Stock Analysis

Cadence Design Systems Third Quarter 2024 Earnings: Revenues Beat Expectations, EPS Lags

NasdaqGS:CDNS
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Cadence Design Systems (NASDAQ:CDNS) Third Quarter 2024 Results

Key Financial Results

  • Revenue: US$1.22b (up 19% from 3Q 2023).
  • Net income: US$238.1m (down 6.4% from 3Q 2023).
  • Profit margin: 20% (down from 25% in 3Q 2023). The decrease in margin was driven by higher expenses.
  • EPS: US$0.88 (down from US$0.94 in 3Q 2023).
earnings-and-revenue-growth
NasdaqGS:CDNS Earnings and Revenue Growth October 30th 2024

All figures shown in the chart above are for the trailing 12 month (TTM) period

Cadence Design Systems Revenues Beat Expectations, EPS Falls Short

Revenue exceeded analyst estimates by 2.9%. Earnings per share (EPS) missed analyst estimates by 2.1%.

Looking ahead, revenue is forecast to grow 12% p.a. on average during the next 3 years, compared to a 12% growth forecast for the Software industry in the US.

Performance of the American Software industry.

The company's shares are up 13% from a week ago.

Balance Sheet Analysis

While earnings are important, another area to consider is the balance sheet. See our latest analysis on Cadence Design Systems' balance sheet health.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.