Cadence Design Systems has raised its annual revenue and profit forecasts, driven by robust demand for its AI-powered chip and system design software. The company’s electronic design automation (EDA) tools are used to design and validate semiconductors and electronic systems.

Increased Demand

Demand has risen sharply for Cadence’s software as chipmakers and technology companies develop increasingly sophisticated systems-on-chip (SoCs) and AI accelerators. The company’s customers include AI-chip leader Nvidia and iPhone-maker Apple.

Cadence now expects 2026 revenue to be between $6.26 billion and $6.34 billion, up from its prior projection of $6.13 billion to $6.23 billion. Annual adjusted profit is expected to be between $8.05 and $8.15 per share, up from its previous forecast of $7.85 to $7.95 and above estimates of $7.96.

Original reporting: Appleton, WI News Feed (HLL/CB) — read the source article.