NextGen Healthcare reports fiscal 2023 Q3 results

NextGen Healthcare, Inc., a leading provider of innovative, cloud-based healthcare technology solutions, today announced its operating results for the fiscal third quarter ended December 31, 2022.

Fiscal 2023 third quarter highlights

• Total revenue was $161.9 million compared to $149.7 million for the same period a year ago, an increase of 8%.
• Recurring revenue was $148.7 million compared to $134.5 million for the same period a year ago, an increase of 11%.
• Non-recurring revenue was $13.2 million compared to $15.2 million for the same period a year ago, a decrease of 14%.
• Bookings, which reflects annual contract value excluding renewals, was $44.8 million and included six deals greater than $1.0 million.
• Fully diluted net income per share was $0.12 compared to $0.08 for the same period a year ago.
• On a non-GAAP basis, fully diluted earnings per share was $0.26 compared to $0.24 for the same period a year ago.
• Issued $275.0 million convertible senior note with concurrent $40 million share repurchase.
• Acquired TSI Healthcare, a long-standing partner providing purpose-built clinical content and a differentiated service-oriented client experience.

“I’m pleased to report strong execution and solid results for the quarter. The team made great progress across multiple fronts, delivering revenue growth and demonstrating a disciplined approach to capital management,” said David Sides, president and chief executive officer of NextGen Healthcare. “We continue to make investments required for long-term profitability and remain confident in our ability to deliver durable growth in fiscal year 2024 and beyond.”

The company’s revised guidance for fiscal 2023, including the TSI acquisition and the convertible note issuance, is now as follows:

• Revenue is expected to be in the range of $642 million to $650 million, an increase from prior guidance range of $630 million to $640 million.
• Adjusted EBITDA is expected to be in the range of $110 million to $115 million, consistent with prior guidance.
• Non-GAAP earnings per share is expected to be in the range of $0.93 to $0.99, consistent with prior guidance.

Business Wire