Simulations Plus, Inc.

Simulations Plus, Inc. Earnings Recaps

SLP Health Care 3 recaps
Q2 2026 Apr 10, 2026

Simulations Plus delivered a strong second quarter with 8% revenue growth to $24.3 million, supported by robust software and service segment performance, and maintained solid margins and client renewal rates.

Key takeaways
  • Total revenue rose 8%, driven by 9% software and 8% service segment growth, surpassing guidance.
  • Software revenue from ADMET Predictor grew 19%, reflecting ongoing strength in discovery applications.
  • Client base expanded to 297 with an average revenue per client of $124,000 and a renewal rate of 91% for the quarter.
  • The company is strategically leveraging AI, establishing collaborations with major pharmaceutical firms to embed AI into drug development workflows.
  • Despite near-term challenges in clinical operations revenue, the firm’s long-term positioning remains focused on durable scientific engines and AI-enhanced biosimulation solutions.
Full recap
Q1 2026 Jan 9, 2026

Simulations Plus reported a 3% decline in revenue for Q1 FY2026, reflecting anticipated market conditions, although its Services segment showed a strong 16% growth, contributing positively to overall performance.

Key takeaways
  • Total revenue decreased to $18.4 million, driven by a 17% decline in software revenue but offset by a 16% growth in Services revenue.
  • Adjusted EBITDA for the quarter was $3.5 million, with a consistent adjusted EPS of $0.13.
  • The company's average revenue per client was $97,000, with a solid 88% renewal rate.
  • Ending backlog increased by 18% to $20.4 million, indicating a robust pipeline of services projects.
  • Fiscal year 2026 revenue guidance maintained at $79 million to $82 million, projecting minimal growth amid a shifting market landscape.
Full recap
Q4 2025 Dec 2, 2025

Simulations Plus delivered strong fiscal 2025 results with a 13% increase in total revenue, while navigating a challenging market landscape. A strategic transition to a unified operating model is set to enhance operational capacity and responsiveness.

Key takeaways
  • Revenue for the fourth quarter decreased 6% to $17.5 million, attributed to external market pressures.
  • Full-year adjusted EBITDA and EPS both increased by 8%, reflecting operational resilience despite significant industry headwinds.
  • The successful transition to a unified operating model positions the company for accelerated growth, capitalizing on the increasing adoption of biosimulation tools in R&D environments.
  • Customer engagement is improving, as evidenced by increased proposal activity and a strong 88% renewal rate for the fiscal year.
  • Continued investment in AI-driven solutions and cloud capabilities to enhance product offerings and support long-term demand in the biopharma sector.
Full recap