Idx Systems (IDXC) 8-K Idx Systems Corporation Reports

Exhibit 99.1

40 IDX Drive

P.O. Box 1070

Burlington, VT 05402-1070

www.idx.com

Contacts:	Margo Happer
	Director – Investor Relations and
	Corporate Communications
	802-859-6169

FOR IMMEDIATE RELEASE

IDX SYSTEMS CORPORATION REPORTS

2004 FIRST QUARTER RESULTS

Customer momentum across business lines drives continued growth

BURLINGTON, VT – April 29, 2004 – IDX Systems Corporation (NASDAQ:IDXC) reported results today for the first quarter ended March 31, 2004.

Revenues for the first quarter 2004 increased to $102.6 million compared to $92.4 million in the first quarter of 2003.

IDX reported first quarter 2004 net income of $1.6 million, or $0.05 per fully diluted share, compared to 2003 net income of $3.8 million, or $0.13 per fully diluted share. As previously projected, first quarter 2004 results reflect startup costs associated with the company’s business in the United Kingdom. IDX expects the UK business to be accretive to earnings beginning this year.

“We began 2004 firmly established in the global marketplace, and our results for the first quarter clearly show our sustained momentum domestically, as we continue to execute against our plan across the company,” said James H. Crook Jr., Chief Executive Officer of IDX. “Our partnership approach to our customer relationships, coupled with robust and proven solutions, continues to spur new growth.”

Significant Momentum Across IDX Business Lines

Separately today, IDX announced additional noteworthy contracts signed in the first quarter, reflecting significant momentum across all business lines.

New agreements for Flowcast^™ included Creighton Medical Associates, an academic multi-specialty group practice operating as a division of Creighton University School of Medicine in Omaha, Nebraska. The IDX solution will automate key processes in the revenue cycle for 225 faculty members located in Creighton University’s primary affiliated teaching hospital (Creighton University Medical Center) and eight community-based primary care clinics. Currently, 75 percent of academic medical centers utilize IDX solutions.

Additionally, Brown & Toland Medical Group, San Francisco, CA, will upgrade toFlowcast 3.0, IDX’s next-generation business performance solution, including the TouchWorks^™ EMR (electronic medical record) solution from Allscripts Healthcare Solutions (NASDAQ: MDRX), an alliance partner of IDX.Flowcast andTouchWorks will provide a complete, integrated solution for practice management and clinical automation and strengthen financial and administrative support for 315 primary care physicians and 1,200 specialists.

IDX expanded an agreement with Vancouver Health Authority, the largest academic health authority in Canada,for the IDX Carecast^™ Patient Accounting solution.Carecastwill enable integrated clinical and financial capabilities in six facilities serving 75 percent of the comprehensive health system, encompassing 1,800 beds. The agreement will also allow VCH to deployCarecast patient accounting functionality across its eight acute care hospitals and numerous outpatient facilities.

Groupcast^™ enjoyed a strong new account performance with small to mid-size group practices including billing services, single-specialty practices and complex, multi-site groups, demonstrating the flexibility and broad applicability of our solution.

Imagecast^™ agreements were signed with long-time customer Wellspan Health Systems, who will pioneer a new cardiology offering, and UC Davis, the fourth of five prestigious University of California teaching hospitals that utilizeImagecast.

A long-timeImagecastRadiology Information System (RIS) customer, Wellspan Health will upgrade its IDX RIS and purchased the full IDX Picture Archiving and Communications System. Wellspan Health includes York Hospital and Gettysburg Hospital (total of 630 beds) and 31 ambulatory care and outpatient sites.

UC Davis Health System will useImagecast RIS to drive workflow and clinical improvement throughout their health system, which conducts more than 800,000 patient visits each year.

IDX remains comfortable with projected 2004 revenue of $500 - $525 million and earnings per share guidance of $0.95 - $0.99.

A conference call with investors will be held on April 29, 2004 at 11:00 am EDT to discuss these results. An audio Webcast of the call is available at our Internet site: www.idx.com, Investor Relations, Multimedia.

About IDX

Founded in 1969, IDX Systems Corporation provides information technology solutions to maximize value in the delivery of healthcare, improve the quality of patient service, enhance medical outcomes, and reduce the costs of care. IDX supports these objectives with a broad range of complementary and functionally rich products installed at 3,300 customer sites. Customers include 138,000 physicians who utilize practice management systems to improve patient care and other workflow processes. IDX Systems are installed at approximately:

• 380 Integrated delivery networks (IDNs) representing more than 500 hospitals

• 175 large group practices with more than 200 physicians

• 665 mid-size group practices with less than 200 physicians

The IDX web strategy includes browser technology, e-commerce and web-based tools – built using Internet architecture – that facilitates access for patients, physicians and care providers to vital health information and data managed by the IDX clinical, administrative, financial, and managed care products. IDX has approximately 2,100 full-time employees.

This press release contains forward-looking statements about IDX Systems Corporation that involve a number of risks and uncertainties. Among the important factors that could cause actual results to differ materially from those indicated by such forward-looking statements are uncertainties or difficulties in developing new services and systems, difficulties in implementing systems including Carecast, Imagecast, Flowcast and Groupcast, including the systems to be implemented for the UK National Health Service, possible deferral, delay or cancellation by customers of computer system or service purchase decisions, possible delay of system installations and service implementations, development by competitors of new or superior technologies, changing economic, political and regulatory influences on the healthcare industry, possible disruptions in the national economy caused by terrorist activities and foreign conflicts, changes in product pricing policies, governmental regulation of IDX’s software and operations, the possibility of product-related liabilities, and factors detailed from time to time in IDX’s periodic reports and registration statements filed with the Securities and Exchange Commission, which important factors are incorporated herein by reference. IDX undertakes no obligation to update forward-looking statements to reflect changed assumptions, the occurrence of unanticipated events, or changes in future operating results, financial condition or business over time.

-tables follow-

IDX SYSTEMS CORPORATION

Consolidated Balance Sheets

(in thousands)

	March 31, 2004		December 31, 2003
	(unaudited)		(audited)
Assets
Cash and cash equivalents	$	18,820	$	25,536
Marketable securities		86,441		79,068
Accounts receivable, net		117,468		93,709
Refundable income taxes		8,264		8,564
Prepaid and other current assets		21,512		11,446
Deferred tax asset		8,408		5,899
Total current assets		260,913		224,222
Property and equipment, net		85,943		86,216
Capitalized software costs, net		4,985		3,806
Goodwill, net		2,508		2,508
Other assets		10,318		10,357
Deferred tax asset		11,235		11,404
Total assets	$	375,902	$	338,513
Liabilities and stockholders’ equity
Accounts payable, accrued expenses and other liabilities	$	60,213	$	54,843
Deferred revenue		44,906		23,016
Total current liabilities		105,119		77,859
Stockholders’ equity		270,783		260,654
Total liabilities and stockholders’ equity	$	375,902	$	338,513

IDX SYSTEMS CORPORATION

Consolidated Statements of Income

(in thousands, except for per share data)

(unaudited)

	Three Months Ended March 31,
	2004			2003
Revenues
Systems sales	$	35,974		$	32,541
Maintenance and service fees		66,576			59,900
Total revenues		102,550			92,441
Operating expenses
Cost of systems sales		11,217			11,792
Cost of maintenance and services		46,591			41,661
Selling, general and administrative		28,427			20,454
Software development costs		13,887			13,350
Total operating expenses		100,122			87,257
Operating income		2,428			5,184
Other income		116			124
Income before income taxes		2,544			5,308
Income tax provision		(967	)		(1,592	)
Income from continuing operations		1,577			3,716
Discontinued operations
Gain on sale of discontinued operations, net of income (loss) and income taxes		—			115
Net income	$	1,577		$	3,831
Basic earnings per share
Income from continuing operations	$	0.05		$	0.13
Income from discontinued operations	$	—		$	—
Basic earnings per share	$	0.05		$	0.13
Basic weighted average shares outstanding		29,880			29,172
Diluted earnings per share
Income from continuing operations	$	0.05		$	0.13
Income from discontinued operations	$	—		$	—
Diluted earnings per share	$	0.05		$	0.13
Diluted weighted average shares outstanding		31,434			29,415

Earnings per share numbers may not foot due to rounding.

IDX Systems Corporation

Consolidated Statements of Cash Flows

(in thousands)

(unaudited)

	Three Months Ended March 31,
	2004			2003
OPERATING ACTIVITIES
Net income from continuing operations		1,577			3,716
Adjustments to reconcile net income to net cash provided by (used in) operating activities:
Depreciation		4,031			3,145
Amortization		406			580
Deferred tax provision		(2,340	)		(727	)
Increase in allowance for doubtful accounts		544			294
Tax benefit related to exercise of non-qualified stock options		2,673			—
Foreign currency transaction (gains) losses, net		189			—
Loss on disposition of equipment		29			—
Other		52			75
Changes in operating assets and liabilities:
Accounts receivable		(24,454	)		647
Prepaid expenses and other assets		(10,083	)		(1,452	)
Accounts payable and accrued expenses		5,462			(9,103	)
Federal and state income taxes		285			1,488
Deferred revenue		21,890			989
Net cash provided by (used in) operating activities		261			(348	)
INVESTING ACTIVITIES
Purchase of property and equipment, net		(3,785	)		(8,415	)
Other assets		(1,584	)		(211	)
Net cash used in investing activities		(5,369	)		(8,626	)
FINANCING ACTIVITIES
Proceeds from sale of common stock		5,788			137
Proceeds from debt issuance		—			23,727
Repayment of debt issuance		—			(18,727	)
Net cash provided by financing activities		5,788			5,137
Effect of exchange rate fluctuations on cash and cash equivalents		(23	)		—
Increase (decrease) in cash, cash equivalents and marketable securities from continuing operations		657			(3,837	)
Net cash provided by discontinued operations		—			5,531
Increase in cash, cash equivalents and marketable securities		657			1,694
Cash, cash equivalents and marketable securities at beginning of period		104,604			54,435
Cash, cash equivalents and marketable securities at end of period	$	105,261		$	56,129