Certara (CERT) investor relations material

Executive summary

• Q3 continuing-operations revenue rose 4% YoY to $94.9M, led by software growth; Adjusted EBITDA increased 6% to $30.2M.

• Continuing-operations net loss narrowed to $3.6M from $4.8M; Q3 consolidated net income was $5.6M, including $9.2M from discontinued operations.

• Management cited software momentum and initial benefits from operating actions; 2026 is tracking in line with expectations.

Financial highlights

• Q3 revenue was $94.9M vs. $90.9M; Adjusted EBITDA was $30.2M vs. $28.6M, and adjusted diluted EPS was $0.09 in both periods.

• Adjusted net income was $13.5M vs. $13.8M; diluted loss per share from continuing operations improved to $0.02 from $0.03.

• Nine-month revenue rose 3% to $282.3M; continuing-operations net loss widened to $21.5M from $1.8M, and Adjusted EBITDA was $83.1M vs. $84.0M.

• Q3 cost of revenues fell 6% to $31.4M; operating expenses were $61.1M, including $4.8M in reorganization, severance and executive recruiting costs.

• Q3 G&A expense rose 11% to $27.0M; nine-month G&A increased 29% to $77.8M, partly due to contingent consideration and reorganization costs.

Outlook and guidance

• FY2026 continuing-operations revenue growth guidance narrowed to 2%–3%; software growth is expected above the range and services at or below its low end.

• FY2026 Adjusted EBITDA margin guidance remains 29%–31%; the range is considered appropriate for Q4. Q3 margin was 31.8%, with Q4 subject to mix and timing.

• FY2026 adjusted diluted EPS guidance is $0.31–$0.34, based on 155M–157M diluted weighted-average shares and a 25%–30% effective tax rate.

• Guidance covers continuing operations and excludes the divested Regulatory and Medical Writing business; forward adjusted measures were not reconciled to GAAP.

• APAC expansion and new AI capabilities are expected to support growth and positioning in 2027; no 2027 guidance was issued.