Analyst for Brendan Smith's questions to Certara Inc (CERT) leadership • Q1 2025
Question
An analyst on behalf of Brendan Smith asked where the potential for upside to the reiterated fiscal year 2025 guidance lies within the software and services businesses.
Answer
CEO William Feehery identified the primary upside opportunity in the industry's shift away from animal testing and the company's ongoing investments in its software platform. However, he cautioned that this optimism is counterbalanced by the challenging end-market environment, including biotech funding constraints and slow decision-making at Tier 1 pharma companies, which were factored into the initial guidance and have persisted.