Synopsys reported increase in revenue

On a non-GAAP basis, net income for the third quarter of fiscal 2008 was $64.5 million, or $0.44 per share, compared to non-GAAP net income of $47.7 million, or $0.32 per share, for the third quarter of fiscal 2007. The company has established a target of $348 - 356 million in revenue for the fourth quarter and of $1.332 - 1340 billion for the year. The expected earnings per share for fiscal year 2008 fall in the range of $1.20 to $1.26 for GAAP figures and $1.65 to $1.68 for non-GAAP reporting.

In prepared remarks, Aart de Geus, Chariman and CEO stated: "The marketplace today is sending mixed signals. While chip volumes are increasing, ASP pressure has been tough on semiconductor growth. Lately, though, manufacturing capacity has begun to tighten up, and the first half semiconductor results came in better than many expected. In this uncertain landscape, we see some customers racing forward to gain market share, while others are holding back on their forward commitments.

One common theme is caution and selectivity in choosing suppliers they can count on for the future. While challenging for the EDA industry overall, this is positive for Synopsys, being recognized as technically and financially very strong. Indeed, many companies who rely on us - including those who have selected Synopsys as their primary partner - are seeing superior productivity benefits, and overall appear to be doing well themselves. Even against a backdrop of increased caution and lengthening sales cycles, Synopsys delivered strong results again, and we are increasing our outlook for the rest of the fiscal year."