Allscripts Reports Record Fourth Quarter 2005 Results; Net Income Increases More Than 200% For The Year.CHICAGO Chicago, city, United States Chicago (shĭkä`gō, shĭkô`gō), city (1990 pop. 2,783,726), seat of Cook co., NE Ill., on Lake Michigan; inc. 1837. -- Allscripts Allscripts Therapeutics A handheld electronic prescribing product (Nasdaq:MDRX), the leading provider of clinical software, connectivity A generic term for connecting devices to each other in order to transfer data back and forth. It often refers to network connections, which embraces bridges, routers, switches and gateways as well as backbone networks. and information solutions that physicians use to improve healthcare, today announced results for the three months and year ended December December: see month. 31, 2005. Total revenue for the three months ended December 31, 2005 was $34.2 million, compared to $26.3 million for the same period last year. Revenue from software and related services for the three months ended December 31, 2005 was $18.2 million, compared to $14.3 million for the same period last year, increasing by 28%. Gross margin percentage was 45.5% for the fourth quarter of 2005, compared to 46.9% during the fourth quarter of 2004. Net income for the three months ended December 31, 2005 was $3.4 million, or $0.08 per diluted di·lute tr.v. di·lut·ed, di·lut·ing, di·lutes 1. To make thinner or less concentrated by adding a liquid such as water. 2. To lessen the force, strength, purity, or brilliance of, especially by admixture. share, compared to net income of $1.4 million, or $0.03 per diluted share, for the same period last year, a net income increase of 143%. As previously disclosed dis·close tr.v. dis·closed, dis·clos·ing, dis·clos·es 1. To expose to view, as by removing a cover; uncover. 2. To make known (something heretofore kept secret). , net income for the three months ended December 31, 2005 includes a non-cash, non-recurring stock-based compensation charge related to the acceleration acceleration, change in the velocity of a body with respect to time. Since velocity is a vector quantity, involving both magnitude and direction, acceleration is also a vector. In order to produce an acceleration, a force must be applied to the body. of certain options amounting to approximately ap·prox·i·mate adj. 1. Almost exact or correct: the approximate time of the accident. 2. $0.5 million. Without this charge, diluted earnings per share diluted earnings per share An earnings measure calculated by dividing net income less preferred stock dividends for a period by the average number of shares of common stock that would be outstanding if all convertible securities were converted into shares of for the fourth quarter 2005 would have been $0.09. A reconciliation of earnings per share excluding the option acceleration expense to GAAP GAAP See: Generally Accepted Accounting Principles GAAP See generally accepted accounting principles (GAAP). earnings per share is included as part of this press release. As of December 31, 2005, the Company had cash and marketable securities Marketable Securities Very liquid securities that can be converted into cash quickly at a reasonable price. Notes: Marketable securities are very liquid as they tend to have maturities less than one year, and the rate at which these securities can be bought or sold has of $146.1 million. "In 2005, the market for clinical automation continued to accelerate as the electronic health record became part of the 'black bag' of medicine. Allscripts played a leadership role in driving this transformation and our record results show that we continue to gain traction Traction Definition Traction is the use of a pulling force to treat muscle and skeleton disorders. Purpose Traction is usually applied to the arms and legs, the neck, the backbone, or the pelvis. ," stated Glen Tullman, Chief Executive Officer of Allscripts. "The Company has never been better positioned and our pending acquisition of A4 Health Systems will result in Allscripts being the clear leader across all segments of the ambulatory Movable; revocable; subject to change; capable of alteration. An ambulatory court was the former name of the Court of King's Bench in England. It would convene wherever the king who presided over it could be found, moving its location as the king moved. market. I appreciate our clients continued support and am very proud of our team and the progress we made during the year towards our vision of becoming an indispensable part of the way physicians practice medicine." Total revenue for the year ended December 31, 2005 was $120.6 million, compared to $100.8 million for 2004. Revenue from software and related services for the year ended December 31, 2005 was $65.2 million, compared to $44.1 million for 2004, increasing by 48%. Total gross margin percentage was 45.5% for the year ended December 31, 2005, compared to 42.3% for the year ended December 31, 2004. Net income for the year ended December 31, 2005 was $9.7 million, or $0.23 per diluted share, compared to net income of $3.1 million, or $0.07 per diluted share, for 2004, a net income increase of 212%. Without the option acceleration expense recognized in the fourth quarter of 2005, diluted earnings per share would have been $0.24 for 2005. Allscripts offered the following general guidance related to 2006, excluding any potential impact from the proposed acquisition of A4 Health Systems. The Company's total revenue target for 2006 is expected to exceed $145 million. It anticipates that earnings per share will be in the range of $0.45 to $0.47 per diluted share, which excludes additional stock-based compensation expense. Allscripts will conduct a conference call on Tuesday Tuesday: see week. , January January: see month. 31, 2006 at 4:30 PM eastern time. The conference call can be accessed by dialing 1-800-374-0526, or via the Internet Internet Publicly accessible computer network connecting many smaller networks from around the world. It grew out of a U.S. Defense Department program called ARPANET (Advanced Research Projects Agency Network), established in 1969 with connections between computers at the at www.allscripts.com. A recording of the conference call will be available for review through February February: see month. 14, 2006, at www.allscripts.com or by calling 1-800-642-1687, ID # 4715321. About Allscripts Allscripts is the leading provider of clinical software, connectivity and information solutions that physicians use to improve healthcare. The Company's business groups provide unique solutions that inform, connect and transform healthcare. The Clinical Solutions Group's award-winning Adj. 1. award-winning - having received awards; "this award-winning bridge spans a distance of five miles" clinical software applications include Electronic Health Record, e-prescribing e-prescribing Therapeutics The use of handheld electronic products to communicate with pharmacies and provide prescribing information and document imaging solutions. Additionally, Allscripts provides clinical product education and connectivity solutions for physicians and patients through its Physicians Interactive(TM) Group and medical fulfillment ful·fill also ful·fil tr.v. ful·filled, ful·fill·ing, ful·fills also ful·fils 1. To bring into actuality; effect: fulfilled their promises. 2. services through its Medication medication /med·i·ca·tion/ (med?i-ka´shun) 1. medicine (1). 2. impregnation with a medicine. 3. administration of a medicine or other remedy. Services Group. To learn more, visit Allscripts on the Web at www.allscripts.com. This announcement may contain forward-looking statements forward-looking statement A projected financial statement based on management expectations. A forward-looking statement involves risks with regard to the accuracy of assumptions underlying the projections. about Allscripts that involve risks and uncertainties, including statements involving our pending acquisition of A4 Health Systems, Inc. and guidance related to 2006. These statements are developed by combining currently available information with Allscripts beliefs and assumptions. Forward-looking statements do not guarantee future performance. Because Allscripts cannot predict all of the risks and uncertainties that may affect it, or control the ones it does predict, Allscripts' actual results may be materially different from the results expressed in its forward-looking statements. For a more complete discussion of the risks, uncertainties and assumptions that may affect Allscripts, see the Company's 2004 Annual Report on Form 10-K Form 10-K A report required by the SEC from exchange-listed companies that provides for annual disclosure of certain financial information. Form 10-K See 10-K. , available through the Web site maintained by the Securities and Exchange Commission at www.sec.gov See .gov and GovNet. (networking) gov - The top-level domain for US government bodies. .
Allscripts Healthcare Solutions, Inc.
Condensed Consolidated Balance Sheets
(amounts in thousands)
(Unaudited)
December 31, December 31,
Assets 2005 2004
------ ------------ ------------
Current assets:
Cash and cash equivalents $60,905 $16,972
Marketable securities 54,408 22,796
Accounts receivable, net 29,244 21,382
Other receivables 502 627
Inventories 2,174 2,372
Prepaid expenses and other current assets 5,811 3,571
------------ ------------
Total current assets 153,044 67,720
Long-term marketable securities 30,750 88,471
Fixed assets, net 2,753 2,366
Software development costs, net 6,409 6,270
Intangible assets, net 9,151 10,833
Goodwill 13,760 13,713
Other assets 5,097 4,804
------------ ------------
Total assets $220,964 $194,177
============ ============
Liabilities and Stockholders' Equity
------------------------------------
Current liabilities:
Accounts payable $8,630 $5,981
Accrued liabilities 13,791 12,218
Deferred revenue 17,306 14,607
------------ ------------
Total current liabilities 39,727 32,806
Long-term debt 82,500 82,500
Other liabilities 318 178
------------ ------------
Total liabilities 122,545 115,484
Stockholders' equity 98,419 78,693
------------ ------------
Total liabilities and stockholders'
equity $220,964 $194,177
============ ============
Allscripts Healthcare Solutions, Inc.
Condensed Consolidated Statements of Operations
(amounts in thousands, except per-share amounts)
(Unaudited)
Three Months Ended For the Year Ended
December 31, December 31,
2005 2004 2005 2004
-------- -------- -------- --------
Revenue:
Prepackaged medications $12,789 $9,342 $45,609 $44,733
Software and related services 18,249 14,306 65,166 44,121
Information services 3,159 2,665 9,789 11,916
-------- -------- -------- --------
Total revenue 34,197 26,313 120,564 100,770
Cost of revenue:
Prepackaged medications 10,873 7,317 38,046 35,744
Software and related services 6,908 5,154 23,507 15,858
Information services 849 1,506 4,136 6,520
-------- -------- -------- --------
Total cost of revenue 18,630 13,977 65,689 58,122
-------- -------- -------- --------
Gross profit 15,567 12,336 54,875 42,648
Operating expenses:
Selling, general and
administrative expenses 11,510 10,337 43,304 37,653
Stock-based compensation
expense 558 - 604 -
Amortization of intangibles 436 441 1,744 1,752
-------- -------- -------- --------
Income from operations 3,063 1,558 9,223 3,243
Interest expense (880) (884) (3,516) (1,717)
Interest income 1,230 802 4,128 1,675
Other expense, net (10) (73) (125) (93)
-------- -------- -------- --------
Income before income taxes 3,403 1,403 9,710 3,108
Income taxes - - - -
-------- -------- -------- --------
Net income $3,403 $1,403 $9,710 $3,108
======== ======== ======== ========
Net income per share - basic $0.08 $0.04 $0.24 $0.08
======== ======== ======== ========
Net income per share - diluted $0.08 $0.03 $0.23 $0.07
======== ======== ======== ========
Weighted average shares of common
stock outstanding used in
computing basic net income
per share 40,812 38,484 40,045 38,979
======== ======== ======== ========
Weighted average shares of common
stock outstanding used in
computing diluted net income per
share 43,890 41,439 43,068 41,592
======== ======== ======== ========
Earnings per share reconciliation:
Net income, as reported-GAAP
(unaudited) $3,403 $1,403 $9,710 $3,108
Add: Stock-based compensation
charge for acceleration of options 518 - 518 -
-------- -------- -------- --------
Net income excluding stock-based
compensation charge $3,921 $1,403 $10,228 $3,108
======== ======== ======== ========
Net income per share excluding
stock-based compensation charge -
basic $0.10 $0.04 $0.26 $0.08
======== ======== ======== ========
Net income per share excluding
stock-based compensation charge -
diluted $0.09 $0.03 $0.24 $0.07
======== ======== ======== ========
|
|
||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion