PART I — FINANCIAL INFORMATION [Item 1. Financial Statements](index=3&type=section&id=Item%201.%20Financial%20Statements) This section presents the unaudited condensed consolidated financial statements for the periods ended June 30, 2024, and 2023 It includes the balance sheets, statements of operations, comprehensive income, shareholders' equity, and cash flows, along with detailed notes explaining the basis of presentation, accounting policies, and specific account details such as revenue by therapeutic area and related party transactions [Condensed Consolidated Balance Sheets](index=4&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) As of June 30, 2024, the company's total assets grew to $1.92 billion from $1.66 billion at year-end 2023, primarily driven by a more than doubling of cash and cash equivalents to $510.9 million Total liabilities increased modestly to $1.16 billion, while total shareholders' equity saw significant growth to $763.6 million from $559.0 million over the same period Condensed Consolidated Balance Sheet Highlights (in thousands) | Account | June 30, 2024 | December 31, 2023 | | :--- | :--- | :--- | | **Total Assets** | **$1,920,048** | **$1,656,828** | | Cash and cash equivalents | $510,894 | $245,449 | | Total current assets | $872,523 | $593,828 | | **Total Liabilities** | **$1,156,449** | **$1,097,878** | | Advanced billings | $638,417 | $559,860 | | **Total Shareholders' Equity** | **$763,599** | **$558,950** | [Condensed Consolidated Statements of Operations](index=5&type=section&id=Condensed%20Consolidated%20Statements%20of%20Operations) The company demonstrated strong year-over-year growth For the second quarter of 2024, net revenue increased 14.6% to $528.1 million, and net income rose 44.7% to $88.4 million For the first six months, net revenue grew 16.1% to $1.04 billion, with net income up 42.5% to $190.9 million Diluted EPS for Q2 2024 was $2.75, up from $1.93 in Q2 2023 Statement of Operations Summary (in thousands, except per share data) | Metric | Q2 2024 | Q2 2023 | YTD 2024 | YTD 2023 | | :--- | :--- | :--- | :--- | :--- | | **Revenue, net** | **$528,104** | **$460,868** | **$1,039,148** | **$894,942** | | Income from operations | $105,150 | $78,393 | $209,219 | $164,597 | | **Net income** | **$88,351** | **$61,068** | **$190,942** | **$133,962** | | Diluted EPS | $2.75 | $1.93 | $5.96 | $4.20 | [Condensed Consolidated Statements of Comprehensive Income](index=6&type=section&id=Condensed%20Consolidated%20Statements%20of%20Comprehensive%20Income) For the second quarter of 2024, comprehensive income was $87.8 million, slightly below the net income of $88.4 million due to a $0.5 million loss from foreign currency translation adjustments For the six-month period, comprehensive income was $188.4 million, impacted by a $2.5 million foreign currency translation loss Comprehensive Income (in thousands) | Metric | Q2 2024 | Q2 2023 | YTD 2024 | YTD 2023 | | :--- | :--- | :--- | :--- | :--- | | Net income | $88,351 | $61,068 | $190,942 | $133,962 | | Foreign currency translation adjustments | ($548) | $120 | ($2,517) | $1,198 | | **Comprehensive income** | **$87,803** | **$61,188** | **$188,425** | **$135,160** | [Condensed Consolidated Statements of Shareholders' Equity](index=7&type=section&id=Condensed%20Consolidated%20Statements%20of%20Shareholders%27%20Equity) Shareholders' equity increased from $559.0 million at December 31, 2023, to $763.6 million as of June 30, 2024 This growth was primarily driven by net income of $190.9 million recognized during the first six months of 2024 - Total shareholders' equity grew to **$763.6 million** at June 30, 2024, from **$559.0 million** at December 31, 2023[13](index=13&type=chunk) - The increase was mainly due to **$190.9 million** in net income for the first six months of 2024, which significantly reduced the accumulated deficit[13](index=13&type=chunk) [Condensed Consolidated Statements of Cash Flows](index=8&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) For the six months ended June 30, 2024, net cash from operating activities was $269.1 million, a significant increase from $162.6 million in the prior-year period, mainly due to higher net income and a large increase in advanced billings The company ended the period with $510.9 million in cash and cash equivalents, up from $245.4 million at the start of the year Cash Flow Summary for Six Months Ended June 30 (in thousands) | Cash Flow Activity | 2024 | 2023 | | :--- | :--- | :--- | | Net cash provided by operating activities | $269,074 | $162,594 | | Net cash used in investing activities | ($10,260) | ($17,970) | | Net cash provided by (used in) financing activities | $8,326 | ($134,893) | | **Increase in cash** | **$265,445** | **$10,873** | | **Cash at end of period** | **$510,894** | **$39,138** | [Notes to Condensed Consolidated Financial Statements](index=9&type=section&id=Notes%20to%20Condensed%20Consolidated%20Financial%20Statements) The notes detail the company's business as a global clinical research organization and key accounting items Notable points include no share repurchases in H1 2024, with $308.8 million remaining authorized Remaining performance obligations (backlog) stood at $3.2 billion Revenue is disaggregated by therapeutic area, with Oncology being the largest contributor at $163.0 million for Q2 2024 Significant related-party transactions for services and leases are also disclosed - The company did not execute any share repurchases during the first six months of 2024 As of June 30, 2024, **$308.8 million** remains authorized under the repurchase program[19](index=19&type=chunk) - As of June 30, 2024, the Company had approximately **$3.2 billion** of performance obligations remaining to be performed for active projects[34](index=34&type=chunk) Revenue by Therapeutic Area (in thousands) | Therapeutic Area | Q2 2024 | Q2 2023 | YTD 2024 | YTD 2023 | | :--- | :--- | :--- | :--- | :--- | | Oncology | $162,952 | $147,089 | $318,150 | $289,040 | | Other | $112,432 | $101,055 | $220,832 | $188,159 | | Metabolic | $106,302 | $87,860 | $209,941 | $174,700 | | Cardiology | $60,699 | $51,130 | $116,336 | $97,747 | | Central Nervous System | $46,519 | $37,726 | $90,655 | $76,423 | | AVAI | $39,200 | $36,008 | $83,234 | $68,873 | [Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations](index=19&type=section&id=Item%202.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management reports strong financial performance, with Q2 2024 revenue up 14.6% YoY to $528.1 million, driven by broad-based growth in key therapeutic areas Net new business awards were $551.0 million for the quarter, contributing to a 13.7% YoY increase in backlog to $2.92 billion The company's liquidity is robust, with cash increasing to $510.9 million and no outstanding debt Operating income grew significantly due to revenue growth outpacing the increase in direct and SG&A costs Key Performance Metrics (in millions) | Metric | Q2 2024 | Q2 2023 | YTD 2024 | YTD 2023 | | :--- | :--- | :--- | :--- | :--- | | Net New Business Awards | $551.0 | $574.8 | $1,166.5 | $1,130.6 | - Backlog increased by **13.7%** to **$2,924.9 million** as of June 30, 2024, compared to **$2,571.9 million** as of June 30, 2023[79](index=79&type=chunk) - The increase in revenue for Q2 and H1 2024 was **broad-based**, primarily driven by growth within the Metabolic, Oncology, and Other uncategorized therapeutic areas[85](index=85&type=chunk) - The company's **liquidity remains strong**, with cash and cash equivalents of **$510.9 million** and **no indebtedness** as of June 30, 2024[92](index=92&type=chunk)[104](index=104&type=chunk) [Item 3. Quantitative and Qualitative Disclosures About Market Risk](index=26&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The company states that there have been no material changes to its quantitative and qualitative disclosures about market risk compared to those described in its Annual Report on Form 10-K for the fiscal year ended December 31, 2023 - There have been **no material changes** to the company's market risk disclosures since the 2023 Annual Report on Form 10-K[108](index=108&type=chunk) [Item 4. Controls and Procedures](index=26&type=section&id=Item%204.%20Controls%20and%20Procedures) Based on an evaluation conducted by management, including the CEO and CFO, the company's disclosure controls and procedures were deemed effective as of June 30, 2024 There were no material changes in internal control over financial reporting during the quarter - Management concluded that **disclosure controls and procedures were effective** as of the end of the reporting period, providing reasonable assurance that required information is recorded and reported in a timely manner[110](index=110&type=chunk) - **No changes occurred** in the company's internal control over financial reporting during the second quarter of 2024 that have materially affected, or are reasonably likely to materially affect, these controls[112](index=112&type=chunk) PART II — OTHER INFORMATION [Item 1. Legal Proceedings](index=27&type=section&id=Item%201.%20Legal%20Proceedings) The company is party to various legal proceedings incidental to its business Management does not believe the resolution of these matters is reasonably likely to have a material adverse effect on its financial statements - Ongoing legal proceedings are considered incidental to business and are **not expected to have a material adverse effect** on the company's financial condition[113](index=113&type=chunk) [Item 1A. Risk Factors](index=27&type=section&id=Item%201A.%20Risk%20Factors) The company reports no significant changes from the risk factors that were previously disclosed in its Annual Report on Form 10-K for the fiscal year ended December 31, 2023 - There have been **no significant changes** from the risk factors disclosed in the company's 2023 Annual Report on Form 10-K[114](index=114&type=chunk) [Item 2. Unregistered Sales of Equity Securities and Use of Proceeds](index=27&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) This item is reported as 'Not applicable,' indicating no unregistered sales of equity securities or specific use of proceeds from registered securities during the reporting period - This section is marked as **'Not applicable'**[115](index=115&type=chunk) [Item 3. Defaults Upon Senior Securities](index=27&type=section&id=Item%203.%20Defaults%20Upon%20Senior%20Securities) The company reports 'None,' indicating there were no defaults upon senior securities during the period - The company reports **'None'** for this item[116](index=116&type=chunk) [Item 4. Mine Safety Disclosures](index=27&type=section&id=Item%204.%20Mine%20Safety%20Disclosures) This item is reported as 'Not applicable' - This section is marked as **'Not applicable'**[117](index=117&type=chunk) [Item 5. Other Information](index=27&type=section&id=Item%205.%20Other%20Information) This section discloses trading arrangements by company officers CEO August J Troendle adopted, modified, and then terminated a non-Rule 10b5-1 plan to sell up to 190,000 shares Executive Vice President Susan E Burwig adopted a non-Rule 10b5-1 plan to sell up to 7,681 shares - CEO August J. Troendle adopted a non-Rule 10b5-1 trading plan on April 25, 2024, to sell up to **190,000 shares**, modified the price limit on May 22, and terminated the plan on May 30, 2024[119](index=119&type=chunk)[120](index=120&type=chunk)[121](index=121&type=chunk) - Executive VP of Operations, Susan E. Burwig, adopted a non-Rule 10b5-1 trading plan on June 5, 2024, to sell up to **7,681 shares**[119](index=119&type=chunk)[121](index=121&type=chunk) [Item 6. Exhibits](index=28&type=section&id=Item%206.%20Exhibits) This section provides an index of the exhibits filed or furnished as part of the quarterly report Key exhibits include the Restated Certificate of Incorporation, CEO and CFO certifications (Rule 13a-14(a) and Section 1350), and Inline XBRL documents - The report includes an **index of all exhibits filed**, such as corporate governance documents, officer certifications, and interactive data files (XBRL)[122](index=122&type=chunk)[125](index=125&type=chunk)

| --- | --- | |-------|-------| | | | | | | | | | This presentation contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. All statements contained in this presentation that do not relate to matters of historical fact should be considered forward-looking statements, including without limitation, statements regarding our forecasted financial results and the effective tax rate used for non-GAAP adjustment purposes. In this context, forward-looking state ...

2024 Financial Guidance To participate in the conference call, interested parties must register in advance by clicking on this link. While it is not required, it is recommended you join 10 minutes prior to the event start. Upon registration, all telephone participants will receive a confirmation email detailing how to join the conference call, including the dial-in number along with a unique PIN that can be used to access the call. Forward-Looking Statements These and other important factors discussed under ...

During the first quarter of 2024, Medpace witnessed a robust revenue uptick year over year on the back of a strong backlog conversion rate. Its net new business awards were also strong during the period. We expect the company to have continued to register strong backlog addition in the second quarter. On its first-quarter earnings call in April, the company projected backlog conversion of approximately $1.56 billion to revenues in 12 months. This is likely to have reflected in the second-quarter result. Cen ...

The stock has a great record of positive earnings surprises, as it hasn't missed our earnings consensus estimate in any of the last four quarters. In its last earnings report on April 22, 2024, Medpace reported EPS of $3.2 versus consensus estimate of $2.45 while it missed the consensus revenue estimate by 0.33%. Medpace may be at a 52-week high right now, but what might the future hold for the stock? A key aspect of this question is taking a look at valuation metrics in order to determine if the company is ...

In the latest market close, Medpace (MEDP) reached $443, with a +1.84% movement compared to the previous day. The stock exceeded the S&P 500, which registered a gain of 0.55% for the day. Meanwhile, the Dow experienced a rise of 0.62%, and the technology-dominated Nasdaq saw an increase of 0.63%. Coming into today, shares of the provider of outsourced clinical development services had gained 10.38% in the past month. In that same time, the Medical sector gained 0.19%, while the S&P 500 gained 4.28%. Market ...

Medpace (MEDP) appears an attractive pick, as it has been recently upgraded to a Zacks Rank #1 (Strong Buy). This rating change essentially reflects an upward trend in earnings estimates -- one of the most powerful forces impacting stock prices. The sole determinant of the Zacks rating is a company's changing earnings picture. The Zacks Consensus Estimate -- the consensus of EPS estimates from the sell-side analysts covering the stock -- for the current and following years is tracked by the system. The Zack ...

Have you been paying attention to shares of Medpace (MEDP) ? Shares have been on the move with the stock up 10% over the past month. The stock hit a new 52-week high of $424.49 in the previous session. Medpace has gained 38.4% since the start of the year compared to the 5.9% move for the Zacks Medical sector and the 5.4% return for the Zacks Medical Services industry. For the current fiscal year, Medpace is expected to post earnings of $11.28 per share on $2.17 billion in revenues. This represents a 27.14% ...

The most recent trading session ended with Medpace (MEDP) standing at $405.33, reflecting a -0.53% shift from the previouse trading day's closing. This move lagged the S&P 500's daily gain of 0.16%. Elsewhere, the Dow gained 0.04%, while the tech-heavy Nasdaq added 0.49%. The investment community will be closely monitoring the performance of Medpace in its forthcoming earnings report. The company is forecasted to report an EPS of $2.52, showcasing a 30.57% upward movement from the corresponding quarter of t ...

The investment community will be paying close attention to the earnings performance of Medpace in its upcoming release. The company is expected to report EPS of $2.52, up 30.57% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $529.73 million, up 14.94% from the year-ago period. Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. Investors can capitalize on this by using the Z ...