Filing Flows › Cadence Design Systems (CDNS) › Q3 2026
Cadence Design Systems (CDNS) Q3 2026 earnings results (third quarter 2026)
10-Q filed Oct 28, 2026
Cadence Design Systems (CDNS) reported revenue of $1.6B for the third quarter 2026 (Q3 2026), +22% from a year earlier and +3% from the quarter before. Operating margin was 26.2%, net earnings $290M (17.7% of revenue).
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 follows the revenue to costs, profit and cash.
| Q3 2026 | Amount | Q/Q | Y/Y |
|---|---|---|---|
| Revenue | $1.6B | +3% | +22% |
| Operating profit | $429M | -5% | +0.8% |
| Net earnings | $290M | -21% | +0.9% |
| Operating cash flow | $424M | -33% | +36% |
| Free cash flow | $362M | -38% | +31% |
What changed
Revenue was $1.6B in Q3 2026, up 22% year over year and up 3% from the previous quarter. Product and maintenance was the largest line at 91% of revenue. Product and maintenance added $0.28B year over year (up 23%), 95% of the total change.
Operating profit was $0.43B, a 26.2% margin (down 5.5 points year over year). Of the extra revenue versus Q3 2025, 1% reached operating profit, below the 32% margin then. Total costs grew 32% against revenue growth of 22%. The fastest-growing cost line was General & admin (+45%). Net earnings were $0.29B, up 1% year over year. The effective tax rate was 29.0%.
Operating cash flow was $0.42B (up 36% year over year), 146% of net earnings. Non-cash charges added back $0.12B of depreciation and amortization and $0.14B of share-based compensation. Working capital and other items used $0.13B. Capital expenditures of $0.06B left free cash flow of $0.36B.
Questions
What was Cadence Design Systems' revenue in the third quarter 2026?
Cadence Design Systems (CDNS) reported revenue of $1.6B for the third quarter 2026 (Q3 2026), +22% from a year earlier and +3% from the quarter before.
Was Cadence Design Systems profitable in the third quarter 2026?
Operating profit was $429M (26.2% of revenue) and net earnings $290M.