Earnings call briefThird-quarter 2026

Cadence Design Systems CDNS

Cadence Design Systems expects $1.695 billion to $1.725 billion in Q4 revenue

Cadence Design Systems also said it expects to use more than 50% of its free cash flow to repurchase its shares in 2026.

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On its third-quarter call, the company said it expects fourth-quarter non-GAAP operating margin of 44% to 45%. The company said its outlook assumes that export control regulations in place as of October 26, 2026 remain substantially similar for the rest of the year.

Quotes from the call

“For Q4, we expect revenue in the range of $1.695 billion to $1.725 billion.”

John Wall, Senior Vice President and Chief Financial Officer

“Operating cash flow of approximately $2 billion and we expect to use more than 50% of our free cash flow to repurchase Cadence shares in 2026.”

John Wall, Senior Vice President and Chief Financial Officer

Key facts from the call

Fourth-quarter revenue outlook
$1.695 billion to $1.725 billion
Fourth-quarter non-GAAP operating margin outlook
44% to 45%
Expected 2026 operating cash flow
Approximately $2 billion
Expected 2026 share repurchases
More than 50% of free cash flow

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Source: Cadence Design Systems' third-quarter 2026 earnings call, October 26, 2026.

Written by GetSignal with AI from the company's earnings call.

Not investment advice.

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