Healthcare IT News - April 2009 - (Page 49) www.HealthcareITNews.com VENdoRS April 2009 ■ Healthcare IT News 49 mErgE Continued from page 47 long-standing consolidated securities class action suit, announced the layoffs of some 60 people and halted the planned divestiture of its EMEA operations. The company also sought to stop the sale of its Chinese operations (a move which was realized earlier this year) and shut down its teleradiology service read offering, while holding onto the technology to enable teleradiology. Dearborn and his new management team also took a look at where Merge was leaking money. “For whatever reason, this company never cut back on their R&D spending,” he said. That proved to have good and bad consequences, for while the company was struggling financially – it had lost $18 million during the second quarter of 2008 – it was developing new products, some of which were released at the RSNA show last November. But that market had taken a turn for the worse. “If you had told me that the economy would look like this, we probably would not have done it,” of 2007 and operating income of dic surgical planning. Evidence of the Merge $1.3 million in the third quarter. Net income, meanwhile, was Healthcare turnaround can be found in financial results for the $1.9 million in the fourth quarter, fourth quarter and year, ending compared to a net loss of $9.5 milDec. 31, 2008. Fourth quarter net lion in the fourth quarter of 2007 sales totaled $15.1 million, down a and a net income of $400,000 in bit from the $15.6 million recorded the third quarter. Also, the comfor the same quarter in 2007 but pany’s cash balance increased by an increase over the $14.6 mil- $3.4 million in the fourth quarter lion recorded in the third quarter. to $17.8 million, while deferred Operating income, meanwhile, was revenue increased by $1 million to $3.7 million in the fourth quarter, $16.8 million. ■ Merge Healthcare, based in Milwaukee, is poised to expand in China and other parts of the Emdeon Healthcare IT loss Revised 3/17/09 the Middle Page 1 compared to an operating Newsof More atAd_April09_RHP:Layout 1 globe, including 2:05 PMEast, following moves by management to improve the company’s HealthcareITNews.com bottom line. $8.5 million in the fourth quarter ●Connect: MerGe 0409 e You don’t need one more partner. You need one partner that does more. You and Emdeon. “ the number of studies clEaRlY ISN’t dIMINIShINg.” – Justin Dearborn Dearborn said of Merrick’s decision to buy into Merge Healthcare in May of 2008. “No matter how good a sales team you have, you’re not going to convince someone into taking on a project they didn’t plan.” Still, Dearborn added, company officials were “very pleased” with the results of the first two quarters of operations and the company’s long-term ROI, and “the number of studies clearly isn’t diminishing.” With that in mind, Dearborn said, Merge is focused on developing licensing contracts that reflect the depressed economy, showing off its newest products to existing customers and working on some deals with a few startup companies. The company has also been active in M&A discussions, and is looking to release several new products this year. Dearborn said the company has won contracts in Turkey and Saudi Arabia to add to its roughly 175 OEM customers and has seen its new Merge Mammo software installed in 500 healthcare settings, many of them in Japan. Recently, the company introduced version 6.5 of its Cedara I-ReadMammo solution for digital breast imaging reviews as well as version 3.1 of its eFilm Workstation product. Those two announcements come on the heels of the release of Cedara ProPlanner 3.1, a solution designed specifically for orthopae- more 5,000 hospitals 1,200 payers connectivity. capability. 340,000 physicians complete revenue cycle management patient access management clinical management claims & payment management denial management patient billing & payment more more roi. accelerate cash flow collect more revenue reduce costs improve efficiency minimal investment 600 software vendors 877.EMDEON.6 (877.363.3666) www.emdeon.com Visit us at Booth 3203 at HIMSS April 5 – 9, 2009 http://www.HealthcareITNews.com http://www.HealthcareITNews.com http://www.healthcareitnews.com/news/new-leadership-guides-merges-renaissance http://www.emdeon.com http://www.emdeon.com
For optimal viewing of this digital publication, please enable JavaScript and then refresh the page. If you would like to try to load the digital publication without using Flash Player detection, please click here.