SYNOPSYS, INC.

Business Segment Reporting ^(1)(2)(5)

(in millions)

Three Months Ended
July 31, 2024

Three Months Ended
July 31, 2023

Nine Months Ended
July 31, 2024

Nine Months Ended
July 31, 2023

Revenue by segment

- Design Automation

$                        1,062.6

$                        1,004.2

$                        3,103.0

$                        2,821.5

% of Total

69.6 %

74.1 %

69.1 %

73.3 %

- Design IP

$                           463.1

$                           350.2

$                        1,388.5

$                        1,029.1

% of Total

30.4 %

25.9 %

30.9 %

26.7 %

Adjusted operating income by segment

- Design Automation

$                           440.9

$                           410.0

$                        1,218.6

$                        1,102.8

- Design IP

$                           169.7

$                             82.8

$                           540.2

$                           277.7

Adjusted operating margin by segment

- Design Automation

41.5 %

40.8 %

39.3 %

39.1 %

- Design IP

36.7 %

23.6 %

38.9 %

27.0 %

Total Adjusted Segment Operating Income Reconciliation ^(1)(2)(5)

(in millions)

Three Months Ended
July 31, 2024

Three Months Ended
July 31, 2023

Nine Months Ended
July 31, 2024

Nine Months Ended
July 31, 2023

GAAP total operating income – as reported

$                           360.2

$                           300.1

$                        1,044.9

$                           849.1

Other expenses managed at consolidated level

-Amortization of acquired intangible assets ⁽³⁾

18.6

13.0

53.3

38.6

-Stock-based compensation ⁽³⁾

164.4

131.5

492.6

384.5

-Non-qualified deferred compensation plan

25.8

21.5

76.3

44.1

-Acquisition/divestiture related items ⁽⁴⁾

41.7

4.8

91.8

9.8

-Restructuring charges

—

21.9

—

54.4

Total adjusted segment operating income

$                           610.6

$                           492.8

$                        1,758.8

$                        1,380.5

(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' third quarter of fiscal year 2024 and 2023 ended on August 3, 2024 and July 29, 2023, respectively. For presentation purposes, we refer to
the closest calendar month end. The first quarter of fiscal year 2024 included one extra week.

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

(4) The adjustment excludes the amortization of bridge financing costs entered into in connection with the pending acquisition of Ansys, that was
recorded in interest and other income (expense), net in our unaudited condensed consolidated statements of income.

(5) Presented on a continuing operations basis.