NASDAQ$SDGR

Schrodinger Inc/United States · Q4 2024 earnings

Q4 2024 earnings · · After market close · Investor relations

Briefing

Schrödinger reported strong fourth quarter and full-year 2024 financial results, with total revenue increasing by 19.1% and software revenue growing by 16.0% compared to the previous year.

Schrödinger delivered a strong performance in Q4 2024, with total revenue reaching $88.3 million, a 19.1% increase year-over-year, driven by robust software revenue growth of 16.0% to $79.7 million and a significant 58% increase in drug discovery revenue to $8.7 million. Despite the revenue growth, the company reported a net loss of $40.2 million for the quarter.

  • Total revenue for Q4 2024 increased 19.1% to $88.3 million, compared to $74.1 million in Q4 2023.
  • Software revenue for Q4 2024 increased 16.0% to $79.7 million, primarily due to increased hosted revenue from large customers and new multi-year agreements.
  • Drug discovery revenue for Q4 2024 increased 58% to $8.7 million, driven by the recognition of milestones.
  • Net loss for Q4 2024 was $40.2 million, compared to a net loss of $30.7 million in Q4 2023.

Headline financials

Total Revenue

$88.3M

Previous: $74.1M+19.1%
EPS (adj)

-$0.24

Previous: -$0.32+25.0%
Adjusted EBITDA

-$6.62M

No prior period
Capital Expenditures

-$873K

Previous: -$2.48M+64.8%
Net Income

-$40.2M

Previous: -$30.7M-30.9%
Operating Income

-$209M

Previous: -$87.2M-140.0%
Gross Profit

$132M

Previous: $61.4M+115.1%
R&D Expense

$48.5M

Previous: $51.5M-5.9%

Revenue & EPS history

Schrodinger · Revenue · Quarterly

$88.3M

Q4 2024+19.1%vs Q4 2023
Beat estimate in 8 of 14 quarters(57%)
ActualEstimate

Revenue by segment

Schrodinger · $13.7M total across 1 segment · Q3 2023

  • Drug Discovery
    $13.7M+11.3%

Forward guidance

Schrödinger expects continued growth in software revenue and drug discovery revenue for fiscal year 2025, with a focus on managing operating expenses and improving cash flow from operations.

Tailwinds

  • Software revenue growth is expected to range from 10% to 15% in 2025.
  • Drug discovery revenue is expected to range from $45 million to $50 million in 2025.
  • Operating expense growth in 2025 is expected to be less than 5%.
  • Cash used for operating activities in 2025 is expected to be significantly lower than cash used in 2024.
  • Software revenue for Q1 2025 is expected to range from $44 million to $48 million.

Headwinds

  • Software gross margin is expected to range from 74% to 75% in 2025, which is lower than the 80% reported for FY 2024.
  • The company did not provide specific net income or EPS guidance for 2025.
  • No specific guidance on capital expenditures or other non-operating expenses was provided.
  • The forward guidance is subject to various assumptions, uncertainties, and risks.
  • The company did not provide specific targets for customer retention or ACV growth for 2025.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q4 2024

Historical avgQ4 2024

-2.2%

Avg return

Earnings day

-1.6%

Avg return

5 days after

+1.8%

Avg return

30 days after

42%

11 / 26 earnings

Positive

+31.4%

Q4 2021

Best reaction

-29.9%

Q4 2020

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-0.2%+1.9%+23.0%
Q4 2025+8.3%+5.9%-6.1%
Q3 2025-5.8%-7.4%-10.8%
Q1 2025+0.6%+0.2%+3.8%
Q4 2024+2.5%-2.9%-8.0%
Q3 2024+13.1%-5.1%+7.8%
Q2 2024+0.1%-15.7%-6.8%
Q1 2024-4.9%-1.4%-11.7%
Q4 2023-23.1%-23.7%-18.4%
Q3 2023+15.3%+27.5%+49.7%
Q2 2023-26.9%-27.3%-29.8%
Q1 2023-5.1%-6.4%+22.3%
Q4 2022+14.5%+21.7%+16.8%
Q3 2022-14.6%-15.6%-29.2%
Q2 2022+1.5%-4.9%-19.1%
Q1 2022-5.5%-10.5%+1.5%
Q4 2021+31.4%+45.4%+36.4%
Q3 2021-16.1%-15.6%-31.6%
Q2 2021-5.1%-12.1%-0.1%
Q1 2021-6.8%-4.3%+19.4%
Q4 2020-29.9%-29.7%-20.8%
Q3 2020+12.4%+15.8%+39.6%
Q3 2019+12.4%+15.8%+39.6%
Q2 2020-2.5%-2.4%-24.2%
Q1 2020-8.1%+0.5%+3.0%
Q4 2019-14.6%+8.3%+1.5%
Q2 2019
Q1 2019
Q4 2018
Q3 2018

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