Synopsys raised its annual forecast, signaling robust demand for its chip design software amid the AI boom.
The company expects fiscal 2026 revenue of $9.63-$9.71 billion (up from $9.56-$9.66 billion), with adjusted profit per share of $14.72-$14.80.
Synopsys also agreed to give activist investor Elliott Investment Management a board seat.
CEO Sassine Ghazi said new agreements will increase revenue from AI tools and intellectual property. “Hyperscalers cannot build chips without Synopsys IP,” he noted.
Second-quarter revenue hit $2.28 billion, beating estimates. Third-quarter guidance is $2.41-$2.46 billion.
