Financial Data and Key Metrics Changes - Total revenue for Q3 2022 was $83 million, with a year-over-year increase of 18% [6][37] - EBITDA for the quarter was $13.3 million, representing a 9% increase compared to the prior year [7][43] - Gross margin decreased to 45.9%, down 440 basis points year-over-year due to the inclusion of lower-margin services from HRG and implementation delays in GRH [41] - Operating expenses as a percentage of revenue improved to 39.9%, down from 43.9% year-over-year [42] Business Line Data and Key Metrics Changes - TruBridge generated $47.9 million in revenue, a 39% increase year-over-year, with 94% of its revenue being recurring [6][37] - Evident, the core EHR business, accounted for about 40% of total revenue, but bookings declined year-over-year due to a shift towards RCM services [19][20] - Get Real Health (GRH) contributed just over $1 million in revenue, with growth expected as the business matures [18][38] Market Data and Key Metrics Changes - The TruBridge pipeline tripled from $5.6 million to $17.3 million year-over-year, indicating strong demand for services [13] - Cross-sell bookings increased by 30% sequentially and were more than 3.5 times those of Q3 2021 [36] - The overall market for RCM services is robust, particularly in a post-COVID environment where hospitals face resource constraints [12] Company Strategy and Development Direction - The company aims to strengthen relationships with partners and customers, focusing on improving client experience and delivering innovative product enhancements [10] - CPSI is committed to growing its core business, operational efficiency, and making key investments in adjacent markets like Get Real Health [28][29] - Leadership changes were announced to align business units with the go-to-market strategy, enhancing operational transparency and excellence [21][26] Management's Comments on Operating Environment and Future Outlook - Management noted that the operating environment remains challenging, with hospitals facing financial pressures and staffing shortages [12] - The company reiterated its revenue guidance for the full year at $320 million to $330 million, despite a slight reduction in EBITDA margin expectations due to delays in GRH implementations [46][47] - Management expressed confidence in the long-term outlook, emphasizing the importance of strategic acquisitions and customer satisfaction [48] Other Important Information - CPSI repurchased $4 million of its shares during the quarter as part of its capital allocation strategy [45] - The company is focused on transitioning to a business model with more predictable and recurring revenue streams [40] Q&A Session Summary Question: Pricing Environment Impact - Management indicated that they have not seen significant price hikes in the EHR market, with prices holding steady or slightly decreasing due to increased efficiency [52][53] Question: Get Real Health Delays - Delays in GRH implementations were attributed to customer-driven issues, including integration challenges and marketing strategy timing [56][57] Question: Partnership with i2i Population Health - The partnership is expected to contribute a negligible revenue increment in 2023 but has long-term significance due to existing integrations and customer needs for quality-based reporting [60][62]

For the quarterly period ended June 30, 2022 ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission file number: 000-49796 COMPUTER PROGRAMS AND SYSTEMS, INC. (Exact Name of Registrant as Specified in Its Charter) Delaware 74-3032373 (State or Other Jurisdict ...

Computer Programs and Systems, Inc. (CPSI) Q2 2022 Earnings Conference Call August 2, 2022 4:30 PM ET Company Participants Dru Anderson - IR, Corporate Communications, Inc. Chris Fowler - President and CEO Matt Chambless - CFO David Dye - Chief Growth Officer Conference Call Participants Jeff Garro - Piper Sandler George Hill - Deutsche Bank Joy Zhang - SVB Securities Operator Greetings and welcome to CPSI Second Quarter 2022 Earnings Conference Call. At this time, all participants are in a listen-only mode ...

PART I. FINANCIAL INFORMATION [Item 1. Financial Statements](index=4&type=section&id=Item%201.%20Financial%20Statements) This section presents the unaudited condensed consolidated financial statements, including balance sheets, income statements, statements of stockholders' equity, and cash flow statements, along with detailed notes explaining the basis of presentation, accounting policies, business combinations, and other financial details for the three months ended March 31, 2022 and 2021 [Condensed Consolidated Balance Sheets](index=4&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) This section provides a snapshot of the Company's financial position, detailing assets, liabilities, and equity as of March 31, 2022, and December 31, 2021 | Metric (In thousands) | March 31, 2022 | December 31, 2021 | Change | % Change | | :-------------------- | :------------- | :---------------- | :----- | :------- | | Cash and cash equivalents | $15,981 | $11,431 | $4,550 | 39.8% | | Total current assets | $80,797 | $68,998 | $11,799| 17.1% | | Total assets | $440,330 | $383,350 | $56,980| 14.9% | | Total current liabilities | $46,735 | $46,427 | $308 | 0.7% | | Total liabilities | $209,578 | $160,778 | $48,800| 30.3% | | Total stockholders' equity | $230,752 | $222,572 | $8,180 | 3.7% | [Condensed Consolidated Statements of Income](index=6&type=section&id=Condensed%20Consolidated%20Statements%20of%20Income) This section outlines the Company's financial performance, presenting revenues, expenses, and net income for the three months ended March 31, 2022, and 2021 | Metric (In thousands, except per share data) | Three Months Ended March 31, 2022 | Three Months Ended March 31, 2021 | Change | % Change | | :------------------------------------------- | :-------------------------------- | :-------------------------------- | :----- | :------- | | Total sales revenues | $77,871 | $68,005 | $9,866 | 14.5% | | Gross profit | $39,815 | $34,850 | $4,965 | 14.2% | | Operating income | $8,986 | $4,914 | $4,072 | 82.9% | | Income before taxes | $9,476 | $5,101 | $4,375 | 85.8% | | Net income | $8,113 | $4,144 | $3,969 | 95.8% | | Net income per common share—basic | $0.55 | $0.29 | $0.26 | 89.7% | | Net income per common share—diluted | $0.55 | $0.28 | $0.27 | 96.4% | [Condensed Consolidated Statement of Stockholders' Equity](index=7&type=section&id=Condensed%20Consolidated%20Statement%20of%20Stockholders%27%20Equity) This section details changes in the Company's equity, including net income, stock-based compensation, and treasury stock transactions, for the period from December 31, 2021, to March 31, 2022 | Metric (In thousands) | Balance at Dec 31, 2021 | Net Income | Stock-based Compensation | Treasury Stock Acquired | Balance at Mar 31, 2022 | | :-------------------- | :---------------------- | :--------- | :----------------------- | :---------------------- | :---------------------- | | Total Stockholders' Equity | $222,572 | $8,113 | $1,717 | $(1,650) | $230,752 | [Condensed Consolidated Statements of Cash Flows](index=8&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) This section summarizes the cash inflows and outflows from operating, investing, and financing activities for the three months ended March 31, 2022, and 2021 | Metric (In thousands) | Three Months Ended March 31, 2022 | Three Months Ended March 31, 2021 | Change | | :-------------------- | :-------------------------------- | :-------------------------------- | :----- | | Net cash provided by operating activities | $11,817 | $13,710 | $(1,893) | | Net cash used in investing activities | $(47,680) | $(1,365) | $(46,315) | | Net cash provided by (used in) financing activities | $40,413 | $(7,000) | $47,413 | | Increase in cash and cash equivalents | $4,550 | $5,345 | $(795) | [Notes to Condensed Consolidated Financial Statements](index=9&type=section&id=Notes%20to%20Condensed%20Consolidated%20Financial%20Statements) This section provides detailed explanations and disclosures supporting the condensed consolidated financial statements [1. Basis of Presentation](index=9&type=section&id=1.%20Basis%20of%20Presentation) The unaudited condensed consolidated financial statements are prepared in accordance with SEC rules and U.S. GAAP, including all necessary recurring adjustments, and consolidate CPSI and its wholly-owned subsidiaries - The Company changed its method of estimating capitalizable labor costs for software development in Q2 2021, moving from an estimated time-equivalent for workload metrics to a distribution of agile workload metrics between capitalizable and non-capitalizable units of work, with this change accounted for prospectively[22](index=22&type=chunk) - The condensed consolidated financial statements include the accounts of CPSI and its wholly-owned subsidiaries: TruBridge, Evident, Healthland Holding Inc. (including Healthland, Rycan, and American HealthTech), iNetXperts d/b/a Get Real Health, TruCode, and Healthcare Resource Group, Inc.[23](index=23&type=chunk) [2. Recent Accounting Pronouncements](index=9&type=section&id=2.%20Recent%20Accounting%20Pronouncements) No new accounting standards adopted in 2022 or yet to be adopted are expected to have a material impact on the Company's consolidated financial statements - No new accounting standards adopted in **2022** or yet to be adopted are expected to have a material impact on the consolidated financial statements[24](index=24&type=chunk)[25](index=25&type=chunk) [3. Revenue Recognition](index=9&type=section&id=3.%20Revenue%20Recognition) Revenue is recognized using a 5-step model upon transfer of control, with specific recognition patterns for TruBridge services, system sales, support, and SaaS arrangements - TruBridge provides business processing services (BPS) and professional IT services, with fees recognized over the contractual relationship period based on transaction volume or percentage of client accounts receivable collections[29](index=29&type=chunk)[30](index=30&type=chunk) - For System Sales and Support, perpetual software licenses, installation, conversion, and training are accounted for as a single performance obligation, with revenue recognized upon module implementation completion, while SaaS arrangements for EHR software and related services are a single performance obligation, with revenue recognized monthly over the contract term[35](index=35&type=chunk) Deferred Revenue (In thousands) | Metric | Three Months Ended March 31, 2022 | Three Months Ended March 31, 2021 | | :------------------------------------ | :-------------------------------- | :-------------------------------- | | Beginning balance | $11,529 | $8,130 | | Deferred revenue recorded | $9,263 | $5,847 | | Less deferred revenue recognized as revenue | $(6,661) | $(5,144) | | Ending balance | $14,131 | $8,833 | Costs to Obtain and Fulfill Contracts (In thousands) | Metric | Three Months Ended March 31, 2022 | Three Months Ended March 31, 2021 | | :------------------------------------ | :-------------------------------- | :-------------------------------- | | Beginning balance | $7,312 | $5,992 | | Costs to obtain and fulfill contracts capitalized | $3,047 | $1,836 | | Less costs to obtain and fulfill contracts recognized as expense | $(1,799) | $(1,475) | | Ending balance | $8,560 | $6,353 | [4. Business Combination](index=15&type=section&id=4.%20Business%20Combination) The Company acquired Healthcare Resource Group, Inc. (HRG) on March 1, 2022, for **$43.4 million** cash, adding RCM solutions, and reversed **$1.25 million** of contingent consideration for the TruCode acquisition due to revised earnings estimates - On March 1, 2022, CPSI acquired Healthcare Resource Group, Inc. (HRG) for **$43.4 million** cash, enhancing its revenue cycle management (RCM) solutions and consulting services[44](index=44&type=chunk)[45](index=45&type=chunk) HRG Acquisition Preliminary Purchase Price Allocation (In thousands) | Asset/Liability | Purchase Price Allocation | | :---------------- | :------------------------ | | Intangible assets | $24,200 | | Goodwill | $20,380 | | Net assets acquired | $47,349 | - The HRG acquisition contributed approximately **$3.8 million** in revenues and **$0.5 million** in pre-tax net income to CPSI's consolidated statement of operations for the three months ended March 31, 20

Computer Programs and Systems, Inc. (CPSI) Q1 2022 Results Earnings Conference Call May 4, 2022 4:30 PM ET Company Participants Dru Anderson - Investor Relations, Corporate Communications, Inc. Boyd Douglas - President and Chief Executive Officer Matt Chambless - Chief Financial Officer Chris Fowler - Chief Operating Officer and President, TruBridge David Dye - Chief Growth Officer Conference Call Participants Jeff Garro - Piper Sandler Joy Zhang - SVB Leerink LLC Operator Greetings and welcome to the CPSI ...

FOR THE FISCAL YEAR ENDED December 31, 2021 OR UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-K ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934 ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934 Common Stock, par value $.001 per share CPSI The NASDAQ Stock Market LLC FOR THE TRANSITION PERIOD FROM TO . Commission file number: 000-49796 Title of each class Trading symbol Name of each exchange on wh ...

Computer Programs and Systems, Inc. (CPSI) Q4 2021 Earnings Conference Call February 15, 2022 4:30 PM ET Company Participants Dru Anderson - Senior Vice President, Corporate Communications Inc. Boyd Douglas - President & Chief Executive Officer Matt Chambless - Chief Financial Officer David Dye - Chief Growth Officer Chris Fowler - Chief Operating Officer Conference Call Participants Jeff Garro - Piper Sandler George Hill - Deutsche Bank Donald Hooker - KeyBanc Joy Zhang - SVB Leerink Operator Greetings, a ...

Computer Programs and Systems, Inc. (CPSI) Q3 2021 Earnings Conference Call November 9, 2021 4:30 PM ET Company Participants Dru Anderson – Senior Vice President, Corporate Communications Inc. Boyd Douglas – President and Chief Executive Officer Matt Chambless – Chief Financial Officer David Dye – Chief Growth Officer Chris Fowler – Chief Operating Officer Conference Call Participants Donald Hooker – KeyBanc Joy Zhang – SVB Leerink Jeff Garro – Piper Sandler Operator Greetings, and welcome to the CPSI Third ...

☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission file number: 000-49796 COMPUTER PROGRAMS AND SYSTEMS, INC. UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2021 (Exact Name of Registrant as Specified in Its Charter) Delaware 74-3032373 (State or Other Juri ...

CONTACT Tracey Schroeder Chief Marketing Officer Tracey.schroeder@cpsi.com (251) 639-8100 CPSI ANNOUNCES SECOND QUARTER 2021 RESULTS Highlights for Second Quarter 2021: MOBILE, ALA. (August 3, 2021) – CPSI (NASDAQ: CPSI), a community healthcare solutions company, today announced results for the quarter ended June 30, 2021. Total revenues for the quarter ended June 30, 2021, were $68.5 million, compared with total revenues of $59.5 million for the prior-year second quarter. GAAP net income for the quarter en ...