MOUNTAIN VIEW, Calif. (AP) — Synopsys Inc., which makes software used to test and develop chips, on Wednesday said its fiscal fourth-quarter profit leaped 57 percent, as sales increased while expenses where checked. The company also announced plans to acquire Magma Design Automation Inc., which makes chip design software.

For the three months ended Oct. 31, Synopsys said it earned $39.9 million, or 27 cents per share, compared with $25.4 million, or 17 cents per share, in the year-ago quarter. The per-share results reflect a 3 percent drop in the number of outstanding shares.

Excluding special items, Synopsis said adjusted earnings came to 45 cents per share.

Revenue rose 26 percent to $390.5 million, from $375.5 million last year.

Analysts, on average, were expecting adjusted profit of 45 cents per share, on revenue of $390.5 million, according to data provided by FactSet.

For the full fiscal year, the company said profit slipped 7 percent to $221.4 million, or $1.47 per share, from $237.1 million, or $1.56 per share last year. Revenue rose 11 percent to $1.54 billion, from $1.38 billion last year.

Looking ahead. Synopsis forecast first-quarter adjusted earnings per share of 51 cents to 53 cents on revenue of $412 million to $420 million. For the full year, the company expects to earn $1.93 to $1.99 per share, adjusted, on revenue of $1.64 billion to $1.67 billion.

Analysts forecast earnings per share of 47 cents for the quarter and $1.99 for the year, with revenue of $390.9 million in the quarter and $1.65 billion in fiscal 2012.

Separately, Synopsys said it will buy Magma Design Automation Inc. for $7.35 per share, a premium of 29 percent over the stock's closing price. Net of cash and acquired debt, the transaction value will be about $507 million, the companies said. Synopsys said it would fund the buyout with a combination of cash and debt, with specifics still to be determined.

San Jose, Calif.-based Magma posted a net loss of $3.3 million, or 5 cents per share, for its fiscal year ended May 1, and a net loss of $101,000, or break even per share, for its fiscal first quarter ended July 31. It is due to report its second-quarter results on Thursday.

Both boards have approved the acquisition, which will be voted on by Magma shareholders and requires regulatory approval. The deal is expected to close during the second quarter of 2012.

Synopsys shares rose 68 cents to $28.65 in aftermarket trading, after closing the regular Wednesday session up 93 cents, or 3.4 percent, at $27.97.

Magma shares jumped $1.50, or 26 percent, to $7.22 in late trading, after closing the regular session up 3 percent at $5.72. Over the past year, the stock has traded between $4.03 and $8.49.