The chip design software firm raises full-year guidance after reporting a record $8.1B backlog and strong AI partnership growth.
Cadence Design Systems raised its 2026 revenue growth forecast to 19%, up from prior guidance, citing robust demand driven by agentic AI partnerships. The company reported a record $8.1 billion backlog, reinforcing confidence in sustained growth and higher profitability.
Earlier projections had targeted mid-teens revenue expansion, but Q2 performance and AI-driven bookings prompted the upward revision. Comparable periods showed steady demand, though the current backlog marks a new high for the firm.
Management highlighted expanding collaborations in AI as a key growth driver, though no immediate market reaction was detailed in the earnings call.