Schrodinger Q1 revenue falls 2%, beats analyst estimates

Schrodinger

05/05/2026 21:23

Overview

US computational drug discovery firm's Q1 revenue fell 2% but beat analyst expectations

Software revenue dropped 21% due to accelerated transition to hosted licensing

Drug discovery revenue more than doubled, driven by collaboration portfolio progress

Outlook

Schrödinger maintains 2026 ACV guidance at $218 mln to $228 mln, up 10-15% over 2025

Company expects 2026 drug discovery revenue between $55 mln and $65 mln

Operating expenses for 2026 expected to be less than 2025

Result Drivers

ACV GROWTH - 12% ACV growth driven by usage scale-ups and new deployments, with ongoing transition to hosted licensing

DRUG DISCOVERY REVENUE - More than doubled due to accelerated recognition of deferred revenue and discontinuation of one collaboration program

SOFTWARE REVENUE DECLINE - 21% decrease attributed to planned accelerated transition to hosted software licensing

Company press release: ID:nBw7PRY61a

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Revenue
Beat
$58.59 mln
$48.003 mln (6 Analysts)
Q1 Net Income
-$60.03 mln
Q1 Gross Profit
$29.55 mln
Q1 Operating Expenses
$78.34 mln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 6 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the software peer group is "buy"

Wall Street's median 12-month price target for Schrodinger Inc is $20.00, about 55% above its May 4 closing price of $12.90

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)