Synopsys (NASDAQ: SNPS), a company that makes specialty software used in the semiconductor industry, reported its fiscal year 2019 second-quarter results on Wednesday. Sales continue to grow at a moderate pace thanks to strength in its security and quality solutions product lines. Management was also able to boost margins modestly and buy back some stock. The combination helped drive a double-digit jump on the bottom line. The upbeat results also enabled the company to favorably tweak its guidance for the full year. That's pretty impressive given that the Trump administration recently decided to place the Chinese tech giant Huawei on an "Entity List," or a list of companies that can't buy U.S. tech products without the government's approval. That's bad news for Synopsys, because Huawei is one of its customers. Synopsys' fiscal 2019 second-quarter results: The raw numbers Metric Q2 2019 Q2 2018 Year-Over-Year Change Revenue $836 million $777 million 7.6% GAAP net income $118 million $103 million 15% GAAP earnings per share $0.77 $0.67 15% Data source: FormFactor. What happened with Synopsys this quarter? Semiconductor & System Design revenue -- which includes sales of electronic design automation tools, intellectual property products, system integration products, and services -- grew 6% to $753 million. Software Integrity revenue -- which includes sales of security and quality solutions products -- grew 23% to $83 million. Total revenue of $836 million landed in the middle of management's guidance range of $810 million to $850 million. GAAP EPS of $0.77 was at the high end of management's target range. Non-GAAP operating margin was 25%. On a non-GAAP basis, net income was $178.1 million, or $1.16 per share. That result exceeded the high end of management's guidance by $0.04. Stock buybacks totaled $100 million during the quarter. Cash balance was $631 million at quarter end. Total debt was $292 million. Image source: Getty Images. What management had to say CEO Aart de Geus was quite happy with the company's results: "Synopsys delivered an excellent second fiscal quarter, with record revenue and strength across both operating segments. We also continued returning capital to shareholders through an accelerated share repurchase." He also provided investors with some commentary about how the company is still able to thrive even with the recent escalation in the trade war: Whereas geopolitical tension has escalated, the overall customer environment for us is quite solid. Investments in sophisticated electronic content and the growing impact of AI in today's connected world are leading to an ever-increasing need for the Silicon to Software solutions that we provide. Check out Synopsys' latest earnings call. Looking ahead Management expects that the good times will continue to roll and shared upbeat guidance for the quarter ahead: Metric Q3 2019 Guidance Range Q3 2018 Actual Year-Over-Year Change at Midpoint Revenue $810 million to $850 million $780 million 6.4% GAAP EPS $0.60 to $0.83 $0.52 38% Non-GAAP EPS $1.07 to $1.12 $0.95 16% Data source: Synopsys. On the call with investors, CFO Trac Pham noted that the recent government decision to restrict sales of U.S. technology to Huawei adds a new layer of uncertainty to the company's annual revenue and profits targets. Management decided to widen its financial guidance range for the full year in response. However, even with the near-term headwind from Huawei, the company still was able to boost its revenue and non-GAAP EPS targets for the full fiscal year: Metric Old Guidance Range New Guidance Range Revenue $3.29 billion to $3.34 billion $3.29 billion to $3.35 billion GAAP EPS $3.19 to $3.32 $2.85 to $3.27 Non-GAAP EPS $4.20 to $4.27 $4.24 to $4.40 Data source: Synopsys. CFO Pham also restated that the company continues to target long-term revenue growth in high single digits and non-GAAP earnings growth in double digits. CEO Geus ended his prepared remarks on the conference call with Wall Street by stating that all of the company's long-term growth drivers remain firmly in place: The hunger for advanced technology, design tools, IP and security solutions is strong, creating a robust market opportunity. The growing impact of AI, 5G, Internet of Things and Big Data is profound and is driving substantial investment in new compute and machine learning architectures. Virtually all vertical markets are engaging with AI and the potential economic impact is forecast to be in the trillions of dollars. In addition to long-time semiconductor vendors, very large system companies and cloud providers are investing competitively, opening further opportunities for us. 10 stocks we like better than SynopsysWhen investing geniuses David and Tom Gardner have a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has quadrupled the market.* David and Tom just revealed what they believe are the ten best stocks for investors to buy right now... and Synopsys wasn't one of them! That's right -- they think these 10 stocks are even better buys. See the 10 stocks *Stock Advisor returns as of March 1, 2019Brian Feroldi has no position in any of the stocks mentioned. The Motley Fool recommends Synopsys. The Motley Fool has a disclosure policy.Source