Filing Flows › Cadence Design Systems (CDNS) › Q3 2026 › vs Q3 2025
Cadence Design Systems (CDNS) Q3 2026 vs Q3 2025 (year over year)
Cadence Design Systems's revenue rose $294M (+22%) from $1.3B in Q3 2025 to $1.6B in Q3 2026. The biggest changes: Product and maintenance +$280M (+23%); Service +$14.9M (+11%). Operating margin 26.2% against 31.8% (-5.5 pts).
Cadence Design Systems, Q3 2026: revenue $1.6B (+22% year over year), operating margin 26.2%, net earnings $290M, operating cash flow $424M. The chart draws each line against Q3 2025, the increases inside each band.
Margins
| Q3 2026 | Q3 2025 | Change | |
|---|---|---|---|
| Operating margin | 26.2% | 31.8% | -5.5 pts |
| Net margin | 17.7% | 21.4% | -3.7 pts |
| Free cash flow margin | 22.2% | 20.7% | +1.5 pts |
Every line
| Line | Q3 2026 | Q3 2025 | Change | % |
|---|---|---|---|---|
| Product and maintenance | $1.5B | $1.2B | $280M | +23% |
| Service | $146M | $131M | $14.9M | +11% |
| Revenue | $1.6B | $1.3B | $294M | +22% |
| Operating profit | $429M | $425M | $3.3M | +0.8% |
| Costs & expenses | $1.2B | $913M | $291M | +32% |
| Pre-tax earnings | $408M | $393M | $15.6M | +4% |
| Other expense, net | $20.4M | $32.6M | −$12.2M | -37% |
| Research & development | $538M | $423M | $115M | +27% |
| Sales & marketing | $242M | $193M | $49.9M | +26% |
| General & admin | $113M | $78.0M | $35.0M | +45% |
| Other operating costs | $312M | $220M | $91.7M | +42% |
| Net earnings | $290M | $287M | $2.6M | +0.9% |
| Income tax | $119M | $106M | $12.9M | +12% |
| Depreciation & amortization | $119M | $56.7M | $61.9M | +109% |
| Share-based compensation | $145M | $116M | $28.7M | +25% |
| Working capital & other | $129M | $149M | −$19.9M | -13% |
| Operating cash flow | $424M | $311M | $113M | +36% |
| Free cash flow (OCF − capex) | $362M | $277M | $84.9M | +31% |
| Capital expenditures | $61.8M | $33.7M | $28.1M | +83% |
Questions
How much did Cadence Design Systems's revenue grow year over year in Q3 2026?
Cadence Design Systems's revenue rose $294M (+22%) from $1.3B in Q3 2025 to $1.6B in Q3 2026.
What drove Cadence Design Systems's revenue change in Q3 2026?
Product and maintenance +$280M (+23%); Service +$14.9M (+11%).