M*Modal turned in its Q1 results after the market closed, posting an adjusted profit of $16.7 million after taking out several acquisition and integration charges.
The company posted adjusted income of 30 cents per share, outstripping the consensus analyst estimate by roughly 5 cents. Revenue figures were also better than expected coming in at $117 million, up 5.6 percent year over year.
“We demonstrated the benefit of having our new leadership team assembled and management system in place this quarter with revenue growth and continued execution on leveraging an enhanced value proposition across our customer base,” said CEO Vern Davenport. “The significant win we announced this quarter with Duke University Health System highlights the value of consolidating documentation services across multiple clinical environments and the ability to enable physician adoption of EHRs with our M*Modal Fluency Direct solution.”
In addition to its quarterly results, the company also announced that it has entered into a software interface license agreement with 3M Health Information Systems. Through the deal, the interfacing of M*Modal’s computer-assisted coding solution is now licensed to the 3M Coding and Reimbursement System.
“We are pleased to announce this agreement with 3M,” said Davenport. “M*Modal will be able to better support the healthcare community in its critical transition to ICD-10.”
M*Modal shares (Ticker: MODL) closed Wednesday at $12.97, up 6.49 percent on the day. Year to date, they've risen about 26 percent.