Filing Flows › Cadence Design Systems (CDNS) › Q2 2026 › vs Q1 2026
Cadence Design Systems (CDNS) Q2 2026 vs Q1 2026 (quarter over quarter)
Cadence Design Systems's revenue rose $110M (+7%) from $1.5B in Q1 2026 to $1.6B in Q2 2026. The biggest changes: Product and maintenance +$81.7M (+6%); Service +$28.5M (+23%). Operating margin 28.4% against 29.3% (-0.8 pts).
Cadence Design Systems, Q2 2026: revenue $1.6B (+24% year over year), operating margin 28.4%, net earnings $367M, operating cash flow $635M. The chart draws each line against Q1 2026, the increases inside each band.
Margins
| Q2 2026 | Q1 2026 | Change | |
|---|---|---|---|
| Operating margin | 28.4% | 29.3% | -0.8 pts |
| Net margin | 23.2% | 22.8% | +0.4 pts |
| Free cash flow margin | 36.8% | 20.8% | +15.9 pts |
Every line
| Line | Q2 2026 | Q1 2026 | Change | % |
|---|---|---|---|---|
| Product and maintenance | $1.4B | $1.3B | $81.7M | +6% |
| Service | $154M | $125M | $28.5M | +23% |
| Revenue | $1.6B | $1.5B | $110M | +7% |
| Other income, net | $59.9M | −$3.2M | $63.1M | — |
| Operating profit | $450M | $431M | $19.0M | +4% |
| Costs & expenses | $1.1B | $1.0B | $91.2M | +9% |
| Pre-tax earnings | $510M | $428M | $82.1M | +19% |
| Research & development | $531M | $508M | $22.8M | +4% |
| Sales & marketing | $241M | $211M | $29.5M | +14% |
| General & admin | $88.5M | $88.2M | $331K | +0.4% |
| Other operating costs | $273M | $235M | $38.5M | +16% |
| Net earnings | $367M | $336M | $31.4M | +9% |
| Income tax | $143M | $92.4M | $50.7M | +55% |
| Depreciation & amortization | $117M | $84.6M | $32.4M | +38% |
| Share-based compensation | $147M | $138M | $8.7M | +6% |
| Working capital & other | $4.0M | −$203M | $207M | — |
| Operating cash flow | $635M | $356M | $279M | +78% |
| Free cash flow (OCF − capex) | $582M | $307M | $275M | +90% |
| Capital expenditures | $52.6M | $48.8M | $3.8M | +8% |
Questions
How much did Cadence Design Systems's revenue grow quarter over quarter in Q2 2026?
Cadence Design Systems's revenue rose $110M (+7%) from $1.5B in Q1 2026 to $1.6B in Q2 2026.
What drove Cadence Design Systems's revenue change in Q2 2026?
Product and maintenance +$81.7M (+6%); Service +$28.5M (+23%).