Medpace Revenue Jumps 27% to $706.6M in Q1 2026 as Net Income Rises 8%

Medpace Holdings, Inc. (NASDAQ: MEDP), a global clinical research organization providing drug development services, reported revenue of $706.6 million for the three months ending March 31, 2026, up 27% from $558.6 million in the same period a year earlier. Net income rose 8% to $123.9 million from $114.6 million in the first quarter of 2025. Read more earnings reports.

Operating income for the quarter reached $141.5 million, compared with $113.5 million in the prior-year period, a 25% increase. The company's operating margin expanded as revenue growth outpaced expense growth.

Labor and related expenses totaled $164.6 million in the quarter, up 14% from $143.9 million a year earlier. Selling, general and administrative expenses declined to $47.9 million from $57.9 million, a 17% drop.

Diluted earnings per share came in at $4.28, compared with $3.67 in the first quarter of 2025. The calculation was based on 29.0 million diluted weighted average shares outstanding in the current quarter, down from 31.2 million a year ago.

Medpace generated $151.8 million in cash from operations during the quarter, up from $125.8 million in the year-ago period. Cash used in investing activities totaled $6.7 million, while cash from financing activities was $12.7 million, a reversal from the $346.0 million outflow in the prior-year quarter.

The company's cash and cash equivalents stood at $652.7 million as of March 31, 2026, compared with $497.0 million at December 31, 2025. Total assets increased to $2.13 billion from $1.98 billion at the end of 2025.

Stockholders' equity rose to $598.3 million as of March 31, 2026, from $459.1 million three months earlier. The company had 28.6 million common shares outstanding at the end of the quarter, up slightly from 28.4 million at year-end 2025.

First Quarter Financial Summary

Balance Sheet Highlights