Simulations Plus, Inc. · NASDAQ:SLP
Simulations Plus — Investor Presentation (February 2022)
23 slides from Simulations Plus's investor presentation, February 2022
Slide 1: Investor Presentation
Investor Presentation NASDAQ: SLP February 2022 1 | NASDAQ: SLP 1
Slide 2: Safe Harbor Statement
Safe Harbor Statement With the exception of historical information, the matters discussed in this presentation are forward-looking statements that involve a number of risks and uncertainties. The actual results of the Company could differ significantly from those statements. Factors that could cause
Slide 3: About Us
About Us 1996 >145 >10 yrs Founded Employees Profit/rev growth >250 >90% >70 >1300 Clients Client Retention Scientific PhDs Publications Leading provider of modeling and simulation software and services used by major pharmaceutical, biotech, and regulatory agencies worldwide to make better model-inf
Slide 4: Investment Highlights
Investment Highlights Leader in software and services for the drug discovery, development, and regulatory approval process Low market penetration + share gain opportunity in large and growing market Double-digit revenue growth with strong operating leverage Accretive M&A Strategy 4 | NASDAQ: SLP
Slide 5: Our Markets
Our Markets Key Drivers $176B³ +3%³ 1. Acceptance & increasing adoption of MIDD Annual Pharma Annual Growth technology by industry & regulators R&D Spend (est.) 2. Pharma spend rates continue to grow with large allocation towards Biosimulation $2B+⁴ 12-15% 3. Biosimulation growing at 4-5X total R&D
Slide 6: Drug Development Challenges
Drug Development Challenges Avg. cost of $2B and 10+ years to bring a drug to market 1 How does the drug move Lead How is it supposed Pharmacology through the body? Selection to work? ADMET Treatment What candidates? DMPK Regimen How is it administered? Clinical What is the desired effect? Efficacy
Slide 7: Our Value Proposition
Our Value Proposition We create value for our customers by accelerating & reducing the cost of R&D through innovative, science-based software & consulting solutions that optimize treatment options and improve patient lives. Streamlines processes & Improves new drug candidate replaces trial & error w
Slide 8: How We Help – Software and Services
How We Help – Software and Services Software Most comprehensive & widely recognized tools for MIDD Ongoing development & reinvestment incorporates latest science & ensures seamless UX Services Operational efficiencies that lead to accurate/timely decision making & regulatory reporting Therapeutic, m
Slide 9: Solutions Span Drug Development Process
Solutions Span Drug Development Process Guiding the path between M&S and pharma R&D Cheminformatics AI ML PBPK/PBBM Pharmacometrics Other Software QSP/QST Consulting Services & Regulatory Interactions 9 | NASDAQ: SLP
Slide 10: PBPK Software Solutions and AI Data Mining
PBPK Software Solutions and AI Data Mining Lead Selection Pharmacology Software Services PBPK/PBBM Preclinical Regulatory ADMET Treatment DMPK Consulting Regimen Clinical Safety Efficacy 10 | NASDAQ: SLP
Slide 11: QSP/QST Solutions
QSP/QST Solutions Lead Pharmacology Selection Software Services QSP Consulting QST Consulting ADMET Treatment DMPK Regimen Clinical Safety Efficacy 11 | NASDAQ: SLP
Slide 12: Pharmacometrics Solutions
Pharmacometrics Solutions Lead Pharmacology Software Selection Services Pharmacometrics Clinical Pharmacology ADMET Treatment Clinical Regulatory DMPK Regimen Consulting Clinical Safety Efficacy 12 | NASDAQ: SLP
Slide 13: Growth Opportunities & Capital Allocation
Growth Opportunities & Capital Allocation Market Low Consolidate Product Gaps, Substantial Growth + Regional Penetration Rates Take Share Fragmented Market Adjacencies & Extensions Runway for Expansion Growth ➢ Increasing acceptance by industry & FDA ➢ Fill gaps in the current product offerings, exp
Slide 14: Environmental, Social, and Governance (ESG)
Environmental, Social, and Governance (ESG) Strategic priorities that form the foundation of our sustainability framework and highlights 1 4 14 | NASDAQ: SLP
Slide 15: Financials
Financials 1 5 15 | NASDAQ: SLP
Slide 16: Q1 FY22 Highlights
Q1 FY22 Highlights +16% +25% 42% Revenue Diluted EPS Adj. EBITDA Growth Growth Margin* 96% +31% SW Renewal Backlog Growth Rates ➢Strong momentum to begin year ➢Bus. Dev. efforts paying off ➢ Continued Strong Software ➢Demonstrated Scientific leadership Performance ➢ New software releases ➢ Service B
Slide 17: First Quarter FY22 Revenue
Q4 Revenue (in millions) First Quarter FY22 Revenue (in $M) 1Q22 Mix Software Services $12.4 41% +16% $9.4 $10.7 $5.0 59% Total Revenue Growth $4.5 $4.8 Software Services $6.2 $7.4 1Q21 Mix $4.6 42% 58% 1Q20 1Q21 1Q22 +19% +13% Software Services Software Services Revenue Growth Revenue Growth 17 | N
Slide 18: Q1 FY22 Revenue Breakdown
Q1 FY22 Revenue Breakdown Software Mix Services Mix 54% PKPD 46% 21% QSP/QST 29% 20% PBPK 17% Other 5% Other 8% 18 | NASDAQ: SLP
Slide 19: Services Performance Metrics
Services Performance Metrics Q1 Services Performance Metrics Total Projects Backlog 186 $15 33 $14 $12 125 126 15 64 42 41 22 27 12 56 58 67 1Q20 1Q21 1Q22 1Q20 1Q21 1Q22 PKPD QSP/QST PBPK Other Backlog (in $M) 19 | NASDAQ: SLP
Slide 20: Summary
Summary Leader in software and services for the drug discovery, development, and regulatory approval process Low market penetration + share gain opportunity in large and growing market Double-digit revenue growth with strong operating leverage Accretive M&A Strategy 20 | NASDAQ: SLP
Slide 21: Thank you!
Thank you! Investor Relations Contacts: Brian Siegel Managing Director Hayden IR +1-346-396-8696 [email protected] Renee Bouche Simulations Plus +1-661-723-7723 [email protected] Learn More! www.simulations-plus.com 21 | NASDAQ: SLP
Slide 22: References
References 1. Biopharmaceutical Research and Development: The Process Behind New Medicines. www.PhRMA.org, January 2012, Washington, US http://phrma docs.phrma.org/sites/default/files/pdf/rd_brochure_022307.pdf. 2. Brochure: “Biopharmaceutical Research & Development: The Process Behind New Medicines
Slide 23: Adjusted EBITDA
Adjusted EBITDA SIMULATIONS PLUS, INC. Reconciliation of Adjusted EBITDA to Net Income (Unaudited) 2021 2022 2021 2022 (in millions) Q1 Q2 Q3 Q4 Q1 Fiscal Year Fiscal YTD Net Income $ 2.5 $ 3.2 $ 3.8 $ 0.3 $ 3.0 $ 9.8 $ 3.0 Excluding: Interest income and expense, net (0.1) (0.0) (0.0) (0.0) (0.1) (0
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