Change Healthcare (CHNG) 4 Jun 202020 Q4 Earnings call transcript

Ladies and gentlemen, thank you for standing by. And welcome to the Change Healthcare Fourth Quarter Fiscal Year 2020 Earnings Conference Call. At this time, all participants’ lines are in a listen-only mode. After the speakers’ presentation, there will be a question-and-answer session. [Operator Instructions] Please be advised that today’s conference is being recorded. now today, hand President Evan Relations. would to conference of I speaker your Smith, Instructions] like the to over Investor [Operator Senior Vice you. Thank Please go ahead, sir.

call welcome operator. Eliasson, ended year Change and President Change XXXX. by Vice Change morning, Healthcare's you, today XX, fourth and and Healthcare's joined Officer. de Thank Healthcare's and Executive Good March earnings Chief Fredrik Neil for I'm full President the quarter CEO, to Financial Crescenzo, and

and then and First, will provide by Neil for business update, the that, year, will financial your our and closing After for call the Fredrik results open Neil. a review followed the we'll questions. remarks quarter from outlook,

website section included call measures supplemental our and and slides to business. the that financial Relations discussed Neil. include accompanying begin, Neil? remind this reasons, our www.changehealthcare.com. to may slides GAAP like I'll are law, to company's results everyone of I presentation. results financial filings. I earnings call comments appropriate, that where forward-looking this release conference differ available by Except you refer materially the accompanying of the detail required our we from any also to update included Investor note by statements copies are under would With several as assumes to our the Reconciliations statements. in we conference non-GAAP more measures over will obligation for forward-looking the comments remind earnings for Please turn at the that, non-GAAP Actual the information. Before or call to suggested appendix evaluate of Healthcare supplemental are in SEC release measures which the that Change in in today's no to want

hope is we and of and taken at safe spend Change the plan actions our mind, Thank which support the system greater have everyone Good well. U.S. partners. impact and this of I on part call why the everyone's we clearly the impact And you, and customers its forefront Healthcare COVID-XX of The is healthcare morning, everyone. Evan. is to to discussing

we have served our and this immediate our FY innovation handling core and prudent strengths market performance hear accelerate of unprecedented to position, innovate views we from expand engine, continued in coming crisis. out well solid review fourth us of our franchises core this financial shock. the our you'll fundamental the Alongside have along challenges our our As when ’XX, franchises and management with on COVID-XX, to quarter growth

February, a As we the consistently. of initiated unfolded and which continuity in communicated business our established and priorities systems crisis we clear widely set

on and we of the our First, well-being health focused members. team protecting

continuing frequently, we and urgent on and franchises, operations. their innovate while focused business our products guidance providing their new customers to proactively introducing by needs, core address now that services Second, how our in on and communicating sustain to

took we development, we our through our continuity the actions operational our Third, transformation maintained needed automation business focus our new support platform. And fourth, financial in product advancing on objectives. and and to

and of center middle the timely at we March, see started our in described just I in U.S. drop-off Healthcare through COVID, we progression actions the allowed started we early across second the and March. specialties potential as to like Given procedures, material our eligibility we a of see signals specifically that Subsequently, to the In system, move elective half take certain of to the a dental. in warning a other Intelligent and Network basis. us on specialties volume sits the claims had about healthcare impact of

start improvement have help We negative consequences five, and we overall management May. our recovery up elective showed would level financial trend off declines chart across of early the distress saw in a will we country, which see for more from these procedures seem see to the April the while off we started signs can most seen performance, dire open the As in slide effective them continued to the expect in you customers, as on with staving and financial trends the provider we our government be caused have these incremental support and providers. to

adjusted executing I'll we some current the small as operating on for fiscal our have in the innovation, with a to pleased report performance. highlight quarter briefly COVID-XX out provide well Solutions taken March. Now, closed activity another on I'm our year to EBITDA and then financial actions we as in year, performance our quarter, improve impact the with from to even both color advance business revenue while strong for initiatives

the to free strategic and Services, drive excellence contract operational enterprise free the ability with and average margins flow positive, win RCM Services transformation in execute year positive year, and the This new $XXX enterprise trends across quarter to franchises, imaging trends trends growth internal new our in business continue our continued for cash in the flow flow fourth our advance improve quarter, our size. and organic Services previous we of RCM exceeding in our our free cash rate and initiatives bookings delivering million on the expectations. further our ahead to be on Within leading businesses our positive of imaging over to and businesses. Additionally, bookings cash During continued RCM fourth and execute deliver demonstrates for targets

RCM two this of our plans. quarter. added to to our multi-million native logos, may and winning they competitors. two solutions cloud that organizations our be business, Increasingly, And wins in ever the Services selling flexibility accuracy we displacing fourth we provider hospitals upgrades leading dollar success payment new migration deals. largest two and easy believe last continue me on multi-million some color the the have provide our Let system imaging it need. across in continue with dollar aggregators, may Blues we including to In business, win contract business business, In imaging our now deals, with

software, the few Services. many to during contracts, customers the COVID-XX and first decision RCM our technology in of but in the were a briefly sign I'll these continue Many of which including the customers of payer offerings some quarter, announced buying imaging in especially new about we RCM support mention providers our excited challenges business, minutes. quarter, solutions, Now despite

In will pharmacies around the faster, of completed reach on development integrated addition, two opportunities. the and to cross-selling combined the from actions U.S. in and These the eRx to subsequent pharmacy innovation Network to has to fourth transactions continued acquisition on portfolio spending our COVID-XX support more our industry corresponding COVID-XX solutions The and quarter, strategy response spread United and extend we software of in related in in related to than interventions. I'll move and XX,XXX or to The pharmacy trajectory now PDX. the term increase leaders delivery and electronic of and solutions more COVID-XX. fuel its growth our healthcare uncertainty execute a States long network driven analytics lower utilization, the of to and without outlook the

we As the our and we of spending made by overall this trend. have of and always industry industry to impacted clear, a in volumes been negatively have therefore tied business healthcare portion activity is

private and ensure this that the moved team its to resuming, and to and customers unprecedented welfare business efforts, with a monitor, we healthcare our safety our work meeting virtual of business all travel research quickly manage academic, In and mitigate members, to on activity from crisis. our and related impact is took to telehealth COVID-XX. environment, business downturn expanded research continuity we during help our coverage home, shifted we government us PTO several employees our conjunction non-critical to suspended and COVID to While employees. and our began use To to immediately led actions all data this

work, we maintain With projects caused upon two dislocation commercial registry we we virtual which and staffing. being expected be to to our the Building is detailed researchers. COVID-XX have for several for also implementations contributing a ongoing to population more groups how negotiated. are. government COVID-XX free ultimately patient, in established service most the their with provides move signed allowing how frequent, that proposed to de-identified and data are as what disease This are has is this spreading, study and significant customers, For with nearly even agreements effective we communications for treatments researchers every vulnerable academic example, is near-term relationships

implementations, Although not will this places us support and fiscal delayed volatility a recognize year it the some in our strong time. offset position to from that all XXXX us will full the for impact in uncertainty be with they among customers

newly From no across virtually to platform seen we new expanded have cancelled that customer’s date. and accelerated urgent met solutions several offerings an needs. initiatives or implementations our We our or perspective,

our their of me these Let unexpected with challenges. you clients deal offerings helping give examples are some that

testing COVID-XX companies, counties the largest major this of rapid lab rolled and For state Health team praised XX the in our company and the United for hours. between service have the lab of Change quality commercial all XX clinics a in of high one Both and one unprecedented Healthcare state the out States, and within rollout. commercial the and Department states the ordering across

team closely Hygiene York New services. Our working Department City Technology-Enabled is Mental triage clinical Services the and of with and Health

our from interventions the our if Paid new actual analytic access long exposed of gain gaining to term for a with if work leading real researchers. treatment datasets, timely COVID-XX, credential they unemployment they is or data and nursing useful we caring health COVID-XX is the in utilizing progression and track the to initiative, or unable cases, the time and been to insights researchers, reports offers to Time limited After capture sets which disease needs ill for for and by de-identified have COVID-XX officials the COVID-XX data cases, city's progression geography work, a are staff someone other into qualified of Yorkers for free in helps data our We are while effectiveness launched who mostly limited experts, on COVID-XX into public static analytical that which is. New claims are benefits overall disease Current to of service deaths uses insight Off efficacy over basis. in number cases time

solutions, in set expect Enablement services engagement, services, help of permanent a We Care telehealth with health and many including these To a financial magnitude in providers. the and telehealth providers change services. care Virtual was be in the management platform products workflow telehealth to launched But speed increase challenge of we a and delivery. for increase the

engaged now platform providers. over are with telehealth XXX We

the claims be Connection our on Our via found and purchased Services API telehealth medical & and eligibility can AWS Marketplace. bundle

patient virtual and the Our during clinicians telehealth this results indicated coordination crisis be bundle improving connection new before including policies, on connection many the The aspect patient's The help to found of telehealth and this API improve health added COVID-XX care and be and to Health state to our of and a including in are COVID-XX required lines services for implementation. With rapid partners, and expanding underscored soon AWS of year, expansion by outcomes COVID-XX able further expansion that overwhelming resulted generally. the in on with of access also and will to caused to Marketplace. nationwide.\ expansion, regardless future CommonWell never reimbursement interoperability nuances access Alliance, that have the care care. to critical e-prescribed healthcare lab of fighting we orders the The be mandates patient seen an VA of quickly digital rapid can front a coordination received comprehension new where tens records a CommonWell of DoD enabling important health rush previously millions our record, need

teams implementation analytics, real-time and the network health sometimes teams with policy providers and payment plans content manage rapid Our helped and codes. including changes enterprise new updates account daily

for COVID-XX. COVID-XX timely payments of accurate of enabled lines fighting codes implementation the immediate providers and front Our on

available While closely enable solutions healthcare providers, could that healthcare Change well Patient developing into develop the products resources us needed severely on Payers payers new standard reallocate comply Access deal ecosystem, Xst them CMS and had XXXX. new customers APIs. have Rule Interoperability industry COVID-XX industry to impacted brainstormed worked to They making to by unexpected from come their been as issued to recently challenges our noted begin data payer the across approach as up they less this to leaders with with with COVID-XX. federal Healthcare many the knew January the with comes which they that as and agencies patient that using with to force

Health Consumer with enable and together Access CMS Rule. customers, So interoperability now Connected securely we quickly to design meet deadline have our and the our for health to APIs the and launched plans Interoperability Patient

requirements, while and with empower to reduces rapidly of their data innovative CMS to meet in barriers give our security. deployment the plan advancing challenges, plans our support the the to complexity between further customers data providing Our access we and solution customers. health payers significantly improved cost, for to our members patient regulatory health to COVID-XX industry the are free midst them more APIs and To trust the

Given financial a the This dramatically Connector. service, paperless operational new path launched a enrollment connectivity payers. This National United of with new payer business, single as to includes providers also the electronic accelerates delivering receipt healthcare of in Payments from and the challenges, Change we a to provider’s service of one-stop digital payments Healthcare XXX% attachments, US claims the any well transmission States. as solution

the payments, crisis. administrative [ph] work solution In urgent addition this to two that home, emerged COVID-XX staff providers during processes, manual allows providers paper-based among eliminating while costly priorities to accelerating from have

allows access, as deliver areas us and of touchless practices are the design rolled our patient to appropriately ensure and new procedure on access Our register digital innovative their are check insights new customers patient components relationships help virtual personal inside is patient distancing longstanding front exam our the desk hospital in service access in with well they patients This remotely out as those deep the social for followed. waiting and or customers. solutions. a Utilizing When directed complete software to clinic capabilities, for office appointments, ready to into room their that forms our and we helped device. or receive their service

create engagement, care around see, especially improve distributed these and solutions of offerings, for uncertainty. dependency patient innovative their providers heard our that a a ensure based and expect volatility to So and efficiency during on and labor, demand we payers continued flexible new to have and from as more information period from both infrastructure enhanced access the can customers we feedback you and reduce on

and Fredrik, will well let to as our our performance financial our turn provide as strengthen review the me cost Now, to over the financial and liquidity initiatives taken who have call we Fredrik? outlook. structure,

Good the a to report imaging disclosed of you, Thank business. growth three impact quarter Services to a across business strong pleased I public everyone. year our and the achieving segments, morning, company, very previously our fiscal contract of goals planned first RCM deliver our including all fourth Neil. as underlying exits am in and transformation the

our diligently our work end, Analytics year In term subsequent Connected strategic majority objectives. and addition, both we interest of our PDX the the Network in objectives the to acquired long businesses the and continue on to and we divested eRx supporting businesses, growth

seven. under In in previously million impacted net contract a XXX, ASC commissions guidance, prior a So fourth expectations COVID-XX. quarter our Analytics by our in from Services slide negative the standard. impact $XXX ASC fiscal adjusted Software on accounting $X segment income partially Solutions a million starting Consistent of by by million, revenue which diluted income $XXX & was which offset segment $X impacted our positive impact above offset was was Technology-Enabled slightly million and negatively on favorable million, revenue XXX, mentioned the net ASC million, new of $X.XX. XXX EBITDA and XXXX was impact despite our with the as million but negatively $X by for the setup $XX Adjusted revenue costs $XXX unit was quarter. was new per result from Adjusted impact

slide Now eight. results under XXX purposes for moving ASC comparative to our on

a Services our Solutions to $X contract fourth which of For and $XX business, $XXX million Connected in our negative prior in million impact year-over-year Analytics related $XXX X.X% growth the due Overall from million revenue to business, planned XXX, was year. optimization eliminations Technology-Enabled of revenue the in impact compared to quarter million under COVID-XX. ASC was included

compared XXXX compared COVID-XX Net and to prior these and the Solutions of imaging the EBITDA growth loss year. Improvement development was was impact quarter revenue as operational enterprise synergies offset and resulting Solutions investment respectively, new reflect was in related been net the compared and million, Adjusted product enterprise our for to million have revenue and continued EBITDA of sales, unit activities. $XXX to net support for year. Adjusted Excluding growth margin growth incremental adjusted by impact margin items, unit, XX.X% the million diluted of improvement period EBITDA $X.XX $XXX of for fiscal fiscal same quarter per quarter the would the percentage for per a the XX% or of in the last with X.X% of of quarter $XX loss in revenue million for diluted quarter. the income $X.XX fourth XXXX. launch $XXX

the also improvement net net in offset expense tax and Change rate. $XXX exit, interest per adjusted $X.XX adjusted compared amortization strategic integration reflects Adjusted to impact fourth results compared unit this quarter XXX give the with fully lower XXXX. of outstanding NOLs onetime with $XXX fiscal resulting of prior and quarter Adjusted $XXX creation created of tax or on diluted the diluted EBITDA, fiscal in for the IPO million. The are Healthcare to the in diluted million now income associated a lower agreement period and fiscal million the CapEx. income related was partially part higher $X.XX per to units P&L fourth of of XXX million, the McKesson the by same effect XXXX of As million adjusted diluted was utilize income additional the unit income units our year. This to expense receivable of available net unit in for net per quarter respectively of

our to Analytics in provide segment the of performance more comparison. was the look to accounting Software revenue, like solution. Software of Support impacted and previously Payment detail with franchises are segment a by optimization the Analytics a in leading business a disclosed in year-over-year. and the strong X.X% Starting performance & Results Growth our Analytics our year-over-year using grew business driven at were more partially transition assessment segments risk our Connected adjustments. standard meaningful XXX nine. strategic imaging slide Now Accuracy, we and Once again on Imaging Decision let's take a our cloud-based prior ASC in Enterprise by &

in In timing. deal mainly we due addition, to $X COVID-XX experienced million quarter the impact

and lower in our resulting increased Technology-Enabled from $X Our $X network settlement This growth as increased by our drivers include medical new eliminations X.X%. segment, Key $X In Services by Network market revenue million payments time data million COVID-XX. a penetration revenue from and and of dental $XX Solutions volumes customer offset negative year-over-year. million, partially well solutions, planned a as customers impact of from COVID-XX. one implementation medical network, includes of and contract overall declined of million X.X%

Excluding the for quarter. revenue X% the was growth attrition, planned

For fiscal $XX line X.X%. year for growth XXXX, full planned revenue planned million, our in the attrition attrition expectations, delivering with year, of the was excluding

Turning to adjusted EBITDA.

well and again were as operational in growth million expansion support due cost $X the new as results gain by was along COVID-XX initiatives, increased earlier. network I increased as EBITDA well to the well by to to Software the approximately by In efficiency repositioning and network volume growth Network COVID-XX capabilities. impact. Analytics revenue X.X% increased to BXB Enterprise investment and and launches integration our offset payment business, synergies as opportunities a I related across Technology-Enabled in mentioned driven solutions from by growth, the increased with the initiatives, our Connected driven initiatives and of medical X.X% as The Services, the the EBITDA partially initiatives Imaging solutions as and productivity quarter, market $X associated and impact, by transformation, continued adjusted offset grew automation AI million investments data & Analytics cost as growth the COVID product The year-over-year. impact mentioned, network. offset additional with in support adjusted partially

the XX, Moving compared cash million ended free the cash fourth XX. million compared flow Adjusted last million $XXX $XX quarter in XXXX prior fiscal balance to cash and months [ph] negative for Free million our $XXX to was on flow on to three $XX year. was in the March sheet slide year. flow

of will our free Adjusted an year, funds have includes For the $X million in million $XX in and in from year we was cash the $XXX full in Late was $XXX be we the fiscal year, million during positive $XXX have million thru additional was This of uncertain versus flow it to the the year macro ’XX prior we in funds free height ‘XX. prudent fiscal thought million liquidity year. turmoil, flow year-over-year. thru million to access the quarter, market ’XX, cash pass fiscal pass $XX for while continue strong flow and an position fiscal year $XXX drew of million we to environment. for liquidity cash revolver believe increase

the of Our and million over revolver cash in liquidity equivalents capacity. and ending remains cash million strong, $XXX quarter undrawn with $XXX

addition, PDX cash due notes portion, to over to an net agreement short outstanding already including as billion of million subsequent slightly the eRx end successfully long-term quarter of term quarter $XXX March net unsecured was a support the of XXXX. X.X. credit transactions, we ratio X.XX% and Total In our with issued at leverage Network to $X.X notes add-on debt,

related the on some Now let XX. me to of color to on COVID-XX pandemic the impact additional move slide provide

recovery I over we with indications based months the seeing on of already Neil volumes and As and earlier, expect claims shared quarters. coming early to our continue are you this

with anticipate significant of on greatest currently XXXX, will we health first segments. such, performance Solutions quarter utilization financial impact the the from the most on levels our Technology-Enabled of fiscal impact Services lower Network As our and in the be

on performance Thereafter, basis revenue for we we as impact through fiscal XXXX. EBITDA move year-over-year would expect a adjusted a and our quarterly smaller

Analytics revenue value including be transactions. expect year, our where the we volumes do uncertain we the our moderately impact assumed until recover the and fourth prior in the fiscal with speed year, of of Although, have fully not end scenario fair quarter utilization line our is of to we procedures and in elective what the call PDX Connected the adjustments, recovery severe XXXX eRx,

to to interim We We in volumes. primarily us as our will of up these providing late of quarter lower first greater scale contractors primarily us actions The levels, back with and about to total furloughed X,XXX segments the benefit and second start Technology-Enabled aligned in number reduced impact in the flexibility the reductions actively into volume headcount Services employees quarter. have address staffing recover.

to our or productivity should accelerate provide initiatives, margin period. as which beyond forward automation move continue and further we expansion move also We this

we result, While the utilization that for with to clear, certain of assumptions quarter the is the still we by full provide a the and fiscal you only be and encouraged are is will information with as signs improve, starting not speed recovery providing supplemental fiscal along for XXXX, first financial of year. then the guidance

that point, to to slide XX. So turning

in bad $XXX Adjusted from share to moment. $XXX we million, to be expense first to to million expect deferred be adjusted first includes reported revenue of will $X.XX reduce share. $XX up approximately $XX and Solutions the which the For benefit impact and additional million, includes delayed will the cost McKesson to a revenue initiatives million be more million. EBITDA $XX to $X.XX due exit of per by value to impact million $XXX of million which revenue a related a in fair which reduction debt provide I adjustment in quarter to to detail earnings $XXX per the in excludes quarter

our about business by XX% Xst contingency impact XXXX, sale by first which revenue May is the by of approximately The currently negative impact to segment procedure color is or have additional generated million Let limited Network decline adjusted the trends, EBITDA decline for approximately on period. which in Network which number XX% quarter Xst XXXX XX% in Network a renewal-based, by have is care high XXXX. driven June states Analytics subscription [ph] is Solutions growth the timing volume in impact, & represents prior visits eRx Network which Analytics, quarter, reflect reporting of to of requirements. while in health Software XX% revenue of also volume would month XX% payments The will average is to and and decreases on of or XX% we May The elective million overall also XX% about me maintenance, anticipate our Network estimate also the a revenue. based and decreased Network in relaxation payers of quarter. PDX of as of XX% current $XX driven included and the volumes of teens In about for $XX S&A as implementations, the In Connected the revenue Xst as business-to-business provide data approximately XX minimal contribution in Solutions our and XX% about the from activity. on solutions in we of and which segment. impact

and million option the a XX annually In on are million generated months. to and EBITDA reduced XX% Technology-Enabled eRx reduced EOB our expecting acquisition. elective million print decline exercise and our and [ph] is prior we approximately annually the in on to on RCM generated by about for Services, our by As $XX adjusted quarter. revenue payment $XX impact impacting revenue The And EBITDA, activity. $XX of average driven stable. RCM services million procedures, reminder, in the in adjusted are a prior PDX the approximately expecting XX% Services impacted decline lower business $XX in revenue of ERA first and volumes for contingency-based test In in consumer and we're communication businesses volumes remaining related volume reduced about claims

adjustments incremental and from Although due on impact revenue to and decline they lag reductions fair account in results and but adjusted our year, EBITDA. to impact work making cost we've to results full certain impact on were revenue as we costs have will exit, the quarter for due not help quarter taken McKesson of transition the the exit the combination, required cost adjusted first the EBITDA in have the between Last, of our optimization that will first home which will a the for will minimal actions, adjustments. an business reported value quarters. The following

will me reduce some results on impact QX adjustments. a fair on The required you million. reduction from impact the reported revenue by of such give quarterly that revenue of Let color value in $XX revenue deferred

interest addition, be net as depreciation sheet impact will by income and both balance going the forward. the This income of well. revaluation In and adjusted will impacted expense net

first McKesson approximately adjustment including fair expense be $XX approximately in quarter for interest non-cash, related million, expect expense exit. to We pre-tax the $X to interest million value

We million, $XX of McKesson million is approximately increase fair capitalized impact amortization capitalized consistent offset software. $XX our $XX $XX on income due an $X to including first expense quarter million in in adjustments will approximately intangibles, with This of in also receivable amortization million the expect bad fixed debt by the value the depreciation in our asset, to the We're our reduction amortization increase Included provider COVID-XX estimating million up $XXX per amortization impact from and $XX of exit. related of provision increase million favorably from of for reduction approximately to increased impact anticipated customers. of in of of also share. in earnings balance and million expense adjusted software depreciation

and Let for fiscal XXXX me to information supplemental year XX move now full slide assumptions.

of well. turn year. is current remainder the recover stated, faster results recovery of the If occurs will as I our fiscal for gradual our healthcare throughout utilization assumption in improvement As the faster,

with cash We to recovery. full year of flow positive upon pace the expect ‘XX the fiscal be amount free dependent

expenditures estimated improving first lowest first of adjustments are expected of around revenue, the to the payments related reductions revenue approximately and we However, Solutions CapEx, revenue million. bonus negative, be free approximately the excluding the resulting full Capital flow expected capital. year million. will million historically integration with is X% quarter in impact excluding due flow timing is $XX impact. line the Integration but of $XX cash still expenditures to integration related required be by manage is impact value revenue our in cash operating working be in free and approximately The COVID capital quarter deferred on and to spending related throughout to recognized future periods sequentially expenditures as fair from as reduce quarter $XXX

we year revenue. deferred $XXX back ’XX any result the revenue our the don't and be impact expect in of will of ’XX, fiscal again, year reported a will As million year on impact million fiscal impact during recognized $XXX ‘XX the balance Once building EBITDA. adjusted fiscal

fiscal the $XXX expense fair expect million for McKesson to exit. of interest $XXX adjustment includes in $XX in approximately interest the We which related pre-tax million to non-cash, value ’XX, for expense range

comprised The reclass as We offset ’XX. for to acquired $X expect approximately depreciation an approximately additional $XXX million million from million additional depreciation as amortization also well mentioned million of expense of an an for of approximately amortization, asset intangible assets, $XXX of fixed assets. fiscal and is increase the additional amortization by above intangible for $XXX

the simplified be to as shares, addition, rate last, XXX exit. outstanding tax be will adjusted of post $XXX approximately now will effective structure million In for which minimum about basic McKesson number TEUs. of shares shares – the And XX% corporate includes million

I believe increase on negative year-over-year basis, declining positive want impact relative that move throughout the reiterate a we and year. quarter a experience cost I to with initiatives largest a Finally, first as the impact will impact the from negative

closing for his it Now let over back me with comments. to that, Neil turn

Thank you, Fredrik.

what of past aspects few key some as the summarizing by months, views. well learned remarks longer prepared over our our we have close term as me Let

First, year. prior IPO upon multi-year impact on short in remained COVID-XX Naturally, track. results trajectory this utilization the last our negatively the we the lower our health crisis, established will year financial care term to

health picks from will sales. automatically overall care to improve benefits as However, prior up, the results even will our activity new see we

an our we operations, And our and will emerge for company stronger are also our even of will now Thank for the their operational Healthcare our as challenges provide performance. crisis accelerating as more commitment live COVID-XX enable with to customers period Second, are tremendous of the dealing the this the enhance are in engagement third, increase The has resiliency created solutions and we serve. customers clear COVID-XX. aims our structure, further take And team Each important solutions communities excellence has to improve customers, and partners revenue our and our we to initiatives us underscored given and we'll strength, that members, COVID-XX. cost healthcare Change even ROI financial improve questions. to These the it a financially. system, from but of we in actions streamline impact society provide U.S. our you.

first from Securities. Michael with [Operator Cherny BofA Instructions] Our comes question

Your is line open.

utilization pacing sub-sectors the other think your year. recovery I so one much will improvements those data specialties, different your come areas of of any of and you the there far back - in of over think across the that details go the you we as a to have Are of on and Fredrik, different versus various will in do faster? regarding And you greatest see you want back those we'll types healthcare you’re I provided. for guess, the speed how business? as steady the made the the impact you've thanks different the know, when that to at recovering Thanks terms we look comment points certain expecting of lot each seen the all so course

think I Yeah. there. we accurate in mean, each that every have day an of the network we volume we [ph] the medical volume and because subsegments incredible barometer see terms in I see

I kind thirds one revenue healthcare base, perpetual third third is one are kind businesses. So you SaaS the know, of two that license volume third increases, overall of much utilization we generally is then as think that base, very – of in business and our one

that well. consistent parts I healthcare as as across our as Neil I business. a it as think - you I such a slide the will so we improvement showed increases, the to lag see goes think print that our generally, in there's our just certain comes out, back, for business that recover statements when volume relatively does That mean, But but takes example. different bit because of see little those that in longer utilization some areas, base, as business

in hop leave for I’ll it. now. it there Got back queue. I'll

you. Thank

Thank you.

Our with Sachs. next Jones from question comes Goldman Robert

Your line open. is

Great.

on one I guess, tracking levels, the it at down line Just is provided, you comments continues of full of looks possibilities Is it that two questions. it end slide utilization like outlook assuming of bottom, growth. you mid-single you're the from think in, you just feasible to that least I claims, sit the trend not From in for at the top XX%. something year today? like the is giving the that's where top digit this within is and If the line I off pre-COVID that the – guess, direction look I certainly growth you're know line it's year? that But can guidance. realm kind get back by to that looks

said the the activities year-over-year you remarks so in year. fourth my this Well, quarter all get when quarter of that essentially impact, in with prepared of we and that flat year, I revenue if of be deferred should fourth you to look the last line M&A at

internally hang Now, out, once of relatively that a to think extent productivity ourselves assets I our we've to drive point really we onto again, it's view taken to greatest the to order important and stress here, not to that recovery conservative the in can.

you you've the that and if you But we will kind course, have seen of of so sorts would that regional indicate earlier. second get recovery, take the far, So a just predictor line if have you of straight that things. wave, don't good back those of shutdowns

for right to healthcare how planning you kind like a in on and about we of we able recover we thinking growth said terms and end the we're how quarter. that We'd that for see recovery revenue be pre-COVID kind a of of about as of to we're sort we're levels terms the of gauge planning the a give what fourth be if earnings that just fourth happens the year-over-year quicker, have to lot But should thinking sense So revenue in based now, you as earlier of is no of quarter that's that full give well. not obviously, some the but utilization wrong well doubt growth. business, to the we're how in by there for

you million the play mentioned that And That's mostly I cost in [ph] progressed as would made. be helpful. XQ, guess, the then optimistically. And on you Is pull don't scenarios other savings. then the we year? all there savings, by the on just I helpful. in of anything guess, Are comments you Fredrik on the $XX based can know, on the cost cost if side, levers as segment out side further you

Sure.

little as is is, with of a sooner to than the a the volume is in back, than probably between of impact greater lag and the the ability expect the later, the So takeout seven some probably well no that. those get actual furloughed employees we call cost to The which rather hopefully reality what that is identified contractors out predominance lot Technology-Enabled of and is cost saving But bit weeks. six decline Services to we've resources they're longer as us.

that were the just we're that's indicating So the that's we quarter lag the first that expecting. - in

this question, your Technology-Enabled the opportunities, our in business, pull, that terms then things opportunities growing. many we at many time that like clearly, But can when to fixed great the - you cost our see where do most to same do takeout are where that's you there a business, grow obviously If of in its And part because very the in aren't the so of have network business business. painful decline we second is. is levers the is because Service

perpetual in well. we pull We isn't member some of XX% those month And and that SaaS some continue there's software in as that the there business, as well. per invest to per triggers

There of there that home that part are working the perhaps - last have through work the So obviously think able is but question, business. real looking do way as levers we a additional at, are to biggest Services wasn't we're are clearly - from proven we we're the such able Technology-Enabled because we within in estate to that I before. your and

additional through that estate That's something in and sense internally does make right sense do now term us environment So for longer real still our to this portfolio. what it with forward. could that lever we're going provide makes what working -

you. Thank helpful. Very

Thank you.

Patnaik comes question Manav next Our Barclays. from with

open. is line Your

share pipeline lot Obviously, Thank an a wants you morning, guys. given Good what think My forth. pipeline you know, so beyond to But looked first your wins Neil, incremental and there you. here about at scale do maybe talked take opportunities your original disruption. the just beginning, is is and question you like? nobody new your the

customers. we Well, saw I that conjunction in our needs we new think that especially with with with the seen innovation we've the the and launched offerings

remarks our my the know, about in even these that think the really you covered that see So customers market. I ones the you Manav, that if in hitting are things are prepared needs

mentioned things need COVID – jumping upwards, about as sort tailwinds into up FY launch they're on Connector. utilized are or go suite we've quite in working build of working and Payments we But those the Department I time. of our the for with and Connected from that tracking timeliness as been year, a create allowing continued for with so part of seen data for lot the these business patient you the massive operational of and doing, much been the different the a previously, a it digital software new both five around data, of course, work volumes mentioned implications frankly robust how investing and touchless how whether learning our data better Technology-Enabled ways entities Services a builds to telehealth saw of then of really National waiting going a because Health in in the lot many doing new advent Consumer and changes, our portfolio know, we're how tremendously These assistance of what are including for like to with and you've You given be I to long-term but needs almost public we ‘XX. hadn't of our the also the of the COVID-XX Health XX the mechanism times think are advantage many those again. states, know, and in that's of offerings, previously in experience. we're some upon conjunction to we looking providers, at us our are room our people people networks, assets we've needs take with solution are our we're Adobe, through know, people urgent. as And it's seen given and you work Microsoft new as all COVID, And

is buy Got deals now, of for you mean, the Connected guys Analytics of - mean, think I then kind your it. how guys? – I we terms that in decision, more done get like or that does pipeline about two just you sold active versus should And build-type business. similarly, M&A

active M&A had Well, pipeline. always we've very a

core we've each the a and look and the parts I also system. connectivity, are businesses, example terms & great like but in eRx potential think we our important network as network obviously of that embedded synergies we get the at and deeply year, that building previously, things of very it's care strengths hundred upon in opportunities over the well discussed a Software Analytics is with of health intentional

of the around And testing and contact pandemic. deal long-term future the breadth very so our mechanisms medicines other what testing, we're of position frankly, investment any and use expanding therapeutics. and the of will obviously we the reach and PDX solution market and in acquisition treatments into And to with COVID-XX provision the both people our to and fits tracing the portfolio deal to of with continue as well is prominent seeing be pharmacies clearly

to doing maintain that the things focus we also maintaining that prudent, approach in and IPO capabilities at being our discussed the our we core to maintain a want we've the given way add since that intentional, on that's financially strategic strength So it looking liquidity. of

Thank guys. it. Got you,

you. Thank

comes question next Our Gill with from Lisa JPMorgan.

Your line is open.

we how understand question. was potential bad think throughout be just for a to or we at this that move impacting the asking entities understand you payments it environment Thanks debt. revenue Neil, But issues very all of where pockets some side, is whether morning. them. giving way, specifically first heard things that do you $XX your are And take the temporarily at so Good in given especially customers some really discount, for conservative customer it's about having million. difficult Are the that secondly, that how marketplace seeing of the is my or that discounts, much. I COVID? your around is one are I just want then in as how we've hearing would provider all, and the on to is -

I'll the question. to financial of Why distress Fredrik Lisa. question, don't kind ask I Sure, first your then take to more reply

customers. a on So our focus maintained first all, we've really I with think of innovating

that about talked You there obviously some customers are discounts. know, have

health the to the the by made we've environment, as normalcy innovation, the customers in up really a been phenomenon feedback of and you the industry beginning that the think continued going thought. front to challenges, been and have the I financially are financial that And operationally prevalent support, them providers providing procedures so have opening the mechanisms are as government I and support be elective other and wouldn't on may not that federal given might fact care to particularly you we've provider provided, know, more people as business. There with and on there. an to your And any deal to say of and let gotten particularly on impact as both part their had answer the challenges. the your lines, an Fredrik on give impact that's question, financial I'm appreciation DSOs you they've many our really their so is second now

Sure.

generally us don't we form, do basis. working be we've to a in certainly obviously certain additional work and way our want asking an both we for But but in credit. know, bank do to don't know, are you them makes to the them So as - perceived where provider it case-by-case things. on increase We for them things. or want lot sense DSOs a with any of be we And anticipated we that for are had from with customers. We're you dialogue extending strategically in different shape a

as in taking we but obviously see a an at is of took in end $XX and the continue in are we We We have - up well. first take up said will in million June the there look where in see where $XX for DSO payment seen providers as our to the we monitor what the patterns Neil or that we month as increase to DSO million we here April and support lot took to that. the anticipate quarter, a what we indicated will the

our not estimate. So now it But be we as bad as might best think. right that is

to continue monitor closely. we'll So very

Thank you.

Thank you.

from comes Suisse. question Credit next Singh Our with Jailendra

open. Your is line

morning, Good everyone. Thanks.

understand including fourth in it even fiscal fiscal Do normalize quarter. transactions? that flat But that be your around quarter comment trends underlying assumptions year-over-year fourth also to seems deals. results benefit better want I to after Fredrik, just recent you ‘XX are expect these I So expectations. EBITDA mean, recent will your should from

why understand at to trends that. a some like Just growth previously? color expect on than trying Just give fourth you run rate us in Are to saying to quarter. return fiscal normalize lower that more don't will color, any you

you math plan it's sort your had that in that really capital you're around No, have the resourcing quarter, end just expenditures, saying, your of by you etcetera. of the - have scenario we some to if

around the at the overall beginning the still end utilization. at it aligned of quarter terms scenario, quarter, down is where means we in of So which the a that of

is And with - of really We crisis of to we're will this driven by once can So of need actually sort have of some we one of that for it doing it be desire is quarter them returns of opportunity know we year. that making. test down how terms in the not comment. of that here things decisions to resources wrong financial that hope again And we're company that more and come we some we firmly our time average real see the versus what volume underlies prudent this on - than the we as is on sit the net to we're But believe will the that a and have. prior accurate are. productivity because to additional we this as levels productivity stronger out

care and in targets does if and about environment likelihood that have mix any implication care your new normal my are might environment. on revenue then done changes? care for post-COVID. the look virtual Thanks in comments Clearly follow once things on and a all more how There's positioning mix implications having high was telehealth that and guys long would curious a Okay. in-person Change to you I term virtual between And get EBITDA very up. Healthcare are growth COVID-XX is delivered doing. different around that

Jailendra, doesn't. Well, really it

benefits of you we into have we're the analytics, and think diverse is I utilizing from care of payer both and care know, the the processes the base integrated our the provider continues our revenue that software provide on networks, our one site side. all the to volume to the way

fact COVID, servicing - the very prepared the all had it uptake built of large of remarks, together of platform a to are so been my way smaller or we good one I to already large available the telehealth telehealth providers easily that things platform been prior mentioned activities were providers by advent who in stead. specialized even to providers a smaller think down technology economic price in providers. really are of the that careful providers, And but telehealth at can not for obviously think way I type or doing that's be put we the I only series clear consumable we very own that really their put while bundles very the us had the and our as

over as as able the of the about is partners XX,XXX customers, one talked that think having channel waterfront. as XXX always I we've well So cover we've benefits over to been of

as challenged the of in of will, of months. did had including reinvent who is access do is smaller any But are because for they've over having up done sort we always jump just hadn't site than ramp really care. for that we last So the we volumes fortunately providers you phenomenon different what because another then kind of that something the if the thought seen ramp to things telehealth being anything three

Okay. a lot. Thanks

Thank you.

Stephanie Our next question Demko SVB Davis comes Leerink. with from

Your line open. is

you question. Thank taking my guys. for Hey,

you it scenes. maybe idea there's initiatives have that you behind the different to give these actually the the opportunity that with unique a work had opportunity not does not on you much So accelerate to volume, about do can would

in on for that plan? schedule near-term things on what initial in list this ahead working now What's of are mind, you with So that's your can you on turnaround year? work your of

many at other look innovations the was and think them saying an difference got Stephanie, you pace provide we But and just who the know, receptivity degree bit decently customers and one APIs we less and of mean, these to in digitally, innovation even pretty patient pretty a data paced I had pace increase okay, analytics, around in necessarily among be of the Well, the These announced we it because decrease every adopt we've I customers real which part all or flow we seen is allowing need reticent how us have to the the I is ones customer seen line What faster, innovation telehealth ideas continue on, think our are on we've points not I if challenges much, you receptivity sorts had to in these QX. better. other idea changed to market. on of being now in ability including beforehand move to new focus another to to decision now them innovative fast. around much the say to I a clearly generally solutions think to and because volume ideas allow operate. than a think of accelerate need things you to historically. of it telehealth focus we we that of our solutions time innovations. the know, [ph] that know, really know, better areas with using open around to the these digital move pretty data what's interoperability, strategy, proof underway, you've really more for I'd provider little I've tried really sort even including into introduced these we than with digital, that our were to more in do using to sorts focus experience But you the support workflow, perhaps including on are as that priorities to things and was the we've our

uptake you of train see we ago How you a guys solutions a thought, folks saw. a it's - last year for the had data years of that that and under Continuing in lot market years? have analytics in invested do thinking really past even two did we lot are just we any been oh as have of these more now should gosh, and few

use coordination basis. of on broader COVID-XX as indication, as it say the Yeah, I a in state summary that's or and Stephanie, course, even now needed good sense or city think, the clear or is the I'd a of tracking well one, I also think a that's I county mean, a or regional national

So in the a essentially the I'm data. knew prior natural months there's is flattening right, three to a ago, sure in too phrase focus people America many which not determination and statistical of itself. on curve

volatility of be healthcare. previously see people we that a the to looking quite seeing manage frank kind as we're to way in case that you the So analytics know, at wasn't

that And fact I once we on quite variety needed the appetite for how the understanding we data. its entities meant circumstances. as the you've of the people's COVID-XX and we sort public timeliness, breath its with which not of unique but sets set in that growth revenue in the others, the its continued and growth analytical only broaden which work really take of offerings, some and and teens increased health terms high from in customers business has working then new into of is doing is of granularity also And growth, is our that data get offerings. that So with in a that that's have, of with and understanding partners we're it and seen that's packaging it our terms can think of then data use and continued

All you, guys. awesome. Thank right,

forward Looking how around. turn it you see to

Thank you.

comes Our next with Eric Percher from Research. question Nephron

is Your line open.

spending. the for all budgets environment. of real your to that to know on commentary in tied dependent was I'd time. like that sounds that momentum of views hospital are some Imaging. decentralized more volume provider I'd appeal like ask expect some being the on there are It adjusted We those real Thanks Enterprise in businesses some to products probably the businesses. more a

budgets you're a about on products? little and maybe play your in hospital So bit that through how the may thinking how

a hi. Yeah, That’s Eric. good Thanks, question.

see the that they some midst with terms optimistic in back that that processes in just when new uncertainty seeing in it, our very our to we're to a We're you appreciate specific was trajectory it and think imagine, did pause per they the the in purchasing - momentum at the proposition the you we It - the question. people see same QX. wasn't wasn't at of it, as be can otherwise they relative know, COVID. didn't didn't starting sales in the did or take that did QX. your time and but in to maintaining understand of were dealing height, remained but Yeah, its more back as to we allude come the of especially environment still now same value still evolving our we're I

now costs think because either so every agenda. you I our So CFO, almost in top is I got helping people there know, think the reduce particularly or were what segment again, spending to that underway. their the of pause they're revenues, or oriented That's that her or know, has hitting improve trajectory solutions call their it button and the processes you we've again, being some something I a was his at of sort seen improve on their efficiency. beginning pace provider delay. the But of the

cash you physicians are do front, And the organizations moving that demand hospitals on both increases as that more think do toward But on outsourcing. for you've side, challenged? got I you see demand know are hospitals. the and financially

You of just beginning know, I think we've Eric. seen the that

if which existed signed whether we've I'm to fast - been wouldn't I term I to sort honestly like you're the think the that like dealing testing with disruption frankly how due future, about call engendered having you without others okay, when we're I optimistic. go question through the to the that think so of the of business don't I need, that's through, that's seeing obviously with contracts supposition COVID. the it's the economy a the you that course that, heard on you so almost this, right. am we'd you going think centers mean, of business COVID. to for broader per I think around some I'm even think longer - a you services, trend, cautiously we're lived with focused need know were in know, we beyond have thinking just with people starting your what I know, about by know, And and existed and particularly of probably But of on now fire challenges think be inevitable dealing cycles, are all have But I back. many come out But people services, a cycle would triage you many you the that know, networks, would have. pertaining

have we'll think to I see. So

you. Thank

you. Thank

question comes next Our Fitzgerald. from Halper Cantor Steve with

open. is line Your

morning. Yeah. Hi, good

On just of of $XX delayed going think we about an cost that to million benefit? $XX of sort be comment clarify Recognizing that people, to as actions, the back annualized you're cost million action? of but are bringing delay

Sure, Steve.

this the which that. to substituted the a hopefully by should X and returns growth that the how some second to as lag furloughed that itself think - continuing higher some volume resource we've it in significant But is of think than say substituted will actual in is really lag we between impact revenue that that's and quarter process said prepared during have forward. certainly half in year that recover. declining the reason if and don't will having number of as margin the the said us if for would volume the that. instead actually the of about X, remarks, higher adjust to for week disruption you helpful revenue the going base. employees impact you of return hopefully as actually in slightly should growth I my and with starting significant things be X,XXX of the return is being be able But reductions, than from that's I things I as quarter But by of So fiscal about the rest the think

Thank Great. you.

Welcome.

you. Thank

from Santangelo comes Glen Our with next Guggenheim. question

Your line is open.

and want just and Thanks balance just want Yeah. Fredrik, I the question. to my to flow sheet for issues. follow on up taking cash - of I some

on how maybe liquidity fair the from sheet, You think you of your leverage million on two a perspective comparison a the a were algorithm you amount know, good to are was the maybe comment know, now you about seems in that this a what is given how tempted you intra-quarter, about and think then ROI quarter on referenced your and normalized these acquisitions. I synergy Thanks. $XXX start these and spot we opportunities that you remarks, could do more think And And big dip as my some question can on to you that you over it the is know, can investments, Neil, and but you're that second to spent impact maybe hoping you of in own growth you basis? potential how the all like have balance in prepared compare cross-selling you perspective? stock at from buy a on

Fredrik. This Yeah. is

think cross-selling and opportunities. on take the Neil the I’ll second let first I the I'll So part and comment

perspective. place So from a in we are liquidity good a

think As that the we compared really XXX I and we the rate market at at attractive I raised where said the height on early at the did turmoil the was of to XXX point.

way. have we don't that So don't a it issue. We liquidity think about

we’re higher much - at We pre-IPO. you X.X. are We were know,

X.X was little we materially be done to hasn't get quickly. way going are got that intent leverage a really multiples. slowed it Obviously, So that to that's very we to the fact down, now. we've at of worked our acquisitions attractive where the right changed we've down The down bit because

the how talk in we to the let another But that our about the just strategy. M&A of there. And strategy testament you so think kind opportunities cross-selling I'll that's we have Neil about know, of terms

Yeah.

our these eRx and with eRx Also leverage into pharmacy the decades. XX,XXX the XX over in these first have PDX about I penetration, have in the number PDX and understanding solutions customers, of for acquisitions, of been know have we when our we businesses deal, know the think So get you really all, us I think those spot. literally over worked the and these you are but markets. sweet again, also allow years that together, for to market a really strategically,

our growth So with and within were opportunity revenue which synergies line revenue keeping digits with when you the the getting our in easy its single frankly think the and excess about mid overall have growth we approach scale companies. the for pretty to very the of these of much both of had We're of we relationships in EBITDA the about being years with that. very already because course, identify to of many course optimistic into

been data of the as gives the pharmacy well transactions the healthcare all of it constituencies. certainly a healthcare and and therapeutics. of business. Data assets way a to the to to eRx, accelerate But and from at with the the and inject think system, us branded already those the we the and pharmacy understanding PDX opportunities, other that's doing Healthcare, really in relationships obvious, leverage we from those think frankly market decade enormous help people through the do pharmacy both rest pharmacy understanding across the or deep we they're in The take the continued cross-sell at now importance solutions companies. really market here obviously connectivity our We've the the with sciences interventions maybe have leaders that to medication workflows thing you had so are because we more analytics lot identifying a adherence not quite about close Solutions there's life When and clearly with of with multi work companies the providing relationship as pharmacy as generic innovation provider, Change can great pharmacy everything with the to

Okay. Thank you.

Thank Your check open. Difficulty] is [Technical Please your is line open. mute you. your line button. Sandy,

Thanks I Brooke. me. questions much. of Most asked. call so Sorry, have been hear didn't my you

Connected the just going discrete? it And those across the clarification. which I about be so they Thanks. obviously different just one into? maybe Analytics. of to Will PDX Or that are of eRx will think business and sure Fredrik, out goes mixed sort want Analytics of Software & - the But segments segments? make which be

Yes.

And be right, in will - Software was no will Connected So both the the business. added you're PDX and now into and eRx there Solutions it longer business obviously, Network so. be Analytics

people a this. clarification, up then Okay, couple a of asked as And great. just follow

a think it Fredrik, this because on, back you long-term the essentially do better revenue in you structural you end can that target your just but to not business I'm longer sounds as term sure that up back you may term is make Or margins long term costs there. there Thanks. that on. back the you're come the being to something But was is like date, to bringing some there's potential. a business trying it terms just higher I structure, So of taking of thought? want there's just quantify change margin actually get than costs potential. of term clear of on or same out answer I long those and long

Yeah. think No, the I do case. that's

is I of that we think returns, portfolio. or volume we're alluded we coming as at things. real When we as or no cost have this we before, very done there every have a incremental this. structure, couple even out so that look strong anything, sales solution at have estate is our look the of I've comfortable stronger

wouldn't what to we're across We same at it. that have so have now we can sites time know, in looking XX span to you we're done there the efficiency country, do drive probably different do able the as we

member it business in to opportunity home, on you we look especially per here of Second, as parts things services - work productivity our requires we there's lot the it a transition think manage at different look to of team from it differently. now and to way, a

yes, of we're overlays working I that's out are this. and coming actually your to through. net, technology A margins question be is should think do crisis it improve forward opportunities so net, requires core some there forth always that of it, of and advantage Going and But have good the utilized to it a that's tough looking try dislocation that's it. way this that what look have make you that take way to you to you we're at looking at like but the sure when at here of

much. Great. Thanks so

Thank you.

comes Charles with question from Rhyee Our next Cowen.

line open. Your is

already me squeezing in has and I obviously, been lot a just - for over. Thanks here. asked gone Yeah.

clarify just of to things. wanted Just a couple

the - sort with some opportunities in partnering, of of if about start and $XXX of from fiscal you talked of talked PDX. the had eRx end ‘XX. improvement, the cetera, related ’XX, about at But by synergies et million you organizational recall, productivity the fiscal optimization, I You

remainder If at you about us, on ‘XX? could million, talking some end And additive $XX does that any of Thanks. what to impacted fiscal remind just because with like up end the what's number? we're is that going of of we where do or the of get sort COVID-XX of

Yeah.

had identified. year. XXX this past about we So about originally that We from merger in did the we XX

be terms is gained to have what we changed of Nothing get So about to XX left identified. to ability from has in really that.

I bit transitioning that you a to as have We so offshore a that. we you got would that that of had pushed ‘XX about because second in move get we home, would of here. fact have and done, fact initiatives quarter XXX here we say of back of a some detailed focus left FY you're of the two, to from on because period of quarter so spill that vast far. has know, had when some be the into probably you XX we people it other is to to that just plans the get things first ’XX, the is quickly time for FY can't say I delayed know, - or that will but working of little a in probably that of some the few we've total with over along majority

if missed did you sort And Great. provide then just it, PDX? any of for eRx cost I apologize, synergy and - targets I

but significant think And probably going the the next cost on think We achieved revenue are had to can but think that's the over year, probably And in after We be that. that more quite not. the an I then significant portion that's them the price, side. synergies, driving year is also have of which by enhance not foundation even those. start to get so to further obviously the to at only of a period the them, for absolutely. which appropriate amount over be transactions, two to have substantial We synergies opportunity, be there's especially as are both or we three But achieving significant they them well.

And last great. That's sorry, clarification. I'm one just

across of about seeing of improvements businesses. earlier your talked sort sort You steady

have Within the able Network Is begun it like detect? tell you to able what to something Solutions start clients percent or procedures. into that see to you're are elective see and business, may your us of

Yeah. do I think is answer No, we and all. the

about a question opening the people And opening asked whether someone discrepancies. think really of I there earlier are are significant up and a which just matter up. everybody's it's pace at

tried in regional been seen up mentioned, and you see out. or result be from a we've of fall open as will presuming to everybody press. think how then have resurgence that some Fredrik in might But in of decreases reported that both we've some prudent we'll cause the open people we'll the and that you or fast basically know, know, from the some starting may shutdowns circumstances the whether see I issues

all last over think number procedures allowed elective of obviously, upon the factors. at differ pace will the But I states a month. have course of the depending the

Great. Thank guys. you very much,

Thank you, Charles.

from Markets. Thank Our next you. Capital [Operator with Instructions] RBC comes Dodge Sean question

is open. line Your

the over can guess, taken quarters? Payment activities are big Good us have morning, thanks. Maybe a insight balancing business, clients thinking give hit. Accuracy or those few on next payer on about types a your I the you of providers little how

there's abrasion. payers like imagine things to seem for medical to sensitivity around be minimize increased I or some sensitivity lower then So time at wanting the some being, costs. least enjoying And

of So seems bit for Do around is any back that? types to less have like little snap quickly. there thoughts those you a it activities incentive

Yeah.

right you're think absolutely think I first your all, on I insights. of

particularly few providers, very the have last obviously had situation. challenging think months, I over a

but always so trying have focused particularly to, on particularly focus And payers which avoiding been abrasion. they're provider

accuracy some really I think some mentioned you months. of last the know activity over negative – we focus in of industry. the electronic impact and appropriate few payers know, the are to you was we have not and that integrity utilization continue main But was there just that because prudent auth because the healthcare make or it's around the management prior efforts to spending payment payment going sure

couple changes on that the states back even you see were state sort going if to those are so some on a imposed of you normal. things know, And we now to relative of normalizing, will payers, now

little would of of bit us So a coming told I earlier it a back. it's the that like again utilizing things solutions. what be appreciated. we normally number in pace I now a But pause think really see described of those of they And our the one a customers bit

in it's this try past into provider when may the the really you and solutions how we've was find we're submit you're industry. I back circumstance correctly been And trying you to increased the correct to we than our correctly space, abrasion, issues. about their code approaching As any way know, a end, I over logic front rather it among helping a of really that three a lot in balance different know, I think it's claims minimized a think because invasive the on in think bit on that more on put the the to processes them on where focused appreciation customers right payer the you're But months. end

there? great. services claims when then cycle is recognition on That's point in at revenue reimbursement what at that? I when it lag real it quick it or revenue And and Okay. actual cash shows business, revenue? Is from much a point how up does slowdown guess collection occur just is of the the some there or after

XXX that it to way used It Yeah. the collection. be the more doing. was XXX closer was we're it you'd under activity But that move actual changed the that that towards cash much

to actual recognizing before. to the days XX activity of - it's say XX So be the you to us XX XX XX between would I lag days about to revenue, a used to know,

you. Thank Okay.

the over Crescenzo like this for to Thank now includes back turn remarks. And call I session. de to question-and-answer will the Neil you. closing

with very the with you the from have very the able around our just been and country We're our with we Thank really, want Well, to on and all we've our shocks operator, pleased ongoing the really unprecedented seen appreciation COVID-XX. our, deal we in challenges work partners way to these we hope, we've express that with the do much, everybody dialogue helping call. customers,

we make and more easy that effectiveness to in outcomes. the our it Fortunately, the you as something a our has makes better of and on effective healthcare told do possible efficiency solutions way and long for evolve and we've kind the as the - to both provider improve it payer it of system as help focus that efficient, that's customers customers more

really shown to been the we're and help U.S. system. have us, you've with going So them customers the to continue healthcare pleased support crisis we're by innovate as this very our in to

for everybody calling thanks So in today.

Thank Ladies for conference and you gentlemen, this concludes today's call. participating.

You may now disconnect.