Synopsys raised its full-year outlook in its third-quarter results on progress with AI EDA and the Ansys integration. Its shares rose 11.2% in response.
Synopsys reported third-quarter revenue of $2.48 billion and GAAP diluted earnings per share of $2.84 in late August 2026. Citing strong demand for AI-related electronic design automation (EDA) and highlighting early benefits from its acquisition of Ansys, the company raised its full-year outlook.
Although quarterly performance remained solid, year-to-date net income of $627.86 million was below the prior-year level. The company said increasing AI complexity and greater revenue contributions from new products were supporting revenue growth and the upward revision to its outlook, while costs including integration expenses and portfolio transitions could weigh on profitability.
The company issued a raised full-year outlook of $9.69 billion to $9.74 billion in revenue and $3.84 to $4.08 in GAAP EPS. It said tailwinds from AI demand and early market penetration of Ansys products could become growth drivers depending on the progress of the integration.
Meanwhile, risks including prolonged export restrictions on China and the complexity of the integration remain, and were identified as potential factors affecting profitability and financial performance.