Certara (CERT) Q4 2025 earnings summary

Executive summary

• FY 2025 revenue reached $418.8M, up 9% year-over-year, with adjusted EBITDA of $134.5M, up 10%.

• Q4 2025 revenue was $103.6M, a 3% increase year-over-year; adjusted EBITDA was $32.5M, down 3%.

• Net loss for Q4 2025 was $5.9M, compared to net income of $6.6M in Q4 2024.

• Jon Resnick was appointed CEO effective January 1, 2026, bringing over 30 years of experience.

• Strategic priorities include operational improvements, AI integration, and customer-centric strategies.

Financial highlights

• FY 2025 GAAP revenue grew 9% year-over-year to $418.8M; Q4 2025 revenue was $103.6M, up 3%.

• FY 2025 adjusted EBITDA was $134.5M (32% margin), up 10% year-over-year.

• Q4 software revenue grew 10% year-over-year to $46.4M; full-year software revenue was $183.3M, up 18%.

• Q4 services revenue was $57.3M, down 1% year-over-year; full-year services revenue was $235.6M, up 3%.

• Repurchased 3.3M shares for $43M in 2025; ended year with $189.4M in cash.

Outlook and guidance

• FY 2026 revenue growth expected in the range of 0–4%.

• Adjusted EBITDA margin projected at 30–32% for FY 2026, with margin lower in H1 and improving in H2.

• Adjusted diluted EPS for FY 2026 expected between $0.44 and $0.48.

• Fully diluted shares forecasted at 160–162 million; effective tax rate modeled at 30%.

• Q1 2026 expected at the low end of revenue range due to tough comparison; acceleration anticipated in later quarters.