Total Adjusted Segment Operating Income Reconciliation ^(1)(2)(3)

(in millions)

Three Months Ended
October 31, 2023

Three Months Ended
October 31, 2022

Twelve Months Ended
October 31, 2023

Twelve Months Ended
October 31, 2022

GAAP total operating income – as reported

$                           430.5

$                           217.4

$                        1,269.3

$                        1,162.0

Other expenses managed at consolidated level

-Amortization of intangible assets ⁽⁴⁾

28.0

26.5

102.9

96.7

-Stock compensation ⁽⁴⁾

141.3

125.6

563.3

459.0

-Non-qualified deferred compensation plan

(24.4)

(18.8)

20.5

(68.8)

-Acquisition-related items ⁽⁵⁾

5.3

2.7

15.1

14.1

-Restructuring charges

(1.4)

—

77.0

12.1

Total adjusted segment operating income

$                           579.4

$                           353.4

$                        2,048.0

$                        1,675.1

(1) Synopsys manages the business on a long-term, annual basis, and considers quarterly fluctuations of revenue and profitability as normal elements of our
business. Amounts may not foot due to rounding.

(2) Synopsys' fourth quarter of fiscal year 2023 and 2022 ended on October 28, 2023 and October 29, 2022, respectively. For presentation purposes, we refer to
the closest calendar month end.

(3) These segments results are consistent with the information required by ASC 280, Segment Reporting. Synopsys' chief operating decision maker (CODM) is
our Chief Executive Officer. The CODM does not allocate certain operating expenses managed at a consolidated level to our reportable segments and, as a result,
the reported operating income and operating margin do not include these unallocated expenses as shown in the table above.

(4) The adjustment includes non-GAAP expenses attributable to non-controlling interest and redeemable non-controlling interest.

(5) The adjustment excludes the gains from the mark-up of a cost method investment to fair value upon obtaining control through the acquisition recorded in other
income (expense).