The strong quarter was overshadowed by a significant guidance cut due to tax headwinds. Monitor next quarter's tax rate and client spending trends to assess if the guidance reduction is temporary or structural.
Price Chart
Executive Summary
Simulations Plus reported Q2 FY26 revenue of $24.3M (+8% YoY) and GAAP EPS of $0.22, missing consensus by 6%. While revenue and adjusted EBITDA beat expectations, the company lowered its full-year adjusted EPS guidance to $0.75–$0.85 from $1.03–$1.10 due to a higher expected tax rate. This guidance cut outweighs the positive quarter, making the filing bearish.
Key Financial Metrics
Key Facts
- Q2 revenue was $24.3M (+8% YoY), above consensus of $20.9M
- GAAP EPS was $0.22, missing consensus of $0.23
- Adjusted EBITDA was $8.7M, above consensus of $6.6M
- Full-year adjusted EPS guidance was lowered to $0.75–$0.85 from $1.03–$1.10 due to higher expected tax rate
- Software revenue grew 9% to $14.6M, services revenue grew 8% to $9.7M
Financial Impact
Adjusted EPS guidance lowered by 23-32% due to higher expected tax rate
Risk Factors
- Increased effective tax rate could pressure future profitability
- Software revenue growth remains volatile and below historical averages
Market Snapshot
Investment Themes
Documents Analyzed
This report is based on 7 SEC documents filed with EDGAR.
| Document | Accession Number |
|---|---|
| 8-K Filing (Primary) | 0001023459-26-000013 |
| Document: slp-20260409.htm | 0001023459-26-000013 |
| Document: slpearningscalldeck262.htm | 0001023459-26-000013 |
| Document: 0001023459-26-000013-index-headers.html | 0001023459-26-000013 |
| Document: 0001023459-26-000013-index.html | 0001023459-26-000013 |
| Document: 0001023459-26-000013.txt | 0001023459-26-000013 |
| 8-K Data (Synthetic) | 0001023459-26-000013 |
Filters
| Type | Now | ||||
|---|---|---|---|---|---|
Oct 16, 2026 11d ago | 15-12G | — | awaiting T+1 | — | — |
Oct 8, 2026 19d ago | EFFECT | $18.50 | awaiting T+1 | — | — |
Oct 6, 2026 21d ago | 8-K | $18.50 | awaiting T+1 | — | — |
Oct 6, 2026 21d ago | 25-NSE | $18.50 | awaiting T+1 | — | — |
Aug 21, 2026 9w ago | DEFA14A | $18.40 $18.40 | · 0.00% | ▲ +0.29% | — |
Aug 13, 2026 10w ago | 8-K | $18.35 $18.36 | ▲ +0.05% | ▲ +0.53% | — |
Jul 22, 2026 13w ago | DEFM14A | $18.33 $18.34 | ▲ +0.05% | ▼ −0.05% | — |
Jul 9, 2026 15w ago | PREM14A | $18.24 $18.25 | ▲ +0.05% | ▲ +0.82% | — |
Jun 16, 2026 19w ago | 8-K | $18.24 $18.25 | ▲ +0.05% | ▲ +1.30% | — |
Jun 14, 2026 19w ago | Institutional Cluster | $16.37 $18.24 | ▲ +11.42% | ▲ +12.02% | — |
US Market Status
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