Simulations Plus Q1 revenue beats expectations

Simulations Plus

08/01/2026 21:14

Overview

Drug development firm's fiscal Q1 revenue decreased 3%, beating analyst expectations

Adjusted EPS for fiscal Q1 met analyst expectations

Company reaffirmed fiscal 2026 guidance and plans Investor Day for new product vision

Outlook

Simulations Plus reaffirms fiscal 2026 revenue guidance of $79 mln to $82 mln

Company expects fiscal 2026 adjusted diluted EPS of $1.03 to $1.10

Simulations Plus anticipates fiscal 2026 adjusted EBITDA margin of 26% to 30%

Result Drivers

SERVICES GROWTH - Significant growth in commercialization offerings and modest gains in development projects drove services revenue increase

SOFTWARE DECLINE - Expected decrease in clinical operations and development revenue contributed to software revenue decline

MARKET DYNAMICS - Favorable market dynamics and strong bookings in software and services support confidence in fiscal year guidance

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Revenue
Beat
$18.40 mln
$18.10 mln (6 Analysts)
Q1 Adjusted EPS
Meet
$0.13
$0.13 (2 Analysts)
Q1 Net Income
$700,000
Q1 Adjusted EBITDA
$3.50 mln
Q1 Gross Margin
59.00%


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 4 "strong buy" or "buy", 3 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the advanced medical equipment & technology peer group is "buy"

Wall Street's median 12-month price target for Simulations Plus Inc is $22.50, about 18.5% above its January 7 closing price of $18.99

The stock recently traded at 23 times the next 12-month earnings vs. a P/E of 37 three months ago

Press Release: ID:nBw5GNmYMa

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(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.)