CADENCE DESIGN SYSTEMS INC, 10-Q filed on 7/30/2025
Quarterly Report
v3.25.2
Cover Page
 6 Months Ended
Jun. 30, 2025
shares
Cover [Abstract]  
Document Type 10-Q
Document Quarterly Report true
Document Period End Date Jun. 30, 2025
Document Transition Report false
Entity File Number 000-15867
Entity Registrant Name CADENCE DESIGN SYSTEMS, INC.
Entity Incorporation, State or Country Code DE
Entity Tax Identification Number 00-0000000
Entity Address, Address Line One 2655 Seely Avenue, Building 5,
Entity Address, City or Town San Jose,
Entity Address, State or Province CA
Entity Address, Postal Zip Code 95134
City Area Code (408)
Local Phone Number 943-1234
Entity Current Reporting Status Yes
Entity Interactive Data Current Yes
Entity Filer Category Large Accelerated Filer
Entity Small Business false
Entity Emerging Growth Company false
Entity Shell Company false
Title of 12(b) Security Common Stock, $0.01 par value per share
Trading Symbol CDNS
Security Exchange Name NASDAQ
Entity Common Stock, Shares Outstanding 272,490,000
Entity Central Index Key 0000813672
Amendment Flag false
Document Fiscal Year Focus 2025
Document Fiscal Period Focus Q2
Current Fiscal Year End Date --12-31
v3.25.2
Condensed Consolidated Balance Sheets - USD ($)
$ in Thousands
Jun. 30, 2025
Dec. 31, 2024
Current assets:    
Cash and cash equivalents $ 2,822,762 $ 2,644,030
Receivables, net 670,166 680,460
Inventories 226,162 257,711
Prepaid expenses and other 503,453 433,878
Total current assets 4,222,543 4,016,079
Property, plant and equipment, net 482,131 458,200
Goodwill 2,599,798 2,378,671
Acquired intangibles, net 618,952 594,734
Deferred taxes 980,223 982,057
Other assets 605,051 544,741
Total assets 9,508,698 8,974,482
Current liabilities:    
Accounts payable and accrued liabilities 766,636 632,692
Current portion of deferred revenue 729,929 737,413
Total current liabilities 1,496,565 1,370,105
Long-term liabilities:    
Long-term portion of deferred revenue 154,448 115,168
Long-term debt 2,478,145 2,476,183
Other long-term liabilities 373,002 339,448
Total long-term liabilities 3,005,595 2,930,799
Commitments and contingencies
Stockholders’ equity:    
Common stock and capital in excess of par value 4,445,872 4,181,737
Treasury stock, at cost (5,888,804) (5,309,579)
Retained earnings 6,425,498 5,991,868
Accumulated other comprehensive income (loss) 23,972 (190,448)
Total stockholders’ equity 5,006,538 4,673,578
Total liabilities and stockholders’ equity $ 9,508,698 $ 8,974,482
v3.25.2
Condensed Consolidated Income Statements - USD ($)
shares in Thousands, $ in Thousands
 3 Months Ended 6 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2025
Jun. 30, 2024
Revenues [Abstract]        
Revenue $ 1,275,441 $ 1,060,681 $ 2,517,807 $ 2,069,784
Costs and Expenses:        
Marketing and sales 200,595 186,725 403,295 367,314
Research and development 442,057 370,740 881,159 749,698
General and administrative 69,029 63,436 132,127 132,152
Amortization of acquired intangibles 9,204 6,667 18,126 12,074
Loss related to contingent liability 128,545 0 128,545 0
Restructuring 47 (33) (62) 247
Total costs and expenses 1,033,644 766,805 1,914,490 1,525,952
Income from operations 241,797 293,876 603,317 543,832
Interest expense (28,948) (12,905) (58,066) (21,597)
Other income, net 67,758 34,739 91,048 103,518
Income before provision for income taxes 280,607 315,710 636,299 625,753
Provision for income taxes 120,556 86,190 202,669 148,590
Net income $ 160,051 $ 229,520 $ 433,630 $ 477,163
Net income per share - basic (usd per share) $ 0.59 $ 0.85 $ 1.60 $ 1.77
Net Income per share - diluted (usd per share) $ 0.59 $ 0.84 $ 1.59 $ 1.74
Weighted average common shares outstanding - basic (in shares) 271,294 270,912 271,633 270,259
Weighted average common shares outstanding - diluted (in shares) 272,899 273,520 273,264 273,532
Product and maintenance [Member]        
Revenues [Abstract]        
Revenue $ 1,170,510 $ 960,457 $ 2,281,360 $ 1,873,842
Costs and Expenses:        
Cost of sales 139,298 94,363 255,970 169,758
Service [Member]        
Revenues [Abstract]        
Revenue 104,931 100,224 236,447 195,942
Costs and Expenses:        
Cost of sales $ 44,869 $ 44,907 $ 95,330 $ 94,709
v3.25.2
Condensed Consolidated Statements of Comprehensive Income - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2025
Jun. 30, 2024
Statement of Comprehensive Income [Abstract]        
Net income $ 160,051 $ 229,520 $ 433,630 $ 477,163
Other comprehensive income (loss), net of tax effects:        
Foreign currency translation adjustments 146,766 (1,338) 212,916 (13,967)
Changes in defined benefit plan liabilities 39 145 394 123
Reclassification of realized losses on derivatives designated as hedging instruments 197 0 392 0
Unrealized gains (losses) on available-for-sale debt securities 147 (187) 718 (579)
Total other comprehensive income (loss), net of tax effects 147,149 (1,380) 214,420 (14,423)
Comprehensive income $ 307,200 $ 228,140 $ 648,050 $ 462,740
v3.25.2
Condensed Consolidated Statements of Stockholders' Equity - USD ($)
shares in Thousands, $ in Thousands
Total
Common Stock [Member]
Common Stock, Par Value and Capital in Excess of Par
Treasury Stock
Retained Earnings
Accumulated Other Comprehensive Loss
Beginning balance, shares at Dec. 31, 2023   271,706        
Beginning balance at Dec. 31, 2023 $ 3,404,271   $ 3,166,964 $ (4,604,323) $ 4,936,384 $ (94,754)
Increase (Decrease) in Stockholders' Equity [Roll Forward]            
Net income 477,163       477,163  
Other comprehensive loss, net of taxes $ (14,423)         (14,423)
Purchase of treasury stock, shares (848) (848)        
Purchase of treasury stock $ (250,010)     (250,010)    
Issuance of common stock and reissuance of treasury stock under equity incentive plans, net of forfeitures, shares   1,728        
Issuance of common stock and reissuance of treasury stock under equity incentive plans, net of forfeitures 133,272   100,040 33,232    
Stock Issued During Period, Shares, Acquisitions   1,741        
Stock Issued During Period, Value, Acquisitions 501,824   501,824      
Stock received for payment of employee taxes on vesting of restricted stock, shares   (507)        
Stock received for payment of employee taxes on vesting of restricted stock (166,903)   (16,049) (150,854)    
Stock-based compensation expense 175,698   175,698      
Ending balance, shares at Jun. 30, 2024   273,820        
Ending balance at Jun. 30, 2024 4,260,892   3,928,477 (4,971,955) 5,413,547 (109,177)
Beginning balance, shares at Mar. 31, 2024   272,134        
Beginning balance at Mar. 31, 2024 3,567,596   3,331,547 (4,840,181) 5,184,027 (107,797)
Increase (Decrease) in Stockholders' Equity [Roll Forward]            
Net income 229,520       229,520  
Other comprehensive loss, net of taxes $ (1,380)         (1,380)
Purchase of treasury stock, shares (423) (423)        
Purchase of treasury stock $ (125,004)     (125,004)    
Issuance of common stock and reissuance of treasury stock under equity incentive plans, net of forfeitures, shares   409        
Issuance of common stock and reissuance of treasury stock under equity incentive plans, net of forfeitures 16,547   10,881 5,666    
Stock received for payment of employee taxes on vesting of restricted stock, shares   (41)        
Stock received for payment of employee taxes on vesting of restricted stock (15,780)   (3,344) (12,436)    
Stock-based compensation expense 87,569   87,569      
Ending balance, shares at Jun. 30, 2024   273,820        
Ending balance at Jun. 30, 2024 4,260,892   3,928,477 (4,971,955) 5,413,547 (109,177)
Beginning balance, shares at Dec. 31, 2024   273,851        
Beginning balance at Dec. 31, 2024 4,673,578   4,181,737 (5,309,579) 5,991,868 (190,448)
Increase (Decrease) in Stockholders' Equity [Roll Forward]            
Net income 433,630       433,630  
Other comprehensive loss, net of taxes $ 214,420         214,420
Purchase of treasury stock, shares (1,968) (1,968)        
Purchase of treasury stock $ (525,016)     (525,016)    
Issuance of common stock and reissuance of treasury stock under equity incentive plans, net of forfeitures, shares   806        
Issuance of common stock and reissuance of treasury stock under equity incentive plans, net of forfeitures 78,322   74,603 3,719    
Stock received for payment of employee taxes on vesting of restricted stock, shares   (199)        
Stock received for payment of employee taxes on vesting of restricted stock (94,334)   (36,406) (57,928)    
Stock-based compensation expense 225,938   225,938      
Ending balance, shares at Jun. 30, 2025   272,490        
Ending balance at Jun. 30, 2025 5,006,538   4,445,872 (5,888,804) 6,425,498 23,972
Beginning balance, shares at Mar. 31, 2025   273,042        
Beginning balance at Mar. 31, 2025 4,776,257   4,327,187 (5,693,200) 6,265,447 (123,177)
Increase (Decrease) in Stockholders' Equity [Roll Forward]            
Net income 160,051       160,051  
Other comprehensive loss, net of taxes $ 147,149         147,149
Purchase of treasury stock, shares (607) (607)        
Purchase of treasury stock $ (175,009)     (175,009)    
Issuance of common stock and reissuance of treasury stock under equity incentive plans, net of forfeitures, shares   106        
Issuance of common stock and reissuance of treasury stock under equity incentive plans, net of forfeitures 1,533   7,383 (5,850)    
Stock Issued During Period, Shares, Acquisitions   1,741        
Stock Issued During Period, Value, Acquisitions 501,824   501,824      
Stock received for payment of employee taxes on vesting of restricted stock, shares   (51)        
Stock received for payment of employee taxes on vesting of restricted stock (21,768)   (7,023) (14,745)    
Stock-based compensation expense 118,325   118,325      
Ending balance, shares at Jun. 30, 2025   272,490        
Ending balance at Jun. 30, 2025 $ 5,006,538   $ 4,445,872 $ (5,888,804) $ 6,425,498 $ 23,972
v3.25.2
Condensed Consolidated Statements of Cash Flows - USD ($)
$ in Thousands
 6 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Statement of Cash Flows [Abstract]    
Cash and cash equivalents at beginning of period $ 2,644,030 $ 1,008,152
Cash flows from operating activities:    
Net income 433,630 477,163
Adjustments to reconcile net income to net cash provided by operating activities:    
Depreciation and amortization 106,592 87,202
Stock-based compensation 225,938 175,698
Gain on divestitures and investments, net (36,654) (80,599)
Deferred income taxes 3,241 (9,506)
ROU asset amortization and change in operating lease liabilities 2,629 (1,410)
Other non-cash items 3,502 1,510
Changes in operating assets and liabilities, net of effect of acquired businesses:    
Receivables (11,211) (49,384)
Inventories 7,528 (15,978)
Prepaid expenses and other (24,201) (39,868)
Other assets 12,239 (38,967)
Accounts payable and accrued liabilities 115,603 (93,078)
Deferred revenue 21,824 (18,599)
Other long-term liabilities 3,964 15,013
Net cash provided by operating activities 864,624 409,197
Cash flows from investing activities:    
Purchases of investments (21,596) (2,095)
Proceeds from the sale and maturity of investments 1,989 43,864
Proceeds from the sale of IP and other assets 11,500 0
Purchases of property, plant and equipment (67,146) (78,800)
Cash paid in business combinations, net of cash acquired (122,146) (720,821)
Net cash used for investing activities (197,399) (757,852)
Cash flows from financing activities:    
Proceeds from issuance of debt 0 700,000
Payment of debt issuance costs 0 (944)
Proceeds from issuance of common stock 78,322 133,272
Stock received for payment of employee taxes on vesting of restricted stock (94,334) (166,903)
Payments for repurchases of common stock (525,016) (250,010)
Net cash provided by (used for) financing activities (541,028) 415,415
Effect of exchange rate changes on cash and cash equivalents 52,535 (15,957)
Increase in cash and cash equivalents 178,732 50,803
Cash and cash equivalents at end of period 2,822,762 1,058,955
Supplemental cash flow information:    
Cash paid for interest 55,971 21,282
Cash paid for income taxes, net $ 154,807 $ 197,475
v3.25.2
BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
 6 Months Ended
Jun. 30, 2025
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Basis of Presentation
The condensed consolidated financial statements included in this Quarterly Report on Form 10-Q have been prepared by Cadence Design Systems, Inc. (“Cadence”) without audit, pursuant to the rules and regulations of the United States Securities and Exchange Commission (the “SEC”). Certain information and footnote disclosures normally included in consolidated financial statements prepared in accordance with United States generally accepted accounting principles (“U.S. GAAP”) have been condensed or omitted pursuant to such rules and regulations. However, Cadence believes that the disclosures contained in this Quarterly Report on Form 10-Q comply with the requirements of Section 13(a) of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), for a Quarterly Report on Form 10-Q and are adequate to make the information presented not misleading. These condensed consolidated financial statements are meant to be, and should be, read in conjunction with the consolidated financial statements and the notes thereto included in Cadence’s Annual Report on Form 10-K for the fiscal year ended December 31, 2024 (the "Annual Report").
The unaudited condensed consolidated financial statements included in this Quarterly Report on Form 10-Q reflect all adjustments (which include only normal, recurring adjustments and those items discussed in these notes) that are, in the opinion of management, necessary to state fairly the results of operations, cash flows and financial position for the periods and dates presented. The results for such periods are not necessarily indicative of the results to be expected for the full fiscal year or other periods. Certain prior period amounts have been reclassified to conform to the current period presentation. Management has evaluated subsequent events through the issuance date of the unaudited condensed consolidated financial statements.
Fiscal Year End
Cadence’s fiscal year end is December 31, and its fiscal quarters end on March 31, June 30, and September 30.
Use of Estimates
Preparation of the condensed consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the condensed consolidated financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates.
Risks and Uncertainties
Because Cadence operates globally, its business is subject to the effects of economic downturns or recessions in the regions in which it does business, volatility in foreign currency exchange rates relative to the U.S. dollar, inflation, changing interest rates, expanded trade control laws and regulations, imposition of new or higher tariffs and geopolitical conflicts.
Cadence has been impacted by the continued expansion of trade control laws and regulations, including certain export control restrictions concerning advanced node IC production in China, the inclusion of additional Chinese technology companies on the Bureau of Industry and Security (“BIS”) “Entity List” and regulations governing the sale of certain technologies.
On May 23, 2025, BIS informed Cadence that a license was required for the export, re-export or in-country transfer of EDA software and technology classified under Export Control Classification Numbers (ECCNs) 3D991 and 3E991 on the Commerce Control List (“EDA Software and Technology”), when a party to the transaction is located in China or is a Chinese “military end user” wherever located. On July 2, 2025, BIS informed Cadence that the license requirements set forth in the May 23, 2025 letter from BIS were rescinded effective immediately. During this period, Cadence's revenue in China decreased primarily due to reduced deliveries of software offerings to the customers in China due to these license requirements. Cadence has since restored access to EDA Software and Technology for affected customers in accordance with these updated U.S. export regulations. The impact of these expanded trade control laws and regulations on Cadence’s condensed consolidated financial statements was not material
Recently Adopted Accounting Standards
Segment Reporting
In November 2023, the Financial Accounting Standards Board (“FASB”), issued Accounting Standards Update (“ASU”) No. 2023-07, “Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures,” intended to improve reportable segment disclosure requirements, primarily through enhanced annual and interim disclosures for significant segment expenses. Cadence adopted this ASU retrospectively during fiscal 2024 for its Annual Report. For interim disclosures required by this ASU, see Note 15 in the notes to condensed consolidated financial statements.
New Accounting Standards Not Yet Adopted
Income Taxes
In December 2023, the FASB issued ASU No. 2023-09, “Income Taxes (Topic 740): Improvements to Income Tax Disclosures,” which requires disclosure of disaggregated income taxes paid, prescribes standard categories for the components of the effective tax rate reconciliation, and modifies other income tax-related disclosures. This standard is effective for fiscal years beginning after December 15, 2024, and may be applied on a retrospective or prospective basis. Cadence plans to adopt this standard in connection with its annual report for fiscal 2025 and is currently evaluating the impact of adopting this ASU on its consolidated financial statements and disclosures.
Income Statement - Expense Disaggregation Disclosure
In November 2024, the FASB issued ASU No. 2024-03, “Income Statement—Reporting Comprehensive Income—Expense Disaggregation Disclosures,” which requires additional disclosure of certain costs and expenses in the notes to the financial statements. The updated standard is effective for fiscal years beginning after December 15, 2026 and interim periods beginning after December 15, 2027. Early adoption is permitted and will be applied prospectively with the option for retrospective application. Cadence is currently evaluating the impact of adopting this ASU on its consolidated financial statements and disclosures.
v3.25.2
REVENUE
 6 Months Ended
Jun. 30, 2025
Revenue from Contract with Customer [Abstract]  
REVENUE REVENUE
Cadence groups its solutions in three product categories: Core EDA, Semiconductor IP, and System Design and Analysis. The Core EDA category includes software, hardware, and services used to design and verify a wide variety of semiconductors. The Semiconductor IP category includes silicon subsystems, software, and services that are used in semiconductor design. The System Design and Analysis category includes software and services used to design and verify a wide variety of physical electronic systems. These categories are tightly integrated to provide complete design solutions for customers.
The following table shows the percentage of revenue contributed by each of Cadence’s product categories for the three and six months ended June 30, 2025 and June 30, 2024:
 Three Months Ended
Six Months Ended
 June 30,
2025		June 30,
2024		June 30,
2025		June 30,
2024
Core EDA*
71 %73 %71 %74 %
Semiconductor IP (“IP”)
13 %13 %13 %13 %
System Design and Analysis16 %14 %16 %13 %
Total100 %100 %100 %100 %
_____________
* Includes immaterial amount of revenue accounted for under leasing arrangements.
Cadence generates revenue from contracts with customers and applies judgment in identifying and evaluating any terms and conditions in contracts which may impact revenue recognition. Certain of Cadence’s licensing arrangements allow customers the ability to remix among software products. Cadence also has arrangements with customers that include a combination of products, with the actual product selection and number of licensed users to be determined at a later date. For these arrangements, Cadence estimates the allocation of the revenue to product categories based upon the expected usage of products. Revenue by product category fluctuates from period to period based on demand for products and services, and Cadence’s available resources to deliver them. No single customer accounted for 10% or more of total revenue during the three and six months ended June 30, 2025 or June 30, 2024.
Recurring revenue includes revenue recognized over time from certain of Cadence’s software licensing arrangements, services, royalties, maintenance on IP licenses and hardware, and operating leases of hardware. Other recurring revenue includes revenue recognized at a point in time for certain short-term software arrangements that are typically renewed at least annually and revenue recognized at varying points in time over the term of other arrangements with non-cancelable commitments, whereby the customer commits to a fixed dollar amount over a specified period of time that can be used to purchase from a list of products. Arrangements that require future decisions on the performance obligations to be delivered do not meet the definition of a revenue contract until the customer executes a separate selection form to identify the products and services that they are purchasing. Each separate selection form under the arrangement is treated as an individual contract and accounted for based on the respective performance obligations.
The remainder of Cadence’s revenue is recognized at a point in time and is characterized as up-front revenue. Up-front revenue is primarily generated by sales of hardware, individual IP licenses and certain software licenses with a term greater than one year.
The percentage of Cadence’s recurring and up-front revenue in any single fiscal period is primarily impacted by delivery of hardware and IP products to its customers.
The following table shows the percentage of Cadence’s revenue that is classified as recurring or up-front for the three and six months ended June 30, 2025 and June 30, 2024:
 Three Months Ended
Six Months Ended
 June 30,
2025		June 30,
2024		June 30,
2025		June 30,
2024
Revenue recognized over time73 %85 %75 %86 %
Other recurring revenue
5 %3 %5 %3 %
Recurring revenue78 %88 %80 %89 %
Up-front revenue22 %12 %20 %11 %
Total revenue
100 %100 %100 %100 %
Significant Judgments
Cadence’s contracts with customers often include promises to transfer to a customer multiple software and/or IP licenses and services, including professional services, technical support services, and rights to unspecified updates. Determining whether licenses and services are distinct performance obligations that should be accounted for separately, or not distinct and thus accounted for together, requires significant judgment. In some arrangements, such as the license of certain software and most of Cadence’s IP license arrangements, Cadence has concluded that the licenses and the related updates and technical support are distinct from each other. In others, such as Cadence’s time-based software arrangements, the licenses and certain services are not distinct from each other. These time-based software arrangements include multiple software licenses and updates to the licensed software products, as well as technical support, and Cadence has concluded that these promised goods and services are a single, combined performance obligation.
The accounting for contracts with multiple performance obligations requires the contract’s transaction price to be allocated to each distinct performance obligation based on relative stand-alone selling price (“SSP”). Judgment is required to determine the SSP for each distinct performance obligation because Cadence rarely licenses or sells products on a standalone basis. In instances where the SSP is not directly observable because Cadence does not sell the license, product or service separately, Cadence determines the SSP using information that maximizes the use of observable inputs and may include market conditions. Cadence typically has more than one SSP for individual performance obligations due to the stratification of those items by classes of customers and circumstances. In these instances, Cadence may use information such as the size of the customer and geographic region of the customer in determining the SSP.
Revenue is recognized over time for Cadence’s combined performance obligations that include software licenses, updates, technical support and maintenance that are separate performance obligations with the same term. For Cadence’s professional services, revenue is recognized over time, generally using costs incurred or hours expended to measure progress. Judgment is required in estimating project status and the costs necessary to complete projects. A number of internal and external factors can affect these estimates, including labor rates, utilization and efficiency variances and specification and testing requirement changes. For Cadence’s other performance obligations recognized over time, revenue is generally recognized using a time-based measure of progress reflecting generally consistent efforts to satisfy those performance obligations throughout the arrangement term.
If a group of agreements are so closely related that they are, in effect, part of a single arrangement, such agreements are deemed to be one arrangement for revenue recognition purposes. Cadence exercises significant judgment to evaluate the relevant facts and circumstances in determining whether the separate agreements should be accounted for separately or as, in substance, a single arrangement. Cadence’s judgments about whether a group of contracts comprise a single arrangement can affect the allocation of consideration to the distinct performance obligations, which could have an effect on results of operations for the periods involved.
Cadence is required to estimate the total consideration expected to be received from contracts with customers. In limited circumstances, the consideration expected to be received is variable based on the specific terms of the contract or based on Cadence’s expectations of the term of the contract. Generally, Cadence has not experienced significant returns or refunds to customers. These estimates require significant judgment and a change in these estimates could have an effect on its results of operations for the periods involved.
Contract Balances
The timing of revenue recognition may differ from the timing of invoicing to customers, and these timing differences result in receivables, contract assets, or contract liabilities (deferred revenue) on Cadence’s condensed consolidated balance sheets. For certain software, hardware and IP agreements with payment plans, Cadence records an unbilled receivable related to revenue recognized upon transfer of control because it has an unconditional right to invoice and receive payment in the future related to those transferred products or services. Cadence records a contract asset when revenue is recognized prior to invoicing and Cadence does not have the unconditional right to invoice or retains performance risk with respect to that performance obligation. Cadence records deferred revenue when revenue is recognized subsequent to invoicing. For Cadence’s time-based software agreements, customers are generally invoiced in equal, quarterly amounts, although some customers are invoiced in single or annual amounts.
The contract assets indicated below are included in prepaid expenses and other in the condensed consolidated balance sheets and primarily relate to Cadence’s rights to consideration for work completed but not billed as of the balance sheet date on services and customized IP contracts. The contract assets are transferred to receivables when the rights become unconditional, usually upon completion of a milestone.
Cadence’s contract balances as of June 30, 2025 and December 31, 2024 were as follows:
 As of
 June 30,
2025		December 31,
2024
 (In thousands)
Contract assets$83,599 $29,339 
Deferred revenue884,377 852,581 
Cadence recognized revenue of $193.6 million and $583.7 million during the three and six months ended June 30, 2025, and $185.9 million and $510.3 million during the three and six months ended June 30, 2024, that was included in the deferred revenue balance at the beginning of each respective fiscal year. All other activity in deferred revenue, with the exception of deferred revenue assumed from acquisitions, is due to the timing of invoices in relation to the timing of revenue as described above.
Payment terms and conditions vary by contract type, although terms generally include a requirement of payment within 30 to 60 days. In instances where the timing of revenue recognition differs from the timing of invoicing, Cadence has determined that its contracts generally do not include a significant financing component. The primary purpose of invoicing terms is to provide customers with simplified and predictable ways of purchasing Cadence’s products and services, and not to facilitate financing arrangements.
Remaining Performance Obligations
Revenue allocated to remaining performance obligations represents the transaction price allocated to the performance obligations that are unsatisfied, or partially unsatisfied, which includes unearned revenue and amounts that will be invoiced and recognized as revenue in future periods. Cadence has elected to exclude the potential future royalty receipts from the remaining performance obligations. Contracted but unsatisfied performance obligations were $6.4 billion as of June 30, 2025, which included $0.5 billion of non-cancelable commitments from customers where actual product selection and quantities of specific products or services are to be determined by customers at a later date.
Cadence estimates its remaining performance obligations at a point in time. Actual amounts and timing of revenue recognition may differ from these estimates largely due to changes in actual installation and delivery dates, as well as contract renewals, modifications and terminations. As of June 30, 2025, Cadence expected to recognize 53% of the contracted but unsatisfied performance obligations, excluding non-cancelable commitments, as revenue over the next 12 months, 43% over the next 13 to 36 months and the remainder thereafter.
Cadence recognized revenue of $15.1 million and $30.0 million during the three and six months ended June 30, 2025, and $15.1 million and $30.1 million during the three and six months ended June 30, 2024, from performance obligations satisfied in previous periods. These amounts represent royalties earned during the period and exclude contracts with nonrefundable prepaid royalties. Nonrefundable prepaid royalties are recognized upon delivery of the IP because Cadence’s right to the consideration is not contingent upon customers’ future shipments.
v3.25.2
RECEIVABLES, NET
 6 Months Ended
Jun. 30, 2025
Receivables [Abstract]  
RECEIVABLES, NET RECEIVABLES, NET
Cadence’s current and long-term receivables balances as of June 30, 2025 and December 31, 2024 were as follows:
 As of
 June 30,
2025		December 31,
2024
 (In thousands)
Accounts receivable$359,103 $393,017 
Unbilled accounts receivable315,586 293,251 
Long-term receivables51,464 24,179 
Total receivables726,153 710,447 
Less allowance for doubtful accounts(4,523)(5,808)
Total receivables, net$721,630 $704,639 
Cadence’s customers are primarily concentrated within the semiconductor and electronics systems industries. As of June 30, 2025, one customer accounted for approximately 10% of Cadence’s total receivables. As of December 31, 2024, one customer accounted for approximately 11% of Cadence’s total receivables.
v3.25.2
DEBT
 6 Months Ended
Jun. 30, 2025
Debt Disclosure [Abstract]  
DEBT DEBT
Cadence’s outstanding debt was as follows:
 June 30, 2025December 31, 2024
 (In thousands)
Principal
Unamortized Discount and Issuance Costs
Carrying ValuePrincipal
Unamortized Discount and Issuance Costs
Carrying Value
2027 Notes$500,000 $(2,645)$497,355 $500,000 $(3,206)$496,794 
2029 Notes1,000,000 (8,717)991,283 1,000,000 (9,666)990,334 
2034 Notes1,000,000 (10,493)989,507 1,000,000 (10,945)989,055 
Total outstanding debt$2,500,000 $(21,855)$2,478,145 $2,500,000 $(23,817)$2,476,183 
Senior Notes
In September 2024, Cadence issued $500.0 million aggregate principal amount of 4.200% Senior Notes due September 10, 2027 (the “2027 Notes”). Cadence received net proceeds of $496.5 million from the issuance of the 2027 Notes, net of a discount of $0.1 million and issuance costs of $3.5 million. As of June 30, 2025, the fair value of the 2027 Notes was $501.2 million.
In September 2024, Cadence issued $1.0 billion aggregate principal amount of 4.300% Senior Notes due September 10, 2029 (the “2029 Notes”). Cadence received net proceeds of $989.8 million from the issuance of the 2029 Notes, net of a discount of $1.4 million and issuance costs of $8.8 million. As of June 30, 2025, the fair value of the 2029 Notes was $1.0 billion.
In September 2024, Cadence issued $1.0 billion aggregate principal amount of 4.700% Senior Notes due September 10, 2034 (the “2034 Notes,” and together with the 2027 Notes and the 2029 Notes, the “New Senior Notes”). Cadence received net proceeds of $988.8 million from the issuance of the 2034 Notes, net of a discount of $1.9 million and issuance costs of $9.3 million. As of June 30, 2025, the fair value of the 2034 Notes was $988.8 million.
Cadence may redeem the New Senior Notes, in whole or in part, at any time or from time to time, at redemption prices specified in the governing indenture. In addition, Cadence may be required to repurchase New Senior Notes upon occurrence of a change of control triggering event, as set forth in the governing indenture.
The indenture governing the New Senior Notes includes customary representations, warranties and restrictive covenants, including, but not limited to, restrictions on Cadence’s ability to grant liens on certain assets, enter into certain sale and lease-back transactions, or merge, consolidate or sell assets, and also includes customary events of default. As of June 30, 2025, Cadence was in compliance with all covenants associated with the New Senior Notes.
Both the discount and issuance costs are being amortized to interest expense over the term of the New Senior Notes using the effective interest method. Interest on the New Senior Notes is payable semi-annually in arrears in March and September of each year. The New Senior Notes are unsecured and rank equal in right of payment to all of Cadence’s existing and future senior indebtedness.
Revolving Credit Facility
In August 2024, Cadence terminated its existing revolving credit facility, dated June 30, 2021, and amended in September 2022, and entered into a five-year senior unsecured revolving credit facility with a group of lenders led by Bank of America, N.A., as administrative agent (the “2024 Credit Facility”). The 2024 Credit Facility provides for borrowings up to $1.25 billion, with the right to request increased capacity up to an additional $500.0 million upon the receipt of lender commitments, for total maximum borrowings of $1.75 billion. The 2024 Credit Facility expires on August 14, 2029. Any outstanding loans drawn under the 2024 Credit Facility are due at maturity on August 14, 2029, subject to an option to extend the maturity date. Outstanding borrowings may be repaid at any time prior to maturity. Cadence paid debt issuance costs of $1.3 million that were recorded to other assets in Cadence’s condensed consolidated balance sheet at the inception of the agreement. The debt issuance costs will be amortized to interest expense over the term of the 2024 Credit Facility. As of June 30, 2025, there were no outstanding borrowings under the 2024 Credit Facility.
Interest accrues on borrowings under the 2024 Credit Facility at a rate equal to, at Cadence’s option, either (1) secured overnight financing rate (“SOFR”) plus a margin between 0.625% and 1.125% per annum, determined by reference to the credit rating of Cadence’s unsecured debt, plus a SOFR adjustment of 0.10% or (2) the base rate plus a margin between 0.000% and 0.125% per annum, determined by reference to the credit rating of Cadence’s unsecured debt. Interest is payable quarterly. A commitment fee ranging from 0.050% to 0.125% is assessed on the daily average undrawn portion of revolving commitments. Borrowings bear interest at what is estimated to be current market rates of interest. Accordingly, the carrying value of the 2024 Credit Facility approximates fair value.
The 2024 Credit Facility contains customary negative covenants that, among other things, restrict Cadence’s ability to incur additional indebtedness, grant liens and make certain asset dispositions. In addition, the 2024 Credit Facility contains financial covenants that require Cadence to maintain a funded debt to EBITDA ratio not greater than 3.5 to 1, with a step up to 4 to 1 for one year following an acquisition by Cadence of at least $250.0 million that results in a pro forma leverage ratio between 3.25 to 1 and 3.75 to 1. As of June 30, 2025, Cadence was in compliance with all covenants associated with the 2024 Credit Facility.
v3.25.2
ACQUISITIONS
 6 Months Ended
Jun. 30, 2025
Business Combination, Asset Acquisition, and Joint Venture Formation [Abstract]  
ACQUISITIONS ACQUISITION
Acquisition of VLAB Works
On May 29, 2025, Cadence acquired all of the outstanding equity of a holding company containing the VLAB Works business (“VLAB Works”). The aggregate purchase consideration for Cadence’s acquisition of VLAB Works, net of cash acquired of $5.2 million, was $122.1 million. The addition of VLAB Works’ technologies and talent is intended to accelerate Cadence’s Intelligent System Design™ strategy by enhancing system verification full flow, while strengthening its capabilities in virtual and hybrid pre-silicon software validation. In connection with the acquisition of VLAB Works, Cadence paid an additional, immaterial amount to a third-party escrow agent that will be released to a former VLAB Works shareholder, subject to continued employment with Cadence, through the fourth quarter of fiscal 2026. The release of these funds is subject to continuous service and other conditions and is accounted for over the required service period as post-acquisition compensation expense in Cadence’s consolidated income statements.
The total purchase consideration was allocated to the assets acquired and liabilities assumed with Cadence’s acquisition of VLAB Works based on their respective fair values on the acquisition date as follows:
 Fair Value
 (In thousands)
Current assets$8,692 
Goodwill94,247 
Acquired intangibles27,700 
Other long-term assets1,495 
Total assets acquired132,134 
Current liabilities3,852 
Long-term liabilities898 
Total liabilities assumed4,750 
Total purchase consideration$127,384 
The recorded goodwill is attributed to intangible assets that do not qualify for separate recognition, including the acquired assembled workforce, and is expected to be deductible for U.S. income tax purposes.
Definite-lived intangible assets acquired with Cadence’s acquisition of VLAB Works were as follows:
 Fair ValueWeighted Average Amortization Period
 (In thousands) (in years)
Existing technology$18,300 6.0 years
Agreements and relationships9,000 7.0 years
Tradenames, trademarks and patents400 3.0 years
Total acquired intangibles with definite lives$27,700 6.2 years
As of June 30, 2025, the allocation of purchase consideration to the acquired assets and assumed liabilities from VLAB Works was preliminary. Cadence will continue to evaluate the estimates and assumptions used to derive the fair value of certain acquired assets and assumed liabilities, primarily related to income taxes, during the measurement period (up to one year from the acquisition date). The allocation of purchase consideration may change materially as additional information about conditions existing at the acquisition date becomes available.
Pro Forma Financial Information
Cadence has not presented pro forma financial information for VLAB Works because the results of operations are not material to Cadence’s condensed consolidated financial statements.
Acquisition-Related Transaction Costs
Transaction costs associated with acquisitions, which consist of professional fees and administrative costs, are expensed as incurred and are included in general and administrative expense in Cadence’s condensed consolidated income statements. During the three and six months ended June 30, 2025, transaction costs associated with acquisitions were $4.0 million and $6.0 million, respectively. During the three and six months ended June 30, 2024, transaction costs associated with acquisitions were $3.4 million and $12.3 million, respectively.
v3.25.2
GOODWILL AND ACQUIRED INTANGIBLES
 6 Months Ended
Jun. 30, 2025
Goodwill and Intangible Assets Disclosure [Abstract]  
GOODWILL AND ACQUIRED INTANGIBLES GOODWILL AND ACQUIRED INTANGIBLES
Goodwill
The changes in the carrying amount of goodwill during the six months ended June 30, 2025 were as follows:
 Gross Carrying
Amount
 (In thousands)
Balance as of December 31, 2024$2,378,671 
Goodwill resulting from acquisitions94,247 
Effect of foreign currency translation126,880 
Balance as of June 30, 2025$2,599,798 
Acquired Intangibles, Net
Acquired intangibles as of June 30, 2025 were as follows:
Gross Carrying
Amount		Accumulated
Amortization		Acquired
Intangibles, Net
 (In thousands)
Existing technology$494,348 $(221,929)$272,419 
Agreements and relationships421,048 (95,724)325,324 
Tradenames, trademarks and patents30,838 (9,629)21,209 
Total acquired intangibles$946,234 $(327,282)$618,952 
Acquired intangibles as of December 31, 2024 were as follows:
Gross Carrying
Amount		Accumulated
Amortization		Acquired
Intangibles, Net
 (In thousands)
Existing technology$465,453 $(199,126)$266,327 
Agreements and relationships386,365 (78,605)307,760 
Tradenames, trademarks and patents28,113 (7,466)20,647 
Total acquired intangibles$879,931 $(285,197)$594,734 
Amortization expense from existing technology is included in cost of product and maintenance. Amortization expense for the three and six months ended June 30, 2025 and June 30, 2024 by condensed consolidated income statement caption was as follows:
 Three Months Ended
Six Months Ended
 June 30,
2025		June 30,
2024		June 30,
2025		June 30,
2024
 (In thousands)
Cost of product and maintenance$14,499 $13,488 $30,993 $24,836 
Amortization of acquired intangibles9,204 6,667 18,126 12,074 
Total amortization of acquired intangibles$23,703 $20,155 $49,119 $36,910 
As of June 30, 2025, the estimated amortization expense for intangible assets with definite lives was as follows for the following five fiscal years and thereafter:
 (In thousands)
2025 - remaining period$49,183 
202696,865 
202793,603 
202888,854 
202974,093 
203047,712 
Thereafter168,642 
Total estimated amortization expense$618,952 
v3.25.2
STOCK-BASED COMPENSATION
 6 Months Ended
Jun. 30, 2025
Share-Based Payment Arrangement [Abstract]  
STOCK-BASED COMPENSATION STOCK-BASED COMPENSATION
Stock-based compensation expense is reflected in Cadence’s condensed consolidated income statements for the three and six months ended June 30, 2025 and June 30, 2024 as follows:
Three Months Ended
Six Months Ended
June 30,
2025		June 30,
2024		June 30,
2025		June 30,
2024
(In thousands)
Cost of product and maintenance$2,122 $1,352 $4,276 $2,632 
Cost of services2,449 1,721 4,915 3,350 
Marketing and sales22,857 16,000 44,528 33,836 
Research and development73,188 54,491 140,277 108,128 
General and administrative17,709 14,005 31,942 27,752 
Total stock-based compensation expense$118,325 $87,569 $225,938 $175,698 
Cadence had total unrecognized compensation expense related to stock option and restricted stock grants of $758.4 million as of June 30, 2025, which is expected to be recognized over a weighted average vesting period of 2.1 years.
v3.25.2
STOCK REPURCHASE PROGRAM
 6 Months Ended
Jun. 30, 2025
Class of Stock Disclosures [Abstract]  
STOCK REPURCHASE PROGRAM STOCK REPURCHASE PROGRAM
In May 2025, Cadence’s Board of Directors increased the prior authorization to repurchase shares of Cadence common stock by authorizing an additional $1.5 billion. The actual timing and amount of repurchases are subject to business and market conditions, corporate and regulatory requirements, stock price, acquisition opportunities and other factors. As of June 30, 2025, $1.8 billion of Cadence’s share repurchase authorization remained available to repurchase shares of Cadence common stock.
The shares repurchased under Cadence’s repurchase authorizations and the total cost of repurchased shares, including commissions, during the three and six months ended June 30, 2025 and June 30, 2024 were as follows:
Three Months Ended Six Months Ended
June 30,
2025		June 30,
2024		June 30,
2025		June 30,
2024
(In thousands)
Shares repurchased607 423 1,968 848 
Total cost of repurchased shares$175,009 $125,004 $525,016 $250,010 
v3.25.2
OTHER INCOME, NET
 6 Months Ended
Jun. 30, 2025
Other Income and Expenses [Abstract]  
OTHER INCOME, NET OTHER INCOME, NET
Cadence’s other income, net, for the three and six months ended June 30, 2025 and June 30, 2024 was as follows:
 Three Months Ended
Six Months Ended
 June 30,
2025		June 30,
2024		June 30,
2025		June 30,
2024
 (In thousands)
Interest income$25,978 $8,885 $52,200 $18,397 
Gain on sale of IP and other assets
— — 11,500 — 
Gain on investments
38,445 25,205 25,154 80,599 
Gain on securities in Non-Qualified Deferred Compensation (“NQDC”) trust
7,778 1,697 6,205 6,285 
Loss on foreign exchange
(4,172)(708)(3,363)(1,039)
Other expense, net(271)(340)(648)(724)
Total other income, net
$67,758 $34,739 $91,048 $103,518 
For additional information relating to Cadence’s investment activity, see Note 11 in the notes to condensed consolidated financial statements.
v3.25.2
NET INCOME PER SHARE
 6 Months Ended
Jun. 30, 2025
Earnings Per Share [Abstract]  
NET INCOME PER SHARE NET INCOME PER SHARE
Basic net income per share is computed by dividing net income during the period by the weighted average number of shares of common stock outstanding during that period, less unvested restricted stock awards. Diluted net income per share is impacted by equity instruments considered to be potential common shares, if dilutive, computed using the treasury stock method of accounting.
The calculations for basic and diluted net income per share for the three and six months ended June 30, 2025 and June 30, 2024 are as follows:
 Three Months Ended
Six Months Ended
 June 30,
2025		June 30,
2024		June 30,
2025		June 30,
2024
 (In thousands, except per share amounts)
Net income$160,051 $229,520 $433,630 $477,163 
Weighted average common shares used to calculate basic net income per share271,294 270,912 271,633 270,259 
Stock-based awards1,605 2,608 1,631 3,273 
Weighted average common shares used to calculate diluted net income per share272,899 273,520 273,264 273,532 
Net income per share - basic$0.59 $0.85 $1.60 $1.77 
Net income per share - diluted$0.59 $0.84 $1.59 $1.74 
The following table presents shares of Cadence’s common stock outstanding for the three and six months ended June 30, 2025 and June 30, 2024 that were excluded from the computation of diluted net income per share because the effect of including these shares in the computation of diluted net income per share would have been anti-dilutive:
 Three Months Ended
Six Months Ended
 June 30,
2025		June 30,
2024		June 30,
2025		June 30,
2024
 (In thousands)
Market-based awards
1,472 — 830 — 
Options to purchase shares of common stock206 229 220 144 
Non-vested shares of restricted stock22 3 106 6 
Total potential common shares excluded1,700 232 1,156 150 
v3.25.2
INVESTMENTS
 6 Months Ended
Jun. 30, 2025
Investments, Debt and Equity Securities [Abstract]  
INVESTMENTS INVESTMENTS
Investments in Equity Securities
Marketable Equity Investments
Cadence’s investments in marketable equity securities consist of purchased shares of publicly held companies and are included in prepaid expenses and other in Cadence’s condensed consolidated balance sheets. Changes in the fair value of these investments are recorded to other income, net in Cadence’s condensed consolidated income statements. The carrying value of marketable equity investments was $117.7 million and $90.4 million as of June 30, 2025 and December 31, 2024, respectively.
Non-Marketable Equity Investments
Cadence’s investments in non-marketable equity securities generally consist of stock or other instruments of privately held entities and are included in other assets on Cadence’s condensed consolidated balance sheets. Cadence holds a 16% interest in a privately held company that is accounted for using the equity method of accounting. The carrying value of this investment was $94.3 million and $97.5 million as of June 30, 2025 and December 31, 2024, respectively.
Cadence records its proportionate share of net income from the investee, offset by amortization of basis differences, to other income, net in Cadence’s condensed consolidated income statements. For the three and six months ended June 30, 2025, Cadence recognized losses of $0.5 million and $2.0 million, respectively. For the three and six months ended June 30, 2024, Cadence recognized losses of $0.2 million and $0.6 million, respectively.
Cadence also holds other non-marketable investments in privately held companies where Cadence does not have the ability to exercise significant influence and the fair value of the investments is not readily determinable. The carrying value of these investments was $36.5 million and $26.6 million as of June 30, 2025 and December 31, 2024, respectively. Gains and losses on these investments were not material to Cadence’s condensed consolidated financial statements for the periods presented.
The portion of gains and losses included in Cadence’s condensed consolidated income statements related to equity securities still held at the end of the period were as follows:
Three Months Ended
Six Months Ended
June 30,
2025		June 30,
2024		June 30,
2025		June 30,
2024
(In thousands)
Net gains recognized on equity securities
$38,470 $25,351 $25,211 $80,749 
Less: Net gains recognized on equity securities sold
— — — (20,367)
Net gains recognized on equity securities still held
$38,470 $25,351 $25,211 $60,382 
Investments in Debt Securities
The following is a summary of Cadence’s available-for-sale debt securities recorded within prepaid expenses and other on its condensed consolidated balance sheets:
 As of June 30, 2025
  Amortized CostGross Unrealized GainsGross Unrealized LossesEstimated
Fair Value
 (In thousands)
Available-for-sale debt securities
Mortgage-backed and asset-backed securities$60,127 $589 $(223)$60,493 
Total available-for-sale securities$60,127 $589 $(223)$60,493 
 As of December 31, 2024
  Amortized CostGross Unrealized GainsGross Unrealized LossesEstimated
Fair Value
 (In thousands)
Available-for-sale debt securities
Mortgage-backed and asset-backed securities$50,604 $230 $(582)$50,252 
Total available-for-sale securities$50,604 $230 $(582)$50,252 
Gross unrealized gains and losses are recorded as a component of accumulated other comprehensive loss on Cadence's condensed consolidated balance sheets. As of June 30, 2025 and December 31, 2024, the fair value of available-for-sale debt securities in a continuous unrealized loss position for greater than 12 months was $6.1 million and $6.0 million, respectively. The unrealized losses on these securities were not material.
As of June 30, 2025, the fair values of available-for-sale debt securities, by remaining contractual maturity, were as follows:
 (In thousands)
Due within 1 year
$1,678 
Due after 1 year through 5 years11,592 
Due after 5 years through 10 years22,187 
Due after 10 years25,036 
Total$60,493 
As of June 30, 2025, Cadence did not intend to sell any of its available-for-sale debt securities in an unrealized loss position, and it was more likely than not that Cadence will hold the securities until maturity or a recovery of the cost basis.
v3.25.2
FAIR VALUE
 6 Months Ended
Jun. 30, 2025
Fair Value Disclosures [Abstract]  
FAIR VALUE FAIR VALUE
Inputs to valuation techniques are observable or unobservable. Observable inputs reflect market data obtained from independent sources, while unobservable inputs reflect Cadence’s market assumptions. These two types of inputs have created the following fair value hierarchy:
•Level 1 – Quoted prices for identical instruments in active markets;
•Level 2 – Quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets that are not active, and model-derived valuations in which all significant inputs and significant value drivers are observable in active markets; and
•Level 3 – Valuations derived from valuation techniques in which one or more significant inputs or significant value drivers are unobservable.
This hierarchy requires Cadence to minimize the use of unobservable inputs and to use observable market data, if available, when determining fair value. Cadence recognizes transfers between levels of the hierarchy based on the fair values of the respective financial instruments at the end of the reporting period in which the transfer occurred. There were no transfers between levels of the fair value hierarchy during the six months ended June 30, 2025.
On a quarterly basis, Cadence measures at fair value certain financial assets and liabilities. The fair value of financial assets and liabilities was determined using the following levels of inputs as of June 30, 2025 and December 31, 2024:
 Fair Value Measurements as of June 30, 2025
  TotalLevel 1Level 2Level 3
 (In thousands)
Assets
Cash equivalents:
Money market funds$1,938,685 $1,938,685 $— $— 
Marketable securities:
Marketable equity securities117,701 117,701 — — 
Mortgage-backed and asset-backed securities60,493 — 60,493 — 
Securities held in NQDC trust
102,734 102,734 — — 
Foreign currency exchange contracts15,411 — 15,411 — 
Total Assets$2,235,024 $2,159,120 $75,904 $— 
As of June 30, 2025, Cadence did not have any financial liabilities requiring a recurring fair value measurement.
 Fair Value Measurements as of December 31, 2024
  TotalLevel 1Level 2Level 3
 (In thousands)
Assets
Cash equivalents:
Money market funds$1,700,084 $1,700,084 $— $— 
Marketable securities:
Marketable equity securities90,374 90,374 — — 
Mortgage-backed and asset-backed securities50,252 — 50,252 — 
Securities held in NQDC trust96,450 96,450 — — 
Total Assets$1,937,160 $1,886,908 $50,252 $— 
  TotalLevel 1Level 2Level 3
 (In thousands)
Liabilities
Foreign currency exchange contracts$7,533 $— $7,533 $— 
Total Liabilities$7,533 $— $7,533 $— 
Level 1 Measurements
Cadence’s cash equivalents held in money market funds, marketable equity securities and the trading securities held in Cadence’s NQDC trust are measured at fair value using Level 1 inputs.
Level 2 Measurements
The valuation techniques used to determine the fair value of Cadence’s investments in marketable debt securities, foreign currency forward exchange contracts and New Senior Notes are classified within Level 2 of the fair value hierarchy. For additional information relating to Cadence’s debt arrangements, see Note 4 in the notes to condensed consolidated financial statements.
Level 3 Measurements
During the six months ended June 30, 2025, Cadence acquired intangible assets of $27.7 million through its acquisition of VLAB Works. The fair value of the intangible assets acquired was determined using variations of the income approach that utilizes unobservable inputs classified as Level 3 measurements.
For existing technology, the fair value was determined by applying the relief-from-royalty method. This method is based on the application of a royalty rate to forecasted revenue to quantify the benefit of owning the intangible asset rather than paying a royalty for use of the asset. To estimate royalty savings over time, Cadence projected revenue from the acquired existing technology over the estimated remaining life of the technology, including the effect of assumed technological obsolescence, before applying an assumed royalty rate. Cadence assumed technological obsolescence at a rate of 10% annually, before applying an assumed royalty rate of 30%.
For agreements and relationships, the fair value was determined by using the multi-period excess earnings method. This method reflects the present value of the projected cash flows that are expected to be generated from existing customers, less charges representing the contribution of other assets to those cash flows. Projected income from existing customer relationships was determined using a customer retention rate of 85%. The present value of operating cash flows from existing customers was determined using a discount rate of 10%
v3.25.2
BALANCE SHEET COMPONENTS
 6 Months Ended
Jun. 30, 2025
Disclosure Text Block Supplement [Abstract]  
BALANCE SHEET COMPONENTS BALANCE SHEET COMPONENTS
A summary of certain balance sheet components as of June 30, 2025 and December 31, 2024 were as follows:
 As of
 June 30,
2025		December 31,
2024
 (In thousands)
Inventories:
Raw materials$209,169 $243,244 
Work-in-process
— 1,216 
Finished goods16,993 13,251 
Inventories
$226,162 $257,711 
Accounts payable and accrued liabilities:
Payroll and payroll-related accruals$334,250 $335,232 
Contingent liability
140,617 12,072 
Trade accounts payable and other accrued operating liabilities
291,769 285,388 
Accounts payable and accrued liabilities$766,636 $632,692 
v3.25.2
COMMITMENTS AND CONTINGENCIES
 6 Months Ended
Jun. 30, 2025
Commitments and Contingencies Disclosure [Abstract]  
COMMITMENTS AND CONTINGENCIES COMMITMENTS AND CONTINGENCIES
Legal Proceedings
From time to time, Cadence is involved in various disputes and litigation that arise in the ordinary course of business. These include disputes and legal proceedings related to intellectual property, indemnification obligations, mergers and acquisitions, licensing, contracts, customers, products, distribution and other commercial arrangements and employee relations matters. Cadence is also subject from time to time to inquiries, investigations and regulatory proceedings involving governments and regulatory agencies in the jurisdictions in which Cadence operates, including the investigations by the Bureau of Industry and Security (“BIS”) of the U.S. Department of Commerce and the U.S. Department of Justice (“DOJ”) regarding certain historical sales by Cadence to customers in China. At least quarterly, Cadence reviews the status of each significant matter and assesses its potential financial exposure. If the potential loss from any claim or legal proceeding is considered probable and the amount or the range of loss can be estimated, Cadence accrues a liability for the estimated loss. Legal proceedings are subject to uncertainties, and the outcomes are difficult to predict. Because of such uncertainties, accruals are based on Cadence’s judgments using the best information available at the time. As additional information becomes available, Cadence reassesses the potential liability related to pending claims and legal proceedings and may revise estimates.
As previously disclosed, Cadence has been responding to subpoenas received from BIS in February 2021 and DOJ in November 2023 regarding sales and business activity in China. In December 2024, Cadence began discussions with BIS and DOJ regarding their preliminary findings and a potential resolution and recorded an estimated probable liability based on the facts and circumstances as of December 31, 2024. In June 2025, Cadence, BIS and DOJ started making substantial progress towards reaching a resolution. On July 27, 2025, Cadence reached a settlement with each of BIS and DOJ that resolved these matters.
The settlements relate to export violations that took place between 2015 and 2021 primarily involving sales initiated by a Cadence subsidiary of products and services valued at $45.3 million in total over that period to a customer in China, as well as the subsequent transfer of technology involved in those sales to a third party in China, without the requisite authorization from BIS.
As part of the settlements, Cadence has entered into a plea agreement with the DOJ pursuant to which Cadence has agreed to plead guilty to one count of conspiracy to commit export controls violations. The plea agreement is subject to court approval. In addition, Cadence has entered into an administrative settlement agreement with BIS. Both agreements include ongoing audit, compliance and other obligations. Under these agreements, Cadence has also agreed to pay BIS and the DOJ aggregate net penalties and forfeitures of $140.6 million during the fiscal quarter ending September 30, 2025. Cadence recorded a charge of $128.5 million in Loss related to contingent liability in its condensed consolidated income statement during the three months ended June 30, 2025. As of June 30, 2025, Cadence has accrued an aggregate of $140.6 million in accounts payable and accrued liabilities in its condensed consolidated balance sheet.
Other Contingencies
Cadence provides its customers with a warranty on sales of hardware products, generally for a 90-day period. Cadence did not incur any significant costs related to warranty obligations during the three and six months ended June 30, 2025 or June 30, 2024.
Cadence’s product license and services agreements typically include a limited indemnification provision for claims from third parties relating to Cadence’s intellectual property. If the potential loss from any indemnification claim is considered probable and the amount or the range of loss can be estimated, Cadence accrues a liability for the estimated loss.
Cadence did not incur any material losses from indemnification claims during the three and six months ended June 30, 2025 or June 30, 2024.
v3.25.2
ACCUMULATED OTHER COMPREHENSIVE LOSS
 6 Months Ended
Jun. 30, 2025
Other Comprehensive Income (Loss), Net of Tax [Abstract]  
ACCUMULATED OTHER COMPREHENSIVE LOSS ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS)
Cadence’s accumulated other comprehensive income (loss) is comprised of the aggregate impact of foreign currency translation gains and losses, changes in defined benefit plan liabilities, unrealized losses on derivatives designated as hedging instruments and unrealized gains and losses on available-for-sale debt securities, and is presented in Cadence’s condensed consolidated statements of comprehensive income.
Accumulated other comprehensive income (loss) was comprised of the following as of June 30, 2025 and December 31, 2024:
As of
June 30,
2025		December 31,
2024
 (In thousands)
Foreign currency translation gains (losses)
$34,305 $(178,611)
Changes in defined benefit plan liabilities(4,053)(4,447)
Unrealized losses on derivatives designated as hedging instruments
(6,646)(7,038)
Unrealized gains (losses) on available-for-sale debt securities366 (352)
Total accumulated other comprehensive income (loss)
$23,972 $(190,448)
For the three and six months ended June 30, 2025 and June 30, 2024, there were no significant amounts reclassified from accumulated other comprehensive income (loss) to net income.
v3.25.2
SEGMENT REPORTING
 6 Months Ended
Jun. 30, 2025
Segment Reporting [Abstract]  
SEGMENT REPORTING SEGMENT REPORTING
Segment reporting is based on the “management approach,” following the method that management organizes the company’s reportable segments for which separate financial information is made available to, and evaluated regularly by, the chief operating decision maker in allocating resources and in assessing performance. Cadence operates as one operating segment. Cadence’s chief operating decision maker (“CODM”) is its CEO. The CODM makes decisions on resource allocation and assesses performance of the business based on Cadence’s consolidated results, including net income.
For additional information on Cadence’s revenue, including the nature and timing of revenue from contracts with customers, see Note 2 in the notes to condensed consolidated financial statements. The following table presents revenue, significant expenses and net income for the three and six months ended June 30, 2025 and June 30, 2024:
Three Months Ended
Six Months Ended
 June 30,
2025		June 30,
2024		June 30,
2025		June 30,
2024
 (In thousands)
Revenue
$1,275,441 $1,060,681 $2,517,807 $2,069,784 
Costs and Expenses:
Salary, benefits and other employee-related costs521,608 463,363 1,064,265 939,250 
Stock based compensation
118,325 87,569 225,938 175,698 
Manufacturing costs
101,480 61,048 183,149 120,709 
Facilities and other infrastructure costs
47,277 42,465 91,115 84,119 
Depreciation and amortization
53,676 50,646 106,592 87,202 
Professional services
37,684 38,761 70,143 77,675 
Loss related to contingent liability(1)
128,545 — 128,545 — 
Restructuring
47 (33)(62)247 
Other segment items(2)
(16,778)(2,868)5,957 (44,069)
Interest income(25,978)(8,885)(52,200)(18,397)
Interest expense28,948 12,905 58,066 21,597 
Provision for income taxes120,556 86,190 202,669 148,590 
Net income$160,051 $229,520 $433,630 $477,163 
_____________
(1) For information regarding the loss related to a contingent liability, see Note 14 in the notes to condensed consolidated financial statements.
(2) Other segment items include direct costs for advertising, marketing events, travel, entertainment, bad debt and other operating expense categories that are not considered significant individually. It also includes non-operating expenses such as gains and losses on investments, foreign currency and other non-operating expenses that are not considered significant individually.
Outside the United States, Cadence markets and supports its products and services primarily through its subsidiaries. Revenue is attributed to geography based upon the country in which the product is used, or services are delivered. Long-lived assets are attributed to geography based on the country where the assets are located.
The following table presents a summary of revenue by geography for the three and six months ended June 30, 2025 and June 30, 2024:
 Three Months Ended
Six Months Ended
 June 30,
2025		June 30,
2024		June 30,
2025		June 30,
2024
 (In thousands)
Americas:
United States$591,265 $507,169 $1,160,232 $942,692 
Other Americas39,072 11,660 68,684 39,007 
Total Americas630,337 518,829 1,228,916 981,699 
Asia:
China120,717 127,809 260,098 245,038 
Other Asia238,225 197,928 478,737 406,459 
Total Asia358,942 325,737 738,835 651,497 
Europe, Middle East and Africa (“EMEA”)
200,186 152,521 395,929 321,577 
Japan85,976 63,594 154,127 115,011 
Total$1,275,441 $1,060,681 $2,517,807 $2,069,784 
The following table presents a summary of long-lived assets by geography as of June 30, 2025 and December 31, 2024:
 As of
 June 30,
2025		December 31,
2024
 (In thousands)
Americas:
United States$431,311 $412,339 
Other Americas10,774 7,437 
Total Americas442,085 419,776 
Asia:
China26,349 22,929 
Other Asia103,603 83,951 
Total Asia129,952 106,880 
EMEA
77,587 73,551 
Japan3,854 4,183 
Total$653,478 $604,390 
v3.25.2
SUBSEQUENT EVENT
 6 Months Ended
Jun. 30, 2025
Subsequent Events [Abstract]  
SUBSEQUENT EVENT SUBSEQUENT EVENT
On July 4, 2025, the One Big Beautiful Bill Act (“OBBBA”) was enacted in the United States. The OBBBA includes significant provisions, such as the permanent extension of certain expiring provisions of the Tax Cuts and Jobs Act, modifications to the international tax framework and the restoration of favorable tax treatment for certain business provisions including the immediate expensing of United States research and development expenditures. The legislation has multiple effective dates, with certain provisions effective in fiscal 2025 and others implemented from fiscal 2026. Cadence is currently assessing the tax impact of the legislation on its condensed consolidated financial statements; however, it is expected to materially decrease Cadence's United States federal tax payments for the remainder of fiscal 2025. In accordance with U.S. GAAP, Cadence intends to recognize the fiscal 2025 tax effects of the OBBBA in its condensed consolidated financial statements for the fiscal quarter ending September 30, 2025.
v3.25.2
Pay vs Performance Disclosure - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2025
Jun. 30, 2024
Pay vs Performance Disclosure        
Net income $ 160,051 $ 229,520 $ 433,630 $ 477,163
v3.25.2
Insider Trading Arrangements
 3 Months Ended
Jun. 30, 2025
shares
Trading Arrangements, by Individual  
Material Terms of Trading Arrangement
During the fiscal quarter ended June 30, 2025, our directors and officers (as defined in Rule 16a-1(f) under the Exchange Act) adopted or terminated the contracts, instructions or written plans for the purchase or sale of our securities set forth in the table below.
Type of Trading Arrangement
Name and PositionActionAdoption/ Termination
Date		Rule 10b5-1*Total Shares of Common Stock to be SoldExpiration Date
John M. Wall, Senior Vice President and Chief Financial Officer
Adoption5/6/2025X
Up to 61,805
12/31/2026
* Contract, instruction or written plan intended to satisfy the affirmative defense conditions of Rule 10b5-1(c) under the Exchange Act.
(1)
Non-Rule 10b5-1 Arrangement Adopted false
Non-Rule 10b5-1 Arrangement Terminated false
John M. Wall [Member]  
Trading Arrangements, by Individual  
Name John M. Wall
Title Senior Vice President and Chief Financial Officer
Rule 10b5-1 Arrangement Adopted true
Adoption Date 5/6/2025
Arrangement Duration 604 days
Aggregate Available 61,805
John M. Wall Trading Arrangement Performance Stock Awards [Member] | John M. Wall [Member]  
Trading Arrangements, by Individual  
Aggregate Available 1,000
v3.25.2
Basis of Presentation and Summary of Significant Accounting Policies (Policies)
 6 Months Ended
Jun. 30, 2025
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Basis of presentation The condensed consolidated financial statements included in this Quarterly Report on Form 10-Q have been prepared by Cadence Design Systems, Inc. (“Cadence”) without audit, pursuant to the rules and regulations of the United States Securities and Exchange Commission (the “SEC”). Certain information and footnote disclosures normally included in consolidated financial statements prepared in accordance with United States generally accepted accounting principles (“U.S. GAAP”) have been condensed or omitted pursuant to such rules and regulations.
Use of estimates
Preparation of the condensed consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the condensed consolidated financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates.
Risks and Uncertainties
Because Cadence operates globally, its business is subject to the effects of economic downturns or recessions in the regions in which it does business, volatility in foreign currency exchange rates relative to the U.S. dollar, inflation, changing interest rates, expanded trade control laws and regulations, imposition of new or higher tariffs and geopolitical conflicts.
Cadence has been impacted by the continued expansion of trade control laws and regulations, including certain export control restrictions concerning advanced node IC production in China, the inclusion of additional Chinese technology companies on the Bureau of Industry and Security (“BIS”) “Entity List” and regulations governing the sale of certain technologies.
On May 23, 2025, BIS informed Cadence that a license was required for the export, re-export or in-country transfer of EDA software and technology classified under Export Control Classification Numbers (ECCNs) 3D991 and 3E991 on the Commerce Control List (“EDA Software and Technology”), when a party to the transaction is located in China or is a Chinese “military end user” wherever located. On July 2, 2025, BIS informed Cadence that the license requirements set forth in the May 23, 2025 letter from BIS were rescinded effective immediately. During this period, Cadence's revenue in China decreased primarily due to reduced deliveries of software offerings to the customers in China due to these license requirements. Cadence has since restored access to EDA Software and Technology for affected customers in accordance with these updated U.S. export regulations. The impact of these expanded trade control laws and regulations on Cadence’s condensed consolidated financial statements was not material
New Accounting Pronouncements, Policy
Recently Adopted Accounting Standards
Segment Reporting
In November 2023, the Financial Accounting Standards Board (“FASB”), issued Accounting Standards Update (“ASU”) No. 2023-07, “Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures,” intended to improve reportable segment disclosure requirements, primarily through enhanced annual and interim disclosures for significant segment expenses. Cadence adopted this ASU retrospectively during fiscal 2024 for its Annual Report. For interim disclosures required by this ASU, see Note 15 in the notes to condensed consolidated financial statements.
New Accounting Standards Not Yet Adopted
Income Taxes
In December 2023, the FASB issued ASU No. 2023-09, “Income Taxes (Topic 740): Improvements to Income Tax Disclosures,” which requires disclosure of disaggregated income taxes paid, prescribes standard categories for the components of the effective tax rate reconciliation, and modifies other income tax-related disclosures. This standard is effective for fiscal years beginning after December 15, 2024, and may be applied on a retrospective or prospective basis. Cadence plans to adopt this standard in connection with its annual report for fiscal 2025 and is currently evaluating the impact of adopting this ASU on its consolidated financial statements and disclosures.
Income Statement - Expense Disaggregation Disclosure
In November 2024, the FASB issued ASU No. 2024-03, “Income Statement—Reporting Comprehensive Income—Expense Disaggregation Disclosures,” which requires additional disclosure of certain costs and expenses in the notes to the financial statements. The updated standard is effective for fiscal years beginning after December 15, 2026 and interim periods beginning after December 15, 2027. Early adoption is permitted and will be applied prospectively with the option for retrospective application. Cadence is currently evaluating the impact of adopting this ASU on its consolidated financial statements and disclosures.
Fair value of financial instruments
Inputs to valuation techniques are observable or unobservable. Observable inputs reflect market data obtained from independent sources, while unobservable inputs reflect Cadence’s market assumptions. These two types of inputs have created the following fair value hierarchy:
•Level 1 – Quoted prices for identical instruments in active markets;
•Level 2 – Quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets that are not active, and model-derived valuations in which all significant inputs and significant value drivers are observable in active markets; and
•Level 3 – Valuations derived from valuation techniques in which one or more significant inputs or significant value drivers are unobservable.
This hierarchy requires Cadence to minimize the use of unobservable inputs and to use observable market data, if available, when determining fair value. Cadence recognizes transfers between levels of the hierarchy based on the fair values of the respective financial instruments at the end of the reporting period in which the transfer occurred.
Contingencies At least quarterly, Cadence reviews the status of each significant matter and assesses its potential financial exposure. If the potential loss from any claim or legal proceeding is considered probable and the amount or the range of loss can be estimated, Cadence accrues a liability for the estimated loss. Legal proceedings are subject to uncertainties, and the outcomes are difficult to predict. Because of such uncertainties, accruals are based on Cadence’s judgments using the best information available at the time. As additional information becomes available, Cadence reassesses the potential liability related to pending claims and legal proceedings and may revise estimates.
v3.25.2
Commitment and Contingencies (Policies)
 6 Months Ended
Jun. 30, 2025
Commitments and Contingencies Disclosure [Abstract]  
Contingencies At least quarterly, Cadence reviews the status of each significant matter and assesses its potential financial exposure. If the potential loss from any claim or legal proceeding is considered probable and the amount or the range of loss can be estimated, Cadence accrues a liability for the estimated loss. Legal proceedings are subject to uncertainties, and the outcomes are difficult to predict. Because of such uncertainties, accruals are based on Cadence’s judgments using the best information available at the time. As additional information becomes available, Cadence reassesses the potential liability related to pending claims and legal proceedings and may revise estimates.
v3.25.2
REVENUE (Tables)
 6 Months Ended
Jun. 30, 2025
Revenue from Contract with Customer [Abstract]  
Revenue from external customers by product category
The following table shows the percentage of revenue contributed by each of Cadence’s product categories for the three and six months ended June 30, 2025 and June 30, 2024:
 Three Months Ended
Six Months Ended
 June 30,
2025		June 30,
2024		June 30,
2025		June 30,
2024
Core EDA*
71 %73 %71 %74 %
Semiconductor IP (“IP”)
13 %13 %13 %13 %
System Design and Analysis16 %14 %16 %13 %
Total100 %100 %100 %100 %
_____________
* Includes immaterial amount of revenue accounted for under leasing arrangements.
Disaggregation of revenue
The following table shows the percentage of Cadence’s revenue that is classified as recurring or up-front for the three and six months ended June 30, 2025 and June 30, 2024:
 Three Months Ended
Six Months Ended
 June 30,
2025		June 30,
2024		June 30,
2025		June 30,
2024
Revenue recognized over time73 %85 %75 %86 %
Other recurring revenue
5 %3 %5 %3 %
Recurring revenue78 %88 %80 %89 %
Up-front revenue22 %12 %20 %11 %
Total revenue
100 %100 %100 %100 %
Contract balances
Cadence’s contract balances as of June 30, 2025 and December 31, 2024 were as follows:
 As of
 June 30,
2025		December 31,
2024
 (In thousands)
Contract assets$83,599 $29,339 
Deferred revenue884,377 852,581 
v3.25.2
RECEIVABLES, NET (Tables)
 6 Months Ended
Jun. 30, 2025
Receivables [Abstract]  
Current and long-term accounts receivable balances
Cadence’s current and long-term receivables balances as of June 30, 2025 and December 31, 2024 were as follows:
 As of
 June 30,
2025		December 31,
2024
 (In thousands)
Accounts receivable$359,103 $393,017 
Unbilled accounts receivable315,586 293,251 
Long-term receivables51,464 24,179 
Total receivables726,153 710,447 
Less allowance for doubtful accounts(4,523)(5,808)
Total receivables, net$721,630 $704,639 
v3.25.2
DEBT (Tables)
 6 Months Ended
Jun. 30, 2025
Debt Disclosure [Abstract]  
Summary of debt outstanding
Cadence’s outstanding debt was as follows:
 June 30, 2025December 31, 2024
 (In thousands)
Principal
Unamortized Discount and Issuance Costs
Carrying ValuePrincipal
Unamortized Discount and Issuance Costs
Carrying Value
2027 Notes$500,000 $(2,645)$497,355 $500,000 $(3,206)$496,794 
2029 Notes1,000,000 (8,717)991,283 1,000,000 (9,666)990,334 
2034 Notes1,000,000 (10,493)989,507 1,000,000 (10,945)989,055 
Total outstanding debt$2,500,000 $(21,855)$2,478,145 $2,500,000 $(23,817)$2,476,183 
v3.25.2
ACQUISITIONS (Tables)
 6 Months Ended
Jun. 30, 2025
Business Combination, Asset Acquisition, and Joint Venture Formation [Abstract]  
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed
The total purchase consideration was allocated to the assets acquired and liabilities assumed with Cadence’s acquisition of VLAB Works based on their respective fair values on the acquisition date as follows:
 Fair Value
 (In thousands)
Current assets$8,692 
Goodwill94,247 
Acquired intangibles27,700 
Other long-term assets1,495 
Total assets acquired132,134 
Current liabilities3,852 
Long-term liabilities898 
Total liabilities assumed4,750 
Total purchase consideration$127,384 
Finite-Lived and Indefinite-Lived Intangible Assets Acquired as Part of Business Combination
Definite-lived intangible assets acquired with Cadence’s acquisition of VLAB Works were as follows:
 Fair ValueWeighted Average Amortization Period
 (In thousands) (in years)
Existing technology$18,300 6.0 years
Agreements and relationships9,000 7.0 years
Tradenames, trademarks and patents400 3.0 years
Total acquired intangibles with definite lives$27,700 6.2 years
v3.25.2
GOODWILL AND ACQUIRED INTANGIBLES (Tables)
 6 Months Ended
Jun. 30, 2025
Goodwill and Intangible Assets Disclosure [Abstract]  
Changes in the carrying amount of goodwill
The changes in the carrying amount of goodwill during the six months ended June 30, 2025 were as follows:
 Gross Carrying
Amount
 (In thousands)
Balance as of December 31, 2024$2,378,671 
Goodwill resulting from acquisitions94,247 
Effect of foreign currency translation126,880 
Balance as of June 30, 2025$2,599,798 
Schedule of acquired intangibles with finite and indefinite lives (excluding goodwill)
Acquired intangibles as of June 30, 2025 were as follows:
Gross Carrying
Amount		Accumulated
Amortization		Acquired
Intangibles, Net
 (In thousands)
Existing technology$494,348 $(221,929)$272,419 
Agreements and relationships421,048 (95,724)325,324 
Tradenames, trademarks and patents30,838 (9,629)21,209 
Total acquired intangibles$946,234 $(327,282)$618,952 
Acquired intangibles as of December 31, 2024 were as follows:
Gross Carrying
Amount		Accumulated
Amortization		Acquired
Intangibles, Net
 (In thousands)
Existing technology$465,453 $(199,126)$266,327 
Agreements and relationships386,365 (78,605)307,760 
Tradenames, trademarks and patents28,113 (7,466)20,647 
Total acquired intangibles$879,931 $(285,197)$594,734 
Amortization of acquired intangibles Amortization expense for the three and six months ended June 30, 2025 and June 30, 2024 by condensed consolidated income statement caption was as follows:
 Three Months Ended
Six Months Ended
 June 30,
2025		June 30,
2024		June 30,
2025		June 30,
2024
 (In thousands)
Cost of product and maintenance$14,499 $13,488 $30,993 $24,836 
Amortization of acquired intangibles9,204 6,667 18,126 12,074 
Total amortization of acquired intangibles$23,703 $20,155 $49,119 $36,910 
Estimated amortization expense
As of June 30, 2025, the estimated amortization expense for intangible assets with definite lives was as follows for the following five fiscal years and thereafter:
 (In thousands)
2025 - remaining period$49,183 
202696,865 
202793,603 
202888,854 
202974,093 
203047,712 
Thereafter168,642 
Total estimated amortization expense$618,952 
v3.25.2
STOCK-BASED COMPENSATION (Tables)
 6 Months Ended
Jun. 30, 2025
Share-Based Payment Arrangement [Abstract]  
Stock-based compensation expense and allocation by cost
Stock-based compensation expense is reflected in Cadence’s condensed consolidated income statements for the three and six months ended June 30, 2025 and June 30, 2024 as follows:
Three Months Ended
Six Months Ended
June 30,
2025		June 30,
2024		June 30,
2025		June 30,
2024
(In thousands)
Cost of product and maintenance$2,122 $1,352 $4,276 $2,632 
Cost of services2,449 1,721 4,915 3,350 
Marketing and sales22,857 16,000 44,528 33,836 
Research and development73,188 54,491 140,277 108,128 
General and administrative17,709 14,005 31,942 27,752 
Total stock-based compensation expense$118,325 $87,569 $225,938 $175,698 
v3.25.2
STOCK REPURCHASE PROGRAM (Tables)
 6 Months Ended
Jun. 30, 2025
Class of Stock Disclosures [Abstract]  
Shares repurchased and the total cost of shares repurchased
The shares repurchased under Cadence’s repurchase authorizations and the total cost of repurchased shares, including commissions, during the three and six months ended June 30, 2025 and June 30, 2024 were as follows:
Three Months Ended Six Months Ended
June 30,
2025		June 30,
2024		June 30,
2025		June 30,
2024
(In thousands)
Shares repurchased607 423 1,968 848 
Total cost of repurchased shares$175,009 $125,004 $525,016 $250,010 
v3.25.2
OTHER INCOME, NET (Tables)
 6 Months Ended
Jun. 30, 2025
Other Income and Expenses [Abstract]  
Schedule of Other Nonoperating Income (Expense)
Cadence’s other income, net, for the three and six months ended June 30, 2025 and June 30, 2024 was as follows:
 Three Months Ended
Six Months Ended
 June 30,
2025		June 30,
2024		June 30,
2025		June 30,
2024
 (In thousands)
Interest income$25,978 $8,885 $52,200 $18,397 
Gain on sale of IP and other assets
— — 11,500 — 
Gain on investments
38,445 25,205 25,154 80,599 
Gain on securities in Non-Qualified Deferred Compensation (“NQDC”) trust
7,778 1,697 6,205 6,285 
Loss on foreign exchange
(4,172)(708)(3,363)(1,039)
Other expense, net(271)(340)(648)(724)
Total other income, net
$67,758 $34,739 $91,048 $103,518 
v3.25.2
NET INCOME PER SHARE (Tables)
 6 Months Ended
Jun. 30, 2025
Earnings Per Share [Abstract]  
Basic and diluted net income per share
The calculations for basic and diluted net income per share for the three and six months ended June 30, 2025 and June 30, 2024 are as follows:
 Three Months Ended
Six Months Ended
 June 30,
2025		June 30,
2024		June 30,
2025		June 30,
2024
 (In thousands, except per share amounts)
Net income$160,051 $229,520 $433,630 $477,163 
Weighted average common shares used to calculate basic net income per share271,294 270,912 271,633 270,259 
Stock-based awards1,605 2,608 1,631 3,273 
Weighted average common shares used to calculate diluted net income per share272,899 273,520 273,264 273,532 
Net income per share - basic$0.59 $0.85 $1.60 $1.77 
Net income per share - diluted$0.59 $0.84 $1.59 $1.74 
Potential shares of Cadence's common stock excluded
The following table presents shares of Cadence’s common stock outstanding for the three and six months ended June 30, 2025 and June 30, 2024 that were excluded from the computation of diluted net income per share because the effect of including these shares in the computation of diluted net income per share would have been anti-dilutive:
 Three Months Ended
Six Months Ended
 June 30,
2025		June 30,
2024		June 30,
2025		June 30,
2024
 (In thousands)
Market-based awards
1,472 — 830 — 
Options to purchase shares of common stock206 229 220 144 
Non-vested shares of restricted stock22 3 106 6 
Total potential common shares excluded1,700 232 1,156 150 
v3.25.2
INVESTMENTS (Tables)
 6 Months Ended
Jun. 30, 2025
Investments, Debt and Equity Securities [Abstract]  
Gain (Loss) on Securities
The portion of gains and losses included in Cadence’s condensed consolidated income statements related to equity securities still held at the end of the period were as follows:
Three Months Ended
Six Months Ended
June 30,
2025		June 30,
2024		June 30,
2025		June 30,
2024
(In thousands)
Net gains recognized on equity securities
$38,470 $25,351 $25,211 $80,749 
Less: Net gains recognized on equity securities sold
— — — (20,367)
Net gains recognized on equity securities still held
$38,470 $25,351 $25,211 $60,382 
Unrealized Gain (Loss) on Investments
The following is a summary of Cadence’s available-for-sale debt securities recorded within prepaid expenses and other on its condensed consolidated balance sheets:
 As of June 30, 2025
  Amortized CostGross Unrealized GainsGross Unrealized LossesEstimated
Fair Value
 (In thousands)
Available-for-sale debt securities
Mortgage-backed and asset-backed securities$60,127 $589 $(223)$60,493 
Total available-for-sale securities$60,127 $589 $(223)$60,493 
 As of December 31, 2024
  Amortized CostGross Unrealized GainsGross Unrealized LossesEstimated
Fair Value
 (In thousands)
Available-for-sale debt securities
Mortgage-backed and asset-backed securities$50,604 $230 $(582)$50,252 
Total available-for-sale securities$50,604 $230 $(582)$50,252 
Investments Classified by Contractual Maturity Date
As of June 30, 2025, the fair values of available-for-sale debt securities, by remaining contractual maturity, were as follows:
 (In thousands)
Due within 1 year
$1,678 
Due after 1 year through 5 years11,592 
Due after 5 years through 10 years22,187 
Due after 10 years25,036 
Total$60,493 
v3.25.2
FAIR VALUE (Tables)
 6 Months Ended
Jun. 30, 2025
Fair Value Disclosures [Abstract]  
Fair value of financial assets and liabilities The fair value of financial assets and liabilities was determined using the following levels of inputs as of June 30, 2025 and December 31, 2024:
 Fair Value Measurements as of June 30, 2025
  TotalLevel 1Level 2Level 3
 (In thousands)
Assets
Cash equivalents:
Money market funds$1,938,685 $1,938,685 $— $— 
Marketable securities:
Marketable equity securities117,701 117,701 — — 
Mortgage-backed and asset-backed securities60,493 — 60,493 — 
Securities held in NQDC trust
102,734 102,734 — — 
Foreign currency exchange contracts15,411 — 15,411 — 
Total Assets$2,235,024 $2,159,120 $75,904 $— 
As of June 30, 2025, Cadence did not have any financial liabilities requiring a recurring fair value measurement.
 Fair Value Measurements as of December 31, 2024
  TotalLevel 1Level 2Level 3
 (In thousands)
Assets
Cash equivalents:
Money market funds$1,700,084 $1,700,084 $— $— 
Marketable securities:
Marketable equity securities90,374 90,374 — — 
Mortgage-backed and asset-backed securities50,252 — 50,252 — 
Securities held in NQDC trust96,450 96,450 — — 
Total Assets$1,937,160 $1,886,908 $50,252 $— 
  TotalLevel 1Level 2Level 3
 (In thousands)
Liabilities
Foreign currency exchange contracts$7,533 $— $7,533 $— 
Total Liabilities$7,533 $— $7,533 $— 
v3.25.2
BALANCE SHEET COMPONENTS (Tables)
 6 Months Ended
Jun. 30, 2025
Disclosure Text Block Supplement [Abstract]  
Summary of Balance Sheet Components
A summary of certain balance sheet components as of June 30, 2025 and December 31, 2024 were as follows:
 As of
 June 30,
2025		December 31,
2024
 (In thousands)
Inventories:
Raw materials$209,169 $243,244 
Work-in-process
— 1,216 
Finished goods16,993 13,251 
Inventories
$226,162 $257,711 
Accounts payable and accrued liabilities:
Payroll and payroll-related accruals$334,250 $335,232 
Contingent liability
140,617 12,072 
Trade accounts payable and other accrued operating liabilities
291,769 285,388 
Accounts payable and accrued liabilities$766,636 $632,692 
v3.25.2
ACCUMULATED OTHER COMPREHENSIVE LOSS (Tables)
 6 Months Ended
Jun. 30, 2025
Other Comprehensive Income (Loss), Net of Tax [Abstract]  
Accumulated other comprehensive loss, net of tax
Accumulated other comprehensive income (loss) was comprised of the following as of June 30, 2025 and December 31, 2024:
As of
June 30,
2025		December 31,
2024
 (In thousands)
Foreign currency translation gains (losses)
$34,305 $(178,611)
Changes in defined benefit plan liabilities(4,053)(4,447)
Unrealized losses on derivatives designated as hedging instruments
(6,646)(7,038)
Unrealized gains (losses) on available-for-sale debt securities366 (352)
Total accumulated other comprehensive income (loss)
$23,972 $(190,448)
v3.25.2
SEGMENT REPORTING (Tables)
 6 Months Ended
Jun. 30, 2025
Segment Reporting [Abstract]  
Consolidated segment income and expenses The following table presents revenue, significant expenses and net income for the three and six months ended June 30, 2025 and June 30, 2024:
Three Months Ended
Six Months Ended
 June 30,
2025		June 30,
2024		June 30,
2025		June 30,
2024
 (In thousands)
Revenue
$1,275,441 $1,060,681 $2,517,807 $2,069,784 
Costs and Expenses:
Salary, benefits and other employee-related costs521,608 463,363 1,064,265 939,250 
Stock based compensation
118,325 87,569 225,938 175,698 
Manufacturing costs
101,480 61,048 183,149 120,709 
Facilities and other infrastructure costs
47,277 42,465 91,115 84,119 
Depreciation and amortization
53,676 50,646 106,592 87,202 
Professional services
37,684 38,761 70,143 77,675 
Loss related to contingent liability(1)
128,545 — 128,545 — 
Restructuring
47 (33)(62)247 
Other segment items(2)
(16,778)(2,868)5,957 (44,069)
Interest income(25,978)(8,885)(52,200)(18,397)
Interest expense28,948 12,905 58,066 21,597 
Provision for income taxes120,556 86,190 202,669 148,590 
Net income$160,051 $229,520 $433,630 $477,163 
_____________
(1) For information regarding the loss related to a contingent liability, see Note 14 in the notes to condensed consolidated financial statements.
(2) Other segment items include direct costs for advertising, marketing events, travel, entertainment, bad debt and other operating expense categories that are not considered significant individually. It also includes non-operating expenses such as gains and losses on investments, foreign currency and other non-operating expenses that are not considered significant individually.
Summary of revenue by geography
The following table presents a summary of revenue by geography for the three and six months ended June 30, 2025 and June 30, 2024:
 Three Months Ended
Six Months Ended
 June 30,
2025		June 30,
2024		June 30,
2025		June 30,
2024
 (In thousands)
Americas:
United States$591,265 $507,169 $1,160,232 $942,692 
Other Americas39,072 11,660 68,684 39,007 
Total Americas630,337 518,829 1,228,916 981,699 
Asia:
China120,717 127,809 260,098 245,038 
Other Asia238,225 197,928 478,737 406,459 
Total Asia358,942 325,737 738,835 651,497 
Europe, Middle East and Africa (“EMEA”)
200,186 152,521 395,929 321,577 
Japan85,976 63,594 154,127 115,011 
Total$1,275,441 $1,060,681 $2,517,807 $2,069,784 
Summary of long-lived assets by geography
The following table presents a summary of long-lived assets by geography as of June 30, 2025 and December 31, 2024:
 As of
 June 30,
2025		December 31,
2024
 (In thousands)
Americas:
United States$431,311 $412,339 
Other Americas10,774 7,437 
Total Americas442,085 419,776 
Asia:
China26,349 22,929 
Other Asia103,603 83,951 
Total Asia129,952 106,880 
EMEA
77,587 73,551 
Japan3,854 4,183 
Total$653,478 $604,390 
v3.25.2
REVENUE - Revenue by Product Category (Details) - Product Concentration Risk - Revenue Benchmark
 3 Months Ended 6 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2025
Jun. 30, 2024
Revenue from External Customer [Line Items]        
Revenue percentage by product category 1 1 1 1
Core EDA        
Revenue from External Customer [Line Items]        
Revenue percentage by product category [1] 0.71 0.73 0.71 0.74
Semiconductor IP        
Revenue from External Customer [Line Items]        
Revenue percentage by product category 0.13 0.13 0.13 0.13
System Design and Analysis        
Revenue from External Customer [Line Items]        
Revenue percentage by product category 0.16 0.14 0.16 0.13
[1] Includes immaterial amount of revenue accounted for under leasing arrangements.
v3.25.2
REVENUE - Recurring vs. Up-front Revenue (Details)
 3 Months Ended 6 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2025
Jun. 30, 2024
Disaggregation of Revenue [Line Items]        
Revenue from contract with customer, timing of goods or service 100.00% 100.00% 100.00% 100.00%
Transferred over time        
Disaggregation of Revenue [Line Items]        
Revenue from contract with customer, timing of goods or service 78.00% 88.00% 80.00% 89.00%
Transferred over time | Revenue arrangement recognized over time        
Disaggregation of Revenue [Line Items]        
Revenue from contract with customer, timing of goods or service 73.00% 85.00% 75.00% 86.00%
Transferred over time | Other recurring revenue        
Disaggregation of Revenue [Line Items]        
Revenue from contract with customer, timing of goods or service 5.00% 3.00% 5.00% 3.00%
Transferred at point in time        
Disaggregation of Revenue [Line Items]        
Revenue from contract with customer, timing of goods or service 22.00% 12.00% 20.00% 11.00%
v3.25.2
REVENUE - Contract Balances (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2025
Jun. 30, 2024
Dec. 31, 2024
Revenue from Contract with Customer [Abstract]          
Contract assets $ 83,599   $ 83,599   $ 29,339
Deferred revenue 884,377   884,377   $ 852,581
Revenue recognized from deferred revenue during the period $ 193,600 $ 185,900 $ 583,700 $ 510,300  
v3.25.2
REVENUE - Remaining Performance Obligations (Details) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2025
Jun. 30, 2024
Disaggregation of Revenue [Line Items]        
Unsatisfied performance obligations $ 6,400.0   $ 6,400.0  
Remaining performance obligation, amount from non-cancellable IP access agreements 500.0   500.0  
Revenue recognized from performance obligations satisfied in previous periods $ 15.1 $ 15.1 $ 30.0 $ 30.1
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2025-07-01        
Disaggregation of Revenue [Line Items]        
Expected remaining performance obligation to be converted to revenue, percentage 53.00%   53.00%  
Expected timing of satisfaction of remaining performance obligation, period 12 months   12 months  
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2026-07-01        
Disaggregation of Revenue [Line Items]        
Expected remaining performance obligation to be converted to revenue, percentage 43.00%   43.00%  
Expected timing of satisfaction of remaining performance obligation, period 13 months   13 months  
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2027-07-01        
Disaggregation of Revenue [Line Items]        
Expected timing of satisfaction of remaining performance obligation, period 36 months   36 months  
v3.25.2
RECEIVABLES, NET - Receivables by Category and Concentration (Details)
$ in Thousands
Jun. 30, 2025
USD ($)
Customer
Dec. 31, 2024
USD ($)
Customer
Current and long-term receivables balances    
Accounts receivable $ 359,103 $ 393,017
Unbilled accounts receivable 315,586 293,251
Long-term receivables 51,464 24,179
Total receivables 726,153 710,447
Less allowance for doubtful accounts (4,523) (5,808)
Total receivables, net $ 721,630 $ 704,639
Number of Customers with Accounts Receivable and Installment Contract Receivable Balance Greater than Ten Percent of Balance | Customer 1 1
Percentage of Company's Receivables Net and Installment Contract Receivables Net Attributable to Single Customer 10.00% 11.00%
v3.25.2
DEBT - Outstanding Debt by Instrument (Details) - USD ($)
$ in Thousands
Jun. 30, 2025
Dec. 31, 2024
Sep. 10, 2024
Debt Instrument [Line Items]      
Principal $ 2,500,000 $ 2,500,000  
Unamortized discount and issuance costs 21,855 23,817  
Carrying Value 2,478,145 2,476,183  
Senior Notes [Member] | Senior Notes Due 2027      
Debt Instrument [Line Items]      
Principal 500,000 500,000 $ 500,000
Unamortized discount and issuance costs 2,645 3,206 100
Carrying Value 497,355 496,794  
Senior Notes [Member] | Senior Notes Due 2029      
Debt Instrument [Line Items]      
Principal 1,000,000 1,000,000 1,000,000
Unamortized discount and issuance costs 8,717 9,666 1,400
Carrying Value 991,283 990,334  
Senior Notes [Member] | Senior Notes Due 2034      
Debt Instrument [Line Items]      
Principal 1,000,000 1,000,000 1,000,000
Unamortized discount and issuance costs 10,493 10,945 $ 1,900
Carrying Value $ 989,507 $ 989,055  
v3.25.2
DEBT - Senior Notes (Details) - USD ($)
$ in Thousands
Jun. 30, 2025
Dec. 31, 2024
Sep. 10, 2024
Debt Instrument [Line Items]      
Aggregate principal amount issued $ 2,500,000 $ 2,500,000  
Unamortized discount and issuance costs 21,855 23,817  
Senior Notes [Member] | Senior Notes Due 2027      
Debt Instrument [Line Items]      
Aggregate principal amount issued 500,000 500,000 $ 500,000
Stated interest rate of 2024 Notes     4.20%
Long-Term Debt     $ 496,500
Unamortized discount and issuance costs 2,645 3,206 100
Debt issuance costs     3,500
Fair value of Senior Notes 501,200    
Senior Notes [Member] | Senior Notes Due 2029      
Debt Instrument [Line Items]      
Aggregate principal amount issued 1,000,000 1,000,000 $ 1,000,000
Stated interest rate of 2024 Notes     4.30%
Long-Term Debt     $ 989,800
Unamortized discount and issuance costs 8,717 9,666 1,400
Debt issuance costs     8,800
Fair value of Senior Notes 1,000,000    
Senior Notes [Member] | Senior Notes Due 2034      
Debt Instrument [Line Items]      
Aggregate principal amount issued 1,000,000 1,000,000 $ 1,000,000
Stated interest rate of 2024 Notes     4.70%
Long-Term Debt     $ 988,800
Unamortized discount and issuance costs 10,493 $ 10,945 1,900
Debt issuance costs     $ 9,300
Fair value of Senior Notes $ 988,800    
v3.25.2
DEBT - Revolving Credit Facility (Details) - USD ($)
$ in Thousands
 1 Months Ended 6 Months Ended
Aug. 31, 2024
Jun. 30, 2025
Jun. 30, 2024
Line of Credit Facility [Line Items]      
Payment of debt issuance costs   $ 0 $ 944
Revolving Credit Facility [Member]      
Line of Credit Facility [Line Items]      
Credit facility, current borrowing capacity   1,250,000  
Credit facility additional borrowing capacity available   500,000  
Credit facility, maximum borrowing capacity   $ 1,750,000  
Credit facility, maturity date   Aug. 14, 2029  
Payment of debt issuance costs $ 1,300    
Credit facility, covenant, debt to EBITDA ratio after step up triggered by acquisition   4  
Debt covenant, acquisition amount triggering step up   $ 250,000  
Minimum [Member] | Revolving Credit Facility [Member]      
Line of Credit Facility [Line Items]      
Credit facility, commitment fee percentage   0.05%  
Credit facility, covenant, debt to EBITDA ratio   3.5  
Debt covenant, pro forma leverage ratio   3.25  
Maximum [Member] | Revolving Credit Facility [Member]      
Line of Credit Facility [Line Items]      
Credit facility, commitment fee percentage   0.125%  
Debt covenant, pro forma leverage ratio   3.75  
Secured Overnight Financing Rate (SOFR) Overnight Index Swap Rate | Minimum [Member] | Revolving Credit Facility [Member]      
Line of Credit Facility [Line Items]      
Credit facility, interest rate spread   0.625%  
Secured Overnight Financing Rate (SOFR) Overnight Index Swap Rate | Maximum [Member] | Revolving Credit Facility [Member]      
Line of Credit Facility [Line Items]      
Credit facility, interest rate spread   1.125%  
Term Secured Overnight Financing Rate (SOFR) | Revolving Credit Facility [Member]      
Line of Credit Facility [Line Items]      
SOFR adjustment   0.10%  
Base Rate [Member] | Minimum [Member] | Revolving Credit Facility [Member]      
Line of Credit Facility [Line Items]      
Credit facility, interest rate spread   0.00%  
Base Rate [Member] | Maximum [Member] | Revolving Credit Facility [Member]      
Line of Credit Facility [Line Items]      
Credit facility, interest rate spread   0.125%  
v3.25.2
ACQUISITIONS (Details) - Acquisition details - USD ($)
$ in Thousands
 6 Months Ended
Jun. 30, 2025
Jun. 30, 2024
May 29, 2025
Dec. 31, 2024
Business Acquisition [Line Items]        
Cash paid in business combinations, net of cash acquired $ 122,146 $ 720,821    
Goodwill 2,599,798     $ 2,378,671
VLAB Works        
Business Acquisition [Line Items]        
Cash acquired     $ 5,200  
Cash paid in business combinations, net of cash acquired 122,100      
Current assets     8,692  
Goodwill     94,247  
Acquired intangibles     27,700  
Other long-term assets     1,495  
Total assets acquired     132,134  
Current liabilities     3,852  
Long-term liabilities     898  
Total liabilities assumed     4,750  
Total purchase consideration     $ 127,384  
Finite-lived Intangible Assets Acquired $ 27,700      
Weighted-average useful life of definite-lived intangible assets acquired 6 years 2 months 12 days      
VLAB Works | Agreements and Relationship [Member]        
Business Acquisition [Line Items]        
Finite-lived Intangible Assets Acquired $ 9,000      
Weighted-average useful life of definite-lived intangible assets acquired 7 years      
VLAB Works | Tradename Trademark and Patents [Member]        
Business Acquisition [Line Items]        
Finite-lived Intangible Assets Acquired $ 400      
Weighted-average useful life of definite-lived intangible assets acquired 3 years      
VLAB Works | Existing Technology [Member]        
Business Acquisition [Line Items]        
Finite-lived Intangible Assets Acquired $ 18,300      
Weighted-average useful life of definite-lived intangible assets acquired 6 years      
v3.25.2
ACQUISITIONS - Acquisition-related transaction costs (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2025
Jun. 30, 2024
Business Acquisition [Line Items]        
Acquisition-related transaction costs $ 4,000 $ 3,400 $ 6,000 $ 12,300
VLAB Works        
Business Acquisition [Line Items]        
Finite-lived Intangible Assets Acquired     27,700  
VLAB Works | Tradename Trademark and Patents [Member]        
Business Acquisition [Line Items]        
Finite-lived Intangible Assets Acquired     $ 400  
v3.25.2
GOODWILL AND ACQUIRED INTANGIBLES - Goodwill (Details)
$ in Thousands
 6 Months Ended
Jun. 30, 2025
USD ($)
Changes in the carrying amount of goodwill  
Balance at beginning of period $ 2,378,671
Goodwill resulting from acquisitions 94,247
Effect of foreign currency translation 126,880
Balance at end of period $ 2,599,798
v3.25.2
GOODWILL AND ACQUIRED INTANGIBLES - Acquired Intangibles, Net (Details) - USD ($)
$ in Thousands
Jun. 30, 2025
Dec. 31, 2024
Acquired intangibles with finite lives, excluding intangibles fully amortized at end of prior fiscal year    
Gross carrying amount $ 946,234 $ 879,931
Accumulated amortization (327,282) (285,197)
Acquired intangibles, net 618,952 594,734
Existing Technology [Member]    
Acquired intangibles with finite lives, excluding intangibles fully amortized at end of prior fiscal year    
Gross carrying amount 494,348 465,453
Accumulated amortization (221,929) (199,126)
Acquired intangibles, net 272,419 266,327
Agreements and Relationships [Member]    
Acquired intangibles with finite lives, excluding intangibles fully amortized at end of prior fiscal year    
Gross carrying amount 421,048 386,365
Accumulated amortization (95,724) (78,605)
Acquired intangibles, net 325,324 307,760
Tradenames Trademarks And Patents [Member]    
Acquired intangibles with finite lives, excluding intangibles fully amortized at end of prior fiscal year    
Gross carrying amount 30,838 28,113
Accumulated amortization (9,629) (7,466)
Acquired intangibles, net $ 21,209 $ 20,647
v3.25.2
GOODWILL AND ACQUIRED INTANGIBLES - Amortization Expense (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2025
Jun. 30, 2024
Goodwill and Intangible Assets Disclosure [Abstract]        
Cost of product and maintenance $ 14,499 $ 13,488 $ 30,993 $ 24,836
Amortization of acquired intangibles 9,204 6,667 18,126 12,074
Total amortization of acquired intangibles $ 23,703 $ 20,155 $ 49,119 $ 36,910
v3.25.2
GOODWILL AND ACQUIRED INTANGIBLES - Estimated amortization expense (Details) - USD ($)
$ in Thousands
Jun. 30, 2025
Dec. 31, 2024
Estimated amortization expense    
2025 - remaining period $ 49,183  
2026 96,865  
2027 93,603  
2028 88,854  
2029 74,093  
2030 47,712  
Thereafter 168,642  
Acquired intangibles, net $ 618,952 $ 594,734
v3.25.2
STOCK-BASED COMPENSATION (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2025
Jun. 30, 2024
Share-based compensation expense and allocation by cost [Line Items]        
Stock based compensation $ 118,325 $ 87,569 $ 225,938 $ 175,698
Cost of product and maintenance        
Share-based compensation expense and allocation by cost [Line Items]        
Stock based compensation 2,122 1,352 4,276 2,632
Cost of services        
Share-based compensation expense and allocation by cost [Line Items]        
Stock based compensation 2,449 1,721 4,915 3,350
Marketing and sales        
Share-based compensation expense and allocation by cost [Line Items]        
Stock based compensation 22,857 16,000 44,528 33,836
Research and development        
Share-based compensation expense and allocation by cost [Line Items]        
Stock based compensation 73,188 54,491 140,277 108,128
General and administrative        
Share-based compensation expense and allocation by cost [Line Items]        
Stock based compensation 17,709 $ 14,005 31,942 $ 27,752
Stock option and restricted stock grants [Member]        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Total unrecognized compensation expense $ 758,400   $ 758,400  
Weighted-average vesting period over which unrecognized compensation expense will be recognized     2 years 1 month 6 days  
v3.25.2
STOCK REPURCHASE PROGRAM (Details) - USD ($)
shares in Thousands, $ in Thousands
 3 Months Ended 6 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2025
Jun. 30, 2024
Stock repurchase program        
Share Repurchase Program, Additional Authorized, Amount $ 1,500,000   $ 1,500,000  
Stock repurchase program, remaining authorized repurchase amount $ 1,800,000   $ 1,800,000  
Shares repurchased 607 423 1,968 848
Total cost of repurchased shares $ 175,009 $ 125,004 $ 525,016 $ 250,010
v3.25.2
OTHER INCOME, NET (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2025
Jun. 30, 2024
Other Income and Expenses [Abstract]        
Interest income $ 25,978 $ 8,885 $ 52,200 $ 18,397
Gain on sale of IP and other assets 0 0 11,500 0
Gain on investments 38,445 25,205 25,154 80,599
Gain on securities in Non-Qualified Deferred Compensation (“NQDC”) trust 7,778 1,697 6,205 6,285
Loss on foreign exchange (4,172) (708) (3,363) (1,039)
Other expense, net (271) (340) (648) (724)
Other income, net $ 67,758 $ 34,739 $ 91,048 $ 103,518
v3.25.2
NET INCOME PER SHARE (Details) - USD ($)
$ / shares in Units, shares in Thousands, $ in Thousands
 3 Months Ended 6 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2025
Jun. 30, 2024
Earnings Per Share, Basic and Diluted [Abstract]        
Net income $ 160,051 $ 229,520 $ 433,630 $ 477,163
Weighted average common shares used to calculate basic net income per share 271,294 270,912 271,633 270,259
Stock-based awards 1,605 2,608 1,631 3,273
Weighted average common shares used to calculate diluted net income per share (in shares) 272,899 273,520 273,264 273,532
Net income per share - basic (usd per share) $ 0.59 $ 0.85 $ 1.60 $ 1.77
Net income per share - diluted (usd per share) $ 0.59 $ 0.84 $ 1.59 $ 1.74
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]        
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount 1,700 232 1,156 150
Market-based awards        
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]        
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount 1,472 0 830 0
Options to purchase shares of common stock        
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]        
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount 206 229 220 144
Non-vested shares of restricted stock        
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]        
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount 22 3 106 6
v3.25.2
INVESTMENTS - Marketable Equity Investments (Details) - USD ($)
$ in Millions
Jun. 30, 2025
Dec. 31, 2024
Marketable Securities [Line Items]    
Marketable equity investment, carrying value $ 117.7 $ 90.4
v3.25.2
INVESTMENTS - Non-Marketable Equity Investments, Equity Method Investments (Details) - Privately held company, equity method - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2025
Jun. 30, 2024
Dec. 31, 2024
Schedule of Equity Method Investments [Line Items]          
Equity method investment, ownership percentage 16.00%   16.00%    
Equity method investments, carrying value $ 94.3   $ 94.3   $ 97.5
Income (loss) from equity method investments $ (0.5) $ (0.2) $ (2.0) $ (0.6)  
v3.25.2
INVESTMENTS - Non-Marketable Equity Investments, Securities without Readily Determinable Fair Value (Details) - USD ($)
$ in Millions
Jun. 30, 2025
Dec. 31, 2024
Other equity investments not readily marketable    
Equity Securities without Readily Determinable Fair Value [Line Items]    
Equity securities without readily determinable fair value, carrying value $ 36.5 $ 26.6
v3.25.2
INVESTMENTS - Investments in Equity Securities, FV-NI Gain (Loss) (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2025
Jun. 30, 2024
Debt and Equity Securities [Line Items]        
Net gains recognized on equity securities $ 38,470 $ 25,351 $ 25,211 $ 80,749
Less: Net gains recognized on equity securities sold 0 0 0 (20,367)
Net gains recognized on equity securities still held $ 38,470 $ 25,351 $ 25,211 $ 60,382
v3.25.2
INVESTMENTS - Available-for-sale Debt Securities (Details) - USD ($)
$ in Thousands
Jun. 30, 2025
Dec. 31, 2024
Debt Securities, Available-for-Sale, Unrealized Loss Position [Line Items]    
Amortized cost $ 60,127 $ 50,604
Gross accumulated unrealized gains 589 230
Gross accumulated unrealized losses (223) (582)
Available-for-sale debt securities, fair value 60,493 50,252
Fair value of available-for-sale debt securities in a continuous unrealized loss position, 12 months or longer 6,100 6,000
Mortgage-backed and asset-backed securities    
Debt Securities, Available-for-Sale, Unrealized Loss Position [Line Items]    
Amortized cost 60,127 50,604
Gross accumulated unrealized gains 589 230
Gross accumulated unrealized losses (223) (582)
Available-for-sale debt securities, fair value $ 60,493 $ 50,252
v3.25.2
INVESTMENTS - Available-for -sale Debt Securities, Contractual Maturity (Details) - USD ($)
$ in Thousands
Jun. 30, 2025
Dec. 31, 2024
Debt Securities, Available-for-Sale [Line Items]    
Due within 1 year $ 1,678  
Due after 1 year through 5 years 11,592  
Due after 5 years through 10 years 22,187  
Due after 10 years 25,036  
Total $ 60,493 $ 50,252
v3.25.2
FAIR VALUE - Fair Value of Financial Assets and Liabilities (Details) - USD ($)
$ in Thousands
Jun. 30, 2025
Dec. 31, 2024
Fair Value, Inputs, Level 1 [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Total Liabilities   $ 0
Fair Value, Inputs, Level 2 [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Total Liabilities   7,533
Fair Value, Inputs, Level 3 [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Total Liabilities   0
Fair Value, Recurring [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Total Assets $ 2,235,024 1,937,160
Total Liabilities   7,533
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 1 [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Total Assets 2,159,120 1,886,908
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 2 [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Total Assets 75,904 50,252
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 3 [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Total Assets 0 0
Fair Value, Recurring [Member] | Foreign Exchange Contract [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Foreign currency exchange contracts   7,533
Fair Value, Recurring [Member] | Foreign Exchange Contract [Member] | Fair Value, Inputs, Level 1 [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Foreign currency exchange contracts   0
Fair Value, Recurring [Member] | Foreign Exchange Contract [Member] | Fair Value, Inputs, Level 2 [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Foreign currency exchange contracts   7,533
Fair Value, Recurring [Member] | Foreign Exchange Contract [Member] | Fair Value, Inputs, Level 3 [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Foreign currency exchange contracts   0
Fair Value, Recurring [Member] | Money Market Funds | Cash Equivalents [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Money market funds 1,938,685 1,700,084
Fair Value, Recurring [Member] | Money Market Funds | Cash Equivalents [Member] | Fair Value, Inputs, Level 1 [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Money market funds 1,938,685 1,700,084
Fair Value, Recurring [Member] | Money Market Funds | Cash Equivalents [Member] | Fair Value, Inputs, Level 2 [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Money market funds 0 0
Fair Value, Recurring [Member] | Money Market Funds | Cash Equivalents [Member] | Fair Value, Inputs, Level 3 [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Money market funds 0 0
Fair Value, Recurring [Member] | Equity Securities [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Investments, Fair Value Disclosure 117,701 90,374
Fair Value, Recurring [Member] | Equity Securities [Member] | Fair Value, Inputs, Level 1 [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Investments, Fair Value Disclosure 117,701 90,374
Fair Value, Recurring [Member] | Equity Securities [Member] | Fair Value, Inputs, Level 2 [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Investments, Fair Value Disclosure 0 0
Fair Value, Recurring [Member] | Equity Securities [Member] | Fair Value, Inputs, Level 3 [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Investments, Fair Value Disclosure 0 0
Fair Value, Recurring [Member] | Mortgage-backed and asset-backed securities [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Investments, Fair Value Disclosure 60,493 50,252
Fair Value, Recurring [Member] | Mortgage-backed and asset-backed securities [Member] | Fair Value, Inputs, Level 1 [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Investments, Fair Value Disclosure 0 0
Fair Value, Recurring [Member] | Mortgage-backed and asset-backed securities [Member] | Fair Value, Inputs, Level 2 [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Investments, Fair Value Disclosure 60,493 50,252
Fair Value, Recurring [Member] | Mortgage-backed and asset-backed securities [Member] | Fair Value, Inputs, Level 3 [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Investments, Fair Value Disclosure 0 0
Fair Value, Recurring [Member] | Deferred Compensation Plan Assets [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Securities held in NQDC trust 102,734 96,450
Fair Value, Recurring [Member] | Deferred Compensation Plan Assets [Member] | Fair Value, Inputs, Level 1 [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Securities held in NQDC trust 102,734 96,450
Fair Value, Recurring [Member] | Deferred Compensation Plan Assets [Member] | Fair Value, Inputs, Level 2 [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Securities held in NQDC trust 0 0
Fair Value, Recurring [Member] | Deferred Compensation Plan Assets [Member] | Fair Value, Inputs, Level 3 [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Securities held in NQDC trust 0 $ 0
Fair Value, Recurring [Member] | Foreign Exchange Contract [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Foreign currency exchange contracts 15,411  
Fair Value, Recurring [Member] | Foreign Exchange Contract [Member] | Fair Value, Inputs, Level 1 [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Foreign currency exchange contracts 0  
Fair Value, Recurring [Member] | Foreign Exchange Contract [Member] | Fair Value, Inputs, Level 2 [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Foreign currency exchange contracts 15,411  
Fair Value, Recurring [Member] | Foreign Exchange Contract [Member] | Fair Value, Inputs, Level 3 [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Foreign currency exchange contracts $ 0  
v3.25.2
FAIR VALUE - Level Three Measurements (Details) - 2025 acquisitions
$ in Thousands
 6 Months Ended
Jun. 30, 2025
USD ($)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]  
Finite-lived Intangible Assets Acquired $ 27,700
Fair Value, Inputs, Level 3 [Member] | Fair Value, Nonrecurring | Customer Relationships | Measurement Input, Customer Retention Rate  
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]  
Estimated Customer Retention Rate 85.00%
Fair Value, Inputs, Level 3 [Member] | Fair Value, Nonrecurring | Customer Relationships | Measurement Input, Discount Rate [Member]  
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]  
Valuation Significant Input, Discount Rate 10.00%
Fair Value, Inputs, Level 3 [Member] | Fair Value, Nonrecurring | Technology-Based Intangible Assets | Measurement Input, Developed Technology Obsolescence Rate  
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]  
Estimated Technological Obsolescence Rate 10.00%
Fair Value, Inputs, Level 3 [Member] | Fair Value, Nonrecurring | Technology-Based Intangible Assets | Measurement Input, Royalty Rate  
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]  
Estimated Royalty Rate 30.00%
v3.25.2
BALANCE SHEET COMPONENTS (Details) - USD ($)
$ in Thousands
Jun. 30, 2025
Dec. 31, 2024
Inventory, Net [Abstract]    
Raw materials $ 209,169 $ 243,244
Work-in-process 0 1,216
Finished goods 16,993 13,251
Inventories 226,162 257,711
Accounts Payable and Accrued Liabilities, Current [Abstract]    
Payroll and payroll-related accruals 334,250 335,232
Contingent liability 140,617 12,072
Trade accounts payable and other accrued operating liabilities 291,769 285,388
Accounts payable and accrued liabilities $ 766,636 $ 632,692
v3.25.2
Commitments and Contingencies (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended 84 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2025
Jun. 30, 2024
Dec. 31, 2021
Dec. 31, 2024
Loss Contingencies [Line Items]            
Contingent liability $ 140,617   $ 140,617     $ 12,072
Loss related to contingent liability 128,545 $ 0 128,545 $ 0    
Unfavorable Regulatory Action            
Loss Contingencies [Line Items]            
Contingent liability 140,600   $ 140,600      
Loss related to contingent liability $ 128,500          
Export violation, value of products and services exchanged         $ 45,300  
v3.25.2
ACCUMULATED OTHER COMPREHENSIVE LOSS (Details) - USD ($)
$ in Thousands
Jun. 30, 2025
Dec. 31, 2024
Accumulated other comprehensive loss    
Accumulated Other Comprehensive Income (Loss), Foreign Currency Translation Adjustment, Net of Tax $ 34,305 $ (178,611)
Accumulated Other Comprehensive (Income) Loss, Defined Benefit Plan, after Tax (4,053) (4,447)
Unrealized losses on derivatives designated as hedging instruments (6,646) (7,038)
Debt Securities, Available-for-Sale, Accumulated Gross Unrealized Gain (Loss), before Tax 366 (352)
Total accumulated other comprehensive income (loss) $ 23,972 $ (190,448)
v3.25.2
SEGMENT REPORTING - Revenue, significant expenses and net income (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2025
Jun. 30, 2024
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]        
Revenue $ 1,275,441 $ 1,060,681 $ 2,517,807 $ 2,069,784
Stock based compensation 118,325 87,569 225,938 175,698
Depreciation and amortization     106,592 87,202
Loss related to contingent liability 128,545 0 128,545 0
Restructuring 47 (33) (62) 247
Interest income (25,978) (8,885) (52,200) (18,397)
Interest expense 28,948 12,905 58,066 21,597
Provision for income taxes 120,556 86,190 202,669 148,590
Net income 160,051 229,520 433,630 477,163
Reportable Segment        
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]        
Revenue 1,275,441 1,060,681 2,517,807 2,069,784
Salary, benefits and other employee-related costs 521,608 463,363 1,064,265 939,250
Stock based compensation 118,325 87,569 225,938 175,698
Manufacturing costs 101,480 61,048 183,149 120,709
Facilities and other infrastructure costs 47,277 42,465 91,115 84,119
Depreciation and amortization 53,676 50,646 106,592 87,202
Professional services 37,684 38,761 70,143 77,675
Loss related to contingent liability 128,545 [1] 0 128,545 [1] 0
Restructuring 47 (33) (62) 247
Other segment items [2] (16,778) (2,868) 5,957 (44,069)
Interest income (25,978) (8,885) (52,200) (18,397)
Interest expense 28,948 12,905 58,066 21,597
Provision for income taxes 120,556 86,190 202,669 148,590
Net income $ 160,051 $ 229,520 $ 433,630 $ 477,163
[1] For information regarding the loss related to a contingent liability, see Note 14 in the notes to condensed consolidated financial statements.
[2] Other segment items include direct costs for advertising, marketing events, travel, entertainment, bad debt and other operating expense categories that are not considered significant individually. It also includes non-operating expenses such as gains and losses on investments, foreign currency and other non-operating expenses that are not considered significant individually.
v3.25.2
SEGMENT REPORTING - Summary of Revenue by Geography (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2025
Jun. 30, 2024
Segment reporting [Line Items]        
Revenue $ 1,275,441 $ 1,060,681 $ 2,517,807 $ 2,069,784
United States [Member]        
Segment reporting [Line Items]        
Revenue 591,265 507,169 1,160,232 942,692
Other Americas [Member]        
Segment reporting [Line Items]        
Revenue 39,072 11,660 68,684 39,007
Americas [Member]        
Segment reporting [Line Items]        
Revenue 630,337 518,829 1,228,916 981,699
China [Member]        
Segment reporting [Line Items]        
Revenue 120,717 127,809 260,098 245,038
Other Asia [Member]        
Segment reporting [Line Items]        
Revenue 238,225 197,928 478,737 406,459
Asia [Member]        
Segment reporting [Line Items]        
Revenue 358,942 325,737 738,835 651,497
EMEA [Member]        
Segment reporting [Line Items]        
Revenue 200,186 152,521 395,929 321,577
Japan [Member]        
Segment reporting [Line Items]        
Revenue $ 85,976 $ 63,594 $ 154,127 $ 115,011
v3.25.2
SEGMENT REPORTING - Summary of Long-Lived Assets by Geography (Details) - USD ($)
$ in Thousands
Jun. 30, 2025
Dec. 31, 2024
Summary of long-lived assets by geography    
Long-lived assets in individual foreign countries $ 653,478 $ 604,390
United States [Member]    
Summary of long-lived assets by geography    
Long-lived assets in individual foreign countries 431,311 412,339
Other Americas [Member]    
Summary of long-lived assets by geography    
Long-lived assets in individual foreign countries 10,774 7,437
Americas [Member]    
Summary of long-lived assets by geography    
Long-lived assets in individual foreign countries 442,085 419,776
China [Member]    
Summary of long-lived assets by geography    
Long-lived assets in individual foreign countries 26,349 22,929
Other Asia [Member]    
Summary of long-lived assets by geography    
Long-lived assets in individual foreign countries 103,603 83,951
Asia [Member]    
Summary of long-lived assets by geography    
Long-lived assets in individual foreign countries 129,952 106,880
EMEA [Member]    
Summary of long-lived assets by geography    
Long-lived assets in individual foreign countries 77,587 73,551
Japan [Member]    
Summary of long-lived assets by geography    
Long-lived assets in individual foreign countries $ 3,854 $ 4,183