Allscripts reported flat revenue for fiscal 2015, as the electronic health record systems supplier saw lower revenue from client services.
Total revenue increased a slight 0.6% over 2014, and revenue generated from client services dropped 0.5%, according to the Chicago-based company's earnings report. Software delivery, support and maintenance increased 1.2% for the year, continuing the slow growth from the fourth quarter, when software delivery increased 0.3%.
Non-recurring revenue dropped 13% in the fourth quarter compared with the prior-year period, Richard Poulton, Allscripts' president and chief financial officer, said during a conference call with analysts.
“Non-recurring revenue was impacted by lower demand for project-based client services, compared with the year-ago period and also is impacted by the seasonal impact of the holidays,” Poulton said during the call, adding that clients historically are not willing or able to work as many hours during the holidays.
Bookings, however, were a boon for Allscripts last year, reaching $1.1 billion, a 20% increase from 2014. Bookings in the fourth quarter were $343 million, a record, according to the company.
Allscripts posted a net income loss of $2 million in 2015, improved from the $66.5 million loss a year ago.
The company is predicting 2016 revenue between $1.43 billion and $1.46 billion, and earnings per share to fall between $0.55 and $0.62.
Allscripts was active in mergers and acquisitions last year, and in July purchased a 10% equity stake in NantHealth, which is Dr. Patrick Soon-Shiong's precision medicine startup company. That was the largest deal in the digital health sector for 2015, according to Rock Health, an incubator and venture capital fund based in San Francisco.
But Allscripts had some misses last year as well. In July, Allscripts was beaten out by the team of Cerner, Leidos and Accenture in its bid to secure a contract to build the new EHR system for the Military Health System.