$SLP

SIMULATIONS PLUS INC

CIK:0001023459|SEC Filings

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (LOSS) - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	May 31, 2026	May 31, 2025	May 31, 2026	May 31, 2025
Revenues
Revenues	$ 21,886	$ 20,363	$ 64,598	$ 61,719
Cost of revenues
Total cost of revenues	6,759	7,331	22,437	25,342
Gross profit	15,127	13,032	42,161	36,377
Operating expenses
Research and development	3,406	1,216	9,856	5,207
Sales and marketing	2,538	2,680	8,647	9,248
General and administrative	4,684	6,141	12,816	16,089
Impairments	0	77,221	0	77,221
Total operating expenses	10,628	87,258	31,319	107,765
Income (loss) from operations	4,499	(74,226)	10,842	(71,388)
Other income, net	307	182	820	1,122
Income (loss) before income taxes	4,806	(74,044)	11,662	(70,266)
Income tax (expense) benefit	(1,231)	6,727	(2,876)	6,229
Net income (loss)	$ 3,575	$ (67,317)	$ 8,786	$ (64,037)
Earnings per share
Basic (in usd per share)	$ 0.18	$ (3.35)	$ 0.44	$ (3.19)
Diluted (in usd per share)	$ 0.18	$ (3.35)	$ 0.43	$ (3.19)
Weighted-average common shares outstanding
Basic (in shares)	20,209	20,113	20,170	20,092
Diluted (in shares)	20,239	20,113	20,233	20,092
Other comprehensive income (loss), net of tax
Foreign currency translation adjustments	$ 10	$ 41	$ 15	$ (27)
Unrealized (losses) gains on available-for-sale securities	(8)	0	(14)	4
Comprehensive income (loss)	3,577	(67,276)	8,787	(64,060)
Software
Revenues
Revenues	12,608	12,615	36,126	36,814
Cost of revenues
Total cost of revenues	1,513	2,540	4,573	7,765
Services
Revenues
Revenues	9,278	7,748	28,472	24,905
Cost of revenues
Total cost of revenues	$ 5,246	$ 4,791	$ 17,864	$ 17,577

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	9 Months Ended
	May 31, 2026	May 31, 2025
Cash flows from operating activities
Net income (loss)	$ 8,786	$ (64,037)
Adjustments to reconcile net income (loss) to net cash provided by operating activities
Depreciation and amortization	4,261	6,857
Change in fair value of contingent consideration	0	(640)
Discharge of holdback obligation related to Immunetrics acquisition	0	(224)
Amortization of investment premiums	7	(64)
Stock-based compensation	4,894	4,830
Deferred income taxes	606	(8,081)
Loss from disposal of assets	69	23
Impairments	0	77,221
Currency translation adjustments	15	(28)
(Increase) decrease in
Accounts receivable	(7,485)	(5,644)
Prepaid income taxes	1,514	1,243
Prepaid expenses and other current assets	(130)	274
Increase (decrease) in
Accounts payable	1,764	1,061
Other liabilities	2,472	(2,600)
Deferred revenue	2,582	2,348
Net cash provided by operating activities	19,355	12,539
Cash flows from investing activities
Purchases of property and equipment	(139)	(449)
Vendor refund related to property and equipment	310	0
Purchase of short-term investments	(28,188)	(6,500)
Proceeds from maturities of short-term investments	15,001	14,017
Proceeds from sales of investments	0	995
Purchased intangibles	(11)	(368)
Net working capital & excess cash settlement - Pro-ficiency acquisition	0	(227)
Capitalized computer software development costs	(2,343)	(2,115)
Net cash (used in) provided by investing activities	(15,370)	5,353
Cash flows from financing activities
Payments on contracts payable	0	(1,576)
Proceeds from the exercise of stock options	486	323
Net cash provided by (used in) financing activities	486	(1,253)
Net increase in cash and cash equivalents	4,471	16,639
Cash and cash equivalents, beginning of period	30,853	10,311
Cash and cash equivalents, end of period	35,324	26,950
Supplemental disclosures of cash flow information
Income taxes paid	756	1,020
Supplemental disclosures of non-cash activities
Measurement period adjustments	0	956
Non-cash investing and financing activities
Right of use assets capitalized	$ 47	$ 0

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	May 31, 2026	Aug. 31, 2025
Current assets
Cash and cash equivalents	$ 35,324	$ 30,853
Accounts receivable, net of allowance for credit losses of $59 and $187	17,202	9,717
Prepaid income taxes	263	1,777
Prepaid expenses and other current assets	7,670	7,702
Short-term investments	14,666	1,500
Total current assets	75,125	51,549
Long-term assets
Capitalized computer software development costs, net of accumulated amortization of $24,187 and $21,863	11,203	11,117
Property and equipment, net	513	880
Operating lease right-of-use assets	395	407
Goodwill	43,717	43,717
Deferred tax assets, net	4,168	4,774
Other assets	1,385	1,399
Total assets	152,976	131,936
Current liabilities
Accounts payable	2,234	470
Accrued compensation	4,888	2,010
Accrued expenses	1,054	1,343
Operating lease liability - current portion	112	206
Deferred revenue	5,278	2,696
Total current liabilities	13,566	6,725
Long-term liabilities
Operating lease liability - net of current portion	375	410
Total liabilities	13,941	7,135
Commitments and contingencies
Shareholders' equity
Preferred stock, $0.001 par value — 10,000,000 shares authorized; no shares issued and outstanding	0	0
Common stock, $0.001 par value; 50,000,000 shares authorized, 20,216,438 and 20,137,480 shares issued and outstanding as of May 31, 2026, and August 31, 2025	20	20
Additional paid-in capital	164,863	159,416
Accumulated deficit	(25,578)	(34,364)
Accumulated other comprehensive loss	(270)	(271)
Total shareholders' equity	139,035	124,801
Total liabilities and shareholders' equity	152,976	131,936
Intellectual property
Long-term assets
Intellectual property and other intangible assets, net of accumulated amortization	5,396	6,197
Other Intangible Assets
Long-term assets
Intellectual property and other intangible assets, net of accumulated amortization	$ 11,074	$ 11,896