KANSAS CITY, Mo. - October 24, 2019 - Cerner Corporation (Nasdaq: CERN) today announced results for the 2019 third quarter that ended September 28, 2019.
Bookings in the third quarter of 2019 were at the high-end of the Company’s expectations at $1.651 billion.
Third quarter 2019 revenue was $1.429 billion, an increase of 7 percent compared to $1.340 billion in the third quarter of 2018, and in line with the Company’s expectations.
On a U.S. Generally Accepted Accounting Principles (GAAP) basis, third quarter 2019 net earnings were $81.9 million and diluted earnings per share were $0.26. Third quarter 2018 GAAP net earnings were $169.4 million and diluted earnings per share were $0.51.
Adjusted Net Earnings for third quarter 2019 were $211.7 million, compared to $209.4 million of Adjusted Net Earnings in the third quarter of 2018. Adjusted Diluted Earnings Per Share were $0.66 in the third quarter of 2019, in line with the Company’s expectations and up 5 percent compared to $0.63 of Adjusted Diluted Earnings Per Share in the year-ago quarter.
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 $351.4 million and Free Cash Flow of $174.4 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 74 days, down from 78 days in the second quarter and 82 days in the year-ago quarter.
Total backlog of $13.31 billion.
“I am pleased with our execution in the third quarter as we again delivered against the expectations we set while also continuing to advance Cerner’s broader transformation,” said Brent Shafer, Chairman and CEO. “I believe the balanced focus of near-term operational improvements combined with our innovation and growth strategies position Cerner to deliver sustainable and profitable growth.”
The following information was filed by Cerner Corp (CERN) on Thursday, October 24, 2019 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: 0000804753-19-000062 Submitted to the SEC: Fri Oct 25 2019 4:13:26 AM EST Accepted by the SEC: Fri Oct 25 2019 Period: Saturday, September 28, 2019 Industry: Computer Integrated Systems Design