Slide 1: Q1FY2020 Investor Conference Call
Q1FY2020 Investor Conference Call Shawn O’Connor, CEO John Kneisel, CFO January 9, 2020 (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: Steady and Consistent Revenue Growth
Steady and Consistent Revenue Growth 3 Organic Revenue Growth accelerating to new 15 - 20% range $13.8 $14.9 $16.9 $18.5 $6.1 $9.2 $12.8 $15.5 $19.9 $24.1 $29.7 $34.0 2016 2017 2018 2019 12 Months Revenue $ in millions Software Consulting Key Highlights • Q1 FY2020 Financial Highlights – Revenue up
Slide 4: Simulations Plus Division (Lancaster)
Simulations Plus Division (Lancaster) 4 The genesis of the company… providing software, training and consulting services $13.6 $14.5 $15.7 $17.3 $0.9 $1.1 $1.8 $2.3 $14.5 $15.6 $17.5 $19.6 2016 2017 2018 2019 12 Months Revenue $ in millions Software Consulting Simulations Plus represented 52.5% of t
Slide 5: Cognigen Division (Buffalo)
Key Highlights • Q1 FY2020 Financial Highlights – Revenue up 16% for the quarter – 33 contracts and 15 new projects initiated during quarter – 18 proposals outstanding with 11 companies at the start of 2QFY20 • Operational Highlights – Efficient leadership transition – Recruited 5 new staff into con
Slide 6: DILIsym Division (RTP)
$1.0 $1.0 $3.3 $4.1 $4.3 $5.1 2018 2019 12 Months Revenue $ in millions Software Consulting DILIsym Division (RTP) 6 A leading provider of software products and services in QST and QSP Key Highlights • Q1 FY2020 Financial Highlights – Revenue up 88% for the quarter – Revenue breakdown: 61% DILIsym
Slide 7: Financial Results
Financial Results
Slide 8: Income Statement: 1QFY20 Versus 1QFY19
8 Income Statement: 1QFY20 Versus 1QFY19 (in millions) Lancaster Buffalo North Carolina 1Q20 1Q19 Diff % chg Net sales $ 4.9 $ 2.4 $ 2.1 $ 9.4 $ 7.5 $ 1.9 24.8% Gross profit $ 4.2 $ 1.1 $ 1.5 $ 6.8 $ 5.3 $ 1.4 26.7% Gross profit margin 84.9% 46.8% 69.9% 71.9% 70.8% 1.1% 1.5% SG&A $ 1.9 $ 1.0 $ 0.5 $
Slide 9: Consolidated Revenues: Fiscal Quarter
9 Consolidated Revenues: Fiscal Quarter ( in millions) $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 $9.9 $8.0 $9.4 $0 $1 $2 $3 $4 $5 $6 $7 $8 $9 $10 $11 Q1 Q2 Q3 Q4 2016 2017 2018 2019 2020
Slide 10: Consolidated Income from Operations: Fiscal Quarter
10 Consolidated Income from Operations: Fiscal Quarter (in millions) $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 $3.9 $2.0 $2.7 $0.0 $0.5 $1.0 $1.5 $2.0 $2.5 $3.0 $3.5 $4.0 $4.5 Q1 Q2 Q3 Q4 2016 2017 2018 2019 2020
Slide 11: Consolidated Net Income: Fiscal Quarter
$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 $2.9 $2.1 $2.1 $0.0 $0.5 $1.0 $1.5 $2.0 $2.5 $3.0 $3.5 $4.0 Q1 Q2 Q3 Q4 2016 2017 2018 2019 2020 $2.0 11 Note: 2Q18 $1.5M tax benefit of deferred tax adjustment Consolidated Net Income: Fiscal Quarter (in millions)
Slide 12: Consolidated Diluted Earnings Per Share: Fiscal Quarter
12 Consolidated Diluted Earnings Per Share: Fiscal Quarter $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 $0.16 $0.11 $0.11 $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 FY16 FY17 FY18 FY19 FY20 $0.11 Note: 2Q18 $0.08 tax benefit o
Slide 13: Consolidated EBITDA: Fiscal Quarter
13 Consolidated EBITDA: Fiscal Quarter (in millions) $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 $4.6 $2.7 $3.4 $0 $1 $2 $3 $4 $5 Q1 Q2 Q3 Q4 2016 2017 2018 2019 2020
Slide 14: Revenue by Region – First Quarter 2020
Revenue by Region – First Quarter 2020 Europe 16 % Americas 68 % Asia 16 % Japan = 50% Korea = 25% China = 20% Other = 5% 14 A global and diversified base of revenue
Slide 15: Cash Position Excellent
15 Cash Position Excellent (in millions) Accumulating Cash while funding Acquisitions and Dividends $0.9 $0.9 $0.9 $0.9 $1.0 $1.0 $1.0 $1.1 $1.1 $1.1 $1.1 $1.1 $1.1 $1.0 $5.0 $1.6 $1.0 $1.7 $8.8 $7.4 $8.2 $6.2 $7.0 $7.5 $7.2 $9.4 $9.4 $9.9 $10.3 $11.4 $12.6 $12.7 17.1 17.2 17.3 17.4 18.1 18.2 18.3 1
Slide 16: Selected Consolidated Balance Sheet Items
16 Selected Consolidated Balance Sheet Items (in millions, except where indicated) November 30, 2019 August 31, 2019 Cash and cash equivalents $ 12.6* $ 11.4 Cash per share ( in Dollars ) $ 0.72 $ 0.65 Total current assets 23.1 21.2 Total assets 47.8 45.2 Total current liabilities 5.6 4.8 Total liab
Slide 17: Products & Services, Consistent Financial Results and Dividends
1 Dividend ratio for FY2019; No assurances of future cash dividends can be made as the BOD makes its decision on a quarterly ba si s based on current financial condition and strategic plans. Products & Services Software Portfolio • Modeling & simulation platform for drug R&D • Predictive software fo
Slide 18: Thank you!
18 Thank you! https://www.linkedin.com/company/simulations - plus https://www.linkedin.com/company/cognigen https://www.linkedin.com/company/dilisym