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Certara (MX:CERT)
:CERT
Mexico Market
EarningsQ2 2026 Earnings Report

Certara (CERT) Q2 2026 Earnings Report

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MX:CERT Q2 2026 EPS Results

Actual EPS$1.36
Consensus EPS$1.52
Beat/MissMissed by -$0.15
One Year Ago EPS$1.19

MX:CERT Q2 2026 Revenue Results

Actual Revenue$1.59B
Expected Revenue$1.67B
Beat/MissMissed by -$82.04M
YoY Revenue Growth-10.81%

Earnings Announcement Details

QuarterQ2 2026
Date08/04/2026
TimeBefore Open
Conference CallTuesday, August 4, 2026
MX:CERT Upcoming Earnings
Certara's next earnings date is estimated for November 11, 2026, based on past reporting schedules.

Q2 2026 Earnings Call Audio

MX:CERT Q2 2026 Earnings Call
0:00 / 0:00

Q2 2026 Earnings Slide Deck

Q2 2026 Earnings Call Summary

Q2 2026
Earnings Call Date:Aug 04, 2026|
% Change Since:
|
Earnings Call Sentiment|Neutral
The call presented a balanced picture: clear, measurable momentum in software, AI integration and product/scientific leadership (strong bookings growth in software, pipeline expansion, cloud wins, regulatory engagement and scientific publications), alongside near-term financial and operational headwinds (service revenue declines, modest overall revenue growth, margin impact from divestiture-related stranded costs, and a GAAP net loss). Management has taken decisive operational actions (RIF, product reprioritization, new CCO, $13M run-rate savings) and is bullish on mid-term growth, but execution risk remains in converting a larger services pipeline and realizing cost savings. On balance the results are cautiously constructive but not yet a decisive turnaround in overall financial performance.
Company Guidance
Certara reaffirmed full‑year 2026 revenue guidance of 0%–4% growth, which management says equates to $367M–$382M on a continuing‑operations basis, with software expected to be at or above the high end of that range and services at or below the low end; full‑year adjusted EBITDA margin is guided to 29%–31% (revised from 30%–32%), adjusted diluted EPS from continuing operations is $0.31–$0.36, fully diluted shares 155M–157M and an effective tax rate of ~30%. The company is targeting roughly $13M of run‑rate cost savings (after a RIF affecting ~5% of employees), finished Q2 with $184.1M cash, $294M term‑loan borrowings and $100M revolver availability, completed a $100M repurchase program (Q2 repurchases $17.4M) and has a new $50M buyback authorization, and noted the May divestiture of the regulatory/medical‑writing business (which contributed $19.2M revenue and ~$7.5M adjusted EBITDA through May and roughly $17M adjusted EBITDA in 2025) as the primary driver of the change in margin guidance.
Modest Top-Line Growth with Software Momentum
Total revenue for Q2 2026 was $93.3M, up 1% year-over-year. Software revenue grew 4% to $48.8M and now represents 53% of the business (versus 40% two years ago). Software bookings for the quarter increased 9% to $50.7M and trailing 12-month software bookings rose 8% to $196.4M.
Bookings and Trailing Bookings Expansion
Total bookings in Q2 were $98.3M, up 1% YoY; trailing 12-month total bookings increased 3% to $405.4M. Normalizing for the Chemaxon acquisition, trailing 12-month bookings grew 7% exiting H1 (vs 0.8% exiting 2025).
Strengthening Pipeline and Leading Indicators
Pipeline grew approximately 27% year-over-year exiting the quarter, a leading indicator expected to convert into back-half revenue growth. Service book-to-bill was 1.07, indicating modest services demand relative to billings.
Operational Actions to Improve Margin and Focus
Executed a ~5% reduction in force (mainly overhead) and other operational excellence steps expected to yield approximately $13M of run-rate savings, enabling reinvestment into innovation and AI.
AI and Product Innovation Driving Customer Value
Accelerated AI adoption across the business: up to 85% of new code is AI-assisted, a 65% YoY increase in development rate per engineer, agents cutting cycle times by up to 90% in areas like legal/IT, and agentic workflows accelerating certain scientific service tasks by up to 80%.
Commercial and Scientific Achievements
Certara served >2,600 customers in 70+ countries with ~160,000 daily software users. All 13 novel therapies approved by the FDA in the quarter came from Certara clients. The company produced 62 peer-reviewed publications in the quarter, demonstrating strong scientific leadership.
Cloud & Geographic Wins
Phoenix pharmacometrics platform secured 30 cloud implementations year-to-date. First major Simcyp win in China and expanded engagements in the Middle East and Japan, signaling international expansion opportunities.
Capital Allocation and Balance Sheet Actions
Ended the quarter with $184.1M cash. Completed $17.4M of repurchases to finish a $100M program and the Board approved a new $50M buyback. Term loan borrowings were $294M with $100M availability on the revolver.

MX:CERT Earnings History

Report Date
Fiscal Quarter
Forecast / EPS
Last Year's EPS
EPS YoY Change
Press Release
Nov 11, 2026
2026 (Q3)
1.52 / -
2.385
2026 (Q2)
1.52 / 1.36
1.19214.29% (+0.17)
2026 (Q1)
1.81 / 1.53
2.385-35.71% (-0.85)
2025 (Q4)
1.91 / 1.53
2.555-40.00% (-1.02)
2025 (Q3)
1.94 / 2.38
2.2147.69% (+0.17)
2025 (Q2)
1.70 / 1.19
1.1920.00% (0.00)
2025 (Q1)
1.92 / 2.38
1.70340.00% (+0.68)
2024 (Q4)
2.10 / 2.56
1.53366.67% (+1.02)
2024 (Q3)
1.84 / 2.21
1.87418.18% (+0.34)
2024 (Q2)
1.75 / 1.19
2.044-41.67% (-0.85)
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed