Dow Jones Newswires | Allscripts-Misys Healthcare Solutions
Inc.’s fiscal third-quarter earnings jumped 39 percent, beating
analysts’ average view by a penny a share, helped by record sales and
improved margins.

Shares were up 2.7 percent at $20.70 after hours as the provider of health-care technology also raised its view for adjusted earnings this fiscal year. It now see 64 cents to 65 cents a share, above its November range of 61 cents to 62 cents. It also boosted its revenue guidance to $700 million to $705 million.

Bookings jumped by a quarter to $105.5 million, after their growth disappointed analysts in the previous period.

Chief Executive Glen Tullman said Wednesday that doctors are “increasingly embracing” electronic health records, which Allscripts expects will be a rapid industry transformation.

“We are at the beginning of what we believe to be the single fastest transformation of an industry in history,” he said.

The company has been expecting government-stimulus money to accelerate adoption of health-care information technology this year.

For the quarter ended Feb. 28, the company posted a profit/loss of $18.5 million, or 12 cents a share, from $13.3 million, or 9 cents a share, a year earlier. Both periods include expenses from acquisition amortization, stock-based compensation and deferred-revenue adjustments. Excluding those and other items, earnings rose to 17 cents from 14 cents.

Revenue increased 12 percent to $179.9 million, while revenue excluding deferred-revenue adjustments rose 16 percent to $180.4 million.

Analysts surveyed by Thomson Reuters predicted 16 cents on revenue of $175 million.

Gross margin rose to 56.5 percent from 51.8 percent.