Champions Oncology Q3 revenue dips 3%

Overview

• US oncology research firm's fiscal Q3 revenue fell 3% due to absence of data license revenue recognized yr ago

• Study service revenue hit record, up 32% yr/yr on strong study execution and backlog conversion

Outlook

• Champions Oncology expects year-over-year revenue growth for the fiscal year

• Company anticipates positive adjusted EBITDA for the full fiscal year

Result Drivers

• BACKLOG CONVERSION - Co said Q3 study service revenue rose as previously booked work was completed and recognized

• ABSENCE OF DATA LICENSE REVENUE - Total revenue declined yr/yr due to lack of $4.5 mln data license transaction recognized in prior-year period

Company press release: ID:nACSZSZC0a

Key Details

Analyst Coverage

• The stock recently traded at 57 times the next 12-month earnings vs. a P/E of 36 three months ago

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