Medpace reported third-quarter revenue of $716 million, up 8.5% from a year earlier, while net income increased to $137.5 million from $111.1 million. Diluted earnings per share rose to $4.84 from $3.86.
The Cincinnati-based contract research organization recorded net new business awards of $873.4 million, a 10.6% increase. Backlog reached $3.17 billion at September 30, up 5.6% from the previous year.
Net income margin increased to 19.2% from 16.8%. Earnings before interest, taxes, depreciation and amortization, a non-GAAP measure, rose 16% to $172.1 million, representing a 24% margin.
Direct costs increased to $492.1 million from $463 million, while selling, general and administrative expenses rose to $51.8 million from $48.1 million.
For the first nine months, revenue grew 16.9% to $2.13 billion. Net income totaled $382.7 million, or $13.37 per diluted share, compared with $316 million, or $10.64 per share, a year earlier.
Medpace ended the quarter with $705.3 million in cash and equivalents and generated $216.6 million in operating cash flow during the period.
The board replaced its previous share repurchase authorization with a new $1 billion program running through December 2028. The prior authorization had $527 million remaining. No shares were repurchased during the third quarter.
For 2026, Medpace forecasts revenue of $2.835 billion to $2.855 billion, representing growth of 12% to 12.8%. It expects net income of $514 million to $524 million and diluted earnings of $17.97 to $18.32 per share.
The guidance excludes potential effects of repurchases after September 30. Medpace employed approximately 6,600 people across 46 countries at quarter-end, providing clinical development services.