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Certara launches new Phoenix software version to boost drug development

Published 08/15/2024, 04:33 PM
CERT
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RADNOR, Pa. - Certara, Inc. (NASDAQ:CERT), known for its model-informed drug development software, unveiled Phoenix version 8.5 today, aiming to enhance pharmacokinetic and pharmacodynamic (PK/PD) modeling and simulation for the pharmaceutical industry. The latest Phoenix software is used extensively by regulatory agencies and pharmaceutical companies to evaluate drug candidates.

Phoenix 8.5 is designed to improve the efficiency and quality of PK/PD workflow, a crucial process in drug development. The new version introduces several features, including single sign-on through Certara Central Admin, enhanced data presentation and reporting capabilities, and improved precision and adaptability in non-linear mixed effects (NLME) modeling.

Max Kanevsky, Certara's Chief Technology Officer, emphasized the need for more efficient drug development processes, noting the high failure rate of new medicines entering clinical trials. He stated that the Phoenix platform expedites critical steps ranging from data preparation to report generation, which can be time-consuming for drug developers.

The company highlights that Phoenix is the industry's benchmark software, with over 75 of the top 100 pharmaceutical companies and eleven regulatory agencies, such as the U.S. FDA, Japan PMDA, and China NMPA, depending on it for drug evaluation. The hosted solution format of Phoenix 8.5 is intended to offer better performance and lower ownership costs.

Certara's commitment to accelerating medicine development is supported by its broad client base, which includes over 2,400 biopharmaceutical firms, academic institutions, and regulatory bodies across 66 countries.

The release of Phoenix 8.5 follows feedback from the Phoenix customer advisory board and user communities, aiming to enhance user access and experience for more effective data analysis and interpretation.

This information is based on a press release statement from Certara. For further details, interested parties can visit the company's website.

In other recent news, Certara, a global leader in biosimulation, reported mixed financial results for Q2 2024. The company saw a moderate revenue increase of 3% to $93.3 million, despite a downturn in its services segment and a reported net loss of $12.6 million. A key highlight was the growth in the software segment, which rose by 13%. However, operating expenses also rose significantly to $62.5 million, primarily due to higher employee costs and strategic investments.

Notably, Certara is in the process of acquiring Chemaxon, a cheminformatics software provider, as part of its strategic investments. This move is expected to expand Certara's reach into the preclinical space. Looking ahead, the company maintains an optimistic full-year outlook, forecasting a revenue between $385 million and $400 million, and adjusted EBITDA margin of 31% to 33%.

In terms of future expectations, Certara projects an adjusted earnings per share (EPS) ranging from $0.41 to $0.46. The company also anticipates improvements in its adjusted EBITDA margin and a pick-up in Tier 1 customer activity in the fourth quarter. Despite facing challenges, these recent developments suggest that Certara is strategically positioning itself for potential growth.

InvestingPro Insights

Certara, Inc. (NASDAQ:CERT) has been at the forefront of drug development software, and its latest release of Phoenix 8.5 demonstrates its commitment to innovation. As investors and stakeholders look at the company's financial health and stock performance, here are some insights based on real-time data from InvestingPro, alongside InvestingPro Tips that could be pivotal in understanding Certara's market position.

InvestingPro Data highlights Certara's market capitalization at approximately $1.96 billion, indicative of its size and significance in the pharmaceutical software industry. Despite a challenging market, the company maintains a gross profit margin of 59.01% as of the last twelve months leading up to Q2 2024, showcasing its ability to retain a significant portion of revenue after accounting for the cost of goods sold.

However, the stock has experienced significant volatility, with a price total return of -24.47% over the last month and trading near its 52-week low, which could signal a potential buying opportunity for investors seeking to capitalize on the company's future growth prospects.

InvestingPro Tips suggest that analysts are optimistic about Certara's potential, with net income expected to grow this year and four analysts revising their earnings upwards for the upcoming period. This optimism is further bolstered by the company's liquid assets exceeding short-term obligations, providing financial stability and the ability to meet its immediate liabilities.

For those interested in further analysis and additional insights, there are more InvestingPro Tips available on Certara's page at https://www.investing.com/pro/CERT, offering a deeper dive into the company's financial metrics and stock performance.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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