Responds to Requests for Comment by InvestorsLANCASTER, Calif.–(BUSINESS WIRE)–Simulations Plus, Inc. (Nasdaq: SLP – News), a leading provider of software for pharmaceutical discovery and development, today provided an update on the company’s operations and financial status in response to numerous investor requests in light of the current stock price.
Walt Woltosz, chairman and chief executive officer of Simulations Plus, said: “It is not our policy to issue press releases in response to market fluctuations. However, the recent market activity has prompted a significant number of investors to contact the company requesting a public comment, so we are making an exception at this time.
“First, let me say that there is no adverse event or condition within the company that has precipitated the recent Simulations Plus’ stock price decline. We continue to aggressively pursue our growth strategies which include the acquisitions we have mentioned in earlier public statements and major updates to three of our pharmaceutical software products: GastroPlus™, ADMET Predictor™, and ClassPharmer™. The updates to these three programs, which continue to be the leading software of their kind in the industry, are on schedule and include significant capability enhancements. Simulations Plus is a growing company with proprietary technologies that serve the pharmaceutical industry where we believe growth opportunities abound. The application of simulation and modeling technologies in the pharmaceutical industry is decades behind other industries, and this provides the opportunity for us to fill what we believe is a severe unmet need.”
Ms. Momoko Beran, chief financial officer of Simulations Plus, added: “Although second quarter results will not be reported until April, I can say at this time, in spite of the large software reorder that was received in the first quarter of this year rather than in the second quarter as it was last year, our pharmaceutical software and services revenues and the company’s total revenues made up for a large portion of that order. As a result, for the first six months, revenues are ahead of last year’s first six months. Final numbers will be provided in the quarterly report which we expect to be released not later than April 14. The company’s cash has now increased to over $5.5 million and of course, we remain debt-free. We have hired a tax consultant and preliminary indications are that we may have overestimated our tax burden for this year, and that we may recover tax credits from previous years, although there can be no assurances at this time that either will materialize.”