Acute Care EHR System Sales And Support
Designed for small and mid-sized rural hospitals and critical access institutions, Healthland’s Centriq EMR solution offers a comprehensive set of capabilities to manage a successful medical practice. With its ease of use and secure communication capabilities, Healthland Centriq allows clinicians to spend more time caring for patients and improving patient outcomes. It also provides access to patient data in a usable format that promotes clinician adoption. The solution also offers training and learning tools for staff efficiency and patient safety.
The Acute Care EHR segment provides healthcare IT solutions and related services for acute care facilities and community hospitals. In addition, the Post-Acute Care EHR segment provides related services to nursing homes and skilled nursing facilities. The Acute Care EHR system has received ONC HIT certification and is designed to support the meaningful use of stage one and two measures.
Post-acute care EHR system sales decreased by 20%, or $1.1 million, while costs decreased by 22%, or $1.2 million. The company has also taken steps to improve product functionality, and management believes that these efforts will translate to improved bookings performance.
Recurring system support revenues decreased by 2%, or $0.3 million. Primarily due to a less aggressive pursuit of annual support. Price increases and attrition from the Centriq customer base as euclidRCM EMR does. The decrease in recurring system support revenues was partially offset by increased revenue from AHT’s TruBridge segment. Which provides revenue cycle management solutions for all care settings. This segment also provides business management services, consulting, and managed information technology services.
The Financial and Enterprise Management segment includes Enterprise Applications, ad hoc reporting, document scanning, and real-time system backups. The company also offers Trust Funds, Application Portal, and an integrated fax system. The company’s consulting services also offer a wide variety of expertise. Including revenue cycle management, practice management, business intelligence, data storage, and other business support solutions.
The company’s Healthland Entities drove $22.3 million in system sales for the quarter. The Company’s legacy operations saw a 16% increase in system sales, while base support fees remained flat. The company also saw increased new customer installs, with a lower mix of cloud installs. During the quarter, the company’s Healthland entity also experienced a 29% decrease in travel costs, due to improved implementation techniques. And fees for use of CPT codes implemented by the American Medical Association in 2018.
The Post-acute care EHR system gross margin increased to 69% or 56% of the total revenues. Compared to 52% in 2016. During the quarter, the company saw an increase in recurring Post-acute care EHR system sales. But decreased non-recurring revenues, which decreased by $3 million. The decrease in non-recurring Post-acute care EHR system revenues was driven by an aggressively competitive environment. And the need to improve AHT’s product offerings.