TruBridge(TBRG) - 2025 Q2 - Quarterly Report

PART I. FINANCIAL INFORMATION This section presents the unaudited condensed consolidated financial statements and detailed accounting notes Item 1. Financial Statements This section presents TruBridge, Inc.'s unaudited condensed consolidated financial statements and detailed accounting notes for the periods ended June 30, 2025, and December 31, 2024 Condensed Consolidated Balance Sheets (Unaudited) – June 30, 2025 and December 31, 2024 Condensed Consolidated Balance Sheets (In thousands): | Item | June 30, 2025 | December 31, 2024 | | :-------------------------------- | :------------ | :---------------- | | Total assets | $390,151 | $394,432 | | Total liabilities | $216,978 | $225,737 | | Total stockholders' equity | $173,173 | $168,695 | - Total assets decreased by $4.281 million from December 31, 2024, to June 30, 2025, while total liabilities decreased by $8.759 million, and total stockholders' equity increased by $4.478 million[10] Condensed Consolidated Statements of Operations (Unaudited) – Three and Six Months Ended June 30, 2025 and 2024 Condensed Consolidated Statements of Operations (In thousands, except per share data): | Item | Three Months Ended June 30, 2025 | Three Months Ended June 30, 2024 | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | | :----------------------------------- | :------------------------------- | :------------------------------- | :----------------------------- | :----------------------------- | | Total revenues | $85,729 | $85,600 | $172,937 | $169,717 | | Operating income (loss) | $3,627 | $(2,149) | $11,787 | $(2,737) | | Net income (loss) | $2,580 | $(4,388) | $3,039 | $(6,242) | | Net income (loss) per common share—basic | $0.17 | $(0.29) | $0.20 | $(0.42) | | Net income (loss) per common share—diluted | $0.17 | $(0.29) | $0.20 | $(0.42) | - For the three months ended June 30, 2025, total revenues slightly increased by $0.129 million, operating income improved significantly from a loss of $2.149 million to an income of $3.627 million, and net income turned positive at $2.580 million compared to a net loss of $4.388 million in the prior year[12] - For the six months ended June 30, 2025, total revenues increased by $3.220 million (2%), operating income improved from a loss of $2.737 million to an income of $11.787 million, and net income was $3.039 million compared to a net loss of $6.242 million in the prior year[12] Condensed Consolidated Statements of Comprehensive Income (Loss) (Unaudited) - Three and Six Months Ended June 30, 2025 and 2024 Condensed Consolidated Statements of Comprehensive Income (Loss) (In thousands): | Item | Three Months Ended June 30, 2025 | Three Months Ended June 30, 2024 | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | | :-------------------------------- | :------------------------------- | :------------------------------- | :----------------------------- | :----------------------------- | | Net income (loss) | $2,580 | $(4,388) | $3,039 | $(6,242) | | Foreign currency translation adjustment | $(12) | $(5) | $(18) | $108 | | Comprehensive income (loss) | $2,568 | $(4,393) | $3,021 | $(6,134) | - Comprehensive income for the three months ended June 30, 2025, was $2.568 million, a significant improvement from a loss of $4.393 million in the prior year, primarily driven by the increase in net income[13] - For the six months ended June 30, 2025, comprehensive income was $3.021 million, compared to a loss of $6.134 million in the prior year, also reflecting the positive shift in net income[13] Condensed Consolidated Statements of Stockholders' Equity (Unaudited) – Three and Six Months Ended June 30, 2025 and 2024 Condensed Consolidated Statements of Stockholders' Equity (In thousands): | Item | Balance at June 30, 2025 | Balance at June 30, 2024 | | :-------------------------------- | :----------------------- | :----------------------- | | Common Stock | $15 | $15 | | Additional Paid-in Capital | $204,376 | $197,846 | | Accumulated Earnings (Deficit) | $(11,913) | $(755) | | Accumulated Other Comprehensive Income | $27 | $108 | | Treasury Stock | $(19,332) | $(17,434) | | Total Stockholders' Equity | $173,173 | $179,780 | - Total stockholders' equity decreased from $179.780 million at June 30, 2024, to $173.173 million at June 30, 2025, primarily due to an increase in treasury stock and a larger accumulated deficit, despite an increase in additional paid-in capital[15] - For the six months ended June 30, 2025, net income of $3.039 million and stock-based compensation of $3.310 million increased equity, while treasury stock acquisitions of $1.853 million reduced it[15] Condensed Consolidated Statements of Cash Flows (Unaudited) – Six Months Ended June 30, 2025 and 2024 Condensed Consolidated Statements of Cash Flows (In thousands): | Activity | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | | :-------------------------------- | :----------------------------- | :----------------------------- | | Net cash provided by operating activities | $14,517 | $11,730 | | Net cash (used in) provided by investing activities | $(6,959) | $11,116 | | Net cash used in financing activities | $(7,603) | $(18,944) | | (Decrease) increase in cash and cash equivalents | $(45) | $3,902 | | Cash and cash equivalents at end of period | $12,279 | $7,709 | - Net cash provided by operating activities increased by $2.787 million to $14.517 million for the six months ended June 30, 2025, driven by increased net income and decreased deferred taxes[17][198] - Net cash used in investing activities was $6.959 million for the six months ended June 30, 2025, a decrease of $18.075 million from the prior year's cash provided by investing activities, primarily due to the sale of AHT in 2024[17][199] - Net cash used in financing activities decreased to $7.603 million for the six months ended June 30, 2025, from $18.944 million in the prior year, mainly due to lower long-term debt principal payments[17][200] Notes to Condensed Consolidated Financial Statements (Unaudited) 1. BASIS OF PRESENTATION This note outlines the basis for preparing the unaudited condensed consolidated financial statements, including adherence to SEC rules and U.S. GAAP, and details segment realignment and a revision of prior financial statements - The Company realigned its reporting structure in May 2024, changing from three segments (Revenue Cycle Management, Electronic Health Records, Patient Engagement) to two segments: Financial Health (formerly RCM) and Patient Care (formerly EHR, now including Patient Engagement)[22] Revision of Previously Issued Financial Statements (Three Months Ended June 30, 2024, In thousands, except per share data): | Item | As previously reported | Impact of revision | As adjusted | | :----------------------------------- | :--------------------- | :----------------- | :---------- | | Total revenue | $84,730 | $8