New Zealand-based healthcare tech solutions provider Orion Health is claiming 110 million patient health records under its management worldwide as the company pursues further global expansion.
The dual Australian, New Zealand-listed Orion (NZX/ASX:OHE) has reported its interim results for the six months to the end of September this year, with operating revenues of $104 million, including a rise in recurring revenue of $46 million.
The operating loss for the six months was $17 million, a $10 million improvement from the first half of 2016, which the company says reflects a big step up in performance in North America, a levelling off of investment in research and development at $32 million, while at the same time managing overheads.
Orion chief executive Ian McCrae says the number of patient health records managed by Orion Health software is estimated to now be more than 110 million – an important metric which, he says, evidences Orion Health’s steady progress towards its goal of being the ”custodian of the world’s health records”.
{loadposition peter}McCrae says the company has delivered a solid performance in the first half of 2017 and is on track to achieve profitability during fiscal year 2018, and has been managing its cost base prudently – and, coupled with increasing revenues, it has achieved margin improvement in implementation, support and managed services.
“1H2017 is the strongest EBIT performance over a six month period since the company’s IPO two years ago. Despite revenue being challenged by foreign exchange headwinds, we are on track to achieve good revenue growth and deliver further improvement in EBIT this fiscal year,” he says.
“After two challenging years in the United States, there is clear evidence of business improvement with a return to growth and a significant increase in contribution. Overall our outlook remains positive, although we are operating in a period of some uncertainty in the United States as the Trump administration prepares to take office.
“There has been some commentary about changes in the healthcare regulatory environment. However, we note that there is bipartisan support for Healthcare IT initiatives and adoption. Experience suggests that change in regulatory environments often creates opportunity from an information systems perspective.
“We are well-positioned for a significantly improved 2H2017 and the company remains focussed on driving to profitability through global expansion, the shift to SaaS-based deployments, strategic partnerships and providing greater value for new and existing customers as they transition to the new cloud technology platform,” McCrae concluded.