Emdeon's fourth quarter 2013 revenue increases 8.7% to $320.1 million

Emdeon Inc., a leading provider of healthcare revenue and payment cycle management and clinical information exchange solutions, today announced financial results for the fourth quarter and year ended December 31, 2013, as summarized below:

"We are pleased with our 2013 year end results as well as the strong fourth quarter close," said Neil de Crescenzo, president and chief executive officer for Emdeon. "As we develop innovative products and services that build upon our core capabilities and delight our customers, we look forward to increasing positive momentum across all of our lines of business in 2014."

Fourth quarter 2013 revenue was $320.1 million, an increase of 8.7%, compared to $294.4 million for the same period in 2012. This increase in revenue was primarily due to business growth. Net loss for the fourth quarter of 2013 was $16.5 million compared to $10.3 million for the same period in 2012. This increase in net loss compared to the corresponding prior year period was primarily due to a charge related to cancelling a product development project and other non-routine charges.

Fourth quarter 2013 Non-GAAP Adjusted EBITDA increased 8.7% to $85.5 million, or 26.7% of revenue, from Non-GAAP Adjusted EBITDA of $78.7 million, or 26.7% of revenue, for the comparable period in 2012. This increase in Adjusted EBITDA compared to the same period in 2012 is primarily due to business growth, partially offset by increased investments related to sales and other strategic growth initiatives.

For the year ended December 31, 2013, revenue was $1,242.6 million compared to $1,152.3 million for 2012, an increase of 7.8%. This increase in revenue was primarily due to business growth, including the June 2013 acquisition of Goold Health Systems. Net loss for 2013 was $74.5 million compared to $78.3 million in 2012. The improvement in the net loss was primarily due to business growth and reduced interest rates as a result of the repricing of Emdeon's term debt in April 2013.  

Full year 2013 Non-GAAP Adjusted EBITDA increased 2.4% to $324.0 million, or 26.1% of revenue, from Non-GAAP Adjusted EBITDA of $316.4 million, or 27.5% of revenue, for the comparable period in 2012. This increase was primarily due to the impact of business growth, partially offset by increased investments related to sales and other strategic growth initiatives.

A reconciliation of Emdeon's financial results determined in accordance with U.S. Generally Accepted Accounting Principles (GAAP) to certain non-GAAP financial measures has been provided in the financial statement tables included in this release to supplement its unaudited condensed consolidated financial statements presented on a GAAP basis.  An explanation of these non-GAAP measures is also included below under the heading "Explanation of Non-GAAP Financial Measures."