Synopsys - Can Complexity Be The Mother Of Profitability
Wed, Nov. 30, 5:58 PM
- Results – revenue $633.7M (+7.9% Y/Y, $5.47M above estimates), EPS $0.77 (in line), net income $119.1M (vs. $105.5M Y/Y)
- Other developments – Agreement for senior unsecured revolving credit facility amended and restated at $650M from $500M prior (termination extended from May 19, 2020 to November 28, 2021). Cigital and Codiscope acquisitions finalized, terms undisclosed.
- Q1 projections – revenue $630M-$645M (consensus $606.21M), EPS $0.77-$0.80 (consensus $0.76), expenses $485M-$495M, other income and expense $0-$2M
- FY 2017 projections – revenue $2.57B-$2.6B (consensus $2.42B), EPS $3.16-$3.23, other income and expense $0-$4M, cash flow from operations $500M
- Synopsys (NASDAQ:SNPS) chairman and co-CEO Aart de Geus: "Synopsys reported a strong fourth quarter finish to an outstanding fiscal year 2016, in the context of a challenging semiconductor landscape. We enter 2017 with a solid technical and economic foundation. During the year, we made very good progress with our design and verification products, delivered strong results in IP, and further scaled our software integrity solutions, including the acquisitions of Cigital and Codiscope, which closed today. To drive long-term shareholder value, we also continue to successfully balance our investment priorities, including $400 million in share repurchases during fiscal year 2016."
- Prior quarters overview
- Supplemental data
- Conference call
- Press release
Wed, Nov. 30, 4:06 PM
Tue, Nov. 29, 5:35 PM
Mon, Nov. 14, 10:08 AM
- The $4.5B all-cash deal between Mentor Graphics and Siemens is supporting electronic design automation competitors Synopsys and Cadence Design Systems to respective 2.4% and 2.9% gains in early trading.
- Synopsys (NASDAQ:SNPS) consequently moves higher by 3.3% on the week and 2.5% on the month, while Cadence Design System (NASDAQ:CDNS) notches respective 2% and 0.35% increases over the same bases on the news impacting these major components of the highly correlated sector.
Mon, Oct. 24, 9:49 AM
- Samsung Electronics' (OTC:SSNLF) first-generation 10nm (10LPE) components are expected to begin shipping in H1 2017, ahead of many major competitors. A second-generation process (10LPP) is projected to commence mass production in H2.
- Synopsys' (SNPS +0.9%) Custom Compiler and Galaxy Design Platform have been validated to support that second generation, LPP process. Emphasis of Custom Compiler support involves shortening of layout time, with a days-to-hours reduction cited. For Galaxy Design Platform, power reduction and efficiency are noted.
- Last week: Samsung Electronics commences mass 10-nanometer processor fabrication
Mon, Oct. 10, 12:41 PM
Wed, Aug. 17, 5:39 PM
- Synopsys (NASDAQ:SNPS) registered a 10.7% Y/Y revenue increase ($615.2M vs. $555.8M) and $16.5M Y/Y increase in net income ($116.2M vs. $99.7M).
- Projects Q4 revenue of $621M-$636M, expenses of $483M-$493M, other income and expense of $0-$2M, tax rate applied in non-GAAP net income calculations of 19%, fully diluted outstanding shares of 152M-155M and EPS of $0.75-$0.78. Projects FY 2016 revenue of $2.410B-$2.425B, other income and expense of $6M-$8M, tax rate applied in non-GAAP net income calculations of 19%, fully diluted outstanding shares of 153M-156M, EPS of $3.00-$3.03 and cash flow from operations of $525M-$545M.
- The company is trading around 7% above its year-ago level.
- Supplemental information
- Conference call
- Press release
Wed, Aug. 17, 4:06 PM
Tue, Aug. 16, 5:35 PM
Tue, May 24, 12:28 PM
- Synopsys (SNPS +2.6%) has struck a $125M accelerated buyback deal with JPMorgan. The company will receive initial delivery of 2M shares (1.3% of outstanding shares).
- Synopsys is within $2 of a 52-week high of $52.78. Shares moved higher last week after an FQ2 beat, and added to their gains following rival Mentor Graphics' earnings.
Fri, May 20, 1:32 PM
- After plummeting in November following its FQ3 report (weak results/guidance) and declining in March after its FQ4 report (results beat, but guidance was mixed), Mentor Graphics (MENT +7.3%) is faring much better today after beating FQ1 estimates and issuing solid guidance.
- The chip design hardware/software firm expects FQ2 revenue of $245M and EPS of $0.09 vs. a consensus of $236.4M and $0.09. It's affirming FY17 (ends Jan. '17) guidance for revenue of $1..215B, EPS of $1.68, and op. cash flow of $200M.
- Revenue was still down 16% Y/Y in FQ1, and Mentor notes "weakness in semiconductor-related activity" (caused in part by R&D spending cuts that have followed industry M&A) remained. On the flip side, bookings for automotive customers (have benefited from growing chip/electronics content within cars) hit a new record.
- System/software revenue fell 32% Y/Y to $106.7M, while service/support revenue (fueled by part system/software sales) rose 4% to $120.9M. Non-GAAP operating expenses rose by a modest $500K to $182.5M. Mentor ended FQ1 with $216M in cash and $273M in debt.
- EDA hardware/software peers Cadence (CDNS +2.7%) and Synopsys (SNPS +2.4%) are also outperforming - Synopsys posted an FQ2 beat on Wednesday afternoon. The Nasdaq is up 1.2%.
- Mentor's FQ1 results, earnings release
Wed, May 18, 4:06 PM
- Synopsys (NASDAQ:SNPS): FQ2 EPS of $0.81 beats by $0.02.
- Revenue of $605M (+8.6% Y/Y) beats by $3.03M.
Tue, May 17, 5:35 PM
Thu, Mar. 10, 5:27 PM
- A Northern California federal jury has ruled private EDA software firm ATopTech infringed Synopsys (NASDAQ:SNPS) copyrights related to the company's PrimeTime timing analysis software, and awarded $30.4M in damages.
- Synopsys sued ATopTech in 2013, accusing the company of using elements of PrimeTime's commands within its Aprisa software. Last year, Synopsys lost a legal battle related to its ZeBu emulation systems and software to rival Mentor Graphics.
Wed, Feb. 17, 4:10 PM
- Synopsys (NASDAQ:SNPS): FQ1 EPS of $0.68 beats by $0.06.
- Revenue of $568.6M (+4.9% Y/Y) in-line.
Tue, Feb. 16, 5:35 PM| Tue, Feb. 16, 5:35 PM