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Simulations Plus Reports Third Quarter FY2017 Financial ResultsSimulations Plus, Inc. (NASDAQ: SLP), the premier provider of simulation and modeling software and consulting services for pharmaceutical discovery and development from the earliest discovery through all phases of clinical trials, today reported financial results for its third quarter of fiscal year 2017 (3QFY17) and the first nine months of fiscal year 2017 (9moFY17), the period ended May 31, 2017. 3QFY17 highlights compared with 3QFY16:
9moFY17 highlights compared with 9moFY16:
John Kneisel, chief financial officer of Simulations Plus, said: "The Company continues to produce record financial results and maintains a strong cash position. Consolidated cash as of July 7, 2017, was $6.0 million, after approximately $5.0 million of distributions related to the acquisition of DILIsym Services were made just after the May 31, 2017 quarterly close. In addition, during the quarter ended May 31, 2017, the Company made a dividend distribution of approximately $862,000 on May 15, 2017, and the final payment of $1,000,000 to TSRL was made in April. The strong and consistent profitability has enabled the Board of Directors to identify accretive acquisitions and return cash to shareholders in the form of a cash dividend, and has allowed management to take steps to improve the balance sheet and eliminate long-term royalty agreements." John DiBella, vice president for marketing and sales of Simulations Plus, said: "Simulations Plus continues to engage with more companies across a variety of markets, and this is reflected in the strong revenue performance from both software licensing and consulting services seen in both 3QFY17 and 9moFY17. We added 63 new software clients and achieved 23% growth in consulting service revenue through the first nine months of the fiscal year, and the scientists that have recently joined the company are actively contributing to the increasing number of new projects. We have added staff on our marketing and sales team over the past two months and, coupled with increased promotional activities from our new distributor channels in India and Korea, we expect to expand our global reach and end fiscal year 2017 on a positive note." Walt Woltosz, chairman and chief executive officer of Simulations Plus, concluded: "June marked the 20th anniversary of Simulations Plus' 1997 initial public offering of one million shares at $5 per share, with another 2.2 million shares (~69%) held by insiders. Our initial market cap was $16 million. As of last Friday's close, our market cap was approximately $223 million and the total number of shares after two stock splits, some stock repurchases, and new shares issued in acquisitions and for exercised stock options, is now approximately 17.25 million, with approximately 37% held by insiders. As of June, we became part of the Russell 3000® index, underscoring our progress and attracting new institutional investors. Having completed the exciting acquisition of DILIsym Services, Inc. on June 1, we are almost halfway through our first fiscal quarter that will include the additional revenues and earnings from that division, which achieved just over $3 million in revenues and approximately $720,000 in net earnings during 2016. More importantly, we are now in a position to advance the modeling of drug-induced liver injury through the synergies with our traditional software offerings, and thereby we expect to further expand the market for our software and consulting services." Investor Conference Call The Company will host a conference call on July 10, 2017, at 4:15 p.m. Eastern Time. All interested parties are invited to join the call by registering at this link. On registering, you will receive a confirmation e-mail with instructions for joining the call. Please dial in five to ten minutes prior to the scheduled start time. For listen-only mode, you may dial +1 (914) 614-3221, and enter access code 154-734-397. About Simulations Plus, Inc. Simulations Plus, Inc. is a premier developer of drug discovery and development software as well as a leading provider of both preclinical and clinical pharmacometric consulting services for regulatory submissions. The company is a global leader focused on improving the ways scientists use knowledge and data to predict the properties and outcomes of pharmaceutical and biotechnology agents. Our software is licensed to and used in the conduct of drug research by major pharmaceutical and biotechnology companies and regulatory agencies worldwide. Our innovations in integrating new and existing science in medicinal chemistry, computational chemistry, pharmaceutical science, biology, and physiology into our software have made us the leading software provider for physiologically based pharmacokinetic modeling and simulation. For more information, visit our website at www.simulations-plus.com. Follow us on Twitter | LinkedIn Safe Harbor Statement Under the Private Securities Litigation Reform Act of 1995 - With the exception of historical information, the matters discussed in this press release are forward-looking statements that involve a number of risks and uncertainties. Words like "believe," "expect" and "anticipate" mean that these are our best estimates as of this writing, but that there can be no assurances that expected or anticipated results or events will actually take place, so our actual future results could differ significantly from those statements. Factors that could cause or contribute to such differences include, but are not limited to: our ability to maintain our competitive advantages, acceptance of new software and improved versions of our existing software by our customers, the general economics of the pharmaceutical industry, our ability to finance growth, our ability to continue to attract and retain highly qualified technical staff, our ability to identify and close acquisitions on terms favorable to the Company, and a sustainable market. Further information on our risk factors is contained in our quarterly and annual reports as filed with the U.S. Securities and Exchange Commission.
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