Cerner Corp. Earnings: Five Straight Quarters of Double-Digit Growth

S&P 500 (NYSE:SPY) component Cerner Corporation (NASDAQ:CERN) reported net income above Wall Street’s expectations for the fourth quarter. Cerner Corporation designs and supports healthcare devices, healthcare information technology, and content solutions for organizations and consumers.

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Cerner Earnings Cheat Sheet for the Fourth Quarter

Results: Net income for the healthcare information services company rose to $91.2 million (52 cents per share) vs. $70.6 million (41 cents per share) in the same quarter a year earlier. This marks a rise of 29.1% from the year earlier quarter.

Revenue: Rose 23.1% to $615.6 million from the year earlier quarter.

Actual vs. Wall St. Expectations: Cerner Corporation reported adjusted net income of 55 cents per share. By that measure, the company beat the mean estimate of 50 cents per share. It beat the average revenue estimate of $586.8 million.

Quoting Management: “We delivered outstanding results in Q4 and for the year 2011, including record bookings, revenue, earnings and cash flow,” Neal Patterson, Cerner chairman, CEO, president and co-founder said. “We expect to continue to see a strong market for health care IT solutions and services for years to come as the health care industry undergoes a transition from paper to digital records and shifts from volume-based payment programs to programs based on measurements of quality and outcomes.”

Key Stats:

The company has now seen net income rise in three straight quarters. In the third quarter, net income rose 29.5% and in the second quarter, the figure rose 29.9%.

Revenue has risen the past four quarters. Revenue increased 23.5% to $571.6 million in the third quarter. The figure rose 15% in the second quarter from the year earlier and climbed 14% in the first quarter from the year-ago quarter.

The company beat estimates last quarter after being in line with expectations in the third quarter with net income of 45 cents per share.

Looking Forward: Expectations for the first quarter of the next fiscal year have not changed from 46 cents. The average estimate for the fiscal year has remained at $1.74 per share.

(Company fundamentals provided by Xignite Financials. Earnings estimates provided by Zacks)

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To contact the reporter on this story: Derek Hoffman at staff.writers@wallstcheatsheet.com

To contact the editor responsible for this story: Damien Hoffman at editors@wallstcheatsheet.com