,051	-0.1%	-0.1%
Operating lease liabilities	670	691	587	-3.0%	+14.1%
Other liabilities	5,706	5,954	3,203	-4.2%	+78.1%
Total liabilities and equity	46,889	47,238	23,757	-0.7%	+97.4%
Fixed assets	715	677	572	+5.6%	+25.0%
Goodwill	26,854	26,881	3,461	-0.1%	+675.8%
Intangible assets	11,875	12,290	173	-3.4%	+6,748.8%
Investments	72.0	73.9	145	-2.6%	-50.3%
Cash and equivalents	2,412	2,130	14,119	+13.3%	-82.9%
Receivables	1,267	1,641	1,002	-22.8%	+26.5%
Inventory	442	393	395	+12.4%	+11.8%
Other assets	3,251	3,153	3,888	+3.1%	-16.4%
Total assets	46,889	47,238	23,757	-0.7%	+97.4%

Questions

What was Synopsys' revenue in Q2 FY2026?

Synopsys (SNPS) reported revenue of $2.3 billion for Q2 FY2026, the quarter ended 30 April 2026, up 41.9% on the same quarter a year earlier.

How much did Synopsys earn in Q2 FY2026?

Net income for Q2 FY2026 was $17 million, down 95.0% on the year, and diluted earnings per share $0.09.

When did Synopsys report Q2 FY2026 results?

Synopsys filed its 10-Q for the quarter ended 30 April 2026 with the SEC on 27 May 2026.

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-Q for the period ended 30 April 2026, filed 27 May 2026: the filing.