Read Zacks_Analysts' blog in RSS
June 23, 2009
Share This
Phase Forward (PFWD) hosted an Analyst Day at the Drug Information Association's (DIA) Annual Meet in San Diego, CA this morning. Earlier, the company presented at a sell-side healthcare conference in New York and provided its outlook for the coming quarters. It appears that the company is making an effort to bring its story more clearly to the investment community.
Phase Forward provides software and services to assist clients in improving the efficiency of their clinical trials. The company offers a suite of applications including InForm, Clintrial and Clintrace. InForm allows users to rapidly create electronic case report forms (eCRFs) and facilitate fast data entry and cleaning through an intuitive interface. Its web-based architecture enables clinical trials at different locations around the world. Phase Forward is a leading vendor in the market for clinical trial management systems (CTMS) and electronic data capture (EDC) for clinical trials.
The underlying theme of PFWD's presentations is a focus on the value of data integrations and delivery of end-to-end solution coverage with extensive focus on usability. The company also focused on its next-generation Inform GTM product, which it hopes will set a new standard in capabilities and efficiency. The company's growth strategy includes (a) achieving organic growth through internal innovations, (b) capitalize on technology and service partnerships, and (c) achieving growth through accretive acquisitions.
The Services Business segment comprised nearly 71% of PFWD's March quarter revenues, with Software License Fees accounting for the remaining 29%. Longer term, the company is targeting 60%-62% in gross margin and 18%-21% in operating margin. In FY2008, PFWD generated nearly $44 million of free cash flow and exited the March quarter with $156.3 million in cash and equivalents.
Read the full analyst report on "PFWD"
Zacks Investment Research