Cadence Design Systems Inc., balance sheet: debt

US$ in thousands

	Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Revolving credit facility	—)	—)	100,000)	—)	—)
Current portion of long-term debt	—)	349,285)	—)	—)	—)
Long-term debt, excluding current portion	2,476,183)	299,771)	648,078)	347,588)	346,793)
Total outstanding debt (carrying amount)	2,476,183)	649,056)	748,078)	347,588)	346,793)

Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).

The analyzed debt data reveals notable changes in the company's debt structure over the five-year period.

Revolving Credit Facility: This category shows an entry only in 2023, amounting to $100 million, indicating the initiation or reporting of this credit facility in that year. There is no recorded usage or reporting of this facility before or after 2023 within the available data.
Current Portion of Long-term Debt: A value is reported solely for 2023, at approximately $349.3 million, signifying the amount of long-term debt due within that year. The absence of data in other years suggests either non-reporting or no current portion classified separately in those periods.
Long-term Debt, Excluding Current Portion: The long-term debt excluding the current portion remained relatively stable between 2020 and 2021, valued around $347 million. It nearly doubled in 2022, rising to approximately $648 million, then decreased significantly in 2023 to around $300 million. In 2024, there is a substantial increase to over $2.4 billion, a dramatic rise relative to previous years, indicating possibly new long-term financing or debt restructuring.
Total Outstanding Debt (Carrying Amount): Total debt stayed steady at about $347 million in the first two years (2020 and 2021), increased notably in 2022 to $748 million, and then declined to roughly $649 million in 2023. In 2024, total debt surged sharply to over $2.4 billion, mirroring the pattern observed in the long-term debt excluding the current portion and indicating an overall significant increase in the company's debt liabilities.

Overall, the debt profile indicates a period of relative stability in 2020 and 2021, followed by a phase of increased leverage in 2022, a reduction in 2023 associated with current debt recognition and new revolving credit facility reporting, and a substantial escalation in total and long-term debt by 2024. This suggests strategic adjustments in debt management, possibly for financing growth, acquisitions, or other capital-intensive activities.

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	Dec 31, 2024
Selected Financial Data (US$ in thousands)
Revolving Credit Facility	—)
2024 Notes	—)
2025 Term Loan	—)
2027 Notes	495,000)
2029 Notes	980,000)
2034 Notes	960,000)
Total outstanding debt (fair value)	2,435,000)
Financial Ratio
Debt, fair value to carrying amount ratio	0.98

Based on: 10-K (reporting date: 2024-12-31).

Weighted-average interest rate on debt: 4.44%

Interest rate	Debt amount¹	Interest rate × Debt amount
4.20%	496,794)	20,865)
4.30%	990,334)	42,584)
4.70%	989,055)	46,486)
Total	2,476,183)	109,935)
4.44%

Based on: 10-K (reporting date: 2024-12-31).

¹ US$ in thousands

² Weighted-average interest rate = 100 × 109,935 ÷ 2,476,183 = 4.44%

Cadence Design Systems Inc. (NASDAQ:CDNS)

Analysis of Debt

Total Debt (Carrying Amount)

Total Debt (Fair Value)

Weighted-average Interest Rate on Debt