NextGen Parent Company Expected to Record Up to $30M Charge in Q3

Quality Systems, parent company of health IT systems vendor NextGen, is expecting to record a non-cash charge of up to $30 million in the third quarter of its 2014 fiscal year, which ended Dec. 31, 2013.

Advertisement

The expected charge is the result of an impairment review of long-lived assets within the company’s Hospital Solutions Division, which has performed below expectations. The amount of the impairment charge is projected to be some or all of the division’s $30 million in long-term assets.

The company’s third quarter results will be lower than expected overall. In addition to the hospital division’s performance, the company also experienced increased software development costs surrounding the release of the latest version of NextGen’s ambulatory electronic health record system.

More Articles on the Health IT Market:

12 Recent Health IT Market Stories
Self-Care Medical Device Market to Hit $16.8B by 2017
Merge Healthcare Announces Employee Falsified Contracts, Shares Drop 10%

At the Becker's 11th Annual IT + Revenue Cycle Conference: The Future of AI & Digital Health, taking place September 14–17 in Chicago, healthcare executives and digital leaders from across the country will come together to explore how AI, interoperability, cybersecurity, and revenue cycle innovation are transforming care delivery, strengthening financial performance, and driving the next era of digital health. Apply for complimentary registration now.

Register to Attend Webinar

The hidden cost of lost clinical time and how leading health systems are responding

Friday, August 7
12:00 PM - 1:00 PM CDT

Presenters: Kassaundra McKnight-Young, Zebra TechnologiesGregory Carras, Zebra TechnologiesJennifer Gene, Levata

Advertisement

Next Up in Health IT

Advertisement

Comments are closed.