Company: SNPS
Filing Date: 2025-12-22
Form Type: 10-K
Source: 0000883241-25-000028
Chunk: 92

Company: SYNOPSYS INC
Filing Date: 2025-12-22
Form: 10-K
Item: Item 7
Chunk 92
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 millions)Maintenance revenue$954.2 $429.4 $358.1 $524.8 122 %$71.3 20 %Professional service and other revenue599.8 671.5 543.5 (71.7)(11)%128.0 24 %Total$1,554.0 $1,100.9 $901.6 $453.1 41 %$199.3 22 %Percentage of total revenue22 %18 %17 %

The increase in maintenance revenue for fiscal 2025 compared to fiscal 2024 was primarily due to an increase in the volume of arrangements that include maintenance largely due to the closing of the Ansys Merger, which contributed $449.0 million in maintenance revenue in fiscal 2025. The increase for fiscal 2024 compared to fiscal 2023 was primarily due to an increase in the volume of arrangements that include maintenance.

The decrease in professional service and other revenue for fiscal 2025 compared to fiscal 2024 and the increase for fiscal 2024 compared to fiscal 2023 were primarily due to the timing of IP customization projects. 

42

Cost of Revenue

 Year Ended October 31,$ Change% Change$ Change% Change 2025202420232025 vs. 20242024 vs. 2023 (dollars in millions)Cost of products revenue$867.2 $770.2 $697.7 $97.0 13 %$72.5 10 %Cost of maintenance and service revenue444.5 367.1 287.9 77.4 21 %79.2 28 %Amortization of acquired intangible assets311.8 108.0 45.3 203.8 189 %62.7 138 %Total$1,623.5 $1,245.3 $1,030.9 $378.2 30 %$214.4 21 %Percentage of total revenue23 %20 %19 %

Our cost of revenue comprises of three categories: cost of products revenue, cost of maintenance and service revenue, and amortization of acquired intangible assets.

Cost of products revenue. Cost of products revenue includes costs related to products sold and software licensed, hardware-related costs including inventory provisions, allocated operating costs related to product support and distribution