Allscripts lays off employees in 'rebalancing' effort

Allscripts laid off some of its employees in a "rebalancing" effort, the software vendor said Wednesday.

The company is rebalancing its team to make sure its projects have the appropriate resources assigned to them—a part of the "normal course of business," Allscripts spokeswoman Concetta Rasiarmos said. "Unfortunately, this rebalancing meant certain of our valued associates will no longer be employed at Allscripts."

The layoffs cap off what started as a rough year for Allscripts. In January 2018, Allscripts fell victim to ransomware that took down some of its software. It took days for the company to fully bring back service for some of its software users, including Professional EHR. In November, the U.S. Justice Department indicted two men in connection with the attack, which caused victims to lose more than $30 million, in addition to the ransom they paid.

In May, Allscripts announced it would acquire patient-engagement software company HealthGrid for $60 million, incorporating the company's tools into Allscripts' FollowMyHealth engagement platform.

Year over year, Allscripts' revenue grew 16%, to $522 million, in the third quarter of 2018, the most recently reported period. Operating expenses in the quarter were up 20%.