Two healthcare information systems and services companies reported increases in revenues and earnings per share for their fiscal years ended Dec. 31, 1995, a year in which one of them became a highly watched stock performer and the other marked its first full year as a publicly traded company.
HBO & Co. reported revenues of $495.6 million, a 39% increase compared with 1994. Prior amounts were restated to reflect the acquisition of CliniCom during 1995.
Atlanta-based HBO & Co. posted earnings per share of $1.43 excluding nonrecurring charges related to acquisitions during 1995. Including nonrecurring charges of $136.5 million, the company had a loss of 67 cents per share, compared with net income of 86 cents per share in 1994.
The company excluded the nonrecurring charges in reporting 1995 net income of $56.6 million, an 80% increase compared with $31.5 million posted in 1994.
HBO & Co.'s stock price increased 123% in 1995 to $76.63 per share, according to the Punk, Ziegel & Knoell HCIS Index of 28 healthcare information companies (Feb. 5, p. 30).
Another company on that index, Seattle-based Phamis, recorded a 65% increase in its stock price to $29.75 during its first full year on the NASDAQ exchange.
For the year, Phamis reported an 89% jump in net income to $4.5 million from $2.4 million in 1994. Revenues rose 28% to $44 million.
Earnings per share increased 30% to 73 cents per share. Those figures were affected by an increase in average diluted shares outstanding to 6.2 million in 1995 from 4.3 million in 1994.