Healthtech firm reports ‘good sales and commercial execution’ in its two segments
Leeds-headquartered healthtech and software business EMIS Group has seen a rise in revenue during a period it focused on two main segments of its business.
Reporting on the six month period to 30 June 2019, the listed firm said revenues stood at £79.8m – up 7% from £74.4m in the previous year. Meanwhile, pre-tax profits dropped to £12m from £12.5m
The group completed the disposal of its Specialist & Care business on 2 April 2019 for £14.9m and now the business has re-structured with two segments; EMIS Health and EMIS Enterprise.
The EMIS Health segment comprises revenues generated from NHS organisations. The EMIS Enterprise segment comprises revenues predominantly from private sector sources, including the results of the Community Pharmacy and Patient segments, which were previously reported separately.
EMIS said the results were in line with expectations as it continues to execute its strategic plan to focus on EMIS Health and EMIS Enterprise segments; where its reported “good sales and commercial execution” from both segments in H1.
It said the group maintained its leading market share positions during the period.
Speaking to TheBusinessDesk.com this morning, Andy Thorburn, Chief Executive Officer of EMIS Group, said: “It was a very positive period for us. We have executed our tech build, which is now live. We continue to invest in our tech team and will do so going forward.”
Thorburn said that the disposal of the Specialist and Care division was completed as it was not “core” to the business. He added: “Our expertise is in the healthtech rather than the clinical side of the market.”
He said that there were “good growth opportunities” in the enterprise division and that the new organisational structure – which includes to new MDs leading the enterprise and health divisions – had been received well.
Thorburn was also optimistic about the future, as the firm’s technology would allow the NHS to drive efficiencies and as a UK only business, the listed firm was “fortunate” to be less impacted by Brexit. He added: “For us it’s about keeping our head down and executing the plan. There’s lots to do.”
During the period, the business submitted its GP IT Futures bid for English GP framework submitted to NHS Digital (NHSD) – and that a decision was expected in the coming months.
Andy Thorburn, Chief Executive Officer of EMIS Group, said: “We have continued to demonstrate good progress in the first half of 2019, delivering positive results in line with the Board’s expectations, with both revenue and adjusted operating profit ahead of the comparative period.
“We are well positioned to secure our place on the GP IT Futures framework for GP software in England and continue to invest in patient-facing technology and the next generation EMIS-X platform. With our balance of technology, clinical standards and a continuously improving technical environment, the Group is well placed to deliver on its growth and margin targets.”
