Certara, Inc. Q3 2026 Earnings Recap

Certara’s shares rose 9.8% after earnings, as software growth reaccelerated to double digits and bookings increased 15%. The positive signal was tempered by services revenue declining 2% year over year and management’s view that the impact of its corrective actions will take time to show.

Key Takeaways

• Q3 revenue was $94.9 million, up 4% year over year on a continuing-operations basis; adjusted EBITDA rose 6% to $30.2 million, with a 31.8% margin.
• Software revenue grew 11% to $48.8 million, its first double-digit organic growth quarter in two years. Software bookings increased 15% to $46.9 million.
• Services revenue fell 2% to $46.1 million, though it grew 3.5% sequentially. Services bookings were $45.6 million, and trailing 12-month book-to-bill was 1.15.
• Management expects new AI capabilities to contribute further to growth and positioning in 2027; nearly 10% of Phoenix Cloud accounts have migrated to the cloud so far.