Acquisition of Ansys (Tables)

9 Months Ended

Jul. 31, 2026

Business Combination, Asset Acquisition, Transaction between Entities under Common Control, and Joint Venture Formation [Abstract]

Schedule of Aggregate Purchase Consideration

The aggregate purchase consideration was allocated as follows:


	(in thousands)
Cash for outstanding Ansys Common Stock(1)	$	17,613,185
Fair value of Synopsys Common Stock issued for outstanding Ansys Common Stock(2)	17,105,538


Fair value of assumed Ansys equity awards attributable to pre-combination services(3)	130,963
Settlement of pre-existing relationships	8,794
Total purchase consideration	34,858,480
Less: cash acquired	(931,740)
Total purchase consideration, net of cash acquired	$	33,926,740
Allocations
Total current assets	$	902,619
Property and equipment	106,227
Goodwill	23,460,868
Intangible assets	12,990,000
Other long-term assets	263,919
Deferred revenue	(637,076)
Other current liabilities	(339,997)
Long-term deferred revenue	(34,070)
Long-term deferred tax liabilities	(2,618,474)
Other long-term liabilities	(167,276)
	$	33,926,740

(1) Represents the total cash paid to settle 88.1 million outstanding shares of Ansys Common Stock as of the Acquisition Date at $199.91 per share and for the settlement of fractional shares.

(2) Represents the fair value of 30.0 million shares of Synopsys Common Stock issued to settle 88.1 million outstanding shares of Ansys Common Stock. Synopsys issued 0.3399 of a share of Synopsys Common Stock for each Ansys share. The fair value of Synopsys Common Stock was $571.20 per share as of the Acquisition Date.

(3) Represents the fair value of assumed Ansys options and RSUs attributed to pre-combination services. See Note 15. Employee Benefit Plans of the Notes to Consolidated Financial Statements in our Annual Report for additional information.

Schedule of Unaudited Pro Forma Information

The following unaudited pro forma financial information presents combined results of operations for the period presented, as if Ansys had been acquired as of the beginning of fiscal year 2024.


	Three Months Ended July 31,		Nine Months Ended July 31,
	2025		2025
	(in thousands)
Pro forma total revenue	$	2,290,354	$	6,666,029
Pro forma net income	$	214,539	$	294,183

Schedule of Fair Value and Weighted Average Useful Life of Intangible Assets

The fair value and weighted average useful life of the Ansys intangible assets were as follows:


	Fair value		Useful Lives
	(in thousands)		(in years)
Core/developed technology(1)	$	6,500,000	6 - 9
Customer relationships(2)	5,100,000		9
Contract rights intangible(3)	440,000		2
Trademarks and trade names(4)	950,000		23
Total identified intangible assets	$	12,990,000

(1) Core/developed technology was identified from the products of Ansys and its fair value was determined using the relief-from-royalty method under the income approach. The relief-from-royalty method applies a royalty rate to projected income to quantify the benefit of owning the intangible asset rather than paying a royalty for use of the asset. The discount rate was determined at the time of measurement based on an analysis of the implied internal rate of return of the transaction, weighted-average cost of capital, and weighted-average return on assets. The economic useful life was determined based on the technology cycle related to each developed technology, as well as the cash-flows over the forecast period.

(2) Customer relationships represent the fair value of future projected revenue that will be derived from sales of products to existing Ansys customers. The fair value was determined using the multi-period excess earnings method under the income approach, which involves isolating the net earnings attributable to the asset being measured based on present value of the incremental after-tax cash flows (excess earnings) attributable solely to the intangible asset over its remaining useful life. The economic useful life was determined based on historical customer turnover rates and the useful life of developed technology.

(3) Contract rights intangible, which represents contracted but unsatisfied or partially unsatisfied performance obligations, primarily relates to the dollar value of purchase arrangements with customers. The fair value was determined using the multi-period excess earnings method under the income approach. The economic useful life is based on the time to fulfill the outstanding order backlog obligation.

(4) Trademarks and trade names refers to Ansys brand assets. The fair value was determined by applying the relief-from-royalty method under the income approach. This method is based on the application of a royalty rate to forecasted revenue attributable to Ansys brand assets. The economic useful life was determined based on the expected usage period of the brand assets and the anticipated cash flows over the forecast period.