Filing Flows › Synopsys (SNPS) › Q3 FY25
Synopsys (SNPS) Q3 FY25 earnings results (third quarter fiscal 2025)
10-Q filed Sep 9, 2025
Synopsys (SNPS) reported revenue of $1.7B for the third quarter fiscal 2025 (Q3 FY25), +14% from a year earlier and +8% from the quarter before. Operating margin was 9.5%, net earnings $243M (13.9% of revenue).
Synopsys, Q3 FY25: revenue $1.7B (+14% year over year), operating margin 9.5%, net earnings $243M, operating cash flow $671M. The chart follows the revenue to costs, profit and cash.
| Q3 FY25 | Amount | Q/Q | Y/Y |
|---|---|---|---|
| Revenue | $1.7B | +8% | +14% |
| Gross profit | $1.4B | +6% | +10% |
| Operating profit | $165M | -56% | -54% |
| Net earnings | $243M | -30% | -41% |
| Operating cash flow | $671M | +144% | +47% |
| Free cash flow | $632M | +188% | +52% |
What changed
Revenue was $1.7B in Q3 FY25, up 14% year over year and up 8% from the previous quarter. Time-based products was the largest line at 51% of revenue. Time-based products added $0.09B year over year (up 11%), 42% of the total change.
Gross margin was 78.1%, down 2.8 points from a year earlier. Operating profit was $0.17B, a 9.5% margin (down 14.1 points year over year). Operating profit fell $0.19B even though revenue rose $0.21B versus a year earlier, so costs grew faster than sales. Operating expenses grew 36% against revenue growth of 14%. The fastest-growing cost line was Other operating costs (+603%). Net earnings were $0.24B, down 41% year over year. The effective tax rate was -28.0%.
Operating cash flow was $0.67B (up 47% year over year), 277% of net earnings. Non-cash charges added back $0.11B of depreciation and amortization and $0.27B of share-based compensation. Working capital and other items added $0.05B. Capital expenditures of $0.04B left free cash flow of $0.63B.
Questions
What was Synopsys' revenue in the third quarter fiscal 2025?
Synopsys (SNPS) reported revenue of $1.7B for the third quarter fiscal 2025 (Q3 FY25), +14% from a year earlier and +8% from the quarter before.
Was Synopsys profitable in the third quarter fiscal 2025?
Operating profit was $165M (9.5% of revenue) and net earnings $243M.
Source: Synopsys 10-Q on SEC EDGAR.