Core Viewpoint - Certara Inc. is a significant entity in the Medical - Biomedical and Genetics industry, focusing on software and services that expedite drug development. The company has received an "Outperform" rating from Leerink Partners, indicating a positive outlook for investors [1][5]. Financial Performance - The recent earnings report indicated a quarterly earnings per share (EPS) of $0.09, which was below the Zacks Consensus Estimate of $0.11, resulting in a negative surprise of 20.57%. This EPS also represents a decline from $0.15 in the same quarter last year [2][5]. - Certara reported quarterly revenue of $103.65 million for the period ending December 2025, slightly exceeding the Zacks Consensus Estimate by 0.41%. This revenue reflects an increase from $100.36 million reported in the same quarter of the previous year [3][5]. Stock Performance - Certara's stock is currently trading at $6.61, showing a minor increase of 0.23% or $0.015. The stock has fluctuated between a low of $6.04 and a high of $6.66 on the same day. Over the past year, the stock reached a high of $15.38 and a low of $6.04 [4]. - The company has a market capitalization of approximately $1.05 billion, with a trading volume of 2,780,555 shares [4].

Core Insights - Certara's tools and scientific teams are well-positioned to benefit from market trends, with a strong foundation of 430 PhDs and MDs, over 2,600 customers, and 23 agencies utilizing its technologies. However, the company has not yet translated its credibility into growth that matches the market opportunity, facing challenges such as market acceptance and internal execution issues [1][2][3] Financial Performance - In Q4 2025, Certara reported revenue of $103.6 million, a 3% increase year-over-year, while full-year revenue reached $418.8 million, up 9%. Software revenue for the year was $183.3 million, reflecting an 18% increase, although Q4 software bookings fell 6% to $56.1 million due to customer reprioritizations and execution challenges [5][10][11][12] - Adjusted EBITDA for Q4 was $32.5 million, with a margin of 31%. For the full year, adjusted EBITDA totaled $134.5 million, maintaining a margin of 32% [15][16] 2026 Guidance - For 2026, Certara anticipates revenue growth to be flat to up 4%, with an adjusted EBITDA margin of 30% to 32%. The company expects weaker margins in the first half due to ongoing R&D investments, with improvements anticipated later in the year [4][17][18] - The company is focusing on a narrower product portfolio, deeper customer engagement, and cost discipline, identifying approximately $10 million in cost avoidance relative to the initial 2026 plan [6][8][21] Strategic Initiatives - New CEO Jon Resnick is implementing an operational reset that includes a more focused corporate strategy, enhanced customer engagement, and leveraging AI for efficiency improvements [6][7][21] - Certara is conducting a strategic review of its regulatory writing and operations business, with plans to provide updates soon [21][22] Market Environment - The market is increasingly receptive to computational and model-informed approaches, with drug developers looking to reduce costs and timelines while meeting evolving regulatory requirements [2][22]

Financial Data and Key Metrics Changes - Total revenue for Q4 2025 was $103.6 million, representing a year-over-year growth of 3% on a reported basis and 2% on a constant currency basis [18] - For the full year 2025, total revenue was $418.8 million, reflecting a year-over-year growth of 9% on a reported basis and 8% on a constant currency basis [18] - Adjusted EBITDA for Q4 2025 was $32.5 million, a decrease from $33.5 million in Q4 2024, with an adjusted EBITDA margin of 31% [23] - Net loss for Q4 2025 was $5.9 million, compared to net income of $6.6 million in Q4 2024 [24] - Adjusted diluted earnings per share for Q4 2025 was $0.09, down from $0.15 in the same quarter last year [25] Business Line Data and Key Metrics Changes - Software revenue in Q4 2025 was $46.4 million, up 10% year-over-year, driven by MIDD software and Pinnacle 21 [19] - Services revenue for Q4 2025 was $57.3 million, down 1% year-over-year [21] - Software bookings in Q4 2025 were $56.1 million, down 6% from the prior year period [20] - MIDD services bookings saw double-digit growth in Q4, led by Tiers 2 and 3 [22] Market Data and Key Metrics Changes - The pharmaceutical industry is spending over $200 billion annually on drug development, with timelines extending to 10-15 years [7] - Certara has over 2,600 customers and 23 regulatory agencies using its technologies [9] Company Strategy and Development Direction - The company aims to sharpen operations, focus investments, and execute with greater discipline to capture market opportunities [6] - Certara plans to enhance AI integration and focus on core R&D technologies and model-informed drug development (MIDD) [15] - The company is undergoing a strategic review of its regulatory writing and operations business to maximize long-term shareholder value [13] Management's Comments on Operating Environment and Future Outlook - Management expects flat to low single-digit revenue growth for 2026, reflecting market conditions and planned operational improvements [16] - The company believes it can achieve double-digit growth over time, contingent on improved execution and market acceptance of its technologies [9][31] - Management is optimistic about the strengthening market and better-than-expected spending commitments from customers [46] Other Important Information - Certara repurchased approximately 3.3 million shares for $43 million during 2025 [25] - The company has identified approximately $10 million in cost avoidance for 2026 compared to prior planning [23] Q&A Session Summary Question: What attracted you to Certara and how do you view its differentiation? - The new CEO sees Certara as an undervalued gem with significant growth potential, given its strong market position and regulatory relationships [31][33] Question: How does the platform approach factor into the customer-centric strategy? - The CEO emphasized the importance of serving existing users while also enhancing engagement at senior levels to drive innovation [35] Question: Can you break down the revenue guidance for 2026? - The guidance reflects low single-digit growth due to stable end markets and a deceleration in software bookings [42] Question: What are the opportunities for AI enablement? - AI is being actively embedded into core assets, with a focus on enhancing both product offerings and operational efficiency [54][56] Question: What are the lowest hanging fruit in revamping the commercial organization? - Immediate focus areas include pricing, customer centricity, and optimizing relationships with clients [60]

Financial Data and Key Metrics Changes - Total revenue for Q4 2025 was $103.6 million, representing a year-over-year growth of 3% on a reported basis and 2% on a constant currency basis [18] - For the full year 2025, total revenue was $418.8 million, reflecting a year-over-year growth of 9% on a reported basis and 8% on a constant currency basis [18] - Adjusted EBITDA for Q4 2025 was $32.5 million, a decrease from $33.5 million in Q4 2024, with an adjusted EBITDA margin of 31% [23] - Net loss for Q4 2025 was $5.9 million, compared to net income of $6.6 million in Q4 2024 [24] - Adjusted diluted earnings per share for Q4 2025 was $0.09, down from $0.15 in the same period last year [25] Business Line Data and Key Metrics Changes - Software revenue in Q4 2025 was $46.4 million, up 10% year-over-year, driven by MIDD software and Pinnacle 21 [19] - Services revenue for Q4 2025 was $57.3 million, down 1% year-over-year [21] - Software bookings in Q4 2025 were $56.1 million, down 6% from the prior year period [20] - MIDD services bookings saw double-digit growth in Q4, led by Tiers 2 and 3 [22] Market Data and Key Metrics Changes - The pharmaceutical industry is spending over $200 billion annually on drug development, with timelines extending to 10-15 years [7] - Certara has over 2,600 customers and 23 regulatory agencies using its technologies [9] Company Strategy and Development Direction - The company aims to sharpen operations, focus investments, and execute with greater discipline to capture market opportunities [6] - Certara plans to enhance AI integration and focus on core R&D technologies and model-informed drug development (MIDD) [15] - The company is undergoing a strategic review of its regulatory writing and operations business to maximize long-term shareholder value [13] Management's Comments on Operating Environment and Future Outlook - Management expressed that 2026 will be a transition year with guidance for flat to low single-digit revenue growth, reflecting market conditions and planned operational improvements [16] - The company believes it can achieve double-digit growth over time, although current guidance reflects a cautious outlook due to market dynamics [9][87] Other Important Information - Certara repurchased approximately 3.3 million shares for $43 million during 2025 [25] - The company has identified approximately $10 million in cost avoidance for 2026 compared to prior planning [23] Q&A Session Summary Question: What attracted you to Certara and how do you view its differentiation? - The new CEO highlighted the significant market opportunity and the company's strong track record, viewing it as an undervalued gem with potential for growth [31] Question: How does the platform approach factor into the customer-centric strategy? - The CEO emphasized that the strategy remains focused on serving existing users while enhancing engagement at senior levels to drive innovation [36] Question: Can you break down the revenue guidance for 2026? - Management indicated that the guidance reflects low single-digit growth due to services performance and software bookings deceleration [42] Question: What are the opportunities for AI enablement? - The CEO noted that AI is being embedded into core assets and is seen as a major change agent for both product and operational efficiency [54] Question: What is the outlook for the regulatory writing business? - The CEO mentioned that a strategic review is underway, with a resolution expected soon, as the business has been compressing year-over-year [68]

Financial Data and Key Metrics Changes - Total revenue for Q4 2025 was $103.6 million, representing a year-over-year growth of 3% on a reported basis and 2% on a constant currency basis [19] - For the full year 2025, total revenue was $418.8 million, reflecting a year-over-year growth of 9% on a reported basis and 8% on a constant currency basis [19] - Adjusted EBITDA for Q4 2025 was $32.5 million, a decrease from $33.5 million in Q4 2024, with an adjusted EBITDA margin of 31% [24] - Net loss for Q4 2025 was $5.9 million, compared to net income of $6.6 million in Q4 2024 [25] - Adjusted diluted earnings per share for Q4 2025 was $0.09, down from $0.15 in the same quarter last year [26] Business Line Data and Key Metrics Changes - Software revenue in Q4 2025 was $46.4 million, up 10% year-over-year, driven by MIDD software and Pinnacle 21 [20] - Services revenue for Q4 2025 was $57.3 million, down 1% year-over-year [22] - Software bookings in Q4 2025 were $56.1 million, down 6% from the prior year period [21] - MIDD services bookings saw double-digit growth in Q4, with growth led by Tiers 2 and 3 [23] Market Data and Key Metrics Changes - The pharmaceutical industry is spending over $200 billion annually on drug development, with timelines extending to 10-15 years [6] - Certara has over 2,600 customers and 23 regulatory agencies using its technologies [9] Company Strategy and Development Direction - The company aims to sharpen operations, focus investments, and execute with greater discipline to capture market opportunities [5] - Certara plans to enhance AI integration and focus on core R&D technologies and model-informed drug development (MIDD) [16] - The company is undergoing a strategic review of its regulatory writing and operations business to maximize long-term shareholder value [13] Management's Comments on Operating Environment and Future Outlook - Management expressed that 2026 will be a transition year with guidance for flat to low single-digit revenue growth, reflecting market conditions and planned operational improvements [17] - The company believes it can achieve double-digit growth over time, although it did not provide a specific timeline [90] Other Important Information - Certara repurchased approximately 3.3 million shares for $43 million during 2025 [26] - The company has identified approximately $10 million in cost avoidance for 2026 compared to prior planning [24] Q&A Session Questions and Answers Question: What attracted you to Certara and how do you view the differentiation of its software products? - The new CEO highlighted the compelling market opportunity and the strong track record of Certara's software products being deeply embedded in customer workflows [32][34] Question: How does the platform approach and cross-selling factor into the customer-centric strategy? - The CEO emphasized that the strategy remains focused on serving existing users while enhancing engagement at senior levels to drive innovation [38] Question: Can you break down the revenue guidance for 2026? - Management indicated that the guidance reflects low single-digit growth due to stable end markets and a deceleration in software bookings [43] Question: What are the opportunities for AI enablement? - AI is being actively embedded into core assets, with a focus on enhancing product functionality and improving operational efficiency [54][58] Question: What are the lowest hanging fruit in revamping the commercial organization? - The CEO mentioned optimizing customer relationships, pricing, and operational elements as immediate areas of focus [62]

分组1 - Certara, Inc. reported quarterly earnings of $0.09 per share, missing the Zacks Consensus Estimate of $0.11 per share, and down from $0.15 per share a year ago, representing an earnings surprise of -20.57% [1] - The company posted revenues of $103.65 million for the quarter ended December 2025, surpassing the Zacks Consensus Estimate by 0.41%, and up from $100.36 million year-over-year [2] - Certara shares have declined approximately 25.2% since the beginning of the year, contrasting with the S&P 500's gain of 1.5% [3] 分组2 - The earnings outlook for Certara is uncertain, with current consensus EPS estimates at $0.14 on revenues of $110.85 million for the upcoming quarter, and $0.52 on revenues of $449.31 million for the current fiscal year [7] - The Zacks Rank for Certara is currently 4 (Sell), indicating expected underperformance in the near future due to unfavorable estimate revisions prior to the earnings release [6] - The Medical - Biomedical and Genetics industry, to which Certara belongs, is currently ranked in the top 36% of over 250 Zacks industries, suggesting a favorable industry outlook [8]

February 26, 2026 Fourth Quarter & Full Year 2025 Financial Results Disclaimer Numerical figures in the presentation have been subject to rounding adjustments. Accordingly, numerical figures shown as totals in various tables may not be arithmetic aggregations of the figures that precede them. In addition, unless otherwise indicated, references to the "Company," "Certara," "we," "us," and "our" refer to Certara, Inc. and its consolidated subsidiaries. Trademarks and Service Marks The Certara design logo, "Ce ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 __________________________________ FORM 10-K (Mark One) x ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2025 OR o TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from _____to _____ Commission file number: 001-39799 Certara, Inc. (Exact name of registrant as specified in its ch ...

Exhibit 99.1 Certara Reports Fourth Quarter 2025 Financial Results; Provides Full Year 2026 Guidance FY 2025 Revenue of $418.8M (9% growth) and Adj. EBITDA of $134.5M (10% growth) Fourth Quarter Revenue of $103.6M (3% growth) and Adj. EBITDA of $32.5M (-3% decline) FY 2026 Revenue Growth of 0-4% FY 2026 Adjusted EBITDA Margin of 30-32% FY 2026 Adjusted Diluted EPS of $0.44-$0.48 RADNOR, PA— February 26, 2026-- Certara, Inc. (Nasdaq: CERT), a global leader in model-informed drug development, today reported i ...

Core Insights - Certara, Inc. reported FY 2025 revenue of $418.8 million, reflecting a 9% growth, and an Adjusted EBITDA of $134.5 million, marking a 10% growth [1] - The fourth quarter revenue was $103.6 million, showing a 3% growth year-over-year, while Adjusted EBITDA decreased by 3% to $32.5 million [1][5] - For FY 2026, the company anticipates revenue growth of 0-4%, an Adjusted EBITDA margin of 30-32%, and Adjusted diluted EPS in the range of $0.44-$0.48 [1][19] Financial Performance - Fourth quarter total revenue was $103.6 million, up from $100.4 million in Q4 2024, representing a 3% increase [5][13] - Software revenue for Q4 2025 was $46.4 million, a 10% increase from $42.3 million in Q4 2024, while services revenue was $57.3 million, down 1% from $58.1 million [5][13] - Total bookings for Q4 2025 reached $155.2 million, a 7% increase year-over-year, with software bookings at $56.1 million, down 6%, and services bookings at $99.1 million, up 17% [6][7][13] Operational Insights - The company experienced a net loss of $5.9 million in Q4 2025, compared to a net income of $6.6 million in Q4 2024, primarily due to higher operating expenses [10][12] - Adjusted net income for Q4 2025 was $14.9 million, down from $24.7 million in Q4 2024, with adjusted diluted EPS at $0.09 compared to $0.15 in the previous year [12][13] - Total operating expenses for Q4 2025 were $63.6 million, an increase of $7.5 million from $56.1 million in Q4 2024, driven by higher employee-related costs and professional expenses [9][13] Strategic Outlook - The new CEO, Jon Resnick, emphasized the need for strategic focus and innovation to capture market opportunities and drive sustainable growth in 2026 [3] - The company plans to enhance its product portfolio and commercial execution throughout 2026 to improve revenue growth [3][4] - Certara's technology and customer relationships are seen as strong foundations for long-term success in the AI-enabled biosimulation and drug development market [3]