Synopsys Q1’s highest profit estimate, seeing strong demand for AI fuel chip design – Synopsys (NASDAQ: SNP)

Synopsys Inc SNP Listed stocks trading higher on Wednesday reported first-quarter financial results.

• income: The estimated $14.55 billion is estimated at $1.466 billion.
• Adjust EPS: $3.03 beats $2.84 Street View.

Gross profit fell from $1.232 billion a year ago to $11.85 billion, and operating income fell from $352.6 million in the previous year to $251.8 million.

Sassine Ghazi“We launched the industry-leading IP and hardware-assisted verification solutions while expanding the generation AI capabilities of EDA,” said Synopsys President and CEO.

“Burned by AI-driven computing reinvention, we will continue to see strong design activity for advanced nodes. With the increasing speed and complexity of technological innovation, a new silicon-to-system design paradigm is essential and the concept is in line with good delivery.”

prospect: Synopsys expects second-quarter revenue of $1.585 billion – $1.615 billion, estimated at $1.600 billion, with adjusted earnings per share of $3.37 – $3.42, while the consensus is $3.35.

For fiscal 25, the company will continue to expect revenue of $6.745 billion – $68.05 billion, while consensus is $6.786 billion, with adjusted earnings per share of $14.88 – $14.96, while $14.96 box office with $14.91.

The company’s target reflects its fiscal year’s turnover to a fixed end of October 31, replacing the first 52/53-week cycle. This adjustment shortened the first half of fiscal 2025 by ten days, while the second half increased by two days, a net decrease of eight days compared to fiscal 2024.

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Price action: SNP stock rose 2.05%, up $480.09 on its previous check on Thursday.

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Image via shutterstock.