Cadence Design Systems (CDNS) official guidance

•GAAP diluted net income per share in the range of $4.84 to $4.90

GAAP EPS in the range of $4.76 to $4.86.

•GAAP diluted net income per share in the range of $4.76 to $4.86

GAAP EPS in the range of $4.39-$4.49.

•GAAP diluted net income per share in the range of $4.39 to $4.49

GAAP EPS in the range of $4.95-$5.05.

•GAAP diluted net income per share in the range of $4.95 to $5.05

| Diluted net income per share on a GAAP basis | $1.23 to $1.29 | $4.84 to $4.90 |

•Non-GAAP diluted net income per share in the range of $8.37 to $8.43

Non-GAAP EPS in the range of $8.05 to $8.15.

•Non-GAAP diluted net income per share in the range of $8.05 to $8.15

Non-GAAP EPS in the range of $7.85-$7.95.

•Non-GAAP diluted net income per share in the range of $7.85 to $7.95

Non-GAAP EPS in the range of $8.05-$8.15.

•Non-GAAP diluted net income per share in the range of $8.05 to $8.15

| Diluted net income per share on a non-GAAP basis† | $2.19 to $2.25 | $8.37 to $8.43 |

Operating cash flow of approximately $2 billion.

With a record backlog and continued business momentum, we are now raising our 2026 outlook to 19% revenue growth, non-GAAP operating margin to 44.25%, non-GAAP EPS to $8.10, and operating cash flow to $2 billion at the midpoint.

Operating cash flow in the range of $1.875 billion-$1.975 billion, and we expect to use approximately 50% of our free cash flow to repurchase Cadence shares in 2026.

Operating cash flow of approximately $2 billion.

•GAAP operating margin in the range of 28.2% to 29.2%

GAAP operating margin in the range of 27.75% to 28.75%.

•GAAP operating margin in the range of 27.75% to 28.75%

GAAP operating margin in the range of 27.5%-28.5%.

•GAAP operating margin in the range of 27.5% to 28.5%

GAAP operating margin in the range of 31.75%-32.75%.

| GAAP operating margin as a percent of total revenue | 30% - 31% | 28.2% - 29.2% |

•Non-GAAP operating margin in the range of 44.2% to 45.2%

Non-GAAP operating margin in the range of 43.75% to 44.75%.

•Non-GAAP operating margin in the range of 43.75% to 44.75%

Non-GAAP operating margin in the range of 43.5%-44.5%.

•Non-GAAP operating margin in the range of 43.5% to 44.5%

Non-GAAP operating margin in the range of 44.75%-45.75%.

| Non-GAAP operating margin as a percent of total revenue† | 44% - 45% | 44.2% - 45.2% |

Hardware-assisted verification is becoming a strategic capacity layer for customers designing the most complex chips and systems. There could be quarterly timing effects, demand remains solid, and we continue to expect 2026 to be another record hardware year.

•Revenue in the range of $6.387 billion to $6.417 billion

For our updated outlook for 2026, we now expect revenue in the range of $6,260 to 6,340 million.

•Revenue in the range of $6.26 billion to $6.34 billion

For our updated outlook for 2026, we expect revenue in the range of $6.125 billion-$6.225 billion.

•Revenue in the range of $6.125 billion to $6.225 billion

For our outlook for 2026, we expect revenue in the range of $5.9 billion-$6 billion.

•Revenue in the range of $5.9 billion to $6.0 billion

We expect to use approximately 50% of our free cash flow to repurchase Cadence shares in 2026.

Operating cash flow in the range of $1.875 billion-$1.975 billion, and we expect to use approximately 50% of our free cash flow to repurchase Cadence shares in 2026.

We expect to use approximately 50% of our free cash flow to repurchase Cadence shares in 2026.

The company expects to use the current normalized non-GAAP tax rate through fiscal 2026 but will re-evaluate this rate periodically for significant items that may materially affect its projections.

The company expects to use the current normalized non-GAAP tax rate through fiscal 2026 but will re-evaluate this rate periodically for significant items that may materially affect its projections.

The company expects to use the current --- normalized non-GAAP tax rate through fiscal 2026 but will re-evaluate this rate periodically for significant items that may materially affect its projections.

| Net income on a GAAP basis | $308 to $324 | $1,316 to $1,344 |

| Net income on a GAAP basis | $296 to $312 | $1,212 to $1,239 |

| Net income on a non-GAAP basis† | $558 to $574 | $2,226 to $2,254 |

| Net income on a non-GAAP basis† | $557 to $573 | $2,167 to $2,194 |

| Diluted net income per share on a GAAP basis | $1.11 to $1.17 | $4.76 to $4.86 |