Simulations Plus Reports Preliminary Revenues for Second Fiscal Quarter FY2014

Division: PBPK

Simulations Plus, Inc. (NASDAQ: SLP), a leading provider of consulting services and software for pharmaceutical discovery and development, today released preliminary revenues for its second fiscal quarter of fiscal year 2014, ended February 28, 2014 (2QFY14).

In accordance with our policy to release timely financial information to our shareholders, we are releasing preliminary revenues for 2QFY14. Net income will not be known until income taxes have been determined and our auditors review our Quarterly Report on Form 10-Q. We expect to file our 10-Q with the U.S. Securities and Exchange Commission on or before the April 15, 2014 deadline.

Preliminary results for the quarter:

  • This was the Company’s 26th consecutive profitable quarter
  • Preliminary revenues decreased slightly to $3.081 million, compared to $3.118 million in 2QFY13, this represents a decrease of 1.2% over 2QFY13
  • Preliminary revenues for the six months ending Feb. 28, 2014 were $5.723 million, an increase of 5.8% vs. the comparable period in 2013
  • Approximately 18.2% of 2QFY14 revenues came from new software licenses
  • Approximately 2.9% of 2QFY14 revenues came from consulting studies and collaborations
  • Cash as of February 28, 2014 was $9.7 million after a dividend distribution of approximately $800,000 was made on February 24, 2014
  • Cash today is $9.9 million

John DiBella, vice president for marketing and sales of Simulations Plus, said: “This was a productive quarter for us, as we experienced strong sales to new clients, including several large companies outside of the pharmaceutical market. We also continued our penetration of the Asian and Indian territories, regions that represent growth opportunities for Simulations Plus. This progress was offset by a major customer deciding to move a global renewal order that had been received in the second fiscal quarter last year to the third fiscal quarter this year in order to synchronize with their internal budget timelines. This renewal, coupled with a consulting study contract from another client that was delayed by their legal review process, totaled approximately $350,000. These contracts are now expected to provide a nice boost to our 3QFY14 revenues. If both of these were recognized in the second quarter, revenue would have increased more than 10%.”