Short answer
Cadence Design Systems (CDNS) filed its fiscal 2025 10-K annual report with the SEC on Feb 19, 2026. It reported revenue of $5.3B (+14.1% year over year) and net income of $1.1B.
- Top risk flagged: Regulatory risk from Exchange Act Rule 10b5-1 compliance tied to share repurchase trading plans
FY2025 key financial metrics · XBRL
- Revenue
- $5.3B
- +14.1% YoY
- Net income
- $1.1B
- +5.1% YoY
- Operating margin
- 28.2%
- −0.9 pp YoY
- EPS (diluted)
- $4.06
- +5.5% YoY
- ROE
- 20.3%
- −2.3 pp YoY
- Operating cash flow
- $1.7B
- +37.1% YoY
Source: XBRL data from the Cadence Design Systems (CDNS) FY2025 10-K on SEC EDGAR. USD.
Cadence Design Systems FY2025 10-K analysis
AI summary of each section, grounded in the filing text
Business Overview
- Core business model: provider of AI-driven computational software, accelerated hardware, and IP solutions for semiconductor and electronic systems design
- No new products or segments explicitly introduced or emphasized in fiscal 2026 filing
- Continued strategic focus on innovation and complex system design support for technology companies; no major competitive shifts disclosed
- Total revenue $5.297B in 2025, up from $4.641B in 2024; R&D expense increased to $1.769B (up 14% YoY) showing intensified innovation investment
- Adoption of new accounting standards including ASU 2023-09 on income tax disclosures adopted prospectively in 2025 distinguishing this annual report
Management Discussion & Analysis
- Revenue $5.297B, up 14% YoY from $4.641B driven by software, hardware, IP, and acquisitions
- Operating margin 28% vs 29% YoY; decline due to $128.5M loss from BIS and DOJ settlement
- Best segment Core EDA 70% of revenue ($3.707B est), worst growth Services up 11% ($475.2M revenue) but smallest share
- Cash outflows: $140.6M paid for settlement, increased R&D $219.7M to $1.769B, capex not detailed, no buyback/dividend specifics given
- Outlook cautious on geopolitical/export controls in China, ongoing monitoring of trade, global conflicts, and revenue mix impact
Risk Factors
- Regulatory risk from Exchange Act Rule 10b5-1 compliance tied to share repurchase trading plans
- Macroeconomic exposure through $1.5B share repurchase authorization impacted by market and business conditions
- Operational reliance on employee stock vesting tied to share surrender for tax withholding, impacting share liquidity
- Market disruption risk from Nasdaq Information Technology Index outperforming Cadence (258.38 vs 229.11 on 12/31/25)
- Financial risk due to $1.5B incremental share repurchase authorization increasing leverage on balance sheet
Generated from the filing text; verify against the original. How to read a 10-K
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