Certara (CERT) FY2023 results: revenue $354 million, up 5.6% on the year

Certara, Inc. (CERT) reported revenue of $354 million for fiscal 2023, the year ended 31 December 2023, up 5.6% on the year before. Net income was -$55 million, and diluted earnings per share $-0.35. The figures are the company's own, from the 10-K it filed with the SEC on 29 February 2024.

Revenue

$354 million

+5.6% on the year

FY2019FY2023

Operating margin

-11.5%

9.7% a year earlier

FY2019FY2023

Net income

-$55 million

FY2019FY2023

Diluted EPS

-$0.35

FY2019FY2023

this yearthe year beforeHover a bar for its figure.

The year in brief

The four quarters: Q1 FY2023 · Q2 FY2023 · Q3 FY2023 · Q4 FY2023

Income statement (profit and loss)

$ million	FY2023	FY2022	FY2021	On the year
Revenue	354	336	286	+5.6%
Cost of revenue	141	133	112	+6.4%
Gross profit	213	203	174	+5.0%
Gross margin	60.2%	60.5%	61.0%
Research and development	34.2	28.2	20.4	+21.2%
Operating income	-40.8	32.5	13.6
Operating margin	-11.5%	9.7%	4.7%
Interest expense	22.9	17.8	16.8	+28.9%
Pre-tax income	-55.1	18.8	-3.4
Income tax	0.2	4.0	9.9	-94.7%
Effective tax rate	n/a	21.5%	n/a
Net income	-55.4	14.7	-13.3
Net margin	-15.6%	4.4%	-4.6%
Diluted EPS	-$0.35	$0.09	-$0.09

$ million except per share.

Free cash flow is operating cash flow less capital expenditure; the effective tax rate is income tax over pre-tax income; margins are the line over revenue. Gross profit is revenue less cost of revenue, and operating income is revenue less the company's own total costs, where the statement does not print those lines. Those four are arithmetic on the filed numbers; everything else is as filed. Money is in $ million as the company files it, or in $ billion by the switch above the tables; per share figures and share counts are as they are.

Cash flow

$ million	FY2023	FY2022	FY2021	On the year
Operating cash flow	82.8	92.5	60.4	-10.6%
Capital expenditure	1.8	1.4	1.1	+24.3%
Free cash flow	81.0	91.1	59.2	-11.1%
Free cash flow margin	22.9%	27.1%	20.7%
Cash from investing	-79.5	-27.8	-270
Cash from financing	-9.4	-7.4	123
Depreciation and amortisation	56.1	1.7	2.1	+3,139.2%
Share-based compensation	28.3	30.3	29.5	-6.7%
Buybacks	0.0	n/a	n/a
Diluted shares, weighted	159m	159m	150m	-0.3%
Shares outstanding at period end	160m	160m	160m	+0.2%

Balance sheet

$ million	FY2023	FY2022	FY2021	On the year
Shareholders' equity	1,047	1,080	1,042	-3.0%
Debt	291	293	295	-0.6%
Operating lease liabilities	7.0	10.1	8.3	-31.4%
Finance lease liabilities	0.0	0.0	0.0
Other liabilities	218	190	167	+14.7%
Total liabilities and equity	1,563	1,573	1,512	-0.6%
Fixed assets	2.7	2.4	2.9	+11.2%
Goodwill	716	718	703	-0.2%
Intangible assets	487	487	512	+0.1%
Cash and equivalents	235	237	186	-0.7%
Receivables	75.4	72.2	60.2	+4.4%
Other assets	46.7	57.2	47.6	-18.3%
Total assets	1,563	1,573	1,512	-0.6%

10-K for the year ended 31 December 2023, filed 29 February 2024: the filing.