KANSAS CITY, Mo. - October 25, 2018 - Cerner Corporation (Nasdaq: CERN) today announced results for the 2018 third quarter that ended September 29, 2018.
Bookings in the third quarter of 2018 were $1.588 billion, an increase of 43 percent compared to $1.111 billion in the third quarter of 2017.
Third quarter revenue was $1.340 billion, an increase of 5 percent compared to $1.276 billion in the third quarter of 2017.
On a U.S. Generally Accepted Accounting Principles (GAAP) basis, third quarter 2018 net earnings were $169.4 million and diluted earnings per share were $0.51. Third quarter 2017 GAAP net earnings were $177.4 million and diluted earnings per share were $0.52.
Adjusted Net Earnings for third quarter 2018 were $209.4 million, compared to $205.9 million of Adjusted Net Earnings in the third quarter of 2017. Adjusted Diluted Earnings Per Share were $0.63 in the third quarter of 2018 compared to $0.61 of Adjusted Diluted Earnings Per Share in the year-ago quarter. Analysts’ consensus estimate for third quarter 2018 Adjusted Diluted Earnings Per Share was $0.63.
Adjusted Net Earnings and Adjusted Diluted Earnings Per Share are not recognized terms under GAAP. These non-GAAP financial measures should not be substituted for GAAP net earnings or GAAP diluted earnings per share, respectively, as measures of Cerner’s performance, but instead should be utilized as supplemental measures of financial performance in evaluating our business. Please see the accompanying schedule, titled “Reconciliation of GAAP Results to Non-GAAP Results,” where our non-GAAP financial measures are defined and reconciled to the most comparable GAAP measures.
Third quarter operating cash flow of $338.5 million.
Third quarter Free Cash Flow of $155.3 million. Free Cash Flow is a non-GAAP financial measure defined as GAAP cash flows from operating activities less capital purchases and capitalized software development costs. Please see the accompanying schedule, titled “Reconciliation of GAAP Results to Non-GAAP Results.”
Third quarter days sales outstanding of 82 days, up from 73 days in the year-ago period.
Total backlog of $14.70 billion.
“Our third quarter results were solid, with all key metrics in our expected ranges,” said John Peterzalek, Chief Client Officer. “We remain optimistic about our ability to continue delivering solid results and good growth over the long term as health care is still in the early stages of driving value from digitization. We believe we are in a great position to play a significant role in helping health care stakeholders move towards a more efficient and higher quality system of care.”
The following information was filed by Cerner Corp (CERN) on Thursday, October 25, 2018 as an 8K 2.02 statement, which is an earnings press release pertaining to results of operations and financial condition. It may be helpful to assess the quality of management by comparing the information in the press release to the information in the accompanying 10-Q Quarterly Report statement of earnings and operation as management may choose to highlight particular information in the press release.
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Ticker: CERN CIK: 804753 Form Type:10-Q Quarterly Report Accession Number: 0000804753-18-000039 Submitted to the SEC: Fri Oct 26 2018 12:03:28 PM EST Accepted by the SEC: Fri Oct 26 2018 Period: Saturday, September 29, 2018 Industry: Computer Integrated Systems Design