Strong Revenue Growth Across Core Products and Geographies
Total revenue for 2026-Q2 rose 24% year-over-year to $1,584.5 million, up from $1,275.4 million in 2025-Q2, driven by product and maintenance revenue growth of 22% to $1,430.7 million and 96% revenue growth in China to $236.2 million.
Strategic Acquisition of Hexagon's D&E Business
On February 23, 2026, Cadence completed the acquisition of Hexagon Smart Solutions AB's design and engineering business to expand its System Design and Analysis portfolio, increasing headcount, operating expenses, and intangible amortization.
Operating Margin Expansion
Operating margin expanded to 28% in 2026-Q2 compared to 19% in 2025-Q2, primarily due to the non-recurrence of a prior-year contingent liability loss, partially offset by acquisition-related incremental expenses and intangible amortization.