Company: SNPS
Filing Date: 2025-02-26
Form Type: 10-Q
Source: 0000883241-25-000014
Chunk: 227

Company: SYNOPSYS INC
Filing Date: 2025-02-26
Form: 10-Q
Item: Item 2
Chunk 227
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, we believe that our existing cash, cash equivalents and short-term investments and sources of liquidity, as well as the committed debt financing related to the pending Ansys Merger, will be sufficient to satisfy our cash requirements over the next twelve-month period and beyond. Our future cash requirements will depend on many factors, including our rate of revenue growth, the expansion of our sales and marketing activities, the timing and extent of our spending to support our research and development efforts, and our investments in or acquisitions of businesses, applications or technologies.

The following sections discuss changes in our condensed consolidated statements of cash flows and other commitments of our liquidity and capital resources during the three months ended January 31, 2025.

Cash Flows

Our condensed consolidated statements of cash flows include cash flows related to the Software Integrity business. Significant non-cash items and capital expenditures of discontinued operations related to our Software Integrity business are presented separately in Note 3. Discontinued Operations of the Notes to Condensed Consolidated Financial Statements in this Quarterly Report.

 Three Months Ended  January 31,  20252024$ Change (dollars in millions)Cash used in operating activities$(67.5)$(87.8)$20.3 Cash used in investing activities(22.0)(54.4)32.4 Cash used in financing activities(141.8)(187.2)45.4 

Cash Used in Operating Activities

We expect cash from our operating activities to fluctuate as a result of a number of factors, including the timing of our billings and collections, our operating results, and the timing and amount of tax and other liability payments. Cash provided by our operations is dependent primarily upon the payment terms of our license agreements. We generally receive cash from upfront arrangements much sooner than from time-based products revenue, in which the license fee is typically paid either quarterly or annually over the term of the license.

The decrease in cash used in operating activities for the three months ended January 31, 2025 compared to the same period in fiscal 2024 was primarily due to the impact of $187.0 million of fiscal 2023 federal tax payments that were paid in the first quarter of fiscal 2024 as a result of payment deadline extensions due to IRS tax relief for the California winter storms, partially offset by lower accounts receivable collections and lower net income of $148.8 million.

Cash Used in Investing Activities

39

The decrease in cash used in investing activities for the three months ended