EMIS takes advantage of changing NHS
HEALTHCARE software supplier EMIS today reported a profits hike and announced the appointment of a new chairman as it posted its first annual results since joining the stock market.
The Leeds-based group, which floated on the Alternative Investment Market at the end of March, said it had increased UK market share by 1.3% to 53.8% over the year ended December 31.
The increase consolidates EMIS’s position as the UK’s leading supplier of clinical software and related services to GPs and other healthcare practitioners. The group said it was responding to the challenges posed to cuts within the NHS.
Michael O’Leary has become the group’s new non-executive chairman with immediate effect.
Mr O’Leary, 58, has 20 years of main board experience in a public company environment, including with both FTSE100 and FTSE250 companies.
He is a former chief executive of Marlborough Stirling and Huon Corporation and an executive director of Misys.
Tony Jones, one of the three founders of EMIS, is stepping down from the board, also with immediate effect, as he is retiring.
Sean Riddell, EMIS’s chief executive, said: “We stated at the time of our IPO that we intended to recruit a suitably experienced independent non-executive chairman and, following an extensive search, are delighted to be able to appoint someone of Mike’s calibre.
EMIS saw total revenue over the year increase by 8% to £62.4m, while adjusted operating profit, which includes the cost of flotation, was up 11% to £17.6m.
EMIS, which took a majority shareholding in pharmacy IT provider Rx Systems last August, had 5,576 GP practices using its software at the end of 2010.
It said there had also been positive take-up by GPs of its EMIS Web healthcare IT system, and in January EMIS won a five year contract, with an initial value of £1.8m, to deliver a shared patient healthcare record for primary healthcare teams across Cheshire.
The group has also been chosen to provide electronic healthcare records for the Australian Department of Defence under a five year contract.
Mr Riddell added: “2010 was a busy year for EMIS Group. In our core business we have achieved accreditation and started the controlled roll-out of EMIS Web, our transformational next generation healthcare IT system.
“Working with GPs and commissioning groups to fulfil the objectives described in the NHS White Paper, we are already seeing a high level of intent to upgrade.
“Of the first wave of 52 GP consortia announced, representing 22% of England’s GP practices, 77% are already EMIS users. These pathfinder organisations will shape the way that GP consortia operate in the future.
“We remain focussed on cross-organisational healthcare and are confident that we can help healthcare professionals to deliver clinical benefit and improved efficiency through our software and services.”
