Slide 1: Earnings Call - Q3 - FY22
1 | NASDAQ: SLP July 6, 2022 1 Earnings Call - Q3 - FY22
Slide 2: Safe Harbor Statement
2 | NASDAQ: SLP With the exception of historical information, the matters discussed in this presentation are forward- looking statements that involve a number of risks and uncertainties. Words like “believe,” “expect” and “anticipate” mean that these are our best estimates as of this writing, but th
Slide 3: Third Quarter Highlights
3 | NASDAQ: SLP • Strong Q3 Performance ▪ Continued double-digit software performance (16% growth) ▪ Service returns to growth (19%) ◦ Demonstrated scientific leadership ▪ New software releases ▪ Key pharma and regulatory collaborations ▪ 2nd annual MIDD conference 11% Diluted EPS Growth 17% Revenue
Slide 4: Third Quarter Software Highlights
4 | NASDAQ: SLP GastroPlus® MonolixSuite® +8% ◦ 10 new commercial customers ◦ Continued focus on expansion of geographic coverage Third Quarter Software Highlights +19% • 6 new commercial customers • 14 upsells • 16 peer reviewed journal articles published in Q3 ADMET Predictor® ◦ ADMET Predictor® v
Slide 5: Third Quarter Services Highlights
5 | NASDAQ: SLP Third Quarter Services Highlights PKPD • Good 1H bookings contributes to 40% increase in projects in Q3 • Rising utilization and project pricing yields QSP/QST • Good Q2 bookings commenced project activity in Q3, but expected to more fully impact future quarters PBPK ◦ Accelerating d
Slide 6: FY22 Outlook
6 | NASDAQ: SLP FY22 Outlook Growth Targets: 12% to 15% Total Revenue Growth 55% to 60% Software Revenue % of Total Revenue 40% to 45% Service Revenue % of Total Revenue Commentary: ◦ Software business continues to deliver strong momentum. ◦ Services business normalizing and long- term outlook remai
Slide 7: Financial Results
7 | NASDAQ: SLP Financial Results
Slide 8: Revenue - Q3
8 | NASDAQ: SLP Q4 Revenue (in millions) (in millions) Software RevenueTotal Revenue Services Revenue Revenue - Q3 +17% +16% +19% 3Q22 Mix 3Q21 Mix
Slide 9: Revenue - YTD
9 | NASDAQ: SLP Q4 Revenue (in millions) Software RevenueTotal Revenue Services Revenue +15% +20% +8% Revenue – YTD FY22 Mix FY21 Mix (in millions)
Slide 10: Gross Margin Trends - Q3
10 | NASDAQ: SLP Gross Margin Trends - Q3
Slide 11: Gross Margin Trends – YTD
11 | NASDAQ: SLP Gross Margin Trends – YTD
Slide 12: Software Revenue by Product
12 | NASDAQ: SLP Software Product as % of Software Revenue Q3 FY22 Other YTD FY22 Other Software Revenue by Product
Slide 13: Software Performance Metrics - Q3
13 | NASDAQ: SLP Avg. Revenue per Customer (in thousands) Software Performance Metrics - Q3 Commercial Customers Renewal Rates
Slide 14: Software Performance Metrics – YTD
14 | NASDAQ: SLP Avg. Revenue per Customer (in thousands) Renewal Rates Software Performance Metrics – YTD Commercial Customers University+ Customers: 190 in 49 countries
Slide 15: Services Revenue by Type
15 | NASDAQ: SLP Software Product as % of Software Revenue Q3 FY22 YTD FY22 Services Revenue by Type PKPD QSP/QST PBPK Other PKPD QSP/QST PBPK Other
Slide 16: Services Performance Metrics: Backlog and Total Projects
16 | NASDAQ: SLP Backlog Services Performance Metrics Total Projects
Slide 17: Income Statement Summary - Q3
17 | NASDAQ: SLP Income Statement Summary - Q3 (in millions, except EPS) 3Q22 % of Rev 3Q21 % of Rev Revenue $15.0 100% $12.8 100% Revenue Growth 17% 4% Gross profit 12.4 83% 10.3 81% R&D 0.7 4% 0.7 5% SG&A 6.8 45% 5.1 40% Total operating expense 7.5 50% 5.8 45% Income from operations 4.9 33% 4.5 36
Slide 18: Income Statement Summary – YTD
18 | NASDAQ: SLP Income Statement Summary – YTD (in millions, except EPS) 3Q22 % of Rev 3Q21 % of Rev Revenue $42.2 100% $36.6 100% Revenue Growth 15% 14% Gross profit 34.0 81% 28.8 79% R&D 2.4 6% 2.8 8% SG&A 17.4 41% 15.0 41% Total operating expense 19.8 47% 17.7 48% Income from operations 14.2 34%
Slide 19: Balance Sheet Summary
19 | NASDAQ: SLP Balance Sheet Summary (in millions) May 31, 2022 August 31, 2021 Cash and short-term investments $122.5 $123.6 Total current assets 144.9 139.3 Total assets 186.2 180.0 Current liabilities 5.9 11.6 Long-term liabilities 2.7 2.6 Total liabilities 8.7 14.2 Shareholders’ equity 177.6 1
Slide 20: Conclusion
20 | NASDAQ: SLP Conclusion • Industry adoption of model informed drug development tools and techniques continues to expand • Scientific credibility with academia and regulatory agencies • Software business with accelerated revenue growth rates and expanded product functionality • Services business