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SEGMENT REPORTING
12 Months Ended
Dec. 31, 2024
Segment Reporting [Abstract]  
SEGMENT REPORTING SEGMENT REPORTING
Segment reporting is based on the “management approach,” following the method that management organizes the company’s reportable segments for which separate financial information is made available to, and evaluated regularly by, the chief operating decision maker in allocating resources and in assessing performance. Cadence operates as one operating segment. Cadence’s chief operating decision maker (“CODM”) is its CEO. The CODM makes decisions on resource allocation and assesses performance of the business based on Cadence’s consolidated results, including net income.
For additional information on Cadence’s revenue, including the nature and timing of revenue from contracts with customers, see Note 3 in the notes to consolidated financial statements. The following table presents revenue, significant expenses and net income for fiscal 2024, 2023 and 2022:
 202420232022
 (In thousands)
Revenue
4,641,264 4,089,986 3,561,718 
Costs and Expenses:
Salary, benefits and other employee-related costs
1,936,542 1,754,223 1,574,910 
Stock based compensation
391,219 325,611 270,439 
Manufacturing costs
330,903 232,012 173,160 
Facilities and other infrastructure costs
174,102 156,977 139,150 
Depreciation and amortization
196,935 145,292 132,088 
Professional Services
153,439 117,752 117,442 
Restructuring
23,765 11,013 55 
Other segment items (1)
25,025 58,632 96,276 
Interest income(62,484)(29,637)(10,099)
Interest expense75,999 36,185 22,934 
Provision for income taxes340,335 240,782 196,411 
Net income$1,055,484 $1,041,144 $848,952 
_____________
(1) Other segment items includes direct costs for advertising, marketing events, travel, entertainment, bad debt and other operating expense categories that are not considered significant individually. It also includes non-operating expenses such as gains and losses on investments, foreign currency and other non-operating expenses that are not considered significant individually.
Outside the United States, Cadence markets and supports its products and services primarily through its subsidiaries. Revenue is attributed to geography based upon the country in which the product is used, or services are delivered. Long-lived assets are attributed to geography based on the country where the assets are located.
The following table presents a summary of revenue by geography for fiscal 2024, 2023 and 2022:
 202420232022
 (In thousands)
Americas:
United States$2,159,703 $1,694,529 $1,577,881 
Other Americas93,101 65,259 53,123 
Total Americas2,252,804 1,759,788 1,631,004 
Asia:
China573,096 679,538 521,509 
Other Asia855,919 766,409 629,533 
Total Asia1,429,015 1,445,947 1,151,042 
Europe, Middle East and Africa699,241 655,078 582,350 
Japan260,204 229,173 197,322 
Total$4,641,264 $4,089,986 $3,561,718 
The following table presents a summary of long-lived assets by geography as of December 31, 2024, December 31, 2023, and December 31, 2022: 
 As of
 December 31,
2024
December 31,
2023
December 31,
2022
 (In thousands)
Americas:
United States$412,339 $383,807 $347,822 
Other Americas7,437 10,219 7,548 
Total Americas419,776 394,026 355,370 
Asia:
China22,929 29,598 51,667 
Other Asia83,951 71,365 73,329 
Total Asia106,880 100,963 124,996 
Europe, Middle East and Africa73,551 56,449 56,959 
Japan4,183 2,572 4,505 
Total$604,390 $554,010 $541,830