Simulations Plus, Inc. · NASDAQ:SLP
Simulations Plus — Q2 FY2019 Earnings Presentation
20 slides from Simulations Plus's earnings presentation, Apr 10, 2019
Slide 1: Q2FY2019 Investor Conference Call
Q2FY2019 Investor Conference Call Shawn O’Connor, CEO John Kneisel, CFO April 9, 2019 (NASDAQ:SLP)
Slide 2: Safe Harbor Statement
2 With the exception of historical information, the matters discussed in this presentation are forward - looking statements that involve a number of risks and uncertainties . The actual results of the Company could differ significantly from those statements . Factors that could cause or contribute t
Slide 3: Highlights
Highlights • Revenue growth consistent with 10 - 15% annual outlook – 15% for the quarter and 11% YTD • Software business strong consistent growth • Consulting business picked up growth pace after slow 1 st quarter – Buffalo achieved 23% year over year revenue growth; highest growth quarter since 20
Slide 4: Steady and Consistent Revenue Growth
Steady and Consistent Revenue Growth 4 Nasdaq: SLP More than a decade of consistent revenue growth $6.7 $7.2 $8.0 $8.9 $3.3 $3.9 $6.4 $7.1 $10.0 $11.1 $14.4 $16.0 2016 2017 2018 2019 Six Months Revenue $ in millions Software Consulting Key Highlights • Q2 FY2019 Financial Highlights – Revenue up 15%
Slide 5: Simulations Plus Division (Lancaster)
Simulations Plus Division (Lancaster) 5 Nasdaq: SLP The genesis of the company… providing software, training and consulting services $6.6 $7.2 $7.5 $8.3 $0.5 $0.6 $1.0 $1.1 $7.1 $7.8 $8.5 $9.4 2016 2017 2018 2019 Six Months Revenue $ in millions Software Consulting Simulations Plus represented 59% o
Slide 6: Cognigen Division (Buffalo)
Cognigen Division (Buffalo) 6 Nasdaq: SLP A leading provider of population modeling and simulation services for the pharma and biotech industries $0.1 $0.1 $0.1 $0.1 $2.9 $3.3 $3.7 $4.3 $2.9 $3.4 $3.8 $4.4 2016 2017 2018 2019 Six Months Revenue $ in millions Software Consulting Key Highlights • Q2 F
Slide 7: DILIsym Division (RTP)
$0.4 $0.5 $1.7 $1.8 $2.1 $2.3 2018 2019 Six Months Revenue $ in millions Software Consulting DILIsym Division (RTP) 7 Nasdaq: SLP A leading provider of software products and services in QST and QSP Key Highlights • Q2 FY2019 Financial Highlights – Revenue up 25% yr / yr – Revenue breakdown: 44% DILI
Slide 8: Financial Results
Financial Results Nasdaq: SLP
Slide 9: Income Statement: 2QFY19 Versus 2QFY18
9 Income Statement: 2QFY19 Versus 2QFY18 (in millions) Lancaster Buffalo North Carolina FY19 FY18 Diff % chg Net sales $ 5.0 $ 2.3 $ 1.2 $ 8.5 $ 7.4 $ 1.1 15.2% Gross profit $ 4.2 $ 1.2 $ 0.9 $ 6.3 $ 5.2 $ 1.0 19.5% Gross profit margin 83.2% 54.0% 73.2% 73.9% 71.2% 2.7% 3.8% SG&A $ 1.6 $ 0.8 $ 0.4 $
Slide 10: Income Statement: 6MoFY19 Versus 6MoFY18
10 Income Statement: 6MoFY19 Versus 6MoFY18 (in millions) Lancaster Buffalo North Carolina FY19 FY18 Diff % chg Net sales $ 9.4 $ 4.4 $ 2.3 $ 16.0 $ 14.4 $ 1.6 11.0% Gross profit 7.7 2.3 1.6 11.6 10.6 1.0 9.7% Gross profit margin 82.2% 53.5% 68.5% 72.5% 73.3% - 0.8% - 1.1% SG&A $ 3.2 $ 1.6 $ 0.7 $ 5
Slide 11: Consolidated Revenues: Fiscal Quarter
11 Consolidated Revenues: Fiscal Quarter ( in millions) $4.0 $4.6 $5.9 $3.7 $4.8 $5.2 $6.0 $4.0 $5.4 $5.7 $6.8 $6.3 $7.1 $7.4 $8.6 $6.7 $7.5 $8.5 $0 $1 $2 $3 $4 $5 $6 $7 $8 $9 $10 Q1 Q2 Q3 Q4 2015 2016 2017 2018 2019
Slide 12: Consolidated Income from Operations: Fiscal Quarter
12 Consolidated Income from Operations: Fiscal Quarter (in millions) $0.7 $1.5 $2.9 $0.8 $1.7 $1.7 $2.8 $1.0 $1.9 $1.8 $3.1 $1.4 $2.6 $2.4 $3.4 $1.9 $2.1 $2.7 $0.0 $0.5 $1.0 $1.5 $2.0 $2.5 $3.0 $3.5 $4.0 Q1 Q2 Q3 Q4 2015 2016 2017 2018 2019
Slide 13: Consolidated Net Income: Fiscal Quarter
$0.5 $1.0 $1.9 $0.5 $1.1 $1.2 $1.9 $0.8 $1.4 $1.2 $2.1 $1.2 $1.7 $3.5 $2.4 $1.3 $1.5 $2.1 $0.0 $0.5 $1.0 $1.5 $2.0 $2.5 $3.0 $3.5 $4.0 Q1 Q2 Q3 Q4 2015 2016 2017 2018 2019 $2.0 13 Note: 2Q18 $1.5M tax benefit of deferred tax adjustment Consolidated Net Income: Fiscal Quarter (in millions)
Slide 14: Consolidated Diluted Earnings Per Share: Fiscal Quarter
14 Consolidated Diluted Earnings Per Share: Fiscal Quarter $0.03 $0.06 $0.11 $0.03 $0.06 $0.07 $0.11 $0.05 $0.08 $0.07 $0.12 $0.06 $0.10 $0.19 $0.13 $0.07 $0.09 $0.12 $0.00 $0.02 $0.04 $0.06 $0.08 $0.10 $0.12 $0.14 $0.16 $0.18 $0.20 Q1 Q2 Q3 Q4 FY15 FY16 FY17 FY18 FY19 $0.11 Note: 2Q18 $0.08 tax ben
Slide 15: Consolidated EBITDA: Fiscal Quarter
15 Consolidated EBITDA: Fiscal Quarter (in millions) $1.2 $2.0 $3.3 $1.2 $2.2 $2.2 $3.3 $1.5 $2.5 $2.3 $3.6 $2.0 $3.2 $3.1 $4.1 $2.6 $2.8 $3.4 $0 $1 $2 $3 $4 $5 Q1 Q2 Q3 Q4 2015 2016 2017 2018 2019
Slide 16: Revenue by Region – YTD 2019
Revenue by Region – YTD 2019 Nasdaq: SLP Europe 19% North America 62% Asia 19% South America <1% Japan = 54% India = 17% China = 23% Korea = 6% 16 A global and diversified base of revenue
Slide 17: Cash Position Remains Excellent
17 Cash Position Remains Excellent (in millions) Over $30 million cash paid out over last five FYs $0.8 $0.8 $0.8 $0.9 $0.9 $0.9 $0.9 $0.9 $0.9 $0.9 $0.9 $0.9 $1.0 $1.0 $1.0 $1.1 $1.1 $1.1 $2.1 $0.8 $0.7 $0.8 $1.0 $5.0 $5.1 $1.0 $5.8 $6.1 $6.4 $8.6 $7.2 $7.1 $8.8 $8.0 $8.8 $7.4 $8.2 $6.2 $7.0 $7.5 $
Slide 18: Selected Consolidated Balance Sheet Items
18 Selected Consolidated Balance Sheet Items (in millions, except where indicated) February 28, 2019 August 31, 2018 Cash and cash equivalents $ 9.9* $ 9.4* Cash per share ( in Dollars ) $ 0.57 $ 0.54 Total current assets 18.9 17.8 Total assets 43.4 43.3 Total current liabilities 5.1 4.8 Total liabi
Slide 19: Products & Services
Products & Services Software Portfolio • Modeling & simulation platform for drug R&D • Predictive software for >140 properties of chemical formulations • Analytical software for certain biological or disease states • Cloud - based web app for drug development lifecycle management Consulting Services
Slide 20: Thank you!
20 Thank you! http://www.simulations - plus.com https://www.linkedin.com/company/95827/ https://www.linkedin.com/company/46152/