Allscripts Announces Fourth Quarter and Fiscal Year 2021 Results
- Fourth quarter GAAP diluted EPS of $0.68; non-GAAP diluted EPS of $0.79
- Fourth quarter bookings of $219 million up 21% from the fourth quarter of 2020
- Generated $66 million of cash flow from continuing operations in the quarter
CHICAGO–(BUSINESS WIRE)–$MDRX–Allscripts Healthcare Solutions, Inc. (Nasdaq: MDRX) (Allscripts) announced its financial results for the three and twelve months ended December 31, 2021.
Bookings(1) were $219 million in the fourth quarter of 2021. This result compares with $181 million in the fourth quarter of 2020. Contract revenue backlog totaled $3.8 billion as of December 31, 2021.
Fourth quarter 2021 revenue was $392 million compared with $386 million in the fourth quarter of 2020.
On a GAAP basis in the fourth quarter of 2021, income from operations was $41 million compared with a loss from operations in the fourth quarter of 2020 of $68 million. Non-GAAP income from operations in the fourth quarter of 2021 was $65 million compared with $47 million in the fourth quarter of 2020.
GAAP net income in the fourth quarter of 2021 totaled $87 million compared with $728 million in the fourth quarter of 2020. GAAP net income in the fourth quarter of 2020 included the gain on sale from the divestiture of two businesses, which contributed a combined $793 million to net income. Non-GAAP net income in the fourth quarter of 2021 was $99 million compared with $31 million in the fourth quarter of 2020.
GAAP diluted earnings per share in the fourth quarter of 2021 were $0.68 compared with $4.82 in the fourth quarter of 2020. GAAP diluted earnings per share in the fourth quarter 2020 included the gain on sale from the divestiture of two businesses, which contributed a combined $5.25 to earnings per share. Non-GAAP diluted earnings per share in the fourth quarter of 2021 was $0.79 compared with $0.20 in the fourth quarter of 2020.
Adjusted EBITDA totaled $94 million in the fourth quarter of 2021, compared with $77 million in the fourth quarter of 2020. For the full year ended December 31, 2021, GAAP income from operations was $77 million compared to a loss of $131 million for 2020 and Adjusted EBITDA was $301 million compared to $225 million in 2020.
For the full year ended December 31, 2021, cash flow from continuing operations was $248 million compared with $12 million in 2020, and free cash flow for the full year 2021 was $170 million compared with ($93 million) in 2020.
Stock repurchases totaled $108 million in the fourth quarter. As previously announced, a new share repurchase program approved by the Board of Directors allows Allscripts to purchase up to $250 million of its common stock and does not have a termination date.
“Allscripts delivered another strong quarter, reporting significant year-over-year growth in bookings, operating income, Adjusted EBITDA, and free cash flow. 2021 was a year of forward momentum for our company, as we made considerable, positive gains winning with our clients, shareholders, and talent,” said Paul M. Black, Allscripts Chief Executive Officer. “As we look ahead, we will continue to drive meaningful outcomes for our clients, improved margins, and free cash flow generation.”
2022 Financial Outlook(2)
For the full year 2022, Allscripts currently expects to achieve:
- Consolidated free cash flow from continuing operations between $165 million and $175 million
- Consolidated revenue growth of 1% to 2%
Conference Call
Allscripts will conduct a conference call today, Thursday, February 24th, 2022, at 4:30 PM Eastern Time to discuss its earnings release and other information. Participants may access the conference call via webcast at http://investor.allscripts.com. Participants also may access the conference call by dialing +1 (877) 269-7756 or +1 (201) 689-7817 (international) and requesting Conference ID # 13726412.
A replay of the call will be available approximately two hours after the conclusion of the call, for a period of four weeks, on the Allscripts Investor Relations website or by calling +1 (877) 660-6853 or +1 (201) 612-7415 – Conference ID # 13726412.
Supplemental and non-GAAP financial information is also available at http://investor.allscripts.com.
Footnotes
|
(1) |
Bookings reflect the value of executed contracts for software, hardware and other client services on a continuing operations basis. |
|
|
(2) |
In providing financial guidance, the company does not reconcile Adjusted EBITDA and free cash flow to the corresponding GAAP financial measures. Allscripts does not provide guidance for the various reconciling items since certain items that impact GAAP net operating income and operating cash flow such as acquisition-related amortization, asset impairment charges and restructuring and other costs, any of which may be significant, are outside of its control and/or cannot be reasonably predicted. Please see the “Explanation of Non-GAAP Financial Measures” at the end of this press release for detailed information on calculating non-GAAP measures. For a reconciliation of other non-GAAP financial measures, see the non-GAAP financial reconciliation tables in this release (Tables 4, 5 and 6). |
NOTE: All percentage changes described within this press release are calculated from full dollar amounts as illustrated in the accompanying financial statements and Allscripts Supplemental Financial Data Workbook, posted on the Investor Relations website. Rounding differences may occur when individually calculating percentages or totals from rounded amounts included within the press release body compared to full dollar amounts in the tables.
About Allscripts
Allscripts (Nasdaq: MDRX) is a leader in healthcare information technology solutions that advance clinical, financial and operational results. Our innovative solutions connect people, places and data across an Open, Connected Community of Health™. Connectivity empowers caregivers to make better decisions and deliver better care for healthier populations. To learn more, visit www.allscripts.com, Twitter, YouTube and It Takes A Community: The Allscripts Blog.
© 2022 Allscripts Healthcare, LLC and/or its affiliates. All Rights Reserved.
Allscripts, the Allscripts logo, and other Allscripts marks are trademarks of Allscripts Healthcare, LLC and/or its affiliates. All other products are trademarks of their respective holders, all rights reserved. Reference to these products is not intended to imply affiliation with or sponsorship of Allscripts Healthcare, LLC and/or its affiliates.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including statements regarding our 2022 outlook, profitability initiatives, strategic priorities and client outcomes. These forward-looking statements are based on the current beliefs and expectations of Allscripts management, only speak as of the date that they are made and are subject to significant risks and uncertainties. Such statements can be identified by the use of words such as “future,” “anticipates,” “believes,” “estimates,” “expects,” “intends,” “plans,” “predicts,” “will,” “would,” “could,” “can,” “may,” “look forward,” “pipeline” and similar terms. Actual results could differ significantly from those set forth in the forward-looking statements, and reported results should not be considered an indication of future performance or events.
Certain factors that could cause our actual results to differ materially from those described in the forward-looking statements include, but are not limited to: our ability to achieve the margin targets associated with our margin improvement initiatives within the contemplated time periods, if at all; the magnitude, severity and duration of the COVID-19 pandemic, including the impacts of the pandemic, along with the impacts of our responses and the responses by governments and other businesses to the pandemic, on our business, our employees, our clients and our suppliers; security breaches resulting in unauthorized access to our or our clients’ computer systems or data, including denial-of-services, ransomware or other Internet-based attacks; the failure by Practice Fusion to comply with the terms of the settlement agreements with the U.S. Department of Justice (the “DOJ”); the costs and burdens of compliance by Practice Fusion with the terms of its settlement agreements with the DOJ; additional investigations and proceedings from governmental entities or third parties other than the DOJ related to the same or similar conduct underlying the DOJ’s investigations into Practice Fusion’s business practices; our ability to recover from third parties (including insurers) any amounts paid in connection with Practice Fusion’s settlement agreements with the DOJ and related inquiries; the expected financial results of businesses acquired by us; the successful integration of businesses acquired by us; the anticipated and unanticipated expenses and liabilities related to businesses acquired by us, including the civil investigation by the U.S. Attorney’s Office involving our Enterprise Information Solutions business; our failure to compete successfully; consolidation in our industry; current and future laws, regulations and industry initiatives; increased government involvement in our industry; the failure of markets in which we operate to develop as quickly as expected; our or our customers’ failure to see the benefits of government programs; changes in interoperability or other regulatory standards; our ability to maintain and expand our business with existing clients or effectively transition clients to newer products; the effects of the realignment of our sales, services and support organizations; market acceptance of our products and services; the unpredictability of the sales and implementation cycles for our products and services; our ability to manage future growth; our ability to introduce new products and services; our ability to establish and maintain strategic relationships; risks associated with investments and acquisitions; the performance of our products; our ability to protect our intellectual property rights; the outcome of legal proceedings involving us; our ability to hire, retain and motivate key personnel; performance by our content and service providers; liability for use of content; price reductions; our ability to license and integrate third-party technologies; risks related to global operations; variability of our quarterly operating results; risks related to our outstanding indebtedness; changes in tax rates or laws; business disruptions; our ability to maintain proper and effective internal controls; and asset and long-term investment impairment charges. Additional information about these and other risks, uncertainties, and factors affecting our business is contained in our filings with the Securities and Exchange Commission, including under the caption “Risk Factors” in our most recent Annual Report on Form 10-K and subsequent Quarterly Reports on Form 10-Qs. We do not undertake to update forward-looking statements to reflect changed assumptions, the impact of circumstances or events that may arise after the date of the forward-looking statements, or other changes in our business, financial condition or operating results over time.
| Table 1 | ||||
| Allscripts Healthcare Solutions, Inc. | ||||
| Condensed Consolidated Balance Sheets | ||||
| (In millions) | ||||
| (Unaudited) | ||||
| December 31, | December 31, | |||
|
2021 |
2020 |
|||
| ASSETS | ||||
| Current assets: | ||||
| Cash and cash equivalents |
$188.3 |
$531.1 |
||
| Restricted cash |
2.2 |
6.4 |
||
| Accounts receivable, net |
327.1 |
347.3 |
||
| Contract assets |
124.8 |
106.7 |
||
| Income tax receivable |
0.0 |
25.4 |
||
| Prepaid expenses and other current assets |
118.9 |
136.3 |
||
| Total current assets |
$761.3 |
$1,153.2 |
||
| Fixed assets, net |
47.9 |
72.2 |
||
| Software development costs, net |
172.1 |
193.2 |
||
| Intangible assets, net |
235.9 |
286.6 |
||
| Goodwill |
974.5 |
974.7 |
||
| Deferred taxes, net |
6.6 |
5.8 |
||
| Contract assets – long-term |
56.8 |
43.7 |
||
| Right-of-use assets – operating leases |
68.9 |
96.6 |
||
| Other assets |
101.2 |
91.6 |
||
| Total assets |
$2,425.2 |
$2,917.6 |
||
| LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||
| Current liabilities: | ||||
| Accounts payable |
$16.9 |
$35.9 |
||
| Accrued expenses |
92.5 |
100.2 |
||
| Accrued compensation and benefits |
92.2 |
118.8 |
||
| Deferred revenue |
325.9 |
334.8 |
||
| Current operating lease liabilities |
19.6 |
22.3 |
||
| Current liabilities attributable to discontinued operations |
0.0 |
322.8 |
||
| Total current liabilities |
547.1 |
934.8 |
||
| Long-term debt |
350.1 |
167.6 |
||
| Deferred revenue |
4.4 |
3.4 |
||
| Deferred taxes, net |
16.6 |
18.2 |
||
| Long-term operating lease liabilities |
64.8 |
93.5 |
||
| Other liabilities |
34.1 |
33.9 |
||
| Total liabilities |
$1,017.1 |
$1,251.4 |
||
| Total stockholders’ equity |
$1,408.1 |
$1,666.2 |
||
| Total liabilities and stockholders’ equity |
$2,425.2 |
$2,917.6 |
||
| Table 2 | ||||||||||||
| Allscripts Healthcare Solutions, Inc. | ||||||||||||
| Condensed Consolidated Statements of Operations | ||||||||||||
| (In millions, except per share amounts) | ||||||||||||
| (Unaudited) | ||||||||||||
| Three Months Ended December 31, | Twelve Months Ended December 31, | |||||||||||
|
2021 |
2020 |
2021 |
2020 |
|||||||||
| Revenue: | ||||||||||||
| Software delivery, support and maintenance |
$245.3 |
|
$243.6 |
|
$916.1 |
|
$923.7 |
|
||||
| Client services |
146.4 |
|
142.8 |
|
586.9 |
|
579.0 |
|
||||
| Total revenue |
391.7 |
|
386.4 |
|
1,503.0 |
|
1,502.7 |
|
||||
| Cost of revenue: | ||||||||||||
| Software delivery, support and maintenance |
69.9 |
|
71.3 |
|
278.4 |
|
288.1 |
|
||||
| Client services |
123.5 |
|
123.9 |
|
486.3 |
|
530.5 |
|
||||
| Amortization of software development and acquisition-related assets (a) |
29.3 |
|
30.2 |
|
118.7 |
|
118.4 |
|
||||
| Total cost of revenue |
222.7 |
|
225.4 |
|
883.4 |
|
937.0 |
|
||||
| Gross profit |
169.0 |
|
161.0 |
|
619.6 |
|
565.7 |
|
||||
| Selling, general and administrative expenses |
74.2 |
|
93.8 |
|
313.8 |
|
389.9 |
|
||||
| Research and development |
47.8 |
|
54.3 |
|
193.7 |
|
206.1 |
|
||||
| Asset impairment charges |
0.0 |
|
74.7 |
|
11.8 |
|
75.0 |
|
||||
| Amortization of intangible and acquisition-related assets |
5.6 |
|
6.3 |
|
23.1 |
|
25.6 |
|
||||
| Income (loss) from operations |
41.4 |
|
(68.1 |
) |
77.2 |
|
(130.9 |
) |
||||
| Interest expense, net (b) |
(3.2 |
) |
(6.1 |
) |
(12.1 |
) |
(32.4 |
) |
||||
| Other |
67.0 |
|
(0.6 |
) |
96.7 |
|
14.0 |
|
||||
| Income (loss) before income taxes |
105.2 |
|
(74.8 |
) |
161.8 |
|
(149.3 |
) |
||||
| Income tax (provision) benefit |
(17.9 |
) |
10.1 |
|
(27.9 |
) |
16.7 |
|
||||
| Income (loss) from continuing operations, net of tax |
87.3 |
|
(64.7 |
) |
133.9 |
|
(132.6 |
) |
||||
| Income (loss) from discontinued operations |
0.0 |
|
16.8 |
|
0.0 |
|
71.4 |
|
||||
| Gain (loss) on sale of discontinued operations |
0.0 |
|
1,156.5 |
|
0.6 |
|
1,156.5 |
|
||||
| Income tax (provision) from discontinued operations |
0.0 |
|
(380.8 |
) |
(0.1 |
) |
(394.9 |
) |
||||
| Income (loss) from discontinued operations, net of tax |
0.0 |
|
792.5 |
|
0.5 |
|
833.0 |
|
||||
| Net Income (loss) attributable to Allscripts Healthcare Solutions, Inc. stockholders |
$87.3 |
|
$727.8 |
|
$134.4 |
|
$700.4 |
|
||||
| Income (loss) from continuing operations per share – basic |
$0.73 |
|
($0.43 |
) |
$1.03 |
|
($0.83 |
) |
||||
| Income (loss) from discontinued operations per share – basic |
$0.00 |
|
$5.25 |
|
$0.00 |
|
$5.23 |
|
||||
| Income (loss) per share – basic |
$0.73 |
|
$4.82 |
|
$1.03 |
|
$4.40 |
|
||||
| Income (loss) from continuing operations per share – diluted |
$0.68 |
|
($0.43 |
) |
$0.97 |
|
($0.83 |
) |
||||
| Income (loss) from discontinued operations per share – diluted |
$0.00 |
|
$5.25 |
|
$0.00 |
|
$5.23 |
|
||||
| Income (loss) per share – diluted |
$0.68 |
|
$4.82 |
|
$0.97 |
|
$4.40 |
|
||||
| Weighted average common shares outstanding: | ||||||||||||
| Basic |
120.1 |
|
150.9 |
|
130.1 |
|
159.3 |
|
||||
| Diluted |
127.8 |
|
150.9 |
|
138.7 |
|
159.3 |
|
||||
| Three Months Ended December 31, | Twelve Months Ended December 31, | |||||||||||
|
2021 |
2020 |
2021 |
2020 |
|||||||||
| (a) Amortization of software development and acquisition-related assets includes: | ||||||||||||
| Amortization of capitalized software development costs |
22.5 |
|
22.7 |
|
91.3 |
|
86.3 |
|
||||
| Amortization of acquisition-related intangible assets |
6.8 |
|
7.5 |
|
27.4 |
|
32.1 |
|
||||
| Total amortization of software development and acquisition-related assets |
$29.3 |
|
$30.2 |
|
$118.7 |
|
$118.4 |
|
||||
| (b) Interest expense, net is comprised of the following for the periods presented: | ||||||||||||
| Interest expense |
(1.6 |
) |
(4.0 |
) |
(5.7 |
) |
(18.1 |
) |
||||
| Interest income |
0.3 |
|
0.3 |
|
1.1 |
|
1.7 |
|
||||
| Non-cash charges to interest expense |
(1.9 |
) |
(2.4 |
) |
(7.5 |
) |
(16.0 |
) |
||||
| Interest expense, net |
($3.2 |
) |
($6.1 |
) |
($12.1 |
) |
($32.4 |
) |
||||
| Table 3 | ||||||||||||
| Allscripts Healthcare Solutions, Inc. | ||||||||||||
| Condensed Consolidated Statements of Cash Flows | ||||||||||||
| (In millions) | ||||||||||||
| (Unaudited) | ||||||||||||
| Three Months Ended December 31, | Twelve Months Ended December 31, | |||||||||||
|
2021 |
2020 |
2021 |
2020 |
|||||||||
| Cash flows from operating activities: | ||||||||||||
| Net income (loss) |
$87.3 |
|
$727.8 |
|
$134.4 |
|
$700.4 |
|
||||
| Less: Income(loss) from discontinued operations |
0.0 |
|
792.5 |
|
0.5 |
|
833.0 |
|
||||
| Income (loss) from continuing operations |
$87.3 |
|
($64.7 |
) |
$133.9 |
|
($132.6 |
) |
||||
| Non-cash adjustments to net income (loss): | ||||||||||||
| Depreciation and amortization |
43.1 |
|
46.4 |
|
176.1 |
|
192.3 |
|
||||
| Non-cash lease expense, net |
(0.8 |
) |
0.9 |
|
(3.8 |
) |
1.4 |
|
||||
| Stock-based compensation expense |
9.3 |
|
8.1 |
|
35.2 |
|
34.0 |
|
||||
| Deferred Taxes |
(0.4 |
) |
(6.2 |
) |
(2.1 |
) |
(3.3 |
) |
||||
| Impairment of assets and long-term investments |
0.0 |
|
74.7 |
|
11.8 |
|
76.6 |
|
||||
| Gain on sale of businesses, net |
0.0 |
|
0.0 |
|
(8.4 |
) |
0.0 |
|
||||
| Other (income) loss, net |
(61.4 |
) |
(4.9 |
) |
(70.9 |
) |
(23.1 |
) |
||||
| Total non-cash adjustments to net income (loss) |
(10.2 |
) |
119.0 |
|
137.9 |
|
277.9 |
|
||||
| Cash impact of changes in operating assets and liabilities: | ||||||||||||
| Assets |
(0.3 |
) |
(63.9 |
) |
12.8 |
|
0.7 |
|
||||
| Liabilities |
(10.5 |
) |
65.2 |
|
(36.3 |
) |
13.5 |
|
||||
| Accrued DOJ settlement |
0.0 |
|
(58.4 |
) |
0.0 |
|
(147.2 |
) |
||||
| Total cash impact of changes on operating assets and liabilities |
(10.8 |
) |
(57.1 |
) |
(23.5 |
) |
(133.0 |
) |
||||
| Net cash provided by (used in) operating activities – Continuing operations |
66.3 |
|
(2.8 |
) |
248.3 |
|
12.3 |
|
||||
| Net cash provided by (used in) operating activities – Discontinued operations |
(1.2 |
) |
(175.8 |
) |
(323.7 |
) |
(119.0 |
) |
||||
| Net cash provided by (used in) operating activities |
65.1 |
|
(178.6 |
) |
(75.4 |
) |
(106.7 |
) |
||||
| Cash flows from investing activities: | ||||||||||||
| Capital expenditures |
(0.7 |
) |
(9.2 |
) |
(5.3 |
) |
(17.0 |
) |
||||
| Capitalized software |
(17.8 |
) |
(16.3 |
) |
(73.3 |
) |
(88.0 |
) |
||||
| Sale of businesses and other investments, net of cash divested and distributions received |
61.2 |
|
1,710.0 |
|
68.8 |
|
1,734.9 |
|
||||
| Purchases of equity securities, other investments and related intangible assets, net |
0.0 |
|
(3.2 |
) |
(2.4 |
) |
(7.1 |
) |
||||
| Cash provided by (used in) investing activities – Continuing Operations |
42.7 |
|
1,681.3 |
|
(12.2 |
) |
1,622.8 |
|
||||
| Cash provided by (used in) investing activities – Discontinued Operations |
0.0 |
|
(1.2 |
) |
0.0 |
|
(7.6 |
) |
||||
| Net cash provided by (used in) investing activities |
42.7 |
|
1,680.1 |
|
(12.2 |
) |
1,615.2 |
|
||||
| Cash flows from financing activities: | ||||||||||||
| Taxes paid related to net share settlement of equity awards |
(0.1 |
) |
(0.4 |
) |
(14.0 |
) |
(5.9 |
) |
||||
| Payments for issuance costs on 0.875% Convertible Senior Notes |
0.0 |
|
0.0 |
|
0.0 |
|
(0.8 |
) |
||||
| Repayment of Convertible Senior Notes |
0.0 |
|
0.0 |
|
0.0 |
|
(352.3 |
) |
||||
| Credit facility payments |
(25.0 |
) |
(1,140.0 |
) |
(75.0 |
) |
(1,315.0 |
) |
||||
| Credit facility borrowings, net of issuance costs |
0.0 |
|
230.0 |
|
250.0 |
|
903.6 |
|
||||
| Repurchase of common stock |
(108.5 |
) |
(279.6 |
) |
(417.5 |
) |
(334.9 |
) |
||||
| Payment of acquisition and other financing obligations |
0.0 |
|
0.0 |
|
(2.4 |
) |
(4.4 |
) |
||||
| Net cash provided by (used in) financing activities |
(133.6 |
) |
(1,190.0 |
) |
(258.9 |
) |
(1,109.7 |
) |
||||
| Effect of exchange rate changes on cash and cash equivalents |
0.0 |
|
1.1 |
|
(0.5 |
) |
1.2 |
|
||||
| Net increase (decrease) in cash and cash equivalents |
(25.8 |
) |
312.6 |
|
(347.0 |
) |
400.0 |
|
||||
| Cash, cash equivalents and restricted cash, beginning of period |
216.3 |
|
224.9 |
|
537.5 |
|
137.5 |
|
||||
| Cash, cash equivalents and restricted cash, end of period |
$190.5 |
|
$537.5 |
|
$190.5 |
|
$537.5 |
|
||||
| Table 4 | |||||||||||
| Allscripts Healthcare Solutions, Inc. | |||||||||||
| Condensed Non-GAAP Financial Information | |||||||||||
| (In millions, except per share amounts and percentages) | |||||||||||
| (Unaudited) | |||||||||||
| Three Months Ended December 31, | Twelve Months Ended December 31, | ||||||||||
|
2021 |
2020 |
2021 |
2020 |
||||||||
| Gross profit, as reported |
$169.0 |
|
$161.0 |
|
$619.6 |
|
$565.7 |
|
|||
| Acquisition-related amortization |
6.8 |
|
7.5 |
|
27.4 |
|
32.1 |
|
|||
| Stock-based compensation expense |
1.4 |
|
1.5 |
|
5.6 |
|
6.0 |
|
|||
| Restructuring and other |
0.0 |
|
(0.1 |
) |
0.0 |
|
2.8 |
|
|||
| Total non-GAAP gross profit |
$177.2 |
|
$169.9 |
|
$652.6 |
|
$606.6 |
|
|||
| Income (loss) from operations, as reported |
$41.4 |
|
($68.1 |
) |
$77.2 |
|
($130.9 |
) |
|||
| Acquisition-related amortization |
12.5 |
|
13.8 |
|
50.6 |
|
57.8 |
|
|||
| Stock-based compensation expense |
11.0 |
|
9.5 |
|
43.5 |
|
38.4 |
|
|||
| Restructuring and other |
0.0 |
|
91.5 |
|
(0.0 |
) |
141.2 |
|
|||
| Total non-GAAP income from operations |
$64.9 |
|
$46.7 |
|
$171.3 |
|
$106.5 |
|
|||
| Net income (loss) attributable to Allscripts Healthcare Solutions, Inc. stockholders, as reported |
$87.3 |
|
$727.8 |
|
$134.4 |
|
$700.4 |
|
|||
| Loss (income) from discontinued operations |
0.0 |
|
(16.8 |
) |
0.0 |
|
(71.4 |
) |
|||
| (Gain) on sale of business, net from discontinued operations |
0.0 |
|
(1,156.5 |
) |
(0.6 |
) |
(1,156.5 |
) |
|||
| Income tax provision from discontinued operations |
0.0 |
|
380.8 |
|
0.1 |
|
394.9 |
|
|||
| Income (loss) from continuing operations, net of tax |
$87.3 |
|
($64.7 |
) |
$133.9 |
|
($132.6 |
) |
|||
| Acquisition-related amortization |
12.5 |
|
13.8 |
|
50.6 |
|
57.7 |
|
|||
| Stock-based compensation expense |
11.0 |
|
9.5 |
|
43.5 |
|
38.4 |
|
|||
| Restructuring and other |
0.0 |
|
91.5 |
|
(0.0 |
) |
141.2 |
|
|||
| Non-cash charges to interest expense and other |
1.4 |
|
1.2 |
|
0.2 |
|
16.1 |
|
|||
| Tax rate alignment |
(13.3 |
) |
(19.9 |
) |
(33.6 |
) |
(41.7 |
) |
|||
| Non-GAAP net income attributable to Allscripts Healthcare Solutions, Inc. |
$98.9 |
|
$31.4 |
|
$194.6 |
|
$79.1 |
|
|||
| Non-GAAP effective tax rate |
24 |
% |
24 |
% |
24 |
% |
24 |
% |
|||
| Weighted shares outstanding – basic |
120.1 |
|
150.9 |
|
130.1 |
|
159.3 |
|
|||
| Weighted shares outstanding – diluted |
127.8 |
|
155.9 |
|
138.7 |
|
162.0 |
|
|||
| Less effect of convertible note hedges |
(2.5 |
) |
0.0 |
|
(2.8 |
) |
0.0 |
|
|||
| Non-GAAP Weighted shares outstanding – diluted |
125.3 |
|
155.9 |
|
135.9 |
|
162.0 |
|
|||
| GAAP Income (loss) from continuing operations per share – diluted |
$0.68 |
|
($0.43 |
) |
$0.97 |
|
($0.83 |
) |
|||
| Non-GAAP Income (loss) per share – diluted |
$0.79 |
|
$0.20 |
|
$1.43 |
|
$0.49 |
|
|||
| Table 5 | ||||||||||||
| Allscripts Healthcare Solutions, Inc. | ||||||||||||
| Non-GAAP Financial Information – Adjusted EBITDA | ||||||||||||
| (In millions, except percentages) | ||||||||||||
| (Unaudited) | ||||||||||||
| Three Months Ended December 31, | Twelve Months Ended December 31, | |||||||||||
|
2021 |
2020 |
2021 |
2020 |
|||||||||
| Income (loss) from operations, as reported |
$41.4 |
|
($68.1 |
) |
$77.2 |
|
($130.9 |
) |
||||
| Plus: | ||||||||||||
| Depreciation and amortization |
41.3 |
|
43.9 |
|
168.6 |
|
176.0 |
|
||||
| Asset impairment charges |
0.0 |
|
0.0 |
|
11.8 |
|
0.0 |
|
||||
| Stock-based compensation expense |
11.0 |
|
9.5 |
|
43.5 |
|
38.4 |
|
||||
| Restructuring and other |
0.0 |
|
91.5 |
|
0.0 |
|
141.2 |
|
||||
| Adjusted EBITDA |
$93.7 |
|
$76.8 |
|
$301.1 |
|
$224.7 |
|
||||
| Adjusted EBITDA margin (a) |
23.9 |
% |
19.9 |
% |
20.0 |
% |
15.0 |
% |
||||
| (a) Adjusted EBITDA margin is calculated by dividing adjusted EBITDA by revenue. | ||||||||||||
| Table 6 | ||||||||||||
| Allscripts Healthcare Solutions, Inc. | ||||||||||||
| Non-GAAP Financial Information – Free Cash Flow | ||||||||||||
| (In millions) | ||||||||||||
| (Unaudited) | ||||||||||||
| Three Months Ended December 31, | Twelve Months Ended December 31, | |||||||||||
|
2021 |
2020 |
2021 |
2020 |
|||||||||
| Net cash provided by (used in) operating activities – continuing operations |
$66.3 |
|
($2.8 |
) |
$248.3 |
|
$12.3 |
|
||||
| Cash flows from investing activities: | ||||||||||||
| Capital expenditures |
(0.7 |
) |
(9.2 |
) |
(5.3 |
) |
(17.0 |
) |
||||
| Capitalized software |
(17.8 |
) |
(16.3 |
) |
(73.3 |
) |
(88.0 |
) |
||||
| Free cash flow |
$47.8 |
|
($28.3 |
) |
$169.7 |
|
($92.7 |
) |
||||
Explanation of Non-GAAP Financial Measures
Allscripts reports its financial results in accordance with U.S. generally accepted accounting principles, or GAAP. To supplement this information, Allscripts presents non-GAAP gross profit, income from operations, Adjusted EBITDA, Adjusted EBITDA margin, effective income tax rate, net income, diluted earnings per share and free cash flow, which are considered non-GAAP financial measures under Section 101 of Regulation G under the Securities Exchange Act of 1934, as amended. The definitions of non-GAAP financial measures are presented below:
- Non-GAAP gross profit consists of GAAP gross profit, as reported, and excludes acquisition-related amortization; stock-based compensation expense and restructuring and other costs. Non-GAAP gross margin consists of non-GAAP gross profit as a percentage of revenue in the applicable period. Reconciliations to GAAP gross profit are found in Table 4 within this press release.
- Non-GAAP income from operations consists of GAAP income (loss) from operations, as reported, and excludes acquisition-related amortization; stock-based compensation expense; and restructuring and other costs. Reconciliations to GAAP income (loss) from operations are found in Table 4 within this press release.
Contacts
Investors:
Jenny Gelinas
312-506-1237
Jenny.Gelinas@allscripts.com
Media:
Concetta Rasiarmos
312-447-2466
concetta.rasiarmos@allscripts.com