Certara reported higher third-quarter revenue and adjusted earnings, led by double-digit software growth, while revenue from services declined. The drug-development software and services company also narrowed its 2026 revenue-growth outlook and appointed a new chief product officer.
The results cover continuing operations and exclude Certara’s Regulatory and Medical Writing business, which is being reported separately as discontinued operations.
Key details
- Revenue rose 4% to $94.9 million from $90.9 million a year earlier.
- Software revenue increased 11% to $48.8 million, compared with $43.8 million. CEO Jon Resnick said software growth was 11% organically—the company’s first double-digit organic growth quarter in two years.
- Services revenue fell 2% to $46.1 million, from $47.1 million.
- The net loss from continuing operations narrowed to $3.6 million from $4.8 million a year earlier.
- Adjusted EBITDA increased 6% to $30.2 million, from $28.6 million. Adjusted EBITDA margin was 31.8%, up from 31.5% a year earlier. The company said the margin also improved by more than 370 basis points from the second quarter.
- Cash from continuing operations was $30.7 million for the quarter, and Certara ended the period with $214.9 million in cash.
- Certara narrowed its 2026 revenue-growth outlook to 2%–3%. The announcement did not provide a previous range in the supplied results.
- Grant Peterson became chief product officer on Nov. 2. He previously held the same role at Conga and spent 12 years as chief technology officer at DocuSign. Certara said he will guide product investments with a focus on accelerating growth across existing and new products.
What changes
The quarter’s growth mix shifted toward software: software revenue expanded while services revenue contracted. Certara also reported improved profitability measures and cash generation, while narrowing its full-year revenue-growth range after nine months of results. The new product chief’s remit centers on the company’s product portfolio and growth priorities.