Cadence raises its 2026 outlook after first quarter revenue beats, driven by a record $8.0B backlog.

Cadence reported first quarter 2026 revenue of $1.474 billion and non-GAAP EPS of $1.96, surpassing analyst expectations. As a result of the strong start to the year, the company raised its full-year 2026 revenue growth outlook to approximately 17%.

Key Highlights

• Management raised its full-year 2026 revenue outlook to a range of $6.125 billion to $6.225 billion, representing approximately 17% year-over-year growth.
• The company reported a record quarter-end backlog of $8.0 billion, with revenue expected to be recognized in the next 12 months from remaining performance obligations at $4.0 billion.
• Broad-based strength was noted across business segments, with IP revenue growing 22% YoY and both Core EDA and System Design & Analysis revenue up 18% YoY.