What is the main purpose of this 8-K filing?

The main purpose of this 8-K filing is to report Synopsys Inc.'s financial results for its second fiscal quarter ended April 30, 2021, as announced in a press release furnished with the filing.

What types of non-GAAP measures does Synopsys use?

Synopsys uses several non-GAAP measures, including non-GAAP earnings per share, non-GAAP net income, targeted non-GAAP expenses, and targeted non-GAAP earnings per share. These measures exclude items like amortization of acquired intangible assets, stock compensation, acquisition-related costs, restructuring charges, and certain legal matters.

Why does Synopsys provide non-GAAP financial measures?

Synopsys provides non-GAAP financial measures because management believes they offer valuable insights into the company's core operational performance and liquidity. These measures help in understanding ongoing business trends and making internal operational decisions, complementing the standard GAAP reporting.

What is the company's normalized non-GAAP tax rate for fiscal year 2021?

The company has maintained its projected normalized annual non-GAAP tax rate at 16% through fiscal year 2021. This rate is used to provide consistency across interim reporting periods by eliminating the effects of non-recurring or period-specific tax items.

SNPS 8-K: Earnings & Results

Summary

Synopsys Inc. (SNPS) filed an 8-K on May 19, 2021, primarily to report its financial results for the second fiscal quarter ended April 30, 2021. The filing incorporates a press release announcing these results, which include both GAAP and non-GAAP financial measures. The company emphasizes its use of non-GAAP measures to provide insights into its core operational performance, excluding items such as amortization of acquired intangibles, stock compensation, acquisition-related costs, restructuring charges, and legal matters. This approach aims to offer investors a clearer view of ongoing business trends and operational efficiency, supplementing the standard GAAP reporting. Investors should note that while the press release provides key financial figures, the detailed breakdown and reconciliation of these non-GAAP measures are crucial for a comprehensive understanding. The company uses these adjusted figures to make internal operating decisions and believes they offer valuable supplemental information for analyzing core operational performance and liquidity. The filing also confirms the maintenance of a normalized annual non-GAAP tax rate of 16% for fiscal year 2021, aiming for consistency in interim reporting.

Key Highlights

1Synopsys announced its financial results for the second fiscal quarter ended April 30, 2021, via an 8-K filing.
2The company utilizes and reports both GAAP and non-GAAP financial measures, with a focus on non-GAAP for core operational insights.
3Key exclusions from non-GAAP measures include amortization of acquired intangibles, stock compensation, acquisition-related costs, and restructuring charges.
4Synopsys believes non-GAAP measures provide meaningful supplemental information regarding core operational performance and liquidity.
5Management uses non-GAAP measures for internal decision-making, budgeting, and comparisons.
6The company maintains a normalized annual non-GAAP tax rate of 16% for fiscal year 2021.
7The press release containing the detailed financial results is furnished as an exhibit to the 8-K filing.

SYNOPSYS INC 8-K Report, Financial Results (May 19, 2021)

Summary

Key Highlights

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