Cadence FY2026 Q3: revenue up 22.0%, backlog at record $8.2 billion
Cadence beat the non-GAAP EPS bar and grew revenue 22.0%, and management raised full-year growth to 21.0%. The catch is profitability: GAAP operating margin fell to 26.2% from 31.8%. Read the scorecard for the growth, the guidance section for what the fourth quarter must deliver, and the balance sheet for how acquisitions and buybacks reshaped the cash position.
1 · Expected vs. Actual
Free preview belowGAAP EPS was $1.05, exactly flat with a year earlier, because the extra revenue arrived alongside heavier operating costs. Non-GAAP EPS was $2.11 against a $2.0861 consensus, a beat of roughly $0.02. The $1.06 gap between the two lines is mostly stock-based compensation ($0.53), amortization of acquired intangibles ($0.29) and restructuring ($0.15).
Revenue of $1.633 billion rose 22.0% from $1.339 billion a year earlier and 3.1% from $1.584 billion in Q2 2026. Product and maintenance supplied $1.487 billion of that total, with services at $146.0 million. Gross margin was 85.6%, so the top line carries very little direct cost — the spending pressure sits below the gross-profit line.
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Figures on this page come from the company's original SEC filings. The analysis is generated automatically and checked against validation rules, but may still contain errors or omissions. Not investment advice. · Generated 2026-11-03
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