Company Announces Regular Quarterly Cash Dividend of
Highlights:
The Company also announced that its Board of Directors has declared a
regular quarterly cash dividend of
Total revenues for the first quarter ended
CPSI’s 12-month backlog as of
A listen-only simulcast and replay of CPSI’s first quarter 2014
conference call will be available on-line at the Company’s website, www.cpsi.com,
on
About
CPSI
is a leading provider of electronic health records systems for more than
650 community, rural and critical access hospitals and their 12,000
providers. Founded in 1979, the Company is dedicated to meeting the
ever-changing needs of health IT, while optimizing the quality of care
for communities in 46 states and the
This press release contains forward-looking statements within the
meaning of the “safe harbor” provisions of the Private Securities
Litigation Reform Act of 1995. These forward-looking statements can be
identified generally by the use of forward-looking terminology and words
such as “expects,” “anticipates,” “estimates,” “believes,” “predicts,”
“intends,” “plans,” “potential,” “may,” “continue,” “should,” “will” and
words of comparable meaning. Without limiting the generality of the
preceding statement, all statements in this press release relating to
estimated and projected earnings, margins, costs, expenditures, cash
flows, growth rates and future financial results are forward-looking
statements. We caution investors that any such forward-looking
statements are only predictions and are not guarantees of future
performance. Certain risks, uncertainties and other factors may cause
actual results to differ materially from those projected in the
forward-looking statements. Such factors may include: overall business
and economic conditions affecting the healthcare industry; government
regulation of the healthcare and health insurance industries; government
regulation of our products and customers, including changes in
healthcare policy affecting
Unaudited Condensed Consolidated Statements of Income (in thousands, except per share data) |
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Three Months Ended |
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2014 | 2013 | ||||||||||||
Sales revenues: | |||||||||||||
System sales | $ | 20,453 | $ | 20,722 | |||||||||
Support and maintenance | 18,245 | 17,677 | |||||||||||
Business management, consulting and managed IT services | 13,396 | 11,150 | |||||||||||
Total sales revenues | 52,094 | 49,549 | |||||||||||
Cost of sales: | |||||||||||||
System sales | 11,193 | 13,251 | |||||||||||
Support and maintenance | 7,374 | 7,239 | |||||||||||
Business management, consulting and managed IT services | 9,092 | 6,940 | |||||||||||
Total cost of sales | 27,659 | 27,430 | |||||||||||
Gross profit | 24,435 | 22,119 | |||||||||||
Operating expenses: | |||||||||||||
Sales and marketing | 3,964 | 3,576 | |||||||||||
General and administrative | 8,484 | 8,434 | |||||||||||
Total operating expenses | 12,448 | 12,010 | |||||||||||
Operating income | 11,987 | 10,109 | |||||||||||
Other (expense) income | (41 | ) | 137 | ||||||||||
Income before taxes | 11,946 | 10,246 | |||||||||||
Provision for income taxes | 4,231 | 3,302 | |||||||||||
Net income | $ | 7,715 | $ | 6,944 | |||||||||
Basic earnings per share | $ | 0.69 | $ | 0.63 | |||||||||
Diluted earnings per share | $ | 0.69 | $ | 0.63 | |||||||||
Weighted average shares outstanding: | |||||||||||||
Basic | 11,163 | 11,078 | |||||||||||
Diluted | 11,163 | 11,078 | |||||||||||
Condensed Consolidated Balance Sheets (in thousands) |
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(Unaudited) | ||||||||||||
ASSETS | ||||||||||||
Current assets: | ||||||||||||
Cash and cash equivalents | $ | 18,549 | $ | 11,729 | ||||||||
Investments | 10,705 | 10,703 | ||||||||||
Accounts receivable, net of allowance for doubtful accounts of
|
24,448 | 20,076 | ||||||||||
Financing receivables, current portion, net | 24,006 | 25,387 | ||||||||||
Inventories | 1,476 | 1,589 | ||||||||||
Deferred tax assets | 2,918 | 2,366 | ||||||||||
Prepaid expenses and other | 935 | 901 | ||||||||||
Total current assets | 83,037 | 72,751 | ||||||||||
Financing receivables, net of current portion | 593 | 551 | ||||||||||
Property and equipment, net | 18,381 | 19,232 | ||||||||||
Total assets | $ | 102,011 | $ | 92,534 | ||||||||
LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||||||||||
Current liabilities: | ||||||||||||
Accounts payable | $ | 2,871 | $ | 3,214 | ||||||||
Deferred revenue | 10,568 | 9,581 | ||||||||||
Accrued vacation | 4,087 | 3,695 | ||||||||||
Income taxes payable | 6,058 | 797 | ||||||||||
Other accrued liabilities | 5,689 | 4,164 | ||||||||||
Total current liabilities | 29,273 | 21,451 | ||||||||||
Deferred tax liabilities | 1,519 | 2,001 | ||||||||||
Stockholders’ equity: | ||||||||||||
Common stock, par value |
11 | 11 | ||||||||||
Additional paid-in capital | 35,383 | 34,644 | ||||||||||
Accumulated other comprehensive income | 58 | 11 | ||||||||||
Retained earnings | 35,767 | 34,416 | ||||||||||
Total stockholders’ equity | 71,219 | 69,082 | ||||||||||
Total liabilities and stockholders’ equity | $ | 102,011 | $ | 92,534 | ||||||||
Unaudited Other Supplemental Information (In thousands) |
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The following table summarizes cash flow and free cash flow for the Company: |
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Three Months Ended |
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2014 | 2013 | |||||||||||||
Cash Flow Information | ||||||||||||||
Net cash provided by operating activities | $ | 13,158 | $ | 5,522 | ||||||||||
Net cash used in investing activities | (6 | ) | (1,998 | ) | ||||||||||
Net cash used in financing activities | (6,331 | ) | (5,632 | ) | ||||||||||
Free |
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Net cash provided by operating activities | $ | 13,158 | $ | 5,522 | ||||||||||
Less: Purchases of capital assets | (79 | ) | (1,998 | ) | ||||||||||
Free cash flow | $ | 13,079 | $ | 3,524 | ||||||||||
Free cash flow is a non-GAAP financial measure which CPSI defines as net cash provided by operating activities less purchases of capital assets. The most directly comparable GAAP financial measure is net cash provided by operating activities. The Company believes free cash flow is a useful measure of performance and uses this measure as an indication of the financial resources of the Company and its ability to generate cash.
President
and Chief Executive Officer
Source: