Company: SNPS
Filing Date: 2025-09-09
Form Type: 10-Q
Source: 0000883241-25-000024
Chunk: 3

Company: SYNOPSYS INC
Filing Date: 2025-09-09
Form: 10-Q
Item: Item 4
Chunk 3
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 development than anticipated, which could increase our operating expenses and negatively affect our operating results.

•Product errors or defects could expose us to liability and harm our reputation and we could lose market share.

•Our hardware products, which primarily consist of prototyping and emulation systems, subject us to distinct risks.

•From time to time, we are subject to claims that our products infringe on third-party intellectual property rights.

•We may not be able to continue to obtain licenses to third-party software and intellectual property on reasonable terms or at all, which may disrupt our business and harm our financial results.

•Liquidity requirements in our U.S. operations may require us to raise cash in uncertain capital markets, which could negatively affect our financial condition.

Risks Related to the Ansys Merger

•We continue to be subject to certain divestiture commitments that, if not timely performed, could adversely affect our ability to realize the benefits of the Ansys Merger.

•Failure to realize the benefits expected from the Ansys Merger could adversely affect our business, operating results and financial condition. 

•Our significant debt may limit our financial flexibility following the Ansys Merger.

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•The covenants contained in the agreements governing our indebtedness following the Ansys Merger may impose restrictions on us and certain of our subsidiaries that may affect our ability to operate our businesses.

Legal and Regulatory Risks

•Changes in tax laws and regulations or interpretations thereof, or any change in the application of existing laws and regulations may adversely affect our effective tax rates and financial results.

•Our business is subject to evolving corporate governance and public disclosure regulations and expectations that could expose us to numerous risks.

•We may be subject to litigation proceedings that could harm our business.

General Risks

•Catastrophic events and the effects of climate change, pandemics or other unexpected events may disrupt our business and harm our operating results.

Factors that May Affect Future Results

Descriptions of risks associated with our business are set forth below. Some of these risks are highlighted in the following discussion and in Management's Discussion and Analysis of Financial Condition and Results of Operations, Legal Proceedings, Controls and Procedures and Quantitative and Qualitative Disclosures About Market Risk of this Quarterly Report. The occurrence of any of these risks or additional risks and uncertainties not presently known to us or that we currently believe to be immaterial could materially and adversely affect our business, financial condition, operating results and stock price. These risks and uncertainties could cause our actual results to differ materially from the results contemplated by