Streamline Health Reports Second Quarter 2017 Revenues of $5.9M
Thursday, September 14th, 2017
Streamline Health Solutions, Inc., provider of integrated solutions, technology-enabled services and analytics supporting revenue cycle optimization for healthcare enterprises, announced financial results for the second quarter and first half of fiscal 2017, which ended July 31, 2017.
Revenues for the three-month period ended July 31, 2017 decreased approximately 20% to $5.9 million over the revenues for the three-month period ended July 31, 2016 of $7.4 million, which included $1.0 million of perpetual license revenue. Revenue was down approximately 7% year-over-year in the second quarter of fiscal 2017 when excluding the perpetual license revenue for the same period in 2016 ($5.9 million as compared to $6.4 million). Recurring revenue comprised 82% of total revenue in the quarter. Revenues for the first six months of fiscal year 2017 were $11.8 million, down approximately 16% as compared to $14.1 million in the first half of fiscal 2016. Revenue for the first six months of fiscal 2017 was down approximately 9% from the same period in 2016 when excluding the perpetual license revenue for the same period in 2016.
Net loss for the second quarter of fiscal 2017 was $(1.1 million) as compared to a ($.7 million) net loss in the same period a year ago. Net loss for the six months of fiscal 2017 was ($3.1 million) as compared to ($2.2 million) net loss for the same period in 2016.
Adjusted EBITDA for the second quarter of fiscal 2017 was $0.5 million, down from $1.6 million in the second quarter of 2016. Adjusted EBITDA for the first six months of fiscal 2017 was break-even, as compared to $2.2 million in the first half of fiscal 2016.
"Our second quarter financial performance started to show some of the promise we envisioned when we refocused our efforts to the middle of the revenue cycle. During the quarter, we sold auditing services to four new clients such as Iora Health headquartered in Boston, Union General in Louisiana and St. Francis Medical Center in Missouri," stated David Sides, President and Chief Executive Officer, Streamline Health. "Although these new contracts are small in terms of initial revenue contribution, we believe there is the opportunity for growth within each of these as we bring new technology to the relationships. Our pipeline for our new Streamline Health eValuator™ remains robust. We closed a new client after the second quarter ended which we believe will be one of many throughout the second half of our fiscal year. We continue to believe that we will generate incremental growth in our bookings in the second half of this year and into 2018.
Our balance sheet was mostly unchanged from the first quarter of this year as our cash on hand decreased the same amount as our debt. Going forward, we do not foresee paying down our debt at such an accelerated pace; rather we plan to grow our cash on hand."
Highlights for the three months ended July 31, 2017 included:
Revenue for the second quarter 2017 was $5.9 million;
Net loss for the second quarter 2017 was $(1.1 million);
Adjusted EBITDA for the second quarter 2017 was $0.5 million;
New sales bookings for the quarter were $1.1 million; and
Backlog at the end of the quarter was $46.3 million.