XML 47 R21.htm IDEA: XBRL DOCUMENT v3.25.1
SEGMENT REPORTING
3 Months Ended
Mar. 31, 2025
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 2 in the notes to condensed consolidated financial statements. The following table presents revenue, significant expenses and net income for the three months ended March 31, 2025 and March 31, 2024:
Three Months Ended
 March 31,
2025
March 31,
2024
 (In thousands)
Revenue
$1,242,366 $1,009,103 
Costs and Expenses:
Salary, benefits and other employee-related costs542,655 475,886 
Stock based compensation
107,613 88,129 
Manufacturing costs
81,666 56,661 
Facilities and other infrastructure costs
43,836 41,654 
Depreciation and amortization
52,916 39,556 
Professional services
32,461 38,917 
Restructuring
(109)280 
Other segment items(1)
22,740 (41,203)
Interest income(26,222)(9,512)
Interest expense29,118 8,692 
Provision for income taxes82,113 62,400 
Net income$273,579 $247,643 
_____________
(1) Other segment items include 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 the three months ended March 31, 2025 and March 31, 2024:
 Three Months Ended
 March 31,
2025
March 31,
2024
 (In thousands)
Americas:
United States$568,967 $435,523 
Other Americas29,612 27,347 
Total Americas598,579 462,870 
Asia:
China139,381 117,229 
Other Asia240,512 208,531 
Total Asia379,893 325,760 
Europe, Middle East and Africa (“EMEA”)
195,743 169,056 
Japan68,151 51,417 
Total$1,242,366 $1,009,103 
The following table presents a summary of long-lived assets by geography as of March 31, 2025 and December 31, 2024:
 As of
 March 31,
2025
December 31,
2024
 (In thousands)
Americas:
United States$422,658 $412,339 
Other Americas10,242 7,437 
Total Americas432,900 419,776 
Asia:
China20,011 22,929 
Other Asia91,734 83,951 
Total Asia111,745 106,880 
EMEA
72,784 73,551 
Japan3,905 4,183 
Total$621,334 $604,390