WILSONVILLE, OR – Mentor Graphics’ integrated system design sales were up about 33% in the software company’s latest quarter, continuing a year-long trend.

ISD product revenue grew 45% in the first quarter and 40% last year, noted chairman and CEO Wally Rhines on an Aug. 18 conference call with analysts.

ISD includes printed circuit board design, simulation and FPGA synthesis tools.

The growth helped boost Mentor to record second-quarter sales. However, Rhines added, while system design has been a lucrative market in recent quarters, the second half will be “highlighted” by design-to-silicon products.

Also, the company did not raise its full-year revenue guidance, although president Greg Hinckley reiterated that the company sees “no slowing in EDA spending.”

Semiconductor foundries are positioning to bring a large amount of 28-nanometer capacity online in late 2012, Rhines predicted, noting increased capital equipment spending by that sector over the past two years. He said that will in turn accelerate design activity and reduce in wafer prices, which in turn accelerates redesign.