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Synopsys Inc. (SNPS+0.38%) has released its annual 10-K report filing for the fiscal year ended October 31, 2024.
The report details a 15% increase in revenue to $6.1 billion, driven by growth across all product lines and geographic regions. This includes a significant increase in both the Design Automation and Design IP segments.
Operating income for the fiscal year was reported at $1.4 billion, a 6% increase from the previous year. This was achieved despite a rise in total cost of revenue and operating expenses, which increased by 18% to $4.8 billion.
Net income from continuing operations attributed to Synopsys was $1.4 billion, reflecting a 17% increase compared to the prior year. The company also reported a net income from discontinued operations of $821.7 million, largely due to the gain from the divestiture of its Software Integrity business.
Synopsys has announced a pending acquisition of Ansys Inc., valued at approximately $35 billion. The acquisition is expected to close in the first half of 2025, subject to regulatory approvals.
The filing also highlights the company's exposure to macroeconomic and geopolitical risks, including potential impacts from global inflationary pressures and changes in export control regulations.
Synopsys' balance sheet shows $4.1 billion in cash, cash equivalents, and short-term investments, with a significant portion held in foreign jurisdictions.
Looking ahead, Synopsys anticipates continued growth but acknowledges potential challenges from the current macroeconomic environment, including slower recovery in certain industries and regions.
The company has also suspended its stock repurchase program in connection with the pending Ansys merger until expected debt levels are reduced.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Synopsys Inc. annual 10-K report dated December 19, 2024. To report an error, please email earnings@qz.com.