Allscripts Healthcare Solutions (MDRX - Analyst Report) has entered a multi-year agreement with data-driven healthcare solutions provider Inovalon, Inc. to provide its Electronic Health Record (EHR) Platform. As per the agreement, Inovalon will apply its advanced quality improvement and risk score accuracy analytics to Allscripts Healthcare Solutions’ EHR Platform.
The higher burden due to the increased complexity of regulatory oversight, quality measurement, reimbursement models, and healthcare organization structures together with thousands of disease, diagnosis, treatment, and care considerations have led to the increased need for advanced healthcare technologies in the present health care environment.
Further, in order to comply with the performance and regulatory programs such as NCQA HEDIS quality performance measurement, the CMS Five-Star Quality Rating program, and other federal and state-based risk score accuracy programs, both the payers and health care providers must support an extensive medical record system.
With Allscripts Healthcare Solutions’ EHR Platform, Inovalon will be able to improve the speed and workflow efficiency of data exchanges within the medical record process between payers of its advanced healthcare data analytics and health care providers.
Allscripts Healthcare Solutions, a Zacks Rank #3 (Hold) stock, is a leading clinical software and information solutions provider for physicians. The company serves approximately 180,000 physician practices, 1,500 hospitals, and 10,000 post acute care facilities. It had 5,500 employees with facilities in 24 U.S. states, Canada, India, The Philippines and Middle East.
Recently, South Australian government’s health department, SA Health, has launched Enterprise Patient Administration System (EPAS) in Noarlunga Hospital using Allscripts Healthcare Solutions’ Sunrise Clinical Manager (SCM) EHR system. The August 25th launch involved more than 100 clinical and administrative staff at the hospital. The integrated single platform Sunrise Clinical Manager EHR system will help them electronically access patient information at the bedside and throughout the hospital.
Allscripts Healthcare Solutions posted a significant fall in adjusted earnings to $2.2 million or a penny per share in the second quarter of 2013 from $23.1 million or 13 cents in the comparable quarter of 2012. With this, earnings also missed the Zacks Consensus Estimate of 7 cents for the quarter.
Revenues in the quarter ebbed 6.8% to $344.8 million, again missing the Zacks Consensus Estimate of $358 million. The decrease can be attributable to lower revenues generated from all the operating segments.
While we remain on the sidelines about the company, other scrips that are performing well in the medical information systems industry include Medidata Solutions (MDSO - Snapshot Report) and Streamline Health Solutions, Inc. (STRM - Snapshot Report) , both carrying a Zacks Rank #2 (Buy), as well as Alere Inc. in the medical products industry with a Zacks Rank #1 (Strong Buy).