$Cadence Design Systems (CDNS.US)$ shares were up more than 7% in after-hours trading following the company's better-than-expected Q3 results.
The company posted quarterly earnings of $1.64 per share, which beat the analyst consensus estimate of $1.44 by 13.89%.
Cadence reported quarterly sales of $1.22 billion which beat the analyst consensus estimate of $1.18 billion by 2.88%, an increase of 18.77% year-over-year.
“Cadence delivered exceptional results for the third quarter of 2024, driven by broad-based strength across our portfolio, especially in IP, SD&A, and hardware systems,” said Anirudh Devgan, Cadence Design Systems' president and chief executive officer.
“Customers are achieving outstanding results with Cadence.AI, and I’m excited by its accelerating proliferation as AI rapidly becomes an integral part of the design workflow.”
The company said its Q4 bookings pipeline looks strong. "We are well positioned to deliver a strong 2024," said John Wall, Cadence Design Systems' senior vice president and chief financial officer.
For fiscal 2024, the company projects revenue between $4.61 billion and $4.65 billion, with GAAP operating margins of 29%-30% and non-GAAP margins of 42%-43%.
