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| Medidata President Glen de Vries--courtesy of Medidata |
Medidata Solutions is on a roll. The company ($MDSO) wrapped up the first quarter of 2012 with record revenue of $50.4 million and a 76% jump in GAAP operating income to $6.1 million. Seventeen new customers adopted the company's clinical trials software, Medidata announced this morning.
New York-based Medidata said during a conference call that part of the success in the first quarter was because company took customers away from rival Oracle ($ORCL). Business takeaways from Oracle have been a recurring theme for Medidata's success for more than a year, but the company indicated that the trend has shown no signs of letting up.
"Competitive displacement of Oracle [products] are increasing," Tarek Sherif, Medidata's chief executive officer, told investors this morning during a conference call. "Given our recent experience in the field, life sciences customers and CRO partners are unplugging Oracle's clinical solutions in favor of ours."
Medidata beat its first-quarter revenue outlook range of $48.5 million to $49.5 million with reported revenue of $50.4 million, an increase of 24% compared with the same quarter a year ago. The 17 new customers grew the customer base to 287, and some of the wins stemmed from direct sales and an uptick in business with CROs, according to the company. The company now expects full-year 2012 revenue of $213 million to $217 million.
Growth of the company's product offerings has been part of the company's success. About 91% of Medidata's business comes from its main platform called Rave, an electronic data capture (EDC) and clinical data management system (CDMS) product, said Cory Douglas, the company's chief financial officer. At the same time, non-Rave product revenue grew 60% for the quarter, he noted.
Medidata added a clinical trial management system (CTMS), which is used to manage the operational information in trials, last June via the company's buyout of Clinical Force. In the first quarter, the company also updated Balance, a randomization and trial supply management application.
- here's the company's earnings release
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