Print
Email
Quality Systems Inc. (QSII) filed Quarterly Report for the period ended 2011-12-31.
Quality Systems Inc. has a market cap of $2.45 billion; its shares were traded at around $41.7 with a P/E ratio of 30.8 and P/S ratio of 6.9. The dividend yield of Quality Systems Inc. stocks is 1.8%. Quality Systems Inc. had an annual average earning growth of 30% over the past 10 years. GuruFocus rated Quality Systems Inc. the business predictability rank of 3.5-star.
This is the annual revenues and earnings per share of QSII over the last 10 years. For detailed 10-year financial data and charts, go to 10-Year Financials of QSII.
Highlight of Business Operations:
Revenue. Revenue for the three months ended December 31, 2011 increased 22.7% to $112.8 million from $91.9 million for the three months ended December 31, 2010. NextGen Division revenue increased 24.0% to $85.9 million from $69.3 million in the three months ended December 31, 2010, QSI Dental Division revenue increased 12.5% to $4.9 million from $4.3 million, Practice Solutions Division revenue decreased 3.4% to $12.1 million from $12.5 million, and Inpatient Solutions Division revenue increased 71.6% during that same period to $9.9 million from $5.8 million.Gross profit margins at the QSI Dental Division for the three months ended December 31, 2011 increased to 52.4% from 51.5% for the same prior year period. Gross profit margins at the NextGen Division for three months ended December 31, 2011 increased to 72.3% compared to 71.3% for the same prior year period due to strong software sales and an increase in maintenance revenue, which yields higher margins than other services, along with improvements in EDI margins. This was partially offset by lower margins achieved in implementation services, which declined to 8.6% from 13.7% in the same prior year period. Gross margin in the Inpatient Solutions Division decreased to 71.0% for the three months ended December 31, 2011 as compared to 76.4% for the same prior year period due to growth in implementation and training revenue which carries lower profit margins compared to software. Implementation and training revenue in the Inpatient Solutions Division represented approximately 12.9% of total Inpatient Solutions Division revenue compared to 7.4% in the year ago period. Gross margin in the Practice Solutions Division remained relatively consistent at 28.1% for the three months ended December 31, 2011 as compared to 27.9% for the same prior year period.
Our payroll and benefits expense associated with delivering our products and services increased to 16.9% of consolidated revenue in the three months ended December 31, 2011 compared to 16.2% during the same period last year. The absolute level of consolidated payroll and benefit expenses grew from $14.8 million in the three months ended December 31, 2010 to $19.1 million in the three months ended December 31, 2011, an increase of 28.6%, or approximately $4.3 million. Of the $4.3 million increase, approximately $0.3 million of the increase is related to the Practice Solutions Division as RCM is a service business, which inherently has higher percentage of payroll costs as a percentage of revenue. Increases of $2.8 million in the NextGen Division, $0.9 million for the Inpatient Solutions Division and $0.3 million in the QSI Dental Division for the three months ended December 31, 2011 are primarily due to headcount additions and increased payroll and benefits expense associated with delivering products and services. The amount of share-based compensation expense included in cost of revenue was not significant for the three months ended December 31, 2011 and 2010.
Revenue. Revenue for the nine months ended December 31, 2011 increased 25.2% to $320.8 million from $256.3 million for the nine months ended December 31, 2010. NextGen Division revenue increased 26.0% to $243.0 million from $192.9 million in the nine months ended December 31, 2010, QSI Dental Division revenue increased 1.0% to $14.5 million from $14.3 million, Practice Solutions Division revenue increased 3.8% to $37.7 million from $36.3 million, and Inpatient Solutions Division revenue increased 101.2% to $25.7 million from $12.8 million in the same prior year period.
Our payroll and benefits expense associated with delivering our products and services decreased to 16.7% of consolidated revenue in the nine months ended December 31, 2011 compared to 16.9% during the same period last year. The absolute level of consolidated payroll and benefit expenses grew from $43.4 million in the nine months ended December 31, 2010 to $53.5 million in the nine months ended December 31, 2011, an increase of 23.2%, or approximately $10.1 million. Of the $10.1 million increase, approximately $1.4 million of the increase is related to the Practice Solutions Division as RCM is a service business, which inherently has higher percentage of payroll costs as a percentage of revenue. Increases of $6.3 million in the NextGen Division, $1.8 million for the Inpatient Solutions Division and $0.6 million in the QSI Dental Division for the nine months ended December 31, 2011 are primarily due to headcount additions and increased payroll and benefits expense associated with delivering products and services. The amount of share-based compensation expense included in cost of revenue was not significant for nine months ended December 31, 2011 and 2010.
Subscribe RSS
