Printer Friendly

CITATION COMPUTER SYSTEMS ANNOUNCES SECOND QUARTER RESULTS

 ST. LOUIS, Oct. 19 /PRNewswire/ -- CITATION Computer Systems, Inc. (NASDAQ: CITA) today reported results for the second quarter ended Sept. 30.
 Revenues increased 22 percent to $5.7 million from $4.7 million in the year ago quarter. Net income totaled $472,000, or $.13 per share, compared with $632,000, or $.23 per share, for the quarter ended Sept. 30, 1992. Average shares outstanding were 3.7 million shares for the current period vs. 2.7 million for a year ago. The increased number of shares reflects the company's public offering of common stock in October 1992.
 Kenneth R. Brown, chairman and chief executive officer, stated: "The period-to-period revenue growth was excellent. We were particularly gratified to get back on track with new systems growth in contrast to the first quarter performance. New laboratory and financial systems shipped in the second quarter were more than double the number in the first quarter of this year and almost 50 percent greater than in the second quarter a year ago."
 Brown stated that the average system contract value and gross margin were lower in contrast to a year ago when several large software-only orders were received. He indicated that those factors were the primary reason for the decline in net income. Brown commented that the highlights for the quarter were (1) the completion of the Rubicon acquisition which has already made a positive contribution to earnings in the second quarter and strengthens CITATION's future opportunities in the reference laboratory market, (2) the acquisition in London of the Delphi-Phoenix pathology business from Ferranti and the Safeguard Alert software system from Cypher, adding 37 new customers to the United Kingdom base and significantly enhancing CITATION's UK presence, (3) execution of a strategic marketing agreement with Dupont enabling their Diagnostics sales force to market a version of the CITATION LIS in conjunction with their chemistry analyzers, and (4) the signing of a preferred vendor agreement for the company's laboratory information systems with Lutheran Health Systems, a 33-hospital chain.
 In response to inquiries regarding the probable impact of the proposed Clinton Healthcare Reform legislation, Brown stated: "We believe that CITATION will be a winner under healthcare reform. The initial proposals highlight information systems as one of the major areas for change and growth with emphasis on computer networks, a particular area of expertise at CITATION. In addition, CITATION is well- positioned to help address cost containment in healthcare through the strong price/value relationship of its products."
 CITATION is a leading provider of client/server, LAN-based microcomputer information systems to healthcare institutions. It provides laboratory, financial/administrative, and patient care/nursing information systems for hospitals, reference laboratories and nursing homes. The company's systems operate on LANs using Microsoft Windows or DOS, and Novell NetWare 386 operating systems on Intel-based workstations and file servers.
 CITATION Computer Systems, Inc.
 Condensed Summary of Operations
 (Unaudited, in thousands except per share amounts)
 3 mos. ended Sept. 30 1993 1992
 Revenues $5,726 $4,686
 Gross profit 3,069 2,835
 Operating expense 2,337 1,848
 Income before taxes 764 1,016
 Income taxes 292 384
 Net income $ 472 $ 632
 Earnings per share $ .13 $ .23
 Weighted average shares outstanding 3,695 2,725
 6 mos. ended Sept. 30 1993 1992
 Revenues $9,747 $8,910
 Gross profit 5,165 5,323
 Operating expense 4,300 3,584
 Income before taxes 977 1,782
 Income taxes 375 684
 Net income $ 602 $1,098
 Earnings per share $ .16 $ .40
 Weighted average shares outstanding 3,709 2,727
 -0- 10/19/93
 /CONTACT: Kenneth R. Brown, chairman and chief executive officer, or Rick Moore, chief financial officer, CITATION Computer Systems, 314-428-2900/
 (CITA)


CO: CITATION Computer Systems, Inc. ST: Missouri IN: CPR SU: ERN

BR-BN -- AT018 -- 4114 10/19/93 15:28 EDT
COPYRIGHT 1993 PR Newswire Association LLC
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1993 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:PR Newswire
Date:Oct 19, 1993
Words:630
Previous Article:BROWN & CALDWELL TO PROVIDE ENGINEERING, FIELD SERVICES FOR MILITARY CLEAN-UPS
Next Article:TORCHMARK CORPORATION REPORTS THIRD QUARTER EARNINGS
Topics:

Terms of use | Copyright © 2017 Farlex, Inc. | Feedback | For webmasters