Filing Flows › Cadence Design Systems (CDNS) › Q1 2026
Cadence Design Systems (CDNS) Q1 2026 earnings results (first quarter 2026)
10-Q filed May 1, 2026
Cadence Design Systems (CDNS) reported revenue of $1.5B for the first quarter 2026 (Q1 2026), +19% from a year earlier and +2% from the quarter before. Operating margin was 29.3%, net earnings $336M (22.8% of revenue).
Cadence Design Systems, Q1 2026: revenue $1.5B (+19% year over year), operating margin 29.3%, net earnings $336M, operating cash flow $356M. The chart follows the revenue to costs, profit and cash.
| Q1 2026 | Amount | Q/Q | Y/Y |
|---|---|---|---|
| Revenue | $1.5B | +2% | +19% |
| Operating profit | $431M | -7% | +19% |
| Net earnings | $336M | -14% | +23% |
| Operating cash flow | $356M | -36% | -27% |
| Free cash flow | $307M | -40% | -34% |
What changed
Revenue was $1.5B in Q1 2026, up 19% year over year and up 2% from the previous quarter. Product and maintenance was the largest line at 92% of revenue. Product and maintenance added $0.24B year over year (up 21%), 103% of the total change. Service declined 5%.
Operating profit was $0.43B, a 29.3% margin (up 0.2 points year over year). Of the extra revenue versus Q1 2025, 30% reached operating profit, above the 29% margin then. Total costs grew 18% against revenue growth of 19%. The fastest-growing cost line was General & admin (+40%). Net earnings were $0.34B, up 23% year over year. The effective tax rate was 21.6%.
Operating cash flow was $0.36B (down 27% year over year), 106% of net earnings. Non-cash charges added back $0.08B of depreciation and amortization and $0.14B of share-based compensation. Working capital and other items used $0.20B. Capital expenditures of $0.05B left free cash flow of $0.31B.
Questions
What was Cadence Design Systems' revenue in the first quarter 2026?
Cadence Design Systems (CDNS) reported revenue of $1.5B for the first quarter 2026 (Q1 2026), +19% from a year earlier and +2% from the quarter before.
Was Cadence Design Systems profitable in the first quarter 2026?
Operating profit was $431M (29.3% of revenue) and net earnings $336M.