Filing Flows › Cadence Design Systems (CDNS) › Q1 2025
Cadence Design Systems (CDNS) Q1 2025 earnings results (first quarter 2025)
10-Q filed Apr 30, 2025
Cadence Design Systems (CDNS) reported revenue of $1.2B for the first quarter 2025 (Q1 2025), +23% from a year earlier and -8% from the quarter before. Operating margin was 29.1%, net earnings $274M (22.0% of revenue).
Cadence Design Systems, Q1 2025: revenue $1.2B (+23% year over year), operating margin 29.1%, net earnings $274M, operating cash flow $487M. The chart follows the revenue to costs, profit and cash.
| Q1 2025 | Amount | Q/Q | Y/Y |
|---|---|---|---|
| Revenue | $1.2B | -8% | +23% |
| Operating profit | $362M | -21% | +45% |
| Net earnings | $274M | -20% | +10% |
| Operating cash flow | $487M | +10% | +92% |
| Free cash flow | $464M | +15% | +128% |
What changed
Revenue was $1.2B in Q1 2025, up 23% year over year and down 8% from the previous quarter. Product and maintenance was the largest line at 89% of revenue. Product and maintenance added $0.20B year over year (up 22%), 85% of the total change.
Operating profit was $0.36B, a 29.1% margin (up 4.3 points year over year). Of the extra revenue versus a year earlier, 48% reached operating profit, above the 25% margin then. Total costs grew 16% against revenue growth of 23%. The fastest-growing cost line was Other operating costs (+34%). Net earnings were $0.27B, up 10% year over year. The effective tax rate was 23.1%.
Operating cash flow was $0.49B (up 92% year over year), 178% of net earnings. Non-cash charges added back $0.05B of depreciation and amortization and $0.11B of share-based compensation. Working capital and other items added $0.05B. Capital expenditures of $0.02B left free cash flow of $0.46B.
Questions
What was Cadence Design Systems' revenue in the first quarter 2025?
Cadence Design Systems (CDNS) reported revenue of $1.2B for the first quarter 2025 (Q1 2025), +23% from a year earlier and -8% from the quarter before.
Was Cadence Design Systems profitable in the first quarter 2025?
Operating profit was $362M (29.1% of revenue) and net earnings $274M.