NASHVILLE, Tenn., Nov. 8, 2013 /PRNewswire/ — Emdeon Inc., a leading provider of healthcare revenue and payment cycle management and clinical information exchange solutions, today announced financial results for the third quarter ended September 30, 2013 as summarized below:
|(In millions)||3Q 2013||3Q 2012||% Change|
|Net Income (Loss)||$||(16.3)||$||(15.2)||-7.3%|
|Non-GAAP Adjusted EBITDA||$||85.2||$||79.2||7.7%|
“In my first few weeks at Emdeon, I am pleased to find so many opportunities to accelerate our growth trajectory,” said Neil de Crescenzo, president and chief executive officer for Emdeon. “During the third quarter, we continued to see positive momentum as a result of our strategic growth initiatives in sales across all of our lines of business, and in key growth areas such as payment integrity and revenue cycle solutions.”
Third quarter revenue was $323.9 million, an increase of 9.0%, compared to $297.1 for the same period in 2012. Net loss for the third quarter of 2013 was $16.3 million compared to $15.2 million for the same period in 2012. The increase in revenue as compared to the prior year period was primarily due to the impact of business growth, including the June 2013 acquisition of Goold Health Systems. The increase in net loss compared to the same period in 2012 was primarily due to a change in the company’s estimated effective tax rate, partially offset by the impact of business growth and lower interest expense as a result of the repricing of Emdeon’s term debt in April 2013.
Third quarter 2013 Non-GAAP Adjusted EBITDA increased 7.7% to $85.2 million, or 26.3% of revenue, from Non-GAAP Adjusted EBITDA of $79.2 million, or 26.7% of revenue, for the comparable period in 2012. This increase in Adjusted EBITDA as compared to the same period in 2012 is primarily due to business growth, partially offset by increased investments related to sales and other strategic growth initiatives.
A reconciliation of Emdeon’s financial results determined in accordance with U.S. Generally Accepted Accounting Principles (GAAP) to certain non-GAAP financial measures has been provided in the financial statement tables included in this release to supplement its unaudited condensed consolidated financial statements presented on a GAAP basis. An explanation of these non-GAAP measures is also included below under the heading “Explanation of Non-GAAP Financial Measures.”
Emdeon is a leading provider of revenue and payment cycle management and clinical information exchange solutions, connecting payers, providers and patients in the U.S. healthcare system. Emdeon’s offerings integrate and automate key business and administrative functions of its payer and provider customers throughout the patient encounter. Through the use of Emdeon’s comprehensive suite of solutions, which are designed to easily integrate with existing technology infrastructures, customers are able to improve efficiency, reduce costs, increase cash flow and more efficiently manage the complex revenue and payment cycle and clinical information exchange processes. For more information, visit www.emdeon.com.