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Simulations Plus Tops Quarter, Cuts 2026 EPS Outlook as Shares Slip

Regulatory moves favoring non‑animal testing signal steady demand for the company’s drug‑modeling tools.

Overview

  • Simulations Plus reported revenue of $24.29 million, up 8% and above the $21.67 million estimate, with adjusted EPS of $0.35 beating the $0.20 forecast.
  • Profitability improved as gross profit reached $16.1 million for a 66% margin and adjusted EBITDA was $8.7 million, equal to 36% of sales.
  • Software revenue rose 9% to $14.6 million and services grew 8% to $9.7 million, while bookings and renewals lifted the backlog by about 18%.
  • The company lowered its fiscal 2026 adjusted EPS outlook to $0.75–$0.85 from $1.03–$1.10 and kept its sales view at $79–$82 million, with an adjusted EBITDA margin target of 26%–30%.
  • Shares traded down about 1% to $12.82 after the update.