Merge Reports Second Quarter Financial Results
July 30 2014 - 7:00AM
Merge Healthcare Incorporated (Nasdaq:MRGE), a leading provider of
innovative enterprise imaging, interoperability and clinical
systems that seek to advance healthcare, today announced its
financial and business results for the second quarter of 2014.
"I am proud to announce that for the third quarter in a row,
Merge realized consistent, forward momentum in our financial
results. Revenue and adjusted EBITDA continued to grow. In
addition, our cardiology business achieved its highest sales
quarter ever," said Justin Dearborn, CEO of Merge Healthcare. "From
a solutions standpoint, we made good headway in the adoption of our
subscription-based services for Merge eClinicalOS™ (eCOS),
iConnect® Network and iConnect® Cloud Archive. We also successfully
launched iConnect® Retinal Screening -- the first end-to-end,
cloud-based platform that enables automated, early screening
detection of diabetic complications, one of the highest healthcare
costs realized worldwide. This new advanced interoperability
solution gives our large integrated delivery network (IDN) and
international customers as well as accountable care organizations
(ACOs) an attractive solution to assist them with their population
health strategies. Overall, we are excited about this service, as
it gives Merge yet another software-as-a-service model to
capitalize on and build our recurring revenue stream. With all of
these factors combined, I remain optimistic about the remainder of
2014."
Financial Summary:
- Adjusted EBITDA increased in the second quarter of 2014 to
$11.2 million, representing 21% of pro forma revenue, compared to
$8.5 million and 15% in the second quarter of 2013;
- Adjusted net income grew to $4.4 million (or $0.05 per share)
in the second quarter of 2014 compared to $0.9 million (or $0.01
per share) in the second quarter of 2013, which compares to a GAAP
net loss in the second quarter of 2014 of $4.0 million (including a
charge of $4.8 million associated with the refinancing of our
debt), or a loss of $0.04 per share, and a GAAP net loss in the
second quarter of 2013 of $28.1 million (including a charge of
$23.8 million associated with the refinancing of our debt), or a
loss of $0.30 per share;
- Sales were $53.8 million ($54.1 million on a pro forma basis)
in the second quarter of 2014 compared to $57.2 million ($57.6
million on a pro forma basis) in the second quarter of 2013;
- Subscription backlog grew to $54.6 million, a 12% increase from
the second quarter of 2013; and
- Cash generated from business operations was $8.3 million in the
second quarter of 2014 compared to $10.6 million in the prior year,
which compares to net cash provided by (used in) operating
activities on the statement of cash flows of $4.7 million and
($7.3) million, respectively.
Business Highlights:
- Achieved an all-time record for quarterly Cardiology bookings,
recording an increase of over 50% compared to the second quarter of
2013 and contracting seven net new customers;
- Executed seven additional iConnect Network customer agreements
for a total of 29 customers since launching the solution in 2013
and signed a second radiology information system (RIS) vendor as a
reseller of iConnect Network;
- Completed two, large net new vendor-neutral archive (VNA)
deals, including Comanche County Memorial Hospital. The hospital
will use Merge's iConnect® Enterprise Archive and iConnect® Access
solutions to archive and share images to ensure the seamless flow
of patient data, meet Meaningful Use Stage 2 requirements and
improve disaster recovery and operational workflow across their
continuum of care;
- Realized significant growth with iConnect Cloud Archive
(formerly Merge Honeycomb® Archive), signing 20 new customers in
past 12 months;
- Launched iConnect Retinal Screening, the first end-to-end,
automated, software-as-a-service solution for early screening and
detection of diabetic retinal disease. This advanced
interoperability, cloud-based platform complements the existing
population health strategy of integrated delivery systems and
accountable care organizations and eliminates many of the most
common barriers to successful screening programs, including IT
costs and the ability to capture meaningful eye photographs by
normal medical assistants; and
- Went live with over 70 eCOS studies in Q2, increasing clinical
sites by 25%, users by more than 27% and active subjects by 30%
since the end of the first quarter. These results demonstrate
continued growth in eCOS utilization.
Quarter Results:
Results compared to the same quarter in the prior year on a GAAP
basis are as follows (in millions, except per share data):
|
Q2 2014 |
Q2 2013 |
Net sales |
$53.8 |
$57.2 |
Operating income |
5.8 |
1.3 |
Net loss |
(4.0) |
(28.1) |
Net loss per diluted share |
($0.04) |
($0.30) |
Cash balance at period end |
$23.9 |
$16.8 |
Pro forma results and other, non-GAAP measures compared to the
same quarter in the prior year are as follows (in millions, except
percentages and per share data):
|
Q2 2014 |
Q2 2013 |
Pro forma results |
|
|
Net sales |
$54.1 |
$57.6 |
Adjusted net income |
4.4 |
0.9 |
Adjusted EBITDA |
11.2 |
8.5 |
|
|
|
Adjusted net income per diluted share |
$0.05 |
$0.01 |
Adjusted EBITDA per diluted share |
$0.12 |
$0.09 |
|
|
|
Non-GAAP and other
measures |
|
|
Subscription, maintenance & EDI revenue
as % of net sales |
64% |
65% |
Subscription and non-recurring backlog at
period end |
$77.8 |
$73.8 |
Cash from business operations* |
$8.3 |
$10.6 |
Days sales outstanding |
88 |
120 |
|
|
|
*See table at the
back of this earnings release for reconciliation. |
A reconciliation of GAAP net income (loss) to adjusted net
income and adjusted EBITDA is included after the financial
information below. See "Explanation of Non-GAAP Financial
Measures" for definitions of each of these non-GAAP measures and
the reason the Company's management believes that the adjustments
made to arrive at the non-GAAP financial measures provide useful
information to investors regarding the Company.
Pro Forma Operating Group Results:
Results (in millions) for our operating groups are as
follows:
|
Three Months
Ended June 30, 2014 |
|
Healthcare |
DNA |
Corporate/
Other |
Total |
Net sales: |
|
|
|
|
Software and other |
$ 13.7 |
$ 4.4 |
|
$ 18.1 |
Service |
7.4 |
2.9 |
|
10.3 |
Maintenance |
25.4 |
0.3 |
|
25.7 |
Total net sales |
46.5 |
7.6 |
|
54.1 |
Gross Margin |
25.7 |
4.7 |
|
30.4 |
Gross Margin % |
55.3% |
61.8% |
|
56.2% |
Expenses |
19.3 |
3.1 |
|
22.4 |
Segment income (loss) |
$ 6.4 |
$ 1.6 |
|
$ 8.0 |
Operating Margin % |
14% |
21% |
|
15% |
Net corporate/other expenses (1) |
|
|
$ 11.0 |
11.0 |
Income before income taxes |
|
|
|
(3.0) |
Adj. EBITDA reconciling adjustments |
3.9 |
0.9 |
9.4 |
14.2 |
Adjusted EBITDA |
$ 10.3 |
$ 2.5 |
$ (1.6) |
$ 11.2 |
Adjusted EBITDA % |
22.2% |
32.9% |
|
20.7% |
|
|
|
|
|
(1) Net corporate/other expenses
include public company costs, corporate administration costs,
acquisition-related expenses and net interest expense. |
|
|
Net
Sales in the Three Months Ended June 30, 2014 |
|
Backlog as of June 30, 2014 |
|
|
Healthcare |
DNA |
|
Healthcare |
DNA |
|
Revenue Source |
$ |
% |
$ |
% |
Total |
$ |
% |
$ |
% |
Total |
Maintenance & EDI (1) |
$ 25.4 |
54.6% |
$ 0.3 |
3.9% |
47.5% |
|
|
|
|
|
Subscription |
1.6 |
3.4% |
7.3 |
96.1% |
16.5% |
$ 13.1 |
36.1% |
$ 41.5 |
100.0% |
70.2% |
Non-recurring |
19.5 |
42.0% |
-- |
0.0% |
36.0% |
23.2 |
63.9% |
-- |
0.0% |
29.8% |
Total |
$ 46.5 |
100.0% |
$ 7.6 |
100.0% |
100.0% |
$ 36.3 |
100.0% |
$ 41.5 |
100.0% |
100.0% |
|
86.0% |
|
14.0% |
|
|
46.7% |
|
53.3% |
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) Due to the variability in
timing and length of maintenance renewals, we do not believe
backlog for this revenue component is a meaningful disclosure. |
Explanation of Non-GAAP Financial Measures
We report our financial results in accordance with generally
accepted accounting principles or GAAP. This press release includes
certain non-GAAP financial measures to supplement this GAAP
information. Non-GAAP measures are not an alternative to GAAP and
may be different from and directly comparable with non-GAAP
measures used by other companies. A quantitative reconciliation of
GAAP net income available to common shareholders to adjusted net
income and adjusted EBITDA is included after the financial
information included in this press release.
Management believes that the presentation of non-GAAP results,
when shown in conjunction with corresponding GAAP measures,
provides useful information to it and investors regarding financial
and business trends related to results of operations, because
certain charges, costs and expenses reflect events that are not
essential to recurring business operations. In addition, management
believes these non-GAAP measures provide investors useful
information regarding the underlying performance of the
post-acquisition business operations when compared to the
pre-acquisition results of Merge and any significant acquired
company. Purchase accounting adjustments made in accordance
with GAAP can make it difficult to make meaningful comparisons of
the underlying operations of the business without considering the
non-GAAP adjustments that are provided and discussed herein.
Further, management believes that these non-GAAP measures improve
its and investors' ability to compare Merge's financial performance
with other companies in the technology industry. Management also
uses financial statements that exclude these charges, costs and
expenses for its internal budgets. While GAAP results are more
complete, these supplemental metrics are offered since, with
reconciliations to GAAP, they may provide greater insight into our
financial results. Management does not intend for the presentation
of these non-GAAP financial measures to be considered in isolation
or as a substitute for results prepared in accordance with
GAAP.
Additional information regarding the non-GAAP financial measures
presented herein is as follows:
- Pro forma revenue consists of GAAP revenue as reported,
adjusted to add back the acquisition related sales adjustments (for
all significant acquisitions) recorded for GAAP purposes.
- Subscription revenue and the related backlog are comprised of
software, hardware and professional services (including
installation, training, etc.) contracted with and payable by the
customer over a number of years. Generally, these contracts
will include a minimum volume / dollar commitment. As such,
the revenue from these transactions is recognized ratably over an
extended period of time. These types of arrangements will
include monthly payments (including leases), long-term clinical
trials, renewable annual software agreements (with very high renew
rate), to specify a few contract methods. Backlog is subject
to change based on a number of factors, including but not limited
to, revenue recognized in the period compared to bookings, customer
cancellations and a change in contracting model whereby customers
sign pay-for-use contracts with no minimums as opposed to
guaranteed minimums over the life of the contract, to name a few
reasons.
- Non-recurring revenue and related backlog represents revenue
that we anticipate recognizing in future periods from signed
customer contracts as of the end of the period
presented. Non-recurring revenue is comprised of perpetual
software license sales and includes licenses, hardware and
professional services (including installation, training and
consultative engineering services). Backlog is subject to change
based on a number of factors, including but not limited to, revenue
recognized in the period compared to bookings and customer
cancellations, to name a few reasons.
- Adjusted net income consists of GAAP net income available to
common stockholders, adjusted to exclude (a) acquisition-related
costs, (b) debt extinguishment costs, (c) restructuring and other
costs, (d) share-based compensation expense, (e)
acquisition-related amortization (f) acquisition-related sales
adjustments, and (g) acquisition-related cost of sales
adjustments.
- Adjusted EBITDA adjusts GAAP net income available to common
stockholders for the items considered in adjusted net income as
well as (a) remaining depreciation and amortization, (b) net
interest expense and (c) income tax expense (benefit).
- Cash from business operations reconciles the cash generated
from such operations to the change in GAAP cash balance for the
period by reflecting payments of liabilities associated with debt
issuance and retirement activities, acquisitions, payments of
acquisition related fees, interest payments and other payments and
receipts of cash not generated by the business
operations. Cash generated from business operations and
used to pay restructuring initiatives, acquisition related costs
and interest approximates net cash provided by operating activities
in the condensed consolidated statement of cash flows.
Management has excluded certain items from non-GAAP adjusted net
income because it believes (i) the amount of certain expenses in
any specific period may not directly correlate to the underlying
performance of business operations and (ii) the adjustment
facilitates comparisons of pre-acquisition results to
post-acquisition results. In addition, certain adjustments are
described in more detail below:
- Acquisition-related amortization expense is a non-cash expense
arising from the acquisition of intangible assets in connection
with significant acquisitions. Management excludes
acquisition-related amortization expense from non-GAAP adjusted net
income because it believes such expenses can vary significantly
between periods as a result of new acquisitions and full
amortization of previously acquired intangible assets.
- Share-based compensation expense is a non-cash expense arising
from the grant of stock awards to employees and is excluded from
non-GAAP net income because management believes such expenses can
vary significantly between periods as a result of the timing of
grants of new stock-based awards, including grants to new employees
resulting from acquisitions.
- Acquisition-related sales and costs of sales adjustments
reflect the fair value adjustment to deferred revenues acquired in
connection with significant acquisitions. The fair value of
deferred revenue represents an amount equivalent to the estimated
cost plus an appropriate profit margin to perform services-related
software and product support, which assumes a legal obligation to
do so, based on the deferred revenue balances as of the date the
acquisition of a significant company was completed. Management adds
back this deferred revenue adjustment, net of related costs, for
non-GAAP revenue and non-GAAP net income because it believes the
inclusion of this amount directly correlates to the underlying
performance of operations and facilitates comparisons of
pre-acquisition to post-acquisition results.
Notice of Conference Call
Merge will host a conference call at 8:30 AM ET on Wednesday,
July 30, 2014. The call will address second quarter financial and
business results for 2014.
To preregister for this teleconference, go to
http://emsp.intellor.com?p=416119&do=register&t=8. Upon
registration, a confirmation page will display dial-in numbers and
a unique PIN, and the participant will also receive an email
confirmation with this information.
A replay via the Internet or phone will be available after the
call at
http://www.merge.com/Company/Investors/Conference-Call-Info.aspx.
About Merge
Merge is a leading provider of innovative enterprise imaging,
interoperability and clinical systems that seek to advance
healthcare. Merge's enterprise and cloud-based technologies for
image intensive specialties provide access to any image, anywhere,
any time. Merge also provides clinical trials software with
end-to-end study support in a single platform and other intelligent
health data and analytics solutions. With solutions that have been
used by providers for more than 25 years, Merge is helping to
reduce costs, improve efficiencies and enhance the quality of
healthcare worldwide. For more information, visit merge.com and
follow us @MergeHealthcare.
Cautionary Notice Regarding Forward-Looking
Statements
The matters discussed in this press release may include
forward-looking statements, which could involve a number of risks
and uncertainties. When used in this press release, the words
"will," "believes," "intends," "anticipates," "expects" and similar
expressions are intended to identify forward-looking statements.
Actual results could differ materially from those expressed in, or
implied by, such forward-looking statements. The potential risks
and uncertainties include those risks and uncertainties included
under the captions "Risk Factors" and "Management's Discussion and
Analysis of Financial Condition and Results of Operations" in our
Annual Report on Form 10-K for the year ended December 31, 2013,
which is on file with the SEC and are available on our investor
relations website at merge.com and on the SEC website at
www.sec.gov. Except as expressly required by the federal securities
laws, Merge undertakes no obligation to update such factors or to
publicly announce the results of any of the forward-looking
statements.
MERGE HEALTHCARE
INCORPORATED AND SUBSIDIARIES |
CONDENSED CONSOLIDATED
BALANCE SHEETS |
(in
thousands) |
(unaudited) |
|
|
|
|
June 30, |
December 31, |
|
2014 |
2013 |
Current assets: |
|
|
Cash (including restricted
cash) |
$ 23,872 |
$ 19,729 |
Accounts receivable, net |
52,318 |
61,895 |
Inventory |
5,185 |
5,851 |
Prepaid expenses |
4,199 |
4,803 |
Deferred income taxes |
1,925 |
1,915 |
Other current assets |
12,641 |
12,506 |
Total current assets |
100,140 |
106,699 |
|
|
|
Property and equipment, net |
5,141 |
4,739 |
Purchased and developed software, net |
14,555 |
15,906 |
Other intangible assets, net |
22,182 |
26,200 |
Goodwill |
214,374 |
214,374 |
Deferred income taxes |
6,433 |
6,979 |
Other assets |
3,615 |
7,184 |
Total assets |
$ 366,440 |
$ 382,081 |
|
|
|
Current liabilities: |
|
|
Accounts payable |
$ 18,154 |
$ 22,072 |
Current maturities of long-term
debt |
11,750 |
2,490 |
Accrued wages |
6,254 |
5,559 |
Restructuring accrual |
721 |
1,301 |
Other current liabilities |
6,673 |
8,205 |
Deferred revenue |
51,076 |
55,183 |
Total current liabilities |
94,628 |
94,810 |
|
|
|
Long-term debt, less current maturities, net
of unamortized discount |
219,205 |
233,942 |
Deferred income taxes |
4,244 |
4,065 |
Deferred revenue |
337 |
378 |
Income taxes payable |
1,087 |
1,399 |
Other liabilities |
2,017 |
2,227 |
Total liabilities |
321,518 |
336,821 |
Total Merge shareholders' equity |
44,451 |
44,813 |
Noncontrolling interest |
471 |
447 |
Total shareholders' equity |
44,922 |
45,260 |
Total liabilities and shareholders'
equity |
$ 366,440 |
$ 382,081 |
|
|
|
|
|
MERGE HEALTHCARE
INCORPORATED AND SUBSIDIARIES |
CONDENSED CONSOLIDATED
STATEMENTS OF OPERATIONS |
(in thousands, except
for share and per share data) |
(unaudited) |
|
|
|
|
|
|
Three Months
Ended |
Six Months
Ended |
|
June
30, |
June
30, |
|
2014 |
2013 |
2014 |
2013 |
Net sales |
|
|
|
|
Software and other |
$ 18,021 |
$ 17,879 |
$ 33,104 |
$ 41,450 |
Professional services |
10,171 |
11,552 |
20,660 |
23,675 |
Maintenance and EDI |
25,622 |
27,762 |
50,953 |
55,702 |
Total net sales |
53,814 |
57,193 |
104,717 |
120,827 |
Cost of sales |
|
|
|
|
Software and other |
9,085 |
9,638 |
15,186 |
21,405 |
Professional services |
6,017 |
6,394 |
12,364 |
12,919 |
Maintenance and EDI |
6,831 |
7,370 |
13,794 |
15,459 |
Depreciation and
amortization |
1,677 |
1,810 |
3,272 |
3,620 |
Total cost of sales |
23,610 |
25,212 |
44,616 |
53,403 |
Gross margin |
30,204 |
31,981 |
60,101 |
67,424 |
Operating costs and expenses: |
|
|
|
|
Sales and marketing |
8,140 |
10,088 |
16,147 |
20,454 |
Product research and
development |
7,335 |
8,447 |
14,915 |
16,972 |
General and administrative |
6,404 |
8,829 |
13,764 |
15,948 |
Acquisition-related
expenses |
-- |
158 |
26 |
427 |
Restructuring and other
expenses |
-- |
573 |
-- |
1,802 |
Depreciation and
amortization |
2,563 |
2,594 |
5,045 |
5,247 |
Total operating costs and expenses |
24,442 |
30,689 |
49,897 |
60,850 |
Operating income |
5,762 |
1,292 |
10,204 |
6,574 |
Loss on debt extinguishment |
(4,821) |
(23,822) |
(4,821) |
(23,822) |
Other expense, net |
(4,217) |
(4,878) |
(8,353) |
(13,638) |
Loss before income taxes |
(3,276) |
(27,408) |
(2,970) |
(30,886) |
Income tax expense |
675 |
712 |
656 |
3,727 |
Net loss |
(3,951) |
(28,120) |
(3,626) |
(34,613) |
Less: noncontrolling interest's
share |
22 |
(13) |
24 |
(31) |
Net loss available to common
shareholders |
$ (3,973) |
$ (28,107) |
$ (3,650) |
$ (34,582) |
|
|
|
|
|
Net loss per share - basic |
$ (0.04) |
$ (0.30) |
$ (0.04) |
$ (0.37) |
Weighted average number of common shares
outstanding - basic |
95,190,879 |
93,489,178 |
94,926,005 |
93,396,622 |
|
|
|
|
|
Net loss per share - diluted |
$ (0.04) |
$ (0.30) |
$ (0.04) |
$ (0.37) |
Weighted average number of common shares
outstanding - diluted |
95,190,879 |
93,489,178 |
94,926,005 |
93,396,622 |
|
|
|
|
MERGE HEALTHCARE
INCORPORATED AND SUBSIDIARIES |
CONDENSED CONSOLIDATED
STATEMENTS OF CASH FLOWS |
(in
thousands) |
(unaudited) |
|
|
|
|
|
|
Six Months
Ended |
|
|
June
30, |
|
|
2014 |
2013 |
Cash flows from operating
activities: |
|
|
|
Net loss |
|
$ (3,626) |
$ (34,613) |
Adjustments to reconcile net loss to net cash
provided by operating activities: |
|
|
|
Depreciation, amortization and
impairment |
|
8,317 |
8,867 |
Share-based compensation |
|
2,606 |
3,301 |
Amortization of debt issuance
costs & discount |
|
711 |
1,049 |
Loss on extinguishment of
debt |
|
4,821 |
23,822 |
Unrealized loss on equity
security |
|
-- |
366 |
Provision for doubtful accounts
receivable and allowances, net of recoveries |
|
834 |
723 |
Deferred income
taxes |
|
460 |
3,243 |
Gain on lawsuit settlement |
|
-- |
(2,500) |
Net change in assets and liabilities |
|
429 |
(2,875) |
Net cash provided by operating
activities |
|
14,552 |
1,383 |
Cash flows from investing
activities: |
|
|
|
Purchases of property, equipment and
leasehold improvements |
|
(1,772) |
(845) |
Purchased technology and capitalized software
development |
|
(1,271) |
-- |
Change in restricted cash |
|
183 |
-- |
Net cash used in investing activities |
|
(2,860) |
(845) |
Cash flows from financing
activities: |
|
|
|
Proceeds from exercise of stock options and
employee stock purchase plan |
|
751 |
793 |
Proceeds from debt issuance |
|
231,251 |
252,450 |
Retirement of debt |
|
(230,133) |
(252,000) |
Penalty for early extinguishment of debt |
|
-- |
(16,863) |
Debt issuance costs paid |
|
(237) |
(3,854) |
Principal payments on term loan and notes
payable |
|
(8,592) |
(7) |
Principal payments on capital leases |
|
(337) |
(148) |
Net cash used in provided by financing
activities |
|
(7,297) |
(19,629) |
Effect of exchange rate changes on cash |
|
(69) |
30 |
Net increase (decrease) in cash and cash
equivalents |
|
4,326 |
(19,061) |
Cash and cash equivalents, beginning of
period (net of restricted cash) |
(1) |
19,337 |
35,062 |
Cash and cash equivalents, end of period (net
of restricted cash) |
(2) |
$ 23,663 |
$ 16,001 |
|
|
|
|
(1) Restricted cash of $392
and $813 as of December 31, 2013 and 2012, respectively. |
(2) Restricted cash of $209
and $813 as of June 30, 2014 and 2013, respectively. |
|
|
|
|
|
MERGE HEALTHCARE
INCORPORATED AND SUBSIDIARIES |
RECONCILIATION OF NET
LOSS AVAILABLE TO COMMON SHAREHOLDERS TO ADJUSTED
EBITDA |
(in thousands, except
for share and per share data) |
(unaudited) |
|
|
|
|
|
|
Three Months
Ended |
Six Months
Ended |
|
June
30, |
June
30, |
|
2014 |
2013 |
2014 |
2013 |
Net loss available to common shareholders of
Merge |
$ (3,973) |
$ (28,107) |
$ (3,650) |
$ (34,582) |
Acquisition-related costs |
-- |
158 |
26 |
427 |
Debt extinguishment costs |
4,821 |
23,822 |
4,821 |
23,822 |
Restructuring and other |
-- |
573 |
-- |
1,802 |
Share-based compensation
expense |
1,076 |
1,658 |
2,606 |
3,301 |
Amortization of significant
acquisition intangibles |
2,247 |
2,506 |
4,494 |
5,013 |
Acquisition-related sales
adjustments |
273 |
357 |
435 |
743 |
Acquisition-related cost of
sales adjustments |
(75) |
(39) |
(100) |
(116) |
Adjusted net income |
$ 4,369 |
$ 928 |
$ 8,632 |
$ 410 |
Depreciation and
amortization |
1,993 |
1,898 |
3,823 |
3,854 |
Net interest expense |
4,197 |
4,912 |
8,345 |
12,961 |
Income tax expense |
675 |
712 |
656 |
3,727 |
Adjusted EBITDA |
$ 11,234 |
$ 8,450 |
$ 21,456 |
$ 20,952 |
|
|
|
|
|
Adjusted net income per share - diluted |
$ 0.05 |
$ 0.01 |
$ 0.09 |
$ 0.00 |
Adjusted EBITDA per share - diluted |
$ 0.12 |
$ 0.09 |
$ 0.22 |
$ 0.22 |
|
|
|
|
|
Fully diluted shares (if net income) |
96,454,513 |
95,442,178 |
96,214,289 |
95,164,253 |
|
|
|
|
|
|
Pro Forma Three
Months Ended June 30, |
Pro Forma Six
Months Ended June 30, |
|
2014 |
2013 |
2014 |
2013 |
Net loss available to common shareholders of
Merge |
$ (3,775) |
$ (27,789) |
$ (3,315) |
$ (33,955) |
Acquisition-related costs |
-- |
158 |
26 |
427 |
Debt extinguishment costs |
4,821 |
23,822 |
4,821 |
23,822 |
Restructuring and other |
-- |
573 |
-- |
1,802 |
Share-based compensation
expense |
1,076 |
1,658 |
2,606 |
3,301 |
Amortization of significant
acquisition intangibles |
2,247 |
2,506 |
4,494 |
5,013 |
Adjusted net income |
$ 4,369 |
$ 928 |
$ 8,632 |
$ 410 |
Depreciation and
amortization |
1,993 |
1,898 |
3,823 |
3,854 |
Net interest expense |
4,197 |
4,912 |
8,345 |
12,961 |
Income tax expense |
675 |
712 |
656 |
3,727 |
Adjusted EBITDA |
$ 11,234 |
$ 8,450 |
$ 21,456 |
$ 20,952 |
|
|
|
|
|
Adjusted net income per share - diluted |
$ 0.05 |
$ 0.01 |
$ 0.09 |
$ 0.00 |
Adjusted EBITDA per share - diluted |
$ 0.12 |
$ 0.09 |
$ 0.22 |
$ 0.22 |
|
|
|
|
|
Fully diluted shares (if net income) |
96,454,513 |
95,442,178 |
96,214,289 |
95,164,253 |
|
|
|
|
|
MERGE HEALTHCARE
INCORPORATED AND SUBSIDIARIES |
CASH FROM BUSINESS
OPERATIONS |
(unaudited) |
|
|
|
|
|
|
Three Months
Ended June 30, |
Six Months Ended
June 30, |
|
2014 |
2013 |
2014 |
2013 |
|
(amounts in millions) |
(amounts in millions) |
Cash received from (paid for): |
|
|
|
|
Issuance of debt, net of OID of $3.7 and
$2.5, respectively |
$ 231.3 |
$ 252.5 |
$ 231.3 |
$ 252.5 |
Debt issuance costs |
(0.2) |
(3.9) |
(0.2) |
(3.9) |
Retirement of debt, including prepayment
penalty of $16.9 in 2013 |
(230.1) |
(268.9) |
(230.1) |
(268.9) |
Debt principal reduction |
-- |
-- |
(8.6) |
-- |
Interest paid, net |
(4.0) |
(17.0) |
(7.6) |
(17.0) |
Restructuring initiatives |
-- |
(0.8) |
(0.2) |
(1.0) |
Acquisition related costs |
-- |
-- |
-- |
(0.2) |
Proceeds from stock option exercises |
0.8 |
0.3 |
0.8 |
0.6 |
Property and equipment purchases |
(1.5) |
(0.5) |
(1.8) |
(0.9) |
Purchased technology and capitalized software
development |
(0.5) |
-- |
(1.3) |
-- |
Business operations |
8.3 |
10.6 |
21.8 |
19.7 |
Increase (decrease) in cash |
$ 4.1 |
$ (27.7) |
$ 4.1 |
$ (19.1) |
CONTACT: Media Contact:
Jennifer Jawor
Vice President, Corporate Marketing
312.565.6825
jennifer.jawor@merge.com
Mirage Energy (PK) (USOTC:MRGE)
Historical Stock Chart
From Jun 2024 to Jul 2024
Mirage Energy (PK) (USOTC:MRGE)
Historical Stock Chart
From Jul 2023 to Jul 2024