Cerner has released its financial results for the 2008 first quarter, which ended March 29, delivering increased revenues and net earnings despite a slight dip in bookings.
For the quarter, bookings were $346.6 million, compared to first quarter 2007 bookings of $353 million, including $50 million of higher than expected bookings from managed services contracts, the Kansas City, Mo.-based company said.
Cerner reported that first quarter revenue increased 5 percent over the year-ago period to $384.8 million, with good growth in software, managed services and support revenue being somewhat offset by declines in hardware revenue.
On a Generally Accepted Accounting Principles (GAAP) basis, first quarter 2008 net earnings were $36.8 million, compared to 2007 GAAP net earnings of $27.7 million.
“We are pleased with our results in the first quarter,” said Neal Patterson, Cerner co-founder, chairman and CEO. “While declines in revenue from hardware sales, a non-core element of our business, continue to impact our overall revenue growth, our fundamentals remain sound, as evidenced by the strong margin expansion, earnings growth and cash flow growth we delivered this quarter.
The company said it expects revenue in the second quarter of 2008 to be approximately $390 million to $405 million, and for the year, expects revenue growth of approximately 10 percent over 2007.
Cerner also announced that its board of directors has approved a stock repurchase program, authorizing the repurchase of up to $45 million of common stock.