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Simulations Plus SLP Services — Gross Margin

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Other financials

Income statement

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Revenue$21.9M+7.5%
Gross profit$15.1M+16.1%
Operating income$4.5M+106%
Net income$3.6M+105%
EPS (diluted)$0.18+105%

Balance sheet

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Cash & equivalents$35.3M+31.1%
Total debt$487.0K-32.3%
Total equity$139.0M+12.3%
Total assets$153.0M+13.9%

Cash flow

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Operating cash flow$8.7M+6.9%
CapEx$93.0K-68.7%
Free cash flow$8.6M+9.8%

Valuation

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Market cap$371.13M+32.9%
Enterprise value$336.29M+33.0%
P/E45.8×
P/S4.5×+1.0×

Profitability

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Gross margin63.4%+9.6pp
Operating margin13.2%
Net margin9.9%+5.2pp
FCF margin29.9%+12.8pp

Returns & leverage

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Return on equity6.2%+3.3pp
Debt / equity0.0×
Current ratio5.5×+0.4×

Where this comes from

Reported directly by Simulations Plus in its filing.

Tagged under the XBRL concept simu:GrossMarginPercentage.

The source filing: Simulations Plus’s 10-Q, filed July 9, 2026.

Filed
Jul 9, 2026, 4:10 PM EDT
Fiscal quarter
Q3 FY2026
Calendar quarter
Q2 2026
Accession
0001023459-26-000038
(in thousands)Three Months Ended May 31, 2026 / SoftwareThree Months Ended May 31, 2026 / ServicesThree Months Ended May 31, 2026 / TotalThree Months Ended May 31, 2025 / SoftwareThree Months Ended May 31, 2025 / ServicesThree Months Ended May 31, 2025 / Total
Less:
Cost of revenue (1)1,5135,2466,7592,5404,7917,331
Gross Profit11,0954,03215,12710,0752,95713,032
Gross Margin88%43%69%80%38%64%
Less:
Research and Development3,4061,216
Sales and Marketing2,5382,680
General and administrative (2)4,6846,141

Item 1. Unaudited Condensed Consolidated Financial Statements

FAQ

What is Simulations Plus's services — gross margin?
Simulations Plus (SLP) reported services — gross margin of 43% in Q1 2026.
How has Simulations Plus's services — gross margin changed year-over-year?
Simulations Plus's services — gross margin increased by 13.2% year-over-year, from 38% to 43%.
What does services — gross margin mean?
This metric expresses the gross profit of the services segment as a percentage of its total revenue. It provides a standardized view of the profitability of service delivery, allowing for comparison of cost efficiency across different periods or business units. Higher margins indicate better pricing power or more efficient management of labor and direct service costs.

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