Cadence Design Systems, Inc. (CDNS) Presents at Goldman Sachs Communacopia + Technology Conference 2026 Transcript

Good morning, everybody. Welcome to the Goldman Sachs Communacopia Technology Conference. I'm Jim Schneider, the semiconductor analyst here at Goldman Sachs. It's my pleasure to welcome Cadence and CEO, Anirudh Devgan, to the stage today. Welcome, Anirudh. Thanks for...

Thank you. Thank you. Great to be here.

I've been asked to read a safe harbor to begin. Today's discussion will contain forward-looking statements, including Cadence's outlook on future business and operating results. Due to risks and uncertainties, actual results may differ materially from those projected or implied in today's discussion. With that out of the way, let's get rolling.

So first question for you, maybe high level. I mean, I think Cadence has had a very strong first half of the year with double-digit growth across pretty much every product group, record backlog, two increases to full year guidance. Before we get into individual businesses, how would you characterize what's changed in customer behavior over, say, the last 12 months?

Yes. Thank you for the question. I mean the customer environment is probably the strongest I have seen. Because last few years, of course, some companies were doing phenomenally well, the big AI companies or the hyperscalers, but some of them were not. But if you look at it in '26, universally, the industry is doing great. The semi companies are doing great and then all the system companies, hyperscalers, the commitment to silicon is the strongest