This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Athenahealth, Inc. Reports Second Quarter Fiscal Year 2013 Results

Q2 2013 Financial Results
  • 41% Revenue Growth Over Second Quarter of 2012
  • Non-GAAP Adjusted Operating Income of $11.2 million
  • GAAP Tax Provision of $7.3 million
  • GAAP Net Loss of $12.4 million or $0.34 Per Diluted Share
  • Non-GAAP Adjusted Net Loss of $3.1 million, or $0.08 Per Diluted Share

WATERTOWN, Mass., July 18, 2013 (GLOBE NEWSWIRE) -- athenahealth, Inc. (Nasdaq:ATHN) (the "Company," "we," or "athenahealth"), a leading provider of cloud-based electronic health record ( EHR), practice management, and care coordination services to medical groups and health systems, today announced financial and operational results for the second quarter of fiscal year 2013. The Company will conduct a conference call tomorrow July 19, 2013, at 8:00 a.m. Eastern Time to discuss these results and management's outlook for future financial and operational performance.
  • Total revenue for the three months ended June 30, 2013, was $146.3 million, compared to $103.5 million in the same period last year, an increase of 41%.
  • Excluding the Epocrates revenue of $14.6 million and other revenue consisting of third-party tenant revenue of $2.2 million, core athenahealth revenue was $129.5 million, an increase of 25% over Q2 2012.
  • For the three months ended June 30, 2013, GAAP Net Loss was $12.4 million, or $0.34 per diluted share, compared to GAAP Net Income of $4.2 million, or $0.11 per diluted share, in the same period last year.  
  • For the three months ended June 30, 2013, Non-GAAP Adjusted Net Loss was $3.1 million, or $0.08 per diluted share, down from Non-GAAP Adjusted Net Income of $9.0 million, or $0.24 per diluted share, in the same period last year.
  • Non-GAAP Adjusted Net Loss per Diluted Share of $0.08 was impacted by a $7.3 million GAAP tax provision as the significant GAAP tax benefit we recorded for the three months ended March 31, 2013 started to reverse during the three months ended June 30, 2013.  
  • We expect our full year 2013 Non-GAAP tax provision will be approximately 43% and our cash taxes paid to be approximately $2 million.

"The fruits of our labor are showing. This past quarter we delivered meaningful achievements that are immensely important to the future of our business. We added Ascension Health - the largest non-profit health system in the country - to our client list. This milestone shows that the values of the cloud are universal across provider groups of all sizes," said Jonathan Bush, the Company's Chairman and Chief Executive Officer. "Likewise, athenaClinicals was recognized as the 'most usable' EHR in the ambulatory space and our work with Epocrates moves forward, setting the future of our mobile vision. Finally, we keep growing, not only across the network, but across the various locations from which our teams work."
  • For the three months ended June 30, 2013, Non-GAAP Adjusted Gross Margin was 62.4%, down from 62.6% in the same period last year, as the Company continues to invest in its service offerings.  
  • For the three months ended June 30, 2013, Non-GAAP Adjusted Operating Income of $11.2 million, or 7.6% of total revenue, decreased 25% from Non-GAAP Adjusted Operating Income of $14.8 million, or 14.3% of total revenue, in the same period last year. This decrease reflects our continued investment in growth and innovation and depreciation related to our capital expenditure investments. 
  • Non-GAAP Adjusted Operating Income excludes $2.5 million of integration and transaction costs relating to the acquisition of Epocrates, Inc. which closed on March 12, 2013, and the purchase of the Arsenal on the Charles campus in Watertown, Massachusetts which closed on May 10, 2013.  
  • Non-GAAP Adjusted Operating Income also excludes a $2.5 million gain relating to the early termination of the Arsenal lease.
  • As of June 30, 2013, the Company had cash and cash equivalents of $33.6 million and outstanding indebtedness of $246.3 million.

"Halfway through the year, we are tracking well against our corporate scorecard which includes value-driving financial and operational metrics," said Tim Adams, the Company's Chief Financial Officer. "While Q2 2013 GAAP Total Revenue and Non-GAAP Adjusted Net Income per Diluted Share came in modestly below our plan, we are very pleased the quarter was highlighted by record physicians adds, the signing of the largest deal in our company's history and continued progress consolidating the Epocrates and Arsenal acquisitions."

1 of 3

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
AAPL $93.74 0.00%
FB $117.58 0.00%
GOOG $693.01 0.00%
TSLA $240.76 0.00%
YHOO $36.60 0.00%


Chart of I:DJI
DOW 17,773.64 -57.12 -0.32%
S&P 500 2,065.30 -10.51 -0.51%
NASDAQ 4,775.3580 -29.9330 -0.62%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs