Synopsys, Inc.reported results for its fourth quarter and fiscal year 2015.
For the fourth quarter of fiscal 2015, Synopsys reported revenue of $587.2 million, compared to $539.0 million for the fourth quarter of fiscal 2014. Revenue for fiscal year 2015 was $2.242 billion, an increase of 9.0 percent from $2.057 billion in fiscal 2014.
"Synopsys reported an excellent fourth quarter and fiscal 2015 against a somewhat challenging semiconductor industry backdrop, providing a solid foundation as we enter 2016," said Aart de Geus, chairman and co-CEO of Synopsys. "Our game-changing design and verification products have made great strides and are yielding excellent results. Meanwhile, we continue to invest and grow in our new TAM of software quality and security, both organically and with several important acquisitions during the year."
On a generally accepted accounting principles (GAAP) basis, net income for the fourth quarter of fiscal 2015 was $49.8 million, or$0.31 per share, compared to $62.5 million, or $0.39 per share, for the fourth quarter of fiscal 2014. GAAP net income for fiscal year 2015 was $225.9 million, or $1.43 per share, compared to $259.1 million, or $1.64 per share, for fiscal 2014.
On a non-GAAP basis, net income for the fourth quarter of fiscal 2015 was $105.5 million, or $0.67 per share, compared to non-GAAP net income of $100.9 million, or $0.64 per share, for the fourth quarter of fiscal 2014. Non-GAAP net income for fiscal 2015 was$438.4 million, or $2.77 per share, compared to non-GAAP net income of $398.9 million, or $2.53 per share, for fiscal 2014. Reconciliation between GAAP and non-GAAP results is provided below.
Financial Targets
Synopsys also provided its financial targets for the first quarter and full fiscal year 2016. These targets do not include any impact of future acquisition-related activities or costs that may be incurred in fiscal year 2016. Beginning in fiscal year 2016, Synopsys will utilize a normalized annual non-GAAP tax rate in calculating non-GAAP financial measures in order to provide better consistency across interim reporting periods by eliminating the effects of non-recurring and period-specific items.
These targets constitute forward-looking statements and are based on current expectations. For a discussion of factors that could cause actual results to differ materially from these targets, see "Forward-Looking Statements" below.
First Quarter of Fiscal Year 2016 Targets:
- Revenue: $560 million - $575 million
- GAAP expenses: $505 million - $524 million
- Non-GAAP expenses: $445 million - $455 million
- Other income and expense: $0 - $2 million
- Normalized annual tax rate applied in non-GAAP net income calculations: 19 percent
- Fully diluted outstanding shares: 155 million - 158 million
- GAAP earnings per share: $0.25 - $0.33
- Non-GAAP earnings per share: $0.60 - $0.63
Full Fiscal Year 2016 Targets:
- Revenue: $2.350 billion - $2.390 billion
- Other income and expense: $0 - $4 million
- Normalized annual tax rate applied in non-GAAP net income calculations: 19 percent
- Fully diluted outstanding shares: 155 million - 158 million
- GAAP earnings per share: $1.55 - $1.71
- Non-GAAP earnings per share: $2.93 - $3.00
- Cash flow from operations: at least $500 million
