At the time, the company said it needed to re-evaluate when to recognize revenue from its revenue-cycle management contracts—either immediately when contracts are signed or after bills are paid. Last week, the company said it received a March 19 letter from the New York Stock Exchange saying it has until Sept. 18 to file its annual 10-K report or face delisting.
Pressed by an analyst about the timing of its earnings report, Schuckenbrock said only that “the company will react to that situation and make its announcement relative to that situation as soon as they're ready.”
The appointment of Schuckenbrock, a high-ranking official at a major technology company, suggests Accretive believes it will emerge unscathed from its current troubles. Schuckenbrock said he plans to bring “executional discipline” and said he had the “capability to scale this business.” In addition to its hospital billing services, Accretive provides physician assistant services and population health management.
Schuckenbrock's leadership positions at Dell have also included president of the large enterprise division and chief information officer. He previously spent time at EDS, PepsiCo and Frito-Lay.
Analysts were openly skeptical about the company's latest moves. Bret Jones, an analyst at Oppenheimer, questioned in a research note the “seemingly rushed transition without an obvious pressing need.” It would have been better for the company to “resolve the ongoing accounting review prior to shaking up the C-suite,” the note said.
Accretive became the face of some hospitals' hardline debt collection practices after it was sued by the Minnesota attorney general's office for allegedly violating patient privacy and consumer protection laws. A litigation settlement—including an exit from the state—hurt the company's third-quarter results, when net income decreased to $2.8 million on $223.1 million in sales compared with $7.3 million earnings on $218.9 million in sales in the same quarter the prior year.
