Filing Flows › Synopsys (SNPS) › Q2 FY25
Synopsys (SNPS) Q2 FY25 earnings results (second quarter fiscal 2025)
10-Q filed May 28, 2025
Synopsys (SNPS) reported revenue of $1.6B for the second quarter fiscal 2025 (Q2 FY25), +10% from a year earlier and +10% from the quarter before. Operating margin was 23.5%, net earnings $345M (21.5% of revenue).
Synopsys, Q2 FY25: revenue $1.6B (+10% year over year), operating margin 23.5%, net earnings $345M, operating cash flow $275M. The chart follows the revenue to costs, profit and cash.
| Q2 FY25 | Amount | Q/Q | Y/Y |
|---|---|---|---|
| Revenue | $1.6B | +10% | +10% |
| Gross profit | $1.3B | +8% | +11% |
| Operating profit | $376M | +49% | +13% |
| Net earnings | $345M | +17% | +18% |
| Operating cash flow | $275M | — | -42% |
| Free cash flow | $220M | — | -50% |
What changed
Revenue was $1.6B in Q2 FY25, up 10% year over year and up 10% from the previous quarter. Time-based products was the largest line at 52% of revenue. Upfront products added $0.11B year over year (up 29%), 76% of the total change. Maintenance and service declined 4%.
Gross margin was 80.2%, up 0.8 points from a year earlier. Operating profit was $0.38B, a 23.5% margin (up 0.6 points year over year). Of the extra revenue versus a year earlier, 30% reached operating profit, above the 23% margin then. Operating expenses grew 11% against revenue growth of 10%. The fastest-growing cost line was General & admin (+19%). Net earnings were $0.35B, up 18% year over year. The effective tax rate was 12.0%.
Operating cash flow was $0.28B (down 42% year over year), 80% of net earnings. Non-cash charges added back $0.05B of depreciation and amortization and $0.20B of share-based compensation. Working capital and other items used $0.32B. Capital expenditures of $0.06B left free cash flow of $0.22B.
Questions
What was Synopsys' revenue in the second quarter fiscal 2025?
Synopsys (SNPS) reported revenue of $1.6B for the second quarter fiscal 2025 (Q2 FY25), +10% from a year earlier and +10% from the quarter before.
Was Synopsys profitable in the second quarter fiscal 2025?
Operating profit was $376M (23.5% of revenue) and net earnings $345M.
Source: Synopsys 10-Q on SEC EDGAR.