EMIS Group PLC - AGM Statement
Ahead of its AGM being held later today,
The Board of
While continuing to meet service level obligations, the Group has dedicated a team to respond to urgent requests from
Financial position and trading
The Group continues to have market-leading positions and high levels of recurring revenue. It remains in a strong financial position, with the expected normal seasonal cash inflows increasing the cash position to
As anticipated, following a good start to the year, trading patterns have altered due to the need for flexible working solutions for the Group's customers. While recurring revenues have continued as normal, as anticipated new business sales have been lower than in 2019 and weighted more towards lower-margin hardware. Costs continue to be controlled carefully to ensure any impact of delayed new business revenues is minimised, however there is currently no intention to furlough any staff.
This is in line with the Group's assessment of market conditions as set out at the time of the 2019 Full Year Results and, assuming that markets will improve gradually in the second half of the year, the Board's expectations for the full year remain unchanged.
Given the strength of the Group's business model (including approximately 80% recurring revenue) and its strong cash position, the Board has decided to continue investing in the execution of the Group's strategic roadmap, rather than take short-term cost-saving measures in response to COVID-19.
Demand for the Group's Patient Access service has continued to grow, surpassing 10m registered users; up from 8.4m at the end of 2019. It is clear that digital health capabilities will be even more important post COVID-19 and Patient is well positioned, as the leading healthcare app in the
Investment in EMIS-X has been maintained and will be increased through 2020. Development of the EMIS-X platform continues as planned, with new functionality being completed on a regular basis and end user applications expected to launch from 2021.
As previously announced, and having completed nine years' service,
"While the Group continues to navigate short-term market volatility, the Board believes that it is in the best interests of all stakeholders to continue with the execution of the strategic product roadmap to deliver greater integration and efficiency in healthcare.
The investments being made by the Group and the capabilities being built will be even more relevant after COVID-19. The Board is confident the Group will create significant value for shareholders over time while delivering opportunities for customers in the
For further information, contact:
Andy Thorburn, CEO
Peter Southby, CFO
Oliver Hardy/Simon Willis/James Black
MHP Communications Tel: 020 3128 8572
Reg Hoare/Giles Robinson/Florence Mayo [email protected]
Notes to Editors
EMIS Enterprise is focussed on growth in the business-to-business technology sector within the healthcare market, including management of medicines, partner businesses, patient-facing services and UK healthcare blockchain.
• Patient, the UK's leading independent provider of patient-centric medical and well-being information and related transactional services; and
• Egton, providing specialist ICT infrastructure, hardware and engineering services, and non-clinical software into health and social care.
This information is provided by RNS, the news service of the
Quick facts: EMIS Group plc
Market Cap: £647.04 m
NO INVESTMENT ADVICE
The Company is a publisher. You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is...FOR OUR FULL DISCLAIMER CLICK HERE