Synopsys has forecasted revenue for the second quarter of 2025 to be between US$1.59 billion and US$1.62 billion, exceeding Wall Street estimates.

The midpoint of this guidance slightly surpasses analysts’ expectations of US$1.60 billion, according to LSEG data.

The company anticipates earnings per share between US$3.37 and US$3.42 on an adjusted basis, which is higher than analysts’ predictions of US$3.35.

Following the announcement, Synopsys shares increased by 2.45% to US$482 in after-hours trading.

Demand is increasing, driven by firms like Amazon, Google, and Apple developing proprietary chips.

Growth in AI chip development also contributes to this surge, according to CEO Sassine Ghazi.