Allscripts Healthcare Solutions Earnings: Here’s Why Investors are Not Excited Now

Allscripts Healthcare Solutions, Inc. (NASDAQ:MDRX) delivered a profit and beat Wall Street’s expectations, BUT came up short on beating the revenue expectation. The revenue miss is a negative sign to shareholders seeking high growth out of the company. Shares are down 7.56%.

Allscripts Healthcare Solutions, Inc. Earnings Cheat Sheet

Results: Adjusted Earnings Per Share decreased 18.75% to $0.13 in the quarter versus EPS of $0.16 in the year-earlier quarter.

Revenue: Decreased 6.8% to $344.8 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: Allscripts Healthcare Solutions, Inc. reported adjusted EPS income of $0.13 per share. By that measure, the company beat the mean analyst estimate of $0.1. It missed the average revenue estimate of $357.22 million.

Quoting Management: “We achieved important milestones this quarter that strengthen Allscripts long-term market position,” said Paul M. Black, President and Chief Executive Officer of Allscripts. “While we have important work ahead of us to return Allscripts to sustainable, predictable top-line growth and improved profitability, this quarter’s achievements are certainly encouraging.”

Key Stats (on next page)…

Revenue decreased 0.65% from $347.07 million in the previous quarter. EPS increased 44.44% from $0.09 in the previous quarter.

Looking Forward: Analysts have a more negative outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings has fallen from a profit of $0.16 to a profit $0.14. For the current year, the average estimate has moved down from a profit of $0.57 to a profit of $0.48 over the last ninety days.

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(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at] wallstcheatsheet.com)

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