Performant Financial Corporation Re-Awarded CMS RAC Region 1 Contract
April 13 2021 - 4:05PM
Business Wire
Performant Financial Corporation (Nasdaq: PFMT), (“Performant”,
“the Company”), a leading provider of technology-enabled payment
integrity, eligibility and related analytics services, today
announced that on March 26, 2021, the Centers for Medicare and
Medicaid (CMS) awarded Performant an 8.5 year contract to serve as
the Region 1 Recovery Audit Contractor (RAC). This contingency fee
contract was awarded via a full-and-open competitive
procurement.
Region 1 consists of 11 states across the Northeast and
eastern-Midwest region. As the Region 1 RAC, Performant will
perform post-payment reviews of Part A and B Medicare fee-for
service claims to identify and support the recoupment of improperly
paid claims. Any updates related to the contract will be posted on
the Company’s CMS RAC Provider webpages.
“This award underscores our long-standing partnership with CMS
and is a direct result of our team’s hard work and dedication since
the contract was first awarded in 2016,” stated Simeon Kohl, SVP
and GM Healthcare. “In addition to Region 1, Performant is also the
nationwide Region 5 RAC for Durable Medical Equipment, Prosthetics,
Orthotics and Supplies (DMEPOS) and Home Health and Hospice
(HH&H) claims, and the exclusive contractor for the Medicare
Secondary Payer (MSP) Commercial Repayment Center contract, Kohl
highlighted. “It is always an honor to serve CMS and we are
grateful to have the quality and value of our work affirmed through
this award.
About Performant Financial Corporation
Performant helps government and commercial healthcare payors
enhance revenue and contain costs by preventing, identifying, and
recovering waste, improper payments and defaulted assets.
Performant is a leading provider of these services in several
markets, including Medicare, Medicaid, and Commercial healthcare.
Performant has been providing recovery audit services for more than
nine years to both commercial and government clients, including
serving as a Recovery Auditor for the Centers for Medicare and
Medicaid Services.
Powered by a proprietary analytic platform and workflow
technology, Performant also provides professional services related
to the recovery effort, including reporting capabilities, support
services, customer care and stakeholder training programs meant to
mitigate future instances of improper payments. Founded in 1976,
Performant is headquartered in Livermore, California.
Forward Looking Statements
This press release contains certain forward-looking statements
within the meaning of the Private Securities Litigation Reform Act
of 1995, including statements regarding our outlook for revenues,
net income (loss), and adjusted EBITDA in 2020 and beyond. These
forward-looking statements are based on current expectations,
estimates, assumptions and projections that are subject to change
and actual results may differ materially from the forward-looking
statements. Factors that could cause actual results to differ
materially include, but are not limited to, the material adverse
impact of the COVID-19 pandemic on our business, results of
operations and financial condition as well as on the business
operations and financial performance of many of our customers, that
the Company may not have sufficient cash flows from operations to
fund ongoing operations and other liquidity needs, that the
Company’s indebtedness could adversely affect its business and
financial condition and could reduce the funds available for other
purposes and the failure to comply with covenants contained in its
credit agreement could result in an event of default that could
adversely affect its results of operations, that the Company faces
a long period to implement a new contract which may result in the
incurring of expenses before the receipt of revenues from new
client relationships, the high level of revenue concentration among
the Company's largest customers and any termination in the
Company’s relationship with any of our significant clients would
result in a material decline in our revenues, that many of the
Company's customer contracts are subject to periodic renewal, are
not exclusive, do not provide for committed business volumes and
may be changed or terminated unilaterally and on short notice, that
the Company may not be able to manage its potential growth
effectively, that the Company faces significant competition in all
of its markets, that continuing limitations on the scope of our
audit activity under our RAC contracts have significantly reduced
our revenue opportunities with this client, that the U.S. federal
government accounts for a significant portion of the Company's
revenues, that future legislative and regulatory changes may have
significant effects on the Company's business, that failure of the
Company's or third parties' operating systems and technology
infrastructure could disrupt the operation of the Company's
business and the threat of breach of the Company's security
measures or failure or unauthorized access to confidential data
that the Company possesses. More information on potential factors
that could affect the Company's financial condition and operating
results is included from time to time in the "Risk Factors" and
"Management's Discussion and Analysis of Financial Condition and
Results of Operations" sections of the Company's annual report on
Form 10-K for the year ended December 31, 2020 and subsequently
filed reports on Forms 10-Q and 8-K. The forward-looking statements
are made as of the date of this press release and the Company does
not undertake to update any forward-looking statements to conform
these statements to actual results or revised expectations.
View source
version on businesswire.com: https://www.businesswire.com/news/home/20210413005818/en/
Richard Zubek Investor Relations 925-960-4988
investors@performantcorp.com
Performant Financial (NASDAQ:PFMT)
Historical Stock Chart
From Jun 2024 to Jul 2024
Performant Financial (NASDAQ:PFMT)
Historical Stock Chart
From Jul 2023 to Jul 2024