Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Sep. 30, 2019 | Oct. 31, 2019 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Sep. 30, 2019 | |
Document Fiscal Year Focus | 2019 | |
Document Fiscal Period Focus | Q3 | |
Trading Symbol | MDRX | |
Entity Registrant Name | ALLSCRIPTS HEALTHCARE SOLUTIONS, INC. | |
Entity Central Index Key | 0001124804 | |
Entity Current Reporting Status | Yes | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Large Accelerated Filer | |
Entity Shell Company | false | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Common Stock, Shares Outstanding | 162,366,195 | |
Entity File Number | 001-35547 | |
Entity Tax Identification Number | 36-4392754 | |
Entity Address, Address Line One | 222 Merchandise Mart | |
Entity Address, Address Line Two | Suite 2024 | |
Entity Address, City or Town | Chicago | |
Entity Address, State or Province | IL | |
Entity Address, Postal Zip Code | 60654 | |
City Area Code | 800 | |
Local Phone Number | 334-8534 | |
Entity Interactive Data Current | Yes | |
Title of 12(b) Security | Common Stock, par value $0.01 per share | |
Security Exchange Name | NASDAQ | |
Entity Incorporation, State or Country Code | DE | |
Document Quarterly Report | true | |
Document Transition Report | false |
CONSOLIDATED BALANCE SHEETS (Un
CONSOLIDATED BALANCE SHEETS (Unaudited) - USD ($) $ in Thousands | Sep. 30, 2019 | Dec. 31, 2018 |
Current assets: | ||
Cash and cash equivalents | $ 129,349 | $ 174,243 |
Restricted cash | 9,375 | 10,552 |
Accounts receivable, net of allowance of $41,387 and $50,406 as of September 30, 2019 and December 31, 2018, respectively | 426,579 | 465,264 |
Contract assets | 65,515 | 66,451 |
Prepaid expenses and other current assets | 142,843 | 142,455 |
Total current assets | 773,661 | 858,965 |
Fixed assets, net | 96,813 | 121,913 |
Software development costs, net | 236,551 | 209,660 |
Intangible assets, net | 397,950 | 431,081 |
Goodwill | 1,387,088 | 1,373,744 |
Deferred taxes, net | 5,049 | 5,036 |
Contract assets - long-term | 101,920 | 71,879 |
Right-of-use assets - operating leases | 103,537 | 0 |
Other assets | 127,372 | 109,206 |
Total assets | 3,229,941 | 3,181,484 |
Current liabilities: | ||
Accounts payable | 101,725 | 73,166 |
Accrued expenses | 261,905 | 107,068 |
Accrued compensation and benefits | 57,553 | 100,076 |
Income tax payable | 0 | 29,644 |
Deferred revenue | 373,105 | 466,797 |
Current maturities of long-term debt | 358,574 | 20,059 |
Current operating lease liabilities | 24,451 | 0 |
Current liabilities attributable to discontinued operations | 0 | 920 |
Total current liabilities | 1,177,313 | 797,730 |
Long-term debt | 554,864 | 647,539 |
Deferred revenue | 12,117 | 15,984 |
Deferred taxes, net | 55,290 | 58,470 |
Long-term operating lease liabilities | 100,230 | 0 |
Other liabilities | 49,069 | 81,334 |
Total liabilities | 1,948,883 | 1,601,057 |
Commitments and contingencies | ||
Stockholders’ equity: | ||
Preferred stock: $0.01 par value, 1,000 shares authorized, no shares issued and outstanding as of September 30, 2019 and December 31, 2018 | 0 | 0 |
Common stock: $0.01 par value, 349,000 shares authorized as of September 30, 2019 and December 31, 2018; 272,496 and 163,219 shares issued and outstanding as of September 30, 2019, respectively; 270,955 and 171,224 shares issued and outstanding as of December 31, 2018, respectively | 2,724 | 2,709 |
Treasury stock: at cost, 109,277 and 99,731 shares as of September 30, 2019 and December 31, 2018, respectively | (561,857) | (460,543) |
Additional paid-in capital | 1,876,078 | 1,881,494 |
(Accumulated deficit) retained earnings | (30,366) | 132,842 |
Accumulated other comprehensive loss | (5,521) | (5,389) |
Total Allscripts Healthcare Solutions, Inc.'s stockholders' equity | 1,281,058 | 1,551,113 |
Non-controlling interest | 0 | 29,314 |
Total stockholders’ equity | 1,281,058 | 1,580,427 |
Total liabilities and stockholders’ equity | $ 3,229,941 | $ 3,181,484 |
CONSOLIDATED BALANCE SHEETS (_2
CONSOLIDATED BALANCE SHEETS (Unaudited) (Parenthetical) - USD ($) $ in Thousands | Sep. 30, 2019 | Dec. 31, 2018 |
Statement Of Financial Position [Abstract] | ||
Accounts receivable, allowance | $ 41,387 | $ 50,406 |
Preferred stock, par value | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized | 1,000,000 | 1,000,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 349,000,000 | 349,000,000 |
Common stock, shares issued | 272,496,000 | 270,955,000 |
Common stock, shares outstanding | 163,219,000 | 171,224,000 |
Treasury stock at cost, shares | 109,277,000 | 99,731,000 |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Revenue: | ||||
Revenue from contract with customers | $ 444,184 | $ 432,430 | $ 1,320,693 | $ 1,307,616 |
Cost of revenue: | ||||
Amortization of software development and acquisition-related assets | 29,295 | 25,473 | 86,547 | 76,017 |
Total cost of revenue | 268,882 | 254,478 | 787,174 | 771,232 |
Gross profit | 175,302 | 177,952 | 533,519 | 536,384 |
Selling, general and administrative expenses | 101,152 | 108,125 | 306,939 | 350,975 |
Research and development | 63,873 | 63,032 | 191,597 | 202,313 |
Asset impairment charges | 248 | 0 | 4,037 | 30,075 |
Amortization of intangible and acquisition-related assets | 6,847 | 6,609 | 20,376 | 19,630 |
Income (loss) from operations | 3,182 | 186 | 10,570 | (66,609) |
Interest expense | (10,839) | (13,251) | (31,447) | (36,925) |
Other income (loss), net | 781 | (536) | (143,700) | (584) |
Gain on sale of businesses, net | 0 | 0 | 0 | 172,258 |
Recovery (impairment) of long-term investments | 0 | 0 | 1,045 | (15,487) |
Equity in net income (loss) of unconsolidated investments | 386 | (177) | 540 | 529 |
(Loss) income from continuing operations before income taxes | (6,490) | (13,778) | (162,992) | 53,182 |
Income tax benefit (provision) | 765 | 1,637 | (640) | (5,918) |
(Loss) income from continuing operations, net of tax | (5,725) | (12,141) | (163,632) | 47,264 |
Loss from discontinued operations | 0 | (13,857) | 0 | (32,980) |
Income tax effect on discontinued operations | 0 | 2,152 | 0 | 7,627 |
Loss from discontinued operations, net of tax | 0 | (11,705) | 0 | (25,353) |
Net (loss) income | (5,725) | (23,846) | (163,632) | 21,911 |
Net loss attributable to non-controlling interests | 0 | 4 | 424 | 3,494 |
Accretion of redemption preference on redeemable convertible non-controlling interest - discontinued operations | 0 | (12,149) | 0 | (36,446) |
Net loss attributable to Allscripts Healthcare Solutions, Inc. stockholders | $ (5,725) | $ (35,991) | $ (163,208) | $ (11,041) |
Basic | ||||
Continuing operations | $ (0.03) | $ (0.07) | $ (0.97) | $ 0.28 |
Discontinued operations | 0 | (0.13) | 0 | (0.34) |
Net loss attributable to Allscripts Healthcare Solutions, Inc. stockholders per share | (0.03) | (0.20) | (0.97) | (0.06) |
Diluted | ||||
Continuing operations | (0.03) | (0.07) | (0.97) | 0.28 |
Discontinued operations | 0 | (0.13) | 0 | (0.34) |
Net loss attributable to Allscripts Healthcare Solutions, Inc. stockholders per share | $ (0.03) | $ (0.20) | $ (0.97) | $ (0.06) |
Software delivery, Support and Maintenance [Member] | ||||
Revenue: | ||||
Revenue from contract with customers | $ 284,373 | $ 274,138 | $ 844,908 | $ 839,176 |
Cost of revenue: | ||||
Total cost of revenue | 90,329 | 86,847 | 269,813 | 265,795 |
Client services [Member] | ||||
Revenue: | ||||
Revenue from contract with customers | 159,811 | 158,292 | 475,785 | 468,440 |
Cost of revenue: | ||||
Total cost of revenue | $ 149,258 | $ 142,158 | $ 430,814 | $ 429,420 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Statement Of Income And Comprehensive Income [Abstract] | ||||
Net (loss) income | $ (5,725) | $ (23,846) | $ (163,632) | $ 21,911 |
Other comprehensive (loss) income: | ||||
Foreign currency translation adjustments | (574) | (60) | (35) | (1,622) |
Change in fair value of derivatives qualifying as cash flow hedges | (305) | (1,602) | (131) | (2,695) |
Other comprehensive (loss) income before income tax (expense) benefit | (879) | (1,662) | (166) | (4,317) |
Income tax (expense) benefit related to items in other comprehensive (loss) income | 80 | 416 | 34 | 850 |
Total other comprehensive income (loss) | (799) | (1,246) | (132) | (3,467) |
Comprehensive (loss) income | (6,524) | (25,092) | (163,764) | 18,444 |
Comprehensive loss attributable to non-controlling interests | 0 | 4 | 424 | 3,494 |
Comprehensive (loss) income, net | $ (6,524) | $ (25,088) | $ (163,340) | $ 21,938 |
CONSOLIDATED STATEMENTS OF STOC
CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (Unaudited) - USD ($) shares in Thousands, $ in Thousands | Total | Common stock issued [Member] | Treasury stock [Member] | Additional paid-in capital [Member] | Retained earnings (accumulated deficit) [Member] | Accumulated other comprehensive loss [Member] | Non-controlling interest [Member] |
Beginning Balance, Shares at Dec. 31, 2017 | 269,335 | (88,504) | |||||
Beginning Balance at Dec. 31, 2017 | $ 1,160,072 | $ 2,693 | $ (322,735) | $ 1,781,059 | $ (338,150) | $ (1,985) | $ 39,190 |
Stock-based compensation | 25,996 | ||||||
Common stock issued under stock compensation plans, net of shares withheld for employee taxes, Shares | 1,471 | ||||||
Common stock issued under stock compensation plans, net of shares withheld for employee taxes | $ 15 | (7,492) | |||||
Issuance of treasury stock, Shares | 76 | ||||||
Issuance of treasury stock | 1,121 | $ 1,119 | (61) | ||||
Accretion of redemption preference on redeemable convertible non-controlling interest - discontinued operations | (36,446) | (36,446) | |||||
Subsidiary issuance of common stock | 0 | ||||||
Purchase of treasury stock, Shares | (7,671) | ||||||
Purchase of treasury stock | $ (101,905) | ||||||
Warrants issued | 2,047 | ||||||
Net loss less net income attributable to non-controlling interests | 25,405 | ||||||
ASC 606 implementation adjustments | 58,225 | ||||||
ASC 606 implementation adjustments - discontinued operations | 3,157 | ||||||
Foreign currency translation adjustments, net | (1,622) | (1,622) | |||||
Unrecognized gain on derivatives qualifying as cash flow hedges, net of tax | (1,845) | ||||||
Acquisition of non-controlling interest | 0 | (6,492) | |||||
Net loss attributable to non-controlling interests | (3,494) | (3,494) | |||||
Ending Balance, Shares at Sep. 30, 2018 | 270,806 | (96,099) | |||||
Ending Balance at Sep. 30, 2018 | $ 1,116,679 | $ 2,708 | $ (423,521) | 1,765,103 | (251,363) | (5,452) | 29,204 |
Beginning Balance, Shares at Dec. 31, 2017 | 269,335 | (88,504) | |||||
Beginning Balance at Dec. 31, 2017 | $ 1,160,072 | 2,693 | $ (322,735) | 1,781,059 | (338,150) | (1,985) | 39,190 |
Common stock issued under stock compensation plans, net of shares withheld for employee taxes, Shares | 1,600 | ||||||
Ending Balance, Shares at Dec. 31, 2018 | 270,955 | (99,731) | |||||
Ending Balance at Dec. 31, 2018 | $ 1,580,427 | 2,709 | $ (460,543) | 1,881,494 | 132,842 | (5,389) | 29,314 |
Beginning Balance, Shares at Jun. 30, 2018 | 270,709 | (96,175) | |||||
Beginning Balance at Jun. 30, 2018 | $ 1,141,624 | $ 2,707 | $ (424,640) | 1,766,863 | (228,308) | (4,206) | 29,208 |
Stock-based compensation | 8,849 | ||||||
Common stock issued under stock compensation plans, net of shares withheld for employee taxes, Shares | 97 | ||||||
Common stock issued under stock compensation plans, net of shares withheld for employee taxes | $ 1 | 918 | |||||
Issuance of treasury stock, Shares | 76 | ||||||
Issuance of treasury stock | $ 1,119 | (61) | |||||
Accretion of redemption preference on redeemable convertible non-controlling interest - discontinued operations | (12,149) | (12,149) | |||||
Subsidiary issuance of common stock | 0 | ||||||
Purchase of treasury stock, Shares | 0 | ||||||
Purchase of treasury stock | $ 0 | ||||||
Warrants issued | 683 | ||||||
Net loss less net income attributable to non-controlling interests | (23,842) | ||||||
ASC 606 implementation adjustments | 787 | ||||||
ASC 606 implementation adjustments - discontinued operations | 0 | ||||||
Foreign currency translation adjustments, net | (60) | (60) | |||||
Unrecognized gain on derivatives qualifying as cash flow hedges, net of tax | (1,186) | ||||||
Acquisition of non-controlling interest | 0 | 0 | |||||
Net loss attributable to non-controlling interests | (4) | (4) | |||||
Ending Balance, Shares at Sep. 30, 2018 | 270,806 | (96,099) | |||||
Ending Balance at Sep. 30, 2018 | $ 1,116,679 | $ 2,708 | $ (423,521) | 1,765,103 | (251,363) | (5,452) | 29,204 |
Beginning Balance, Shares at Dec. 31, 2018 | 270,955 | (99,731) | |||||
Beginning Balance at Dec. 31, 2018 | $ 1,580,427 | $ 2,709 | $ (460,543) | 1,881,494 | 132,842 | (5,389) | 29,314 |
Stock-based compensation | 29,296 | ||||||
Common stock issued under stock compensation plans, net of shares withheld for employee taxes, Shares | 1,500 | 1,541 | |||||
Common stock issued under stock compensation plans, net of shares withheld for employee taxes | $ 15 | (6,702) | |||||
Issuance of treasury stock, Shares | 61 | ||||||
Issuance of treasury stock | $ 701 | $ 846 | (144) | ||||
Accretion of redemption preference on redeemable convertible non-controlling interest - discontinued operations | 0 | 0 | |||||
Subsidiary issuance of common stock | 0 | ||||||
Purchase of treasury stock, Shares | (9,607) | ||||||
Purchase of treasury stock | $ (102,160) | ||||||
Warrants issued | 2,047 | ||||||
Net loss less net income attributable to non-controlling interests | (163,208) | ||||||
ASC 606 implementation adjustments | 0 | ||||||
ASC 606 implementation adjustments - discontinued operations | 0 | ||||||
Foreign currency translation adjustments, net | (35) | (35) | |||||
Unrecognized gain on derivatives qualifying as cash flow hedges, net of tax | (97) | ||||||
Acquisition of non-controlling interest | (29,913) | (28,890) | |||||
Net loss attributable to non-controlling interests | $ (424) | (424) | |||||
Ending Balance, Shares at Sep. 30, 2019 | 272,496 | 272,496 | (109,277) | ||||
Ending Balance at Sep. 30, 2019 | $ 1,281,058 | $ 2,724 | $ (561,857) | 1,876,078 | (30,366) | (5,521) | 0 |
Beginning Balance, Shares at Jun. 30, 2019 | 272,472 | (105,818) | |||||
Beginning Balance at Jun. 30, 2019 | $ 1,316,207 | $ 2,724 | $ (524,767) | 1,867,613 | (24,641) | (4,722) | 0 |
Stock-based compensation | 7,773 | ||||||
Common stock issued under stock compensation plans, net of shares withheld for employee taxes, Shares | 24 | ||||||
Common stock issued under stock compensation plans, net of shares withheld for employee taxes | $ 0 | 9 | |||||
Issuance of treasury stock, Shares | 0 | ||||||
Issuance of treasury stock | $ 0 | 0 | |||||
Accretion of redemption preference on redeemable convertible non-controlling interest - discontinued operations | 0 | 0 | |||||
Subsidiary issuance of common stock | 0 | ||||||
Purchase of treasury stock, Shares | (3,459) | ||||||
Purchase of treasury stock | $ (37,090) | ||||||
Warrants issued | 683 | ||||||
Net loss less net income attributable to non-controlling interests | (5,725) | ||||||
ASC 606 implementation adjustments | 0 | ||||||
ASC 606 implementation adjustments - discontinued operations | 0 | ||||||
Foreign currency translation adjustments, net | (574) | (574) | |||||
Unrecognized gain on derivatives qualifying as cash flow hedges, net of tax | (225) | ||||||
Acquisition of non-controlling interest | 0 | 0 | |||||
Net loss attributable to non-controlling interests | $ 0 | 0 | |||||
Ending Balance, Shares at Sep. 30, 2019 | 272,496 | 272,496 | (109,277) | ||||
Ending Balance at Sep. 30, 2019 | $ 1,281,058 | $ 2,724 | $ (561,857) | $ 1,876,078 | $ (30,366) | $ (5,521) | $ 0 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2019 | Sep. 30, 2018 | |
Cash flows from operating activities: | ||
Net (loss) income | $ (163,632) | $ 21,911 |
Less: Loss from discontinued operations | 0 | (25,353) |
(Loss) income from continuing operations | (163,632) | 47,264 |
Adjustments to reconcile net (loss) income to net cash provided by operating activities: | ||
Depreciation and amortization | 152,250 | 143,016 |
Operating right-of-use asset amortization | 16,722 | 0 |
Stock-based compensation expense | 29,563 | 25,867 |
Deferred taxes | (3,066) | 6,091 |
Asset impairment charges | 4,037 | 30,075 |
(Recovery) impairment of long-term investments | (1,045) | 15,487 |
Equity in net (loss) income of unconsolidated investments | (540) | (529) |
Gain on sale of businesses, net | 0 | (172,258) |
Other loss (income), net | 2,796 | (819) |
Changes in operating assets and liabilities (net of businesses acquired): | ||
Accounts receivable and contract assets, net | 53,886 | 1,528 |
Prepaid expenses and other assets | 615 | (12,425) |
Accounts payable | 27,571 | 18,246 |
Accrued expenses | 145,450 | 12,636 |
Accrued compensation and benefits | (43,426) | 174 |
Deferred revenue | (138,639) | (47,265) |
Other liabilities | (701) | (1,759) |
Operating leases | (17,897) | 0 |
Net cash provided by operating activities - continuing operations | 63,944 | 65,329 |
Net cash (used in) provided by operating activities - discontinued operations | (30,000) | 16,225 |
Net cash provided by operating activities | 33,944 | 81,554 |
Cash flows from investing activities: | ||
Capital expenditures | (13,475) | (21,924) |
Capitalized software | (86,190) | (83,093) |
Cash paid for business acquisitions, net of cash acquired | (23,443) | (177,233) |
Cash received from sale of businesses, net | 0 | 241,153 |
Purchases of equity securities, other investments and related intangible assets, net | (7,191) | (2,723) |
Other proceeds from investing activities | 14 | 54 |
Net cash used in investing activities - continuing operations | (130,285) | (43,766) |
Net cash used in investing activities - discontinued operations | 0 | (189,555) |
Net cash used in investing activities | (130,285) | (233,321) |
Cash flows from financing activities: | ||
Proceeds from sale or issuance of common stock | 0 | 1,283 |
Taxes paid related to net share settlement of equity awards | (6,762) | (8,763) |
Payments of lease obligations | (108) | (389) |
Credit facility payments | (15,000) | (250,001) |
Credit facility borrowings, net of issuance costs | 249,241 | 325,843 |
Repurchase of common stock | (102,160) | (101,905) |
Repurchase of unsettled common stock | (9,301) | 0 |
Payment of acquisition and other financing obligations | (11,473) | (3,226) |
Purchases of subsidiary shares owned by non-controlling interest | (54,064) | (6,945) |
Net cash provided by (used in) financing activities - continuing operations | 50,373 | (44,103) |
Net cash provided by financing activities - discontinued operations | 0 | 153,491 |
Net cash provided by financing activities | 50,373 | 109,388 |
Effect of exchange rate changes on cash and cash equivalents | (103) | (328) |
Net decrease in cash and cash equivalents | (46,071) | (42,707) |
Cash, cash equivalents and restricted cash, beginning of period | 184,795 | 162,498 |
Cash, cash equivalents and restricted cash, end of period | 138,724 | 119,791 |
Less: Cash and cash equivalents included in current assets attributable to discontinued operations | 0 | (17,767) |
Cash, cash equivalents and restricted cash, end of period, excluding discontinued operations | $ 138,724 | $ 102,024 |
Basis of Presentation and Signi
Basis of Presentation and Significant Accounting Policies | 9 Months Ended |
Sep. 30, 2019 | |
Accounting Policies [Abstract] | |
Basis of Presentation and Significant Accounting Policies | 1. Basis of Presentation and Significant Accounting Policies Principles of Consolidation The consolidated financial statements include the accounts of Allscripts Healthcare Solutions, Inc. (“Allscripts”) and its wholly-owned subsidiaries and controlled affiliates. All significant intercompany balances and transactions have been eliminated. Each of the terms “we,” “us,” “our” or the “Company” as used herein refers collectively to Allscripts Healthcare Solutions, Inc. and its wholly-owned subsidiaries and controlled affiliates, unless otherwise stated. Unaudited Interim Financial Information The unaudited interim consolidated financial statements as of September 30, 2019 and for the three and nine months ended September 30, 2019 and 2018 have been prepared in accordance with the rules and regulations of the Securities and Exchange Commission (the “SEC”) for interim financial reporting. These interim consolidated financial statements are unaudited and, in the opinion of our management, include all adjustments, consisting of normal recurring adjustments and accruals, necessary Certain information and footnote disclosures normally included in annual financial statements prepared in accordance with GAAP have been condensed or omitted in accordance with the SEC's rules and regulations for interim reporting. The Company believes that the disclosures made are adequate to make these unaudited interim consolidated financial statements not misleading. They should be read in conjunction with the consolidated financial statements and related notes included in our Annual Report on Form 10-K for the year ended December 31, 2018 (our “Form 10-K”). Use of Estimates The preparation of consolidated financial statements in accordance with GAAP requires us to make estimates and assumptions that affect the amounts reported and disclosed in the consolidated financial statements and the accompanying notes. Actual results could differ materially from these estimates. Change in Presentation During the first quarter of 2019, we changed our reportable segments from Clinical and Financial Solutions, Population Health and Unallocated to Provider, Veradigm and Unallocated. The business units reported within the historical segments have been reallocated into the new segments. Refer to Note 15 “Business Segments” for further discussion on the impact of the change. Significant Accounting Policies We adopted Financial Accounting Standards Board (“FASB”) Accounting Standards Update No. 2016-02, “Leases (Topic 842)” (“ASU 2016-02”) on January 1, 2019 using the cumulative-effect adjustment transition method method requires us to recognize an adoption impact as a cumulative-effect adjustment to the January 1, 2019 retained earnings balance. tion. Recently Adopted Accounting Pronouncements In August 2017, the FASB issued Accounting Standards Update No. 2017-12, Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities” We adopted ASU 2017-12 on January 1, 2019, and the adoption did not have any effect on our consolidated financial statements. In June 2018, the FASB issued Accounting Standards Update No. 2018-07, “ Compensation-Stock Compensation (Topic 718): Improvements to Nonemployee Share-Based Payment Accounting Accounting Pronouncements Not Yet Adopted In August 2018, the FASB issued Accounting Standards Update No. 2018-13, “Fair Value Measurement (Topic 820) – Disclosure Framework – Changes to the Disclosure Requirements for Fair Value Measurement” In June 2016, the FASB issued Accounting Standards Update No. 2016-13, Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments” We do not believe that any other recently issued, but not yet effective accounting standards, if adopted, will have a material impact on our consolidated financial statements. |
Revenue from Contracts with Cus
Revenue from Contracts with Customers | 9 Months Ended |
Sep. 30, 2019 | |
Revenue From Contract With Customer [Abstract] | |
Revenue from Contracts with Customers | 2. Revenue from Contracts with Customers Our two primary revenue streams are (i) software delivery, support and maintenance and (ii) client services. Software delivery, support and maintenance revenue consists of all of our proprietary software sales (either under a perpetual or term license delivery model), subscription-based software sales, transaction-related revenue, the resale of hardware and third-party software and revenue from post-contract client support and maintenance services, which include telephone support services, maintaining and upgrading software and ongoing enhanced maintenance. Client services revenue consists of revenue from managed services solutions, such as private cloud hosting, outsourcing and revenue cycle management, as well as other client services and project-based revenue from implementation, training and consulting services. For some clients, we host the software applications licensed from us using our own or third-party servers. For other clients, we offer an outsourced service in which we assume partial to total responsibility for a healthcare organization’s IT operations using our employees. At September 30, 2019 and December 31, 2018, we had capitalized costs to obtain or fulfill a contract of $20.9 million and $24.7 million, respectively, in Prepaid and other current assets and $32.2 million and $33.8 million, respectively, in Other assets. During the three months ended September 30, 2019 and 2018, we recognized $7.5 million and $7.1 million, respectively, of amortization expense related to such capitalized costs. During the nine months ended September 30, 2019 and 2018, we recognized $22.5 million and $22.3 million, respectively, of amortization expense related to such capitalized costs. The amortization of these capitalized costs to obtain a contract are included in Selling, general and administrative expense within our consolidated statements of operations. The timing of revenue recognition, billings and cash collections results in billed and unbilled accounts receivable, contract assets and customer advances and deposits. Accounts receivable, net includes both billed and unbilled amounts where the right to receive payment is unconditional and only subject to the passage of time. Contract assets include amounts where revenue recognized exceeds the amount billed to the customer and the right to payment is not solely subject to the passage of time. Deferred revenue includes advanced payments and billings in excess of revenue recognized. Our contract assets and deferred revenue are reported in a net position on an individual contract basis at the end of each reporting period. Contract assets are classified as current or long-term based on the timing of when we expect to complete the related performance obligations and bill the customer. Deferred revenue is classified as current or long-term based on the timing of when we expect to recognize revenue. The breakdown of revenue recognized related based on the origination of performance obligations and elected accounting expedients is presented in the table below: (In thousands) Three Months Ended March 31, 2019 Three Months Ended June 30, 2019 Three Months Ended September 30, 2019 Revenue related to deferred revenue balance at beginning of period $ 126,184 $ 146,150 $ 151,543 Revenue related to new performance obligations satisfied during the period 248,221 233,696 228,927 Revenue recognized under "right-to-invoice" expedient 55,923 62,245 61,814 Reimbursed travel expenses, shipping and other revenue 1,721 2,369 1,900 Total revenue $ 432,049 $ 444,460 $ 444,184 (In thousands) Three Months Ended March 31, 2018 Three Months Ended June 30, 2018 Three Months Ended September 30, 2018 Revenue related to deferred revenue balance at beginning of period $ 181,398 $ 196,163 $ 153,151 Revenue related to new performance obligations satisfied during the period 200,232 180,001 225,641 Revenue recognized under "right-to-invoice" expedient 49,403 62,533 51,288 Reimbursed travel expenses, shipping and other revenue 2,689 2,767 2,350 Total revenue $ 433,722 $ 441,464 $ 432,430 The aggregate amount of contract transaction price related to remaining unsatisfied performance obligations (commonly referred to as “backlog”) represents contracted revenue that has not yet been recognized and includes both deferred revenue and amounts that will be invoiced and recognized as revenue in future periods. Total backlog equaled $3.9 billion as of September 30, 2019, of which we expect to recognize approximately 38% over the next 12 months, and the remaining 62% thereafter. Revenue Recognition We recognize revenue only when we satisfy an identified performance obligation (or bundle of obligations) by transferring control of a promised product or service to a customer. We consider a product or service to be transferred when a customer obtains control because a customer has sole possession of the right to use (or the right to direct the use of) the product or service for the remainder of its economic life or to consume the product or service in its own operations. We evaluate the transfer of control primarily from the customer’s perspective as this reduces the risk that revenue is recognized for activities that do not transfer control to the customer. The majority of our revenue is recognized over time because a customer continuously and simultaneously receives and consumes the benefits of our performance. The exceptions to this pattern are our sales of perpetual and term software licenses, and hardware, where we determined that a customer obtains control of the asset upon granting of access, delivery or shipment. We disaggregate our revenue from contracts with customers based on the type of revenue and nature of revenue stream, as we believe those categories best depict how the nature, amount, timing and uncertainty of our revenue and cash flows are affected by economic factors. The below tables summarize revenue by type and nature of revenue stream as well as by our reportable segments: Three Months Ended September 30, Nine Months Ended September 30, (In thousands) 2019 2018 2019 2018 Revenue: Recurring revenue $ 349,455 $ 349,404 $ 1,048,204 $ 1,063,440 Non-recurring revenue 94,729 83,026 272,489 244,176 Total revenue $ 444,184 $ 432,430 $ 1,320,693 $ 1,307,616 Three Months Ended September 30, 2019 (In thousands) Provider Veradigm Unallocated Total Software delivery, support and maintenance $ 241,516 $ 37,494 $ 5,363 $ 284,373 Client services 155,163 4,186 462 159,811 Total revenue $ 396,679 $ 41,680 $ 5,825 $ 444,184 Three Months Ended September 30, 2018 (In thousands) Provider Veradigm Unallocated Total Software delivery, support and maintenance $ 241,142 $ 35,686 $ (2,690 ) $ 274,138 Client services 161,071 3,089 (5,868 ) 158,292 Total revenue $ 402,213 $ 38,775 $ (8,558 ) $ 432,430 Nine Months Ended September 30, 2019 (In thousands) Provider Veradigm Unallocated Total Software delivery, support and maintenance $ 726,310 $ 108,987 $ 9,611 $ 844,908 Client services 468,666 6,330 789 475,785 Total revenue $ 1,194,976 $ 115,317 $ 10,400 $ 1,320,693 Nine Months Ended September 30, 2018 (In thousands) Provider Veradigm Unallocated Total Software delivery, support and maintenance $ 752,650 $ 89,908 $ (3,382 ) $ 839,176 Client services 473,454 5,171 (10,185 ) 468,440 Total revenue $ 1,226,104 $ 95,079 $ (13,567 ) $ 1,307,616 |
Leases
Leases | 9 Months Ended |
Sep. 30, 2019 | |
Lessee Disclosure [Abstract] | |
Leases | 3. Leases We adopted ASU 2016-02 The new guidance requires the recognition of leased arrangements on the balance sheet as right-of-use assets and liabilities pertaining to the rights and obligations created by the leased assets. We determine whether an arrangement is a lease at inception. Assets leased under an operating lease arrangement are recorded in Right-of-use assets – operating leases and the associated lease liabilities are included in Current operating lease liabilities and Long-term operating lease liabilities within the consolidated balance sheets. Assets leased under finance lease arrangements are recorded within fixed assets and the associated lease liabilities are recorded within Accrued expenses and Other liabilities within the consolidated balance sheets. Right-of-use assets represent our right to use an underlying asset for the lease term and lease liabilities represent our obligation to make lease payments arising from the lease. Operating lease right-of-use assets and liabilities are recognized at commencement date based on the present value of lease payments over the expected lease term. Since our lease arrangements do not provide an implicit rate, we use our incremental borrowing rate in conjunction with the market swap rate for the expected remaining lease team at commencement date for new leases, or as of January 1, 2019 for existing leases, in determining the present value of future lease payments. Our expected lease terms may include options to extend or terminate the lease when it is reasonably certain that we will exercise that option. Operating lease expense is recognized on a straight-line basis over the lease term. We have elected the group of practical expedients under ASU 2016-02 to forego assessing upon adoption: (1) whether any expired contracts are or contain leases; (2) the lease classification for any existing or expired leases and (3) any indirect costs that would have qualified for capitalization for any existing leases. We have lease agreements with lease and non-lease components, which are generally accounted for separately except for real estate and vehicle leases, which we have elected to combine through a practical expedient under ASU 2016-02. Non-lease components for our leases typically comprise of executory costs, which under the practical expedient allows for all executory costs to be recorded as lease payments. Additionally, for certain equipment leases, we apply a portfolio approach to effectively record right-of-use assets and liabilities . Our operating leases mainly include office leases and our finance leases include office and computer equipment leases. Our leases have remaining lease terms of approximately 1 year 9 years 5 years (In thousands) Three Months Ended September 30, 2019 Nine Months Ended September 30, 2019 Operating lease cost (1) $ 7,113 $ 20,881 Less: Sublease income (824 ) (2,404 ) Total operating lease costs $ 6,289 $ 18,477 Finance lease costs: Amortization of right-of-use assets (2) $ 34 $ 122 Interest on lease liability (3) 2 6 Total finance lease costs $ 36 $ 128 (1) Operating lease costs are recognized on a straight-line basis and are included in Selling, general and administrative expenses within the consolidated statement of operations. (2) Amortization of finance right-of-use assets is recognized on a straight-line basis and is included in in Selling, general and administrative expenses within the consolidated statement of operations. (3) Interest on finance lease liabilities is recorded as Interest expense within the consolidated statement of operations . Supplemental information for operating and finance leases is as follows: (In thousands) Nine Months Ended September 30, 2019 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 22,211 Operating cash flows from finance leases $ 6 Financing cash flows from finance leases $ 108 Right-of-use assets obtained in exchange for lease obligations: Operating leases $ 144,080 Finance leases $ 263 The balance sheet location and balances for operating and finance leases are as follows: (In thousands, except lease term and discount rate) September 30, 2019 Operating leases: Right-of-use assets - operating leases $ 103,537 Current operating lease liabilities $ 24,451 Long-term operating lease liabilities $ 100,230 Finance leases: Fixed assets, gross $ 524 Accumulated depreciation 357 Fixed assets, net $ 167 Current finance lease liabilities (1) $ 127 Long-term finance lease liabilities (2) $ 57 Weighted average remaining lease term (in years) Operating leases 6 Finance leases 2 Weighted average discount rate Operating leases 4.3 % Finance leases 5.1 % (1) Current finance lease liabilities are included in Accrued expenses within the consolidated balance sheets. (2) Long-term finance lease liabilities are included in Other liabilities within the consolidated balance sheets. The future maturities of our leasing arrangements including lease and non-lease components are shown in the below table. The maturities are calculated using foreign currency exchange rates in effect as of September 30, 2019. September 30, 2019 (In thousands) Operating Leases Finance Leases Remainder of 2019 $ 7,824 $ 58 2020 27,923 85 2021 23,131 40 2022 21,630 7 2023 19,324 0 Thereafter 42,396 0 Total lease liabilities 142,228 190 Less: Amount representing interest (17,547 ) (6 ) Less: Short-term lease liabilities (24,451 ) (127 ) Total long-term lease liabilities $ 100,230 $ 57 |
Business Combinations
Business Combinations | 9 Months Ended |
Sep. 30, 2019 | |
Business Combinations [Abstract] | |
Business Combinations | 4. Business Combinations On July 2, 2019, we acquired the Pinnacle and Diabetes Collaborative Registries from the American College of Cardiology (“ACC”) as part of our broader strategic partnership with the ACC. The total purchase price was $19.7 million, consisting of an initial payment of $11.7 million plus up to an aggregate of $8.0 million pending the attainment certain milestones over the next 18 months. The contingent consideration of up to $8.0 million was valued at $5.0 million at the time of closing. On June 10, 2019, we acquired the assets of a business engaged in the development, implementation, customization, marketing, licensing and sale of a specialty prescription drug platform including software that collects, saves and transmits information required to fill a prescription. The drug platform and software will enable healthcare providers, pharmacists and payors to digitally interact with one another to fill a prescription. The business is included in our Veradigm business segment. On March 1, 2019, we acquired all of the outstanding minority interest in Pulse8, Inc., a healthcare analytics and technology company that provides business intelligence software solutions for health plans and at-risk providers to enable them to analyze their risk adjustment and quality management programs, for $53.8 million (subject to adjustments for net working capital and a contingency holdback), plus up to a $10.0 million earnout based upon revenue targets through 2019. We initially acquired a controlling stake in Pulse 8, Inc. on September 8, 2016. This transaction was treated as an equity transaction and the cash payment is reported as part of cash flow from financing activities in the consolidated statement of cash flows for the nine months ended September 30, 2019. Other Acquisitions and Divestiture On June 15, 2018, we acquired all the outstanding minority interest in a third party for $6.9 million. We initially acquired a controlling interest in the third party in April 2015. This acquisition was treated as an equity transaction and the cash payment is reported as part of cash flow from financing activities in the consolidated statements of cash flows for the nine months ended September 30, 2018. On April 2, 2018 we sold substantially all of the assets of the Allscripts’ business providing hospitals and health systems document and other content management software services generally known as “OneContent” to Hyland Software, Inc. Total consideration for the OneContent business was $260.0 million and we realized a pre-tax gain upon sale of $177.9 million, which is included in the “Gain on sale of businesses, net” line in our consolidated statements of operations for the nine months ended September 30, 2018. |
Fair Value Measurements and Lon
Fair Value Measurements and Long-term Investments | 9 Months Ended |
Sep. 30, 2019 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements and Long-term Investments | 5. Fair Value Measurements and Long-term Investments Fair value measurements are based upon observable and unobservable inputs. Level 1: Inputs are unadjusted quoted prices in active markets for identical assets or liabilities at the measurement date. Level 2: Inputs, other than quoted prices included in Level 1, are observable for the asset or liability, either directly or indirectly. Level 3: Unobservable inputs are significant to the fair value of the asset or liability, and include situations where there is little, if any, market activity for the asset or liability. The following table summarizes our financial assets and liabilities measured at fair value on a recurring basis as of the respective balance sheet dates: Balance Sheet September 30, 2019 December 31, 2018 (In thousands) Classifications Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total Foreign exchange derivative assets Prepaid expenses and other current assets $ 0 $ 131 $ 0 $ 131 $ 0 $ 262 $ 0 $ 262 1.25% Call Option Other assets 0 0 2,842 2,842 0 0 9,104 9,104 Total assets $ 0 $ 131 $ 2,842 $ 2,973 $ 0 $ 262 $ 9,104 $ 9,366 Contingent consideration - current Accrued expenses $ 0 $ 0 $ 22,541 $ 22,541 $ 0 $ 0 $ 10,528 $ 10,528 Contingent consideration - long-term Other liabilities 0 0 3,546 3,546 0 0 15,317 15,317 1.25% Embedded cash conversion option Other liabilities 0 0 3,619 3,619 0 0 9,974 9,974 Total liabilities $ 0 $ 0 $ 29,706 $ 29,706 $ 0 $ 0 $ 35,819 $ 35,819 The changes in Level 3 assets and liabilities measured at fair value on a recurring basis at September 30, 2019 are summarized as follows: (In thousands) Contingent Consideration 1.25% Notes Call Spread Overlay Balance at December 31, 2018 $ 25,845 $ (870 ) Additions 11,791 0 Payments (11,500 ) 0 Fair value adjustments (49 ) 93 Balance at September 30, 2019 $ 26,087 $ (777 ) Long-term Investments The following table summarizes our long-term equity investments which are included in Other assets in the accompanying consolidated balance sheets: Number of Investees Original Carrying Value at (In thousands, except for number of investees) at September 30, 2019 Cost September 30, 2019 December 31, 2018 Equity method investments (1) 5 $ 7,407 $ 11,207 $ 10,667 Cost method and available-for-sale investments 9 43,874 34,158 25,923 Total long-term equity investments 14 $ 51,281 $ 45,365 $ 36,590 (1) As of September 30, 2019, it is not possible to estimate the fair value of our non-marketable cost and equity method investments, primarily because of their illiquidity and restricted marketability. The factors we considered in trying to determine fair value include, but are not limited to, available financial information, the issuer’s ability to meet its current obligations, the issuer’s subsequent or planned raises of capital and observable price changes in orderly transactions. We acquired a $6.0 million non-marketable convertible note of a third party on August 1, 2019, which is included in the “Other assets” caption in the consolidated balance sheet as of September 30, 2019. We also entered into a commercial agreement with the third party to develop datasets to support the practice of precision medicine. Recovery and Impairment of Long-term Investments During the nine months ended September 30, 2019, we recovered $1.0 million from a third-party cost-method investment that we had previously impaired, which was recognized in the first quarter 2019. Each quarter, management performs an assessment of each of our investments on an individual basis to determine if there have been any declines in fair value. As a result of this review, we recognized non-cash impairment charges during the nine months ended September 30, 2018 of $15.5 million, related to one of our cost-method equity investments and a related note receivable. These charges equaled the cost bases of the investment and note receivable prior to the impairment and are included in Recovery (impairment) of long-term investments within the consolidated statements of operations. Long-term Financial Liabilities Our long-term financial liabilities include amounts outstanding under our senior secured credit facility (as defined in Note 9, “Debt”), with carrying values that approximate fair value since the interest rates approximate current market rates. The carrying amount of our 1.25% Cash Convertible Senior Notes (the “1.25% Notes”) approximates fair value as of September 30, 2019, since the effective interest rate on the 1.25% Notes approximates current market rates. Refer to Note 9, “Debt,” for further information regarding our long-term financial liabilities. |
Stockholders' Equity
Stockholders' Equity | 9 Months Ended |
Sep. 30, 2019 | |
Equity [Abstract] | |
Stockholders' Equity | 6. Stockholders' Equity Stock-based Compensation Expense Stock-based compensation expense recognized during the three and nine months ended September 30, 2019 and 2018 is included in our consolidated statements of operations as shown in the below table. Stock-based compensation expense includes both non-cash expense related to grants of stock-based awards as well as cash expense related to the employee discount applied to purchases of our common stock under our employee stock purchase plan. No stock-based compensation costs were capitalized during the three and nine months ended September 30, 2019 and 2018. Three Months Ended September 30, Nine Months Ended September 30, (In thousands) 2019 2018 2019 2018 Cost of revenue: Software delivery, support and maintenance $ 395 $ 498 $ 1,522 $ 1,538 Client services 765 1,031 3,021 3,537 Total cost of revenue 1,160 1,529 4,543 5,075 Selling, general and administrative expenses 5,643 6,208 20,799 17,672 Research and development 1,677 2,349 7,125 7,248 Total stock-based compensation expense $ 8,480 $ 10,086 $ 32,467 $ 29,995 Allscripts Long-Term Incentive Plan We measure stock-based compensation expense at the grant date based on the fair value of the award. We recognize the expense for service-based share awards over the requisite service period on a straight-line basis, net of estimated forfeitures. We recognize the expense for performance-based and market-based share awards over the vesting period under the accelerated attribution method, net of estimated forfeitures. In addition, we recognize stock-based compensation cost for awards with performance conditions if and when we conclude that it is probable that the performance conditions will be achieved. The fair value of service-based and performance-based restricted stock units is measured at the underlying closing share price of our common stock on the date of grant. The fair value of market-based restricted stock units is measured using the Monte Carlo pricing model. No stock options were granted during the three and nine months ended September 30, 2019 and 2018. We granted stock-based awards as follows: Three Months Ended September 30, 2019 Nine Months Ended September 30, 2019 Weighted-Average Weighted-Average Grant Date Grant Date (In thousands, except per share amounts) Shares Fair Value Shares Fair Value Service-based restricted stock units 0 $ 0.00 3,973 $ 9.85 Market-based restricted stock units with a service condition 0 $ 0.00 700 $ 11.74 0 $ 0.00 4,673 $ 10.14 During the nine months ended September 30, 2019 and the year ended December 31, 2018, 1.5 million and 1.6 million shares of common stock, respectively, were issued in connection with the exercise of options and the release of restrictions on stock awards. Net Share-settlements Upon vesting, restricted stock units are generally net share-settled to cover the required withholding tax and the remaining amount is converted into an equivalent number of shares of common stock. The majority of restricted stock units and awards that vested during the nine months ended September 30, 2019 and 2018 were net-share settled such that we withheld shares with fair value equivalent to the employees’ minimum statutory obligation for the applicable income and other employment taxes and remitted the cash to the appropriate taxing authorities. Total payments for the employees' minimum statutory tax obligations to the taxing authorities are reflected as a financing activity within the accompanying consolidated statements of cash flows. The total shares withheld for the nine months ended September 30, 2019 and 2018 were 658 thousand and 629 thousand, respectively, and were based on the value of the restricted stock units on their vesting date as determined by our closing stock price. These net-share settlements had the effect of share repurchases by us as they reduced the number of shares that would have otherwise been issued as a result of the vesting. Stock Repurchases On November 17, 2016, we announced that our Board of Directors approved a stock purchase program (the “2016 Program”) under which we may repurchase up to $200 million of our common stock through December 31, 2019. On August 2, 2018, we announced that our Board of Directors approved a new stock purchase program (the “2018 Program”) under which we may repurchase up to $250 million of our common stock through December 31, 2020, replacing the 2016 Program. We repurchased 3.5 million of our common stock under the 2018 Program for a total of $37.1 million during the three months ended September 30, 2019. We repurchased 9.6 million shares of our common stock under the 2018 Program for a total of $102.2 million during the nine months ended September 30, 2019. We did initiate share transactions to purchase an additional 0.9 million shares for $9.3 million under the 2018 Program for the three months ended September 30, 2019, but the transactions were not settled until October 2019. The shares settled in October 2019 were outstanding as of September 30, 2019, and therefore will be recorded as a financing transaction as “Repurchase of unsettled common stock” within the consolidated statements of cash flows and recorded as “Other assets” within the consolidated balance sheets. The approximate dollar value of shares that may yet be purchased under the 2018 Program is $111.1 million as of September 30, 2019, which does not include the share transactions settled in October 2019. We repurchased 7.7 million shares of our common stock under the 2016 Program for a total of $101.9 million during the nine months ended September 30, 2018, of which none were repurchased during the three months ended September 30, 2018. |
Earnings (Loss) Per Share
Earnings (Loss) Per Share | 9 Months Ended |
Sep. 30, 2019 | |
Earnings Per Share [Abstract] | |
Earnings (Loss) Per Share | 7. Earnings (Loss) Per Share Basic earnings (loss) per share is computed by dividing net income (loss) by the weighted-average shares of common stock outstanding. For purposes of calculating diluted earnings (loss) per share, the denominator includes both the weighted-average shares of common stock outstanding and dilutive common stock equivalents. Dilutive common stock equivalents consist of stock options, restricted stock unit awards and warrants calculated under the treasury stock method. The calculations of earnings (loss) per share are as follows: Three Months Ended September 30, Nine Months Ended September 30, (In thousands, except per share amounts) 2019 2018 2019 2018 Basic earnings (loss) per Common Share: (Loss) income from continuing operations, net of tax $ (5,725 ) $ (12,141 ) $ (163,632 ) $ 47,264 Net loss attributable to non-controlling interests 0 4 424 3,494 Net (loss) income from continuing operations attributable to Allscripts Healthcare Solutions, Inc. stockholders $ (5,725 ) $ (12,137 ) $ (163,208 ) $ 50,758 Loss from discontinued operations, net of tax $ 0 $ (11,705 ) $ 0 $ (25,353 ) Accretion of redemption preference on redeemable convertible non-controlling interest - discontinued operations 0 (12,149 ) 0 (36,446 ) Net loss from discontinued operations attributable to Allscripts Healthcare Solutions, Inc. stockholders 0 (23,854 ) 0 (61,799 ) Net loss attributable to Allscripts Healthcare Solutions, Inc. stockholders $ (5,725 ) $ (35,991 ) $ (163,208 ) $ (11,041 ) Weighted-average common shares outstanding 166,391 174,638 167,610 176,942 Basic (loss) earnings from continuing operations per Common Share $ (0.03 ) $ (0.07 ) $ (0.97 ) $ 0.28 Basic loss from discontinued operations per Common Share 0.00 (0.13 ) 0.00 (0.34 ) Net (loss) income attributable to Allscripts Healthcare Solutions, Inc. stockholders per Common Share $ (0.03 ) $ (0.20 ) $ (0.97 ) $ (0.06 ) Diluted earnings (loss) per Common Share: (Loss) income from continuing operations, net of tax $ (5,725 ) $ (12,141 ) $ (163,632 ) $ 47,264 Net loss attributable to non-controlling interests 0 4 424 3,494 Net (loss) income from continuing operations attributable to Allscripts Healthcare Solutions, Inc. stockholders $ (5,725 ) $ (12,137 ) $ (163,208 ) $ 50,758 Loss from discontinued operations, net of tax $ 0 $ (11,705 ) $ 0 $ (25,353 ) Accretion of redemption preference on redeemable convertible non-controlling interest - discontinued operations 0 (12,149 ) 0 (36,446 ) Net loss from discontinued operations attributable to Allscripts Healthcare Solutions, Inc. stockholders 0 (23,854 ) 0 (61,799 ) Net (loss) income attributable to Allscripts Healthcare Solutions, Inc. stockholders $ (5,725 ) $ (35,991 ) $ (163,208 ) $ (11,041 ) Weighted-average common shares outstanding 166,391 174,638 167,610 176,942 Plus: Dilutive effect of stock options, restricted stock unit awards and warrants 0 0 0 0 Weighted-average common shares outstanding assuming dilution 166,391 174,638 167,610 176,942 Diluted (loss) earnings from continuing operations per Common Share $ (0.03 ) $ (0.07 ) $ (0.97 ) $ 0.28 Diluted loss from discontinued operations per Common Share 0.00 (0.13 ) 0.00 (0.34 ) Net (loss) income attributable to Allscripts Healthcare Solutions, Inc. stockholders per Common Share $ (0.03 ) $ (0.20 ) $ (0.97 ) $ (0.06 ) Due to the net loss attributable to Allscripts Healthcare Solutions, Inc. stockholders for the three and nine months ended September 30, 2019 and 2018, we used basic weighted-average common shares outstanding in the calculation of diluted loss per share for those periods, since the inclusion of any stock equivalents would be anti-dilutive. The following stock options, restricted stock unit awards and warrants are not included in the computation of diluted earnings (loss) per share as the effect of including such stock options, restricted stock unit awards and warrants in the computation would be anti-dilutive: Three Months Ended September 30, Nine Months Ended September 30, (In thousands) 2019 2018 2019 2018 Shares subject to anti-dilutive stock options, restricted stock unit awards and warrants excluded from calculation 27,969 24,191 27,350 24,688 |
Goodwill and Intangible Assets
Goodwill and Intangible Assets | 9 Months Ended |
Sep. 30, 2019 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Goodwill and Intangible Assets | 8. Goodwill and Intangible Assets Goodwill and intangible assets consist of the following: September 30, 2019 December 31, 2018 Gross Gross Carrying Accumulated Intangible Carrying Accumulated Intangible (In thousands) Amount Amortization Assets, Net Amount Amortization Assets, Net Intangibles subject to amortization: Proprietary technology $ 546,078 $ (428,261 ) $ 117,817 $ 537,834 $ (401,093 ) $ 136,741 Customer contracts and relationships 710,853 (482,720 ) 228,133 704,808 (462,468 ) 242,340 Total $ 1,256,931 $ (910,981 ) $ 345,950 $ 1,242,642 $ (863,561 ) $ 379,081 Intangibles not subject to amortization: Registered trademarks $ 52,000 $ 52,000 Goodwill 1,387,088 1,373,744 Total $ 1,439,088 $ 1,425,744 Changes in the carrying amounts of goodwill by reportable segment for the nine months ended September 30, 2019 were as follows: (In thousands) Provider Veradigm Total Balance as of December 31, 2018 $ 1,254,284 $ 119,460 $ 1,373,744 Additions 0 13,707 13,707 Foreign exchange translation (363 ) 0 (363 ) Balance as of September 30, 2019 $ 1,253,921 $ 133,167 $ 1,387,088 There are $13.5 |
Debt
Debt | 9 Months Ended |
Sep. 30, 2019 | |
Debt Disclosure [Abstract] | |
Debt | 9. Debt Debt outstanding, excluding lease obligations, consists of the following: September 30, 2019 December 31, 2018 (In thousands) Principal Balance Unamortized Discount and Debt Issuance Costs Net Carrying Amount Principal Balance Unamortized Discount and Debt Issuance Costs Net Carrying Amount 1.25% Cash Convertible Senior Notes $ 345,000 $ 11,236 $ 333,764 $ 345,000 $ 22,112 $ 322,888 Senior Secured Credit Facility 585,000 5,628 579,372 350,000 6,038 343,962 Other debt 302 0 302 748 0 748 Total debt $ 930,302 $ 16,864 $ 913,438 $ 695,748 $ 28,150 $ 667,598 Less: Debt payable within one year 359,067 493 358,574 20,538 479 20,059 Total long-term debt, less current maturities $ 571,235 $ 16,371 $ 554,864 $ 675,210 $ 27,671 $ 647,539 Interest expense consists of the following: Three Months Ended September 30, Nine Months Ended September 30, (In thousands) 2019 2018 2019 2018 Interest expense $ 6,741 $ 9,352 $ 19,404 $ 25,436 Amortization of discounts and debt issuance costs 4,098 3,899 12,043 11,489 Total interest expense $ 10,839 $ 13,251 $ 31,447 $ 36,925 Interest expense related to 1.25% Notes, included in the table above, consists of the following: Three Months Ended September 30, Nine Months Ended September 30, (In thousands) 2019 2018 2019 2018 Coupon interest at 1.25% $ 1,078 $ 1,078 $ 3,234 $ 3,234 Amortization of discounts and debt issuance costs 3,685 3,509 10,876 10,358 Total interest expense related to the 1.25% Notes $ 4,763 $ 4,587 $ 14,110 $ 13,592 Allscripts Senior Secured Credit Facility On February 15, 2018, Allscripts and Healthcare LLC entered into a Second Amended and Restated Credit Agreement (the “Second Amended Credit Agreement”), with JPMorgan Chase Bank, N.A., as administrative agent. The Second Amended Credit Agreement provides for a $400 million senior secured term loan (the “Term Loan”) and a $900 million senior secured revolving facility (the “Revolving Facility”), each with a five-year term. The Term Loan is repayable in quarterly installments, which began on June 30, 2018. A total of up to $50 million of the Revolving Facility is available for the issuance of letters of credit, up to $10 million of the Revolving Facility is available for swingline loans, and up to $100 million of the Revolving Facility could be borrowed under certain foreign currencies. As of September 30, 2019, $335.0 million under the Term Loan, $250.0 million under the Revolving Facility, and $1.0 million in letters of credit were outstanding under the Second Amended Credit Agreement. As of September 30, 2019, the interest rate on the borrowings under the Second Amended Credit Agreement was LIBOR plus 1.50%, which totaled 3.54%. We were in compliance with all covenants under the Second Amended Credit Agreement as of September 30, 2019. On August 7, 2019, we entered into a First Amendment to the Second Amended Credit Agreement in order to remain compliant with the covenants of our Second Amended Credit Agreement. The First Amendment provides the financial flexibility to settle the U.S. Department of Justice’s investigations as discussed in Note 13, “Contingencies” while maintaining our compliance with the covenants of our Second Amended Credit Agreement. None of the original terms of our Second Amended Credit Agreement relating to scheduled future principal payments, applicable interest rates and margins or borrowing capacity under our Revolving Facility were amended. In connection with this amendment, we incurred fees and other costs totaling $0.8 million, of which a majority was capitalized. As of September 30, 2019, we had $649.0 million available, net of outstanding letters of credit, under our Revolving Facility. There can be no assurance that we will be able to draw on the full available balance of our Revolving Facility if the financial institutions that have extended such credit commitments become unwilling or unable to fund such borrowings. 1.25% Cash Convertible Senior Notes As of September 30, 2019, the if-converted value of the 1.25% Notes did not exceed the 1.25% Notes’ principal amount. The following table summarizes future debt payment obligations as of September 30, 2019: (In thousands) Total Remainder of 2019 2020 2021 2022 2023 Thereafter 1.25% Cash Convertible Senior Notes (1) $ 345,000 $ 0 $ 345,000 $ 0 $ 0 $ 0 $ 0 Term Loan 335,000 5,000 27,500 30,000 37,500 235,000 0 Revolving Facility (2) 250,000 0 0 0 0 250,000 0 Other debt 302 302 0 0 0 0 0 Total debt $ 930,302 $ 5,302 $ 372,500 $ 30,000 $ 37,500 $ 485,000 $ 0 (1) (2) |
Income Taxes
Income Taxes | 9 Months Ended |
Sep. 30, 2019 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | 10. Income Taxes We account for income taxes under FASB Accounting Standards Codification 740, “ Income Taxes” Three Months Ended September 30, Nine Months Ended September 30, (In thousands) 2019 2018 2019 2018 (Loss) income from continuing operations before income taxes $ (6,490 ) $ (13,778 ) $ (162,992 ) $ 53,182 Income tax benefit (provision) $ 765 $ 1,637 $ (640 ) $ (5,918 ) Effective tax rate 11.8 % 11.9 % (0.4 %) 11.1 % Our provision for income taxes differs from the tax computed at the U.S. federal statutory income tax rate primarily due to permanent differences, income attributable to foreign jurisdictions taxed at different rates, state taxes, tax credits and certain discrete items. Our effective tax rate for the three and nine months ended September 30, 2019, compared with the prior year comparable periods, differs primarily due to higher tax shortfalls associated with stock-based compensation reflected in the provision for the three and nine months ended September 30, 2019 and release of valuation allowance of $14.5 million recorded in the nine months ended September 30, 2018. In evaluating our ability to recover our deferred tax assets within the jurisdictions from which they arise, we consider all available evidence, including scheduled reversals of deferred tax liabilities, tax-planning strategies, and results of recent operations. In evaluating the objective evidence that historical results provide, we consider three years of cumulative operating income (loss). During the three months ended September 30, 2019, we recorded immaterial impacts for valuation allowances. Our unrecognized income tax benefits were $20.3 million and $19.8 million as of September 30, 2019 and December 31, 2018, respectively. If any portion of our unrecognized tax benefits is recognized, it could impact our effective tax rate. The tax reserves are reviewed periodically and adjusted considering changing facts and circumstances, such as progress of tax audits, lapse of applicable statutes of limitations and changes in tax law. |
Derivative Financial Instrument
Derivative Financial Instruments | 9 Months Ended |
Sep. 30, 2019 | |
Derivative Instruments And Hedging Activities Disclosure [Abstract] | |
Derivative Financial Instruments | 11. Derivative Financial Instruments The following tables provide information about the fair values of our derivative financial instruments as of the respective balance sheet dates: September 30, 2019 Asset Derivatives Liability Derivatives (In thousands) Balance Sheet Location Fair Value Balance Sheet Location Fair Value Derivatives qualifying as cash flow hedges: Foreign exchange contracts Prepaid expenses and other current assets $ 131 Accrued expenses $ 0 Derivatives not subject to hedge accounting: 1.25% Call Option Other assets 2,842 N/A 1.25% Embedded cash conversion option N/A Other liabilities 3,619 Total derivatives $ 2,973 $ 3,619 December 31, 2018 Asset Derivatives Liability Derivatives (In thousands) Balance Sheet Location Fair Value Balance Sheet Location Fair Value Derivatives qualifying as cash flow hedges: Foreign exchange contracts Prepaid expenses and other current assets $ 262 Accrued expenses $ 0 Derivatives not subject to hedge accounting: 1.25% Call Option Other assets 9,104 N/A 1.25% Embedded cash conversion option N/A Other liabilities 9,974 Total derivatives $ 9,366 $ 9,974 N/A – We define “N/A” as disclosure not being applicable Foreign Exchange Contracts We have entered into non-deliverable forward foreign currency exchange contracts with reputable banking counterparties to hedge a portion of our forecasted future Indian Rupee-denominated (“INR”) expenses against foreign currency fluctuations between the United States dollar and the INR. These forward contracts cover a percentage of forecasted monthly INR expenses over time. As of September 30, 2019, there were 3 forward contracts outstanding that were staggered to mature monthly starting in October 2019 and ending in December 2019. In the future, we may enter into additional forward contracts to increase the amount of hedged monthly INR expenses or initiate hedges for monthly periods beyond December 2019. As of September 30, 2019, the notional amount for each of the outstanding forward contracts was 160 million INR, or the equivalent of $2.3 million, based on the exchange rate between the United States dollar and the INR in effect as of September 30, 2019. These amounts also approximate the forecasted future INR expenses we target to hedge in any one month in the future. As of September 30, 2019, we estimate that $0.1 million of net unrealized derivative gains included in AOCI will be reclassified into income within the next twelve months. The following tables show the impact of derivative instruments designated as cash flow hedges on the consolidated statements of operations and the consolidated statements of comprehensive loss: Amount of Gain (Loss) Recognized in OCI Amount of Gain (Loss) Reclassified from AOCI into Income (In thousands) Three Months Ended September 30, 2019 Nine Months Ended September 30, 2019 Location of Gain (Loss) Reclassified from AOCI into Income Three Months Ended September 30, 2019 Nine Months Ended September 30, 2019 Foreign exchange contracts $ (257 ) $ 83 Cost of Revenue $ 16 $ 76 Selling, general and administrative expenses 12 53 Research and development $ 19 $ 85 Amount of Gain (Loss) Recognized in OCI Amount of Gain (Loss) Reclassified from AOCI into Income (In thousands) Three Months Ended September 30, 2018 Nine Months Ended September 30, 2018 Location of Gain (Loss) Reclassified from AOCI into Income Three Months Ended September 30, 2018 Nine Months Ended September 30, 2018 Foreign exchange contracts $ (1,803 ) $ (2,010 ) Cost of Revenue $ (74 ) $ 227 Selling, general and administrative expenses (50 ) 180 Research and development $ (77 ) $ 278 1.25% Call Option In June 2013, concurrent with the issuance of the 1.25% Notes, we entered into privately negotiated hedge transactions with certain of the initial purchasers of the 1.25% Notes (collectively, the “1.25% Call Option”). Assuming full performance by the counterparties, the 1.25% Call Option is intended to offset cash payments in excess of the principal amount due upon any conversion of the 1.25% Notes. The 1.25% Call Option, which is indexed to our common stock, is a derivative asset that requires mark-to-market accounting treatment (due to the cash settlement features) until the 1.25% Call Option settles or expires. The 1.25% Call Option is measured and reported at fair value on a recurring basis, within Level 3 of the fair value hierarchy. The 1.25% Call Option does not qualify for hedge accounting treatment. Therefore, the change in fair value of these instruments is recognized immediately in our consolidated statements of operations in Other income, net. Because the terms of the 1.25% Call Option are substantially similar to those of the 1.25% Notes embedded cash conversion option, discussed below, we expect the net effect of those two derivative instruments on our earnings to be minimal. 1.25% Notes Embedded Cash Conversion Option The embedded cash conversion option within the 1.25% Notes is required to be separated from the 1.25% Notes and accounted for separately as a derivative liability, with changes in fair value reported in our consolidated statements of operations in Other income, net until the cash conversion option settles or expires. The initial fair value liability of the embedded cash conversion option was $82.8 million, which simultaneously reduced the carrying value of the 1.25% Notes (effectively an original issuance discount). The embedded cash conversion option is measured and reported at fair value on a recurring basis, within Level 3 of the fair value hierarchy. The following table shows the net impact of the changes in fair values of the 1.25% Call Option and the 1.25% Notes’ embedded cash conversion option in the consolidated statements of operations: Three Months Ended September 30, Nine Months Ended September 30, (In thousands) 2019 2018 2019 2018 1.25% Call Option $ (3,567 ) $ 15,043 $ (6,262 ) $ (13,108 ) 1.25% Embedded cash conversion option 3,746 (15,503 ) 6,355 12,870 Net (loss) income included in other income, net $ 179 $ (460 ) $ 93 $ (238 ) |
Other Comprehensive Income
Other Comprehensive Income | 9 Months Ended |
Sep. 30, 2019 | |
Equity [Abstract] | |
Other Comprehensive Income | 12. Other Comprehensive Income Accumulated Other Comprehensive Loss Changes in the balances of each component included in AOCI are presented in the tables below. All amounts are net of tax and exclude non-controlling interest. (In thousands) Foreign Currency Translation Adjustments Unrealized Net Gains on Foreign Exchange Contracts Total Balance as of December 31, 2018 (1) $ (5,584 ) $ 195 $ (5,389 ) Other comprehensive income (loss) before reclassifications (35 ) 61 26 Net (gains) losses reclassified from accumulated other comprehensive loss 0 (158 ) (158 ) Net other comprehensive loss (35 ) (97 ) (132 ) Balance as of September 30, 2019 (2) $ (5,619 ) $ 98 $ (5,521 ) (1) (2) (In thousands) Foreign Currency Translation Adjustments Unrealized Net Gains on Foreign Exchange Contracts Total Balance as of December 31, 2017 (1) $ (2,676 ) $ 691 $ (1,985 ) Other comprehensive income (loss) before reclassifications (1,622 ) (1,487 ) (3,109 ) Net (gains) losses reclassified from accumulated other comprehensive loss 0 (358 ) (358 ) Net other comprehensive income (1,622 ) (1,845 ) (3,467 ) Balance as of September 30, 2018 (2) $ (4,298 ) $ (1,154 ) $ (5,452 ) (1) (2) Income Tax Effects Related to Components of Other Comprehensive Income (Loss) The following tables reflect the tax effects allocated to each component of other comprehensive income (loss) (“OCI”): Three Months Ended September 30, 2019 2018 (In thousands) Before-Tax Amount Tax Effect Net Amount Before-Tax Amount Tax Effect Net Amount Foreign currency translation adjustments $ (574 ) $ 0 $ (574 ) $ (60 ) $ 0 $ (60 ) Foreign exchange contracts: Net (losses) gains arising during the period (257 ) 67 (190 ) (1,803 ) 468 (1,335 ) Net losses (gains) reclassified into income (1) (48 ) 13 (35 ) 201 (52 ) 149 Net change in unrealized (losses) gains on foreign exchange contracts (305 ) 80 (225 ) (1,602 ) 416 (1,186 ) Net (loss) gain on cash flow hedges (305 ) 80 (225 ) (1,602 ) 416 (1,186 ) Other comprehensive (loss) income $ (879 ) $ 80 $ (799 ) $ (1,662 ) $ 416 $ (1,246 ) (1) Tax effects for the three months ended September 30, 2018 149 thousand arising from the revaluation of tax effects included in accumulated other comprehensive income at December 31, 2017. Nine Months Ended September 30, 2019 2018 (In thousands) Before-Tax Amount Tax Effect Net Amount Before-Tax Amount Tax Effect Net Amount Foreign currency translation adjustments $ (35 ) $ 0 $ (35 ) $ (1,622 ) $ 0 $ (1,622 ) Derivatives qualifying as cash flow hedges: Foreign exchange contracts: Net (losses) gains arising during the period 83 (22 ) 61 (2,010 ) 522 (1,488 ) Net (gains) losses reclassified into income (1) (214 ) 56 (158 ) (685 ) 328 (357 ) Net change in unrealized (losses) gains on foreign exchange contracts (131 ) 34 (97 ) (2,695 ) 850 (1,845 ) Net (loss) gain on cash flow hedges (131 ) 34 (97 ) (2,695 ) 850 (1,845 ) Other comprehensive (loss) income $ (166 ) $ 34 $ (132 ) $ (4,317 ) $ 850 $ (3,467 ) (1) Tax effects for the nine months ended September 30, 2018 149 thousand arising from the revaluation of tax effects included in accumulated other comprehensive income at December 31, 2017. |
Contingencies
Contingencies | 9 Months Ended |
Sep. 30, 2019 | |
Commitments And Contingencies Disclosure [Abstract] | |
Contingencies | 13. Contingencies In addition to commitments and obligations in the ordinary course of business, we are currently subject to various legal proceedings and claims that have not been fully adjudicated. We intend to vigorously defend ourselves, as appropriate, in these matters. No less than quarterly, we review the status of each significant matter and assess our potential financial exposure. We accrue a liability for an estimated loss if the potential loss from any legal proceeding or claim is considered probable and the amount can be reasonably estimated. Significant judgment is required in both the determination of probability and the determination as to whether the amount of an exposure is reasonably estimable, and accruals are based only on the information available to our management at the time the judgment is made. The outcome o f legal proceedings is inherently uncertain, and we may incur substantial defense costs and expenses defending any of these matters. In the opinion of our management, except as set forth below with respected to the expected resolution of the Practice Fusio n investigations, the ultimate disposition of pending legal proceedings or claims will not have a material adverse effect on our consolidated financial position, liquidity or results of operations. However, if one or more of these legal proceedings were re solved against or settled by us in a reporting period for amounts in excess of our management’s expectations, our consolidated financial statements for that and subsequent reporting periods could be materially adversely affected. Additionally, the resoluti on of a legal proceeding against us could prevent us from offering our products and services to current or prospective clients or cause us to incur increased compliance costs, either of which could further adversely affect our operating results. On May 1, 2012, Physicians Healthsource, Inc. filed a class action complaint in the U.S. District Court for the Northern District of Illinois against us. The complaint alleges that, on multiple occasions between July 2008 and December 2011, we or our agent sent advertisements by fax to the plaintiff and a class of similarly situated persons, without first receiving the recipients’ express permission or invitation in violation of the Telephone Consumer Protection Act, 47 U.S.C. § 227 (the “TCPA”). The plaintiff sought $500 for each alleged violation of the TCPA, treble damages if the Court finds the violations to be willful, knowing or intentional, and injunctive and other relief. Allscripts answered the complaint denying all material allegations and asserting a number of affirmative defenses, as well as counterclaims for breach of a license agreement. On March 31, 2016, plaintiff filed its motion for class certification. On May 31, 2016, we filed our opposition to plaintiff’s motion for class certification, and simultaneously moved for summary judgment on all of plaintiff’s claims. On June 2, 2017, an order was entered denying class certification and, accordingly, the case will not proceed on a class-wide basis. The Enterprise Information Solutions business (the “EIS Business”) acquired from McKesson Corporation (“McKesson”) on October 2, 2017 is subject to a May 2017 civil investigative demand (“CID”) from the U.S. Attorney’s Office for the Eastern District of New York. The CID requests documents and information related to the certification McKesson obtained for Horizon Clinicals in connection with the U.S. Department of Health and Human Services’ Electronic Health Record Incentive Program. In August 2018, McKesson received an additional CID seeking similar information for Paragon. McKesson has agreed, with respect to the CIDs, to indemnify Allscripts for amounts paid or payable to the government (or any private relator) involving any products or services marketed, sold or licensed by the EIS Business as of or prior to the closing of the acquisition. Practice Fusion, acquired by Allscripts on February 13, 2018, received in March 2017 a request for documents and information from the U.S. Attorney’s Office for the District of Vermont pursuant to a CID. Between April 2018 and June 2019, Practice Fusion received from the U.S. Department of Justice (the “DOJ”) seven additional requests for documents and information through four additional CIDs and three Health Insurance Portability and Accountability Act (“HIPAA”) subpoenas. The document and information requests received by Practice Fusion related to both the certification Practice Fusion obtained in connection with the U.S. Department of Health and Human Services’ Electronic Health Record Incentive Program and Practice Fusion’s compliance with the Anti-Kickback Statute (“AKS”) and HIPAA as it relates to certain business practices engaged in by Practice Fusion. In March 2019, Practice Fusion received a grand jury subpoena in connection with a criminal investigation related to Practice Fusion’s compliance with the AKS. On August 6, 2019, Practice Fusion reached an agreement in principle with the DOJ to resolve all of the DOJ’s outstanding civil and criminal investigations, including the investigation by the U.S. Attorney’s Office for the District of Vermont. The terms of this agreement in principle, which is subject to final negotiation of settlement documents with the government, contemplate that Practice Fusion will pay $145.0 million and enter into a deferred prosecution agreement and a civil settlement agreement. It is anticipated that the deferred prosecution agreement will resolve allegations that Practice Fusion, long before its acquisition by Allscripts and concerning conduct about which Allscripts was unaware at the time of the acquisition, violated the AKS through the manner by which a sponsored Clinical Decision Support arrangement was sold to an opioid manufacturer. The companion civil settlement agreement is expected to resolve other AKS allegations made by the DOJ against Practice Fusion as well as False Claims Act allegations pertaining to Meaningful Use payments the federal government made to users of Practice Fusion’s EHR system. Other non-financial terms and conditions remain subject to negotiation, and the terms described above may change following further negotiation. The agreement in principle and the final settlement materials are subject to approval of supervisory personnel within the DOJ. The proposed settlement amount is included in Other income (loss), net within the consolidated statements of operations and Accrued expenses within the consolidated balance sheets as of and for the nine months ended September 30, 2019. |
Discontinued Operations
Discontinued Operations | 9 Months Ended |
Sep. 30, 2019 | |
Discontinued Operations And Disposal Groups [Abstract] | |
Discontinued Operations | 14. Discontinued Operations Netsmart On December 31, 2018, we sold all of the Class A Common Units of Netsmart LLC, a Delaware limited liability company (“Netsmart”), held by the Company. Prior to the sale, Netsmart comprised a separate reportable segment, which due to its significance to our historical consolidated financial statements and results of operations, is reported as a discontinued operation due to the sale. The following table summarizes Netsmart’s major income and expense line items as reported in the consolidated statements of operations for the three and nine months ended September 30, 2018: Three Months Ended Nine Months Ended (In thousands) September 30, 2018 September 30, 2018 Major income and expense line items related to Netsmart: Revenue: Software delivery, support and maintenance $ 56,259 $ 157,393 Client services 33,590 96,773 Total revenue 89,849 254,166 Cost of revenue: Software delivery, support and maintenance 16,441 45,110 Client services 23,905 68,440 Amortization of software development and acquisition related assets 9,084 24,991 Total cost of revenue 49,430 138,541 Gross profit 40,419 115,625 Selling, general and administrative expenses 25,089 74,390 Research and development 6,715 17,753 Amortization of intangible and acquisition-related assets 6,391 17,580 Income from discontinued operations of Netsmart 2,224 5,902 Interest expense (16,092 ) (43,918 ) Other gain (loss) 11 (6 ) Loss from discontinued operations of Netsmart before income taxes (13,857 ) (38,022 ) Income tax benefit 2,152 8,938 Loss from discontinued operations, net of tax for Netsmart $ (11,705 ) $ (29,084 ) Horizon Clinicals and Series2000 Revenue Cycle Two of the product offerings (Horizon Clinicals and Series2000 Revenue Cycle) acquired with the business combination with the EIS Business were sunset after March 31, 2018. The decision to discontinue maintaining and supporting these solutions was made prior to our acquisition of the EIS Business and, therefore, are presented below as discontinued operations. Until the end of the first quarter of 2018, we were involved in ongoing maintenance and support for these solutions until customers have transitioned to other platforms. No disposal gains or losses were recognized during the 2018 fiscal year related to these discontinued operations. We had $0.9 million of accrued expenses associated with the Horizon Clinicals and Series2000 Revenue Cycle businesses on the consolidated balance sheets as of December 31, 2018. The following table summarizes the major classes of line items constituting income (loss) of the discontinued operations with the sunset businesses of Horizon Clinicals and Series2000 Revenue Cycle, as reported in the consolidated statements of operations for the three and nine months ended September 30, 2018: Three Months Ended Nine Months Ended (In thousands) September 30, 2018 September 30, 2018 Major classes of line items constituting pretax profit (loss) of discontinued operations for Horizon Clinicals and Series2000 Revenue Cycle: Revenue: Software delivery, support and maintenance $ 0 $ 9,441 Client services 0 404 Total revenue 0 9,845 Cost of revenue: Software delivery, support and maintenance 0 2,322 Client services 0 830 Total cost of revenue 0 3,152 Gross profit 0 6,693 Research and development 0 1,651 (Loss) income from discontinued operations for Horizon Clinicals and Series2000 Revenue Cycle before income taxes 0 5,042 Income tax benefit (provision) 0 (1,311 ) (Loss) income from discontinued operations, net of tax for Horizon Clinicals and Series2000 Revenue Cycle $ 0 $ 3,731 |
Business Segments
Business Segments | 9 Months Ended |
Sep. 30, 2019 | |
Segment Reporting [Abstract] | |
Business Segments | 15. Business Segments We primarily derive our revenues from sales of our proprietary software (either as a direct license sale or under a subscription delivery model), which also serves as the basis for our recurring service contracts for software support and maintenance and certain transaction-related services. In addition, we provide various other client services, including installation, and managed services such as outsourcing, private cloud hosting and revenue cycle management. During the first quarter of 2019, we realigned our reporting structure as a result of the divestiture of our investment in Netsmart on December 31, 2018, the evolution of the healthcare IT industry and our increased focus on the payer and life sciences market. As a result, we changed the presentation of our reportable segments to Provider and Veradigm. The new Provider segment is comprised of our core integrated clinical software applications, financial management and patient engagement solutions targeted at clients across the entire continuum of care. The new Veradigm segment primarily focuses on the payer and life sciences market. These changes to our reportable segments had no impact on operating segments. The segment disclosures below for the three and nine months ended September 30, 2018, have been revised to conform to the current year presentation. As of September 30, 2019, we had eight operating segments, which are aggregated into two reportable segments. The Provider reportable segment includes the Hospitals and Health Systems, Ambulatory, CarePort, FollowMyHealth ® TM Our Chief Operating Decision Maker (“CODM”) uses segment revenue s, gross profit and income from operations as measures of performance and to make decisions about the allocation of resources. In determining these performance measures, we do not include in revenue the amortization of acquisition-related deferred revenue adjustments, which reflect the fair value adjustments to deferred revenue acquired in a business combination. We also exclude the amortization of intangible assets, stock-based compensation expense, expenses not reflective of our core business and transact ion-related costs, and non-cash asset impairment charges from the operating segment data provided to our CODM. Expenses not reflective of our core business relate to certain severance, product consolidation, legal, consulting and other charges. Accordingly , these amounts are not included in our reportable segment results and are included in an “Unallocated Amounts” category within our segment disclosure. The “Unallocated Amounts” category also includes (i) corporate general and administrative expenses (incl uding marketing expenses) and certain research and development expenses related to common solutions and resources that benefit all of our business units, all of which are centrally managed, and (ii) revenue and the associated cost from the resale of certai n ancillary products, primarily hardware. We do not track our assets by segment. Three Months Ended September 30, Nine Months Ended September 30, (In thousands) 2019 2018 2019 2018 Revenue: Provider $ 396,679 $ 402,213 $ 1,194,976 $ 1,226,104 Veradigm 41,680 38,775 115,317 95,079 Unallocated Amounts 5,825 (8,558 ) 10,400 (13,567 ) Total revenue $ 444,184 $ 432,430 $ 1,320,693 $ 1,307,616 Gross profit: Provider $ 168,047 $ 175,393 $ 508,180 $ 545,223 Veradigm 25,655 27,669 75,203 66,112 Unallocated Amounts (18,400 ) (25,110 ) (49,864 ) (74,951 ) Total gross profit $ 175,302 $ 177,952 $ 533,519 $ 536,384 Income (loss) from operations: Provider $ 96,895 $ 101,130 $ 301,294 $ 308,071 Veradigm 8,975 12,850 29,525 26,163 Unallocated Amounts (102,688 ) (113,794 ) (320,249 ) (400,843 ) Total income (loss) from operations $ 3,182 $ 186 $ 10,570 $ (66,609 ) |
Supplemental Disclosures
Supplemental Disclosures | 9 Months Ended |
Sep. 30, 2019 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Supplemental Disclosures | 16. Supplemental Disclosures Supplemental Consolidated Statements of Cash Flows Information The majority of the restricted cash balance as of September 30, 2019 and 2018 represents the remaining balance of the escrow account established as part of the acquisition of Netsmart in 2016, to be used by Netsmart to facilitate the integration of Allscripts’ former Homecare TM September 30, (In thousands) 2019 2018 Reconciliation of cash, cash equivalents and restricted cash: Cash and cash equivalents $ 129,349 $ 90,738 Restricted cash 9,375 11,286 Total cash, cash equivalents and restricted cash $ 138,724 $ 102,024 Nine Months Ended September 30, (In thousands) 2019 2018 Supplemental non-cash information: Accretion of redemption preference on redeemable convertible non-controlling interest - discontinued operation $ 0 $ 36,446 Contribution of assets in exchange for equity interest $ 0 $ 4,000 Issuance of treasury stock to commercial partner $ 701 $ 1,121 |
Basis of Presentation and Sig_2
Basis of Presentation and Significant Accounting Policies (Policies) | 9 Months Ended |
Sep. 30, 2019 | |
Accounting Policies [Abstract] | |
Principles of Consolidation | Principles of Consolidation The consolidated financial statements include the accounts of Allscripts Healthcare Solutions, Inc. (“Allscripts”) and its wholly-owned subsidiaries and controlled affiliates. All significant intercompany balances and transactions have been eliminated. Each of the terms “we,” “us,” “our” or the “Company” as used herein refers collectively to Allscripts Healthcare Solutions, Inc. and its wholly-owned subsidiaries and controlled affiliates, unless otherwise stated. |
Unaudited Interim Financial Information | Unaudited Interim Financial Information The unaudited interim consolidated financial statements as of September 30, 2019 and for the three and nine months ended September 30, 2019 and 2018 have been prepared in accordance with the rules and regulations of the Securities and Exchange Commission (the “SEC”) for interim financial reporting. These interim consolidated financial statements are unaudited and, in the opinion of our management, include all adjustments, consisting of normal recurring adjustments and accruals, necessary Certain information and footnote disclosures normally included in annual financial statements prepared in accordance with GAAP have been condensed or omitted in accordance with the SEC's rules and regulations for interim reporting. The Company believes that the disclosures made are adequate to make these unaudited interim consolidated financial statements not misleading. They should be read in conjunction with the consolidated financial statements and related notes included in our Annual Report on Form 10-K for the year ended December 31, 2018 (our “Form 10-K”). |
Use of Estimates | Use of Estimates The preparation of consolidated financial statements in accordance with GAAP requires us to make estimates and assumptions that affect the amounts reported and disclosed in the consolidated financial statements and the accompanying notes. Actual results could differ materially from these estimates. |
Change in Presentation | Change in Presentation During the first quarter of 2019, we changed our reportable segments from Clinical and Financial Solutions, Population Health and Unallocated to Provider, Veradigm and Unallocated. The business units reported within the historical segments have been reallocated into the new segments. Refer to Note 15 “Business Segments” for further discussion on the impact of the change. |
Recently Adopted Accounting Pronouncements | Significant Accounting Policies We adopted Financial Accounting Standards Board (“FASB”) Accounting Standards Update No. 2016-02, “Leases (Topic 842)” (“ASU 2016-02”) on January 1, 2019 using the cumulative-effect adjustment transition method method requires us to recognize an adoption impact as a cumulative-effect adjustment to the January 1, 2019 retained earnings balance. tion. Recently Adopted Accounting Pronouncements In August 2017, the FASB issued Accounting Standards Update No. 2017-12, Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities” We adopted ASU 2017-12 on January 1, 2019, and the adoption did not have any effect on our consolidated financial statements. In June 2018, the FASB issued Accounting Standards Update No. 2018-07, “ Compensation-Stock Compensation (Topic 718): Improvements to Nonemployee Share-Based Payment Accounting |
Accounting Pronouncements Not Yet Adopted | Accounting Pronouncements Not Yet Adopted In August 2018, the FASB issued Accounting Standards Update No. 2018-13, “Fair Value Measurement (Topic 820) – Disclosure Framework – Changes to the Disclosure Requirements for Fair Value Measurement” In June 2016, the FASB issued Accounting Standards Update No. 2016-13, Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments” We do not believe that any other recently issued, but not yet effective accounting standards, if adopted, will have a material impact on our consolidated financial statements. |
Revenue Recognition | Revenue Recognition We recognize revenue only when we satisfy an identified performance obligation (or bundle of obligations) by transferring control of a promised product or service to a customer. We consider a product or service to be transferred when a customer obtains control because a customer has sole possession of the right to use (or the right to direct the use of) the product or service for the remainder of its economic life or to consume the product or service in its own operations. We evaluate the transfer of control primarily from the customer’s perspective as this reduces the risk that revenue is recognized for activities that do not transfer control to the customer. The majority of our revenue is recognized over time because a customer continuously and simultaneously receives and consumes the benefits of our performance. The exceptions to this pattern are our sales of perpetual and term software licenses, and hardware, where we determined that a customer obtains control of the asset upon granting of access, delivery or shipment. |
Revenue from Contracts with C_2
Revenue from Contracts with Customers (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Revenue Recognized Related To Various Performance Obligations And Elected Accounting Expedients | The breakdown of revenue recognized related based on the origination of performance obligations and elected accounting expedients is presented in the table below: (In thousands) Three Months Ended March 31, 2019 Three Months Ended June 30, 2019 Three Months Ended September 30, 2019 Revenue related to deferred revenue balance at beginning of period $ 126,184 $ 146,150 $ 151,543 Revenue related to new performance obligations satisfied during the period 248,221 233,696 228,927 Revenue recognized under "right-to-invoice" expedient 55,923 62,245 61,814 Reimbursed travel expenses, shipping and other revenue 1,721 2,369 1,900 Total revenue $ 432,049 $ 444,460 $ 444,184 (In thousands) Three Months Ended March 31, 2018 Three Months Ended June 30, 2018 Three Months Ended September 30, 2018 Revenue related to deferred revenue balance at beginning of period $ 181,398 $ 196,163 $ 153,151 Revenue related to new performance obligations satisfied during the period 200,232 180,001 225,641 Revenue recognized under "right-to-invoice" expedient 49,403 62,533 51,288 Reimbursed travel expenses, shipping and other revenue 2,689 2,767 2,350 Total revenue $ 433,722 $ 441,464 $ 432,430 |
Revenue by Segment [Member] | |
Summary of Revenue by Type and Nature of Revenue Stream by Reportable Segments | Three Months Ended September 30, 2019 (In thousands) Provider Veradigm Unallocated Total Software delivery, support and maintenance $ 241,516 $ 37,494 $ 5,363 $ 284,373 Client services 155,163 4,186 462 159,811 Total revenue $ 396,679 $ 41,680 $ 5,825 $ 444,184 Three Months Ended September 30, 2018 (In thousands) Provider Veradigm Unallocated Total Software delivery, support and maintenance $ 241,142 $ 35,686 $ (2,690 ) $ 274,138 Client services 161,071 3,089 (5,868 ) 158,292 Total revenue $ 402,213 $ 38,775 $ (8,558 ) $ 432,430 Nine Months Ended September 30, 2019 (In thousands) Provider Veradigm Unallocated Total Software delivery, support and maintenance $ 726,310 $ 108,987 $ 9,611 $ 844,908 Client services 468,666 6,330 789 475,785 Total revenue $ 1,194,976 $ 115,317 $ 10,400 $ 1,320,693 Nine Months Ended September 30, 2018 (In thousands) Provider Veradigm Unallocated Total Software delivery, support and maintenance $ 752,650 $ 89,908 $ (3,382 ) $ 839,176 Client services 473,454 5,171 (10,185 ) 468,440 Total revenue $ 1,226,104 $ 95,079 $ (13,567 ) $ 1,307,616 |
Recurring and Non-recurring Revenue [Member] | |
Summary of Revenue by Type and Nature of Revenue Stream by Reportable Segments | The below tables summarize revenue by type and nature of revenue stream as well as by our reportable segments: Three Months Ended September 30, Nine Months Ended September 30, (In thousands) 2019 2018 2019 2018 Revenue: Recurring revenue $ 349,455 $ 349,404 $ 1,048,204 $ 1,063,440 Non-recurring revenue 94,729 83,026 272,489 244,176 Total revenue $ 444,184 $ 432,430 $ 1,320,693 $ 1,307,616 |
Leases (Tables)
Leases (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Lessee Disclosure [Abstract] | |
Summary of Total Costs Associated with Leased Assets | Total costs associated with leased assets are as follows: (In thousands) Three Months Ended September 30, 2019 Nine Months Ended September 30, 2019 Operating lease cost (1) $ 7,113 $ 20,881 Less: Sublease income (824 ) (2,404 ) Total operating lease costs $ 6,289 $ 18,477 Finance lease costs: Amortization of right-of-use assets (2) $ 34 $ 122 Interest on lease liability (3) 2 6 Total finance lease costs $ 36 $ 128 (1) Operating lease costs are recognized on a straight-line basis and are included in Selling, general and administrative expenses within the consolidated statement of operations. (2) Amortization of finance right-of-use assets is recognized on a straight-line basis and is included in in Selling, general and administrative expenses within the consolidated statement of operations. (3) Interest on finance lease liabilities is recorded as Interest expense within the consolidated statement of operations . |
Supplemental Information for Operating and Finance Leases | Supplemental information for operating and finance leases is as follows: (In thousands) Nine Months Ended September 30, 2019 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 22,211 Operating cash flows from finance leases $ 6 Financing cash flows from finance leases $ 108 Right-of-use assets obtained in exchange for lease obligations: Operating leases $ 144,080 Finance leases $ 263 |
Summary of Balance Sheet Location and Balances for Operating and Finance Leases | The balance sheet location and balances for operating and finance leases are as follows: (In thousands, except lease term and discount rate) September 30, 2019 Operating leases: Right-of-use assets - operating leases $ 103,537 Current operating lease liabilities $ 24,451 Long-term operating lease liabilities $ 100,230 Finance leases: Fixed assets, gross $ 524 Accumulated depreciation 357 Fixed assets, net $ 167 Current finance lease liabilities (1) $ 127 Long-term finance lease liabilities (2) $ 57 Weighted average remaining lease term (in years) Operating leases 6 Finance leases 2 Weighted average discount rate Operating leases 4.3 % Finance leases 5.1 % (1) Current finance lease liabilities are included in Accrued expenses within the consolidated balance sheets. (2) Long-term finance lease liabilities are included in Other liabilities within the consolidated balance sheets. |
Summary of Future Maturities of Lease and Non-Lease Components | The future maturities of our leasing arrangements including lease and non-lease components are shown in the below table. The maturities are calculated using foreign currency exchange rates in effect as of September 30, 2019. September 30, 2019 (In thousands) Operating Leases Finance Leases Remainder of 2019 $ 7,824 $ 58 2020 27,923 85 2021 23,131 40 2022 21,630 7 2023 19,324 0 Thereafter 42,396 0 Total lease liabilities 142,228 190 Less: Amount representing interest (17,547 ) (6 ) Less: Short-term lease liabilities (24,451 ) (127 ) Total long-term lease liabilities $ 100,230 $ 57 |
Fair Value Measurements and L_2
Fair Value Measurements and Long-term Investments (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Fair Value Disclosures [Abstract] | |
Summary of Financial Assets and Liabilities Measured at Fair Value on Recurring Basis | The following table summarizes our financial assets and liabilities measured at fair value on a recurring basis as of the respective balance sheet dates: Balance Sheet September 30, 2019 December 31, 2018 (In thousands) Classifications Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total Foreign exchange derivative assets Prepaid expenses and other current assets $ 0 $ 131 $ 0 $ 131 $ 0 $ 262 $ 0 $ 262 1.25% Call Option Other assets 0 0 2,842 2,842 0 0 9,104 9,104 Total assets $ 0 $ 131 $ 2,842 $ 2,973 $ 0 $ 262 $ 9,104 $ 9,366 Contingent consideration - current Accrued expenses $ 0 $ 0 $ 22,541 $ 22,541 $ 0 $ 0 $ 10,528 $ 10,528 Contingent consideration - long-term Other liabilities 0 0 3,546 3,546 0 0 15,317 15,317 1.25% Embedded cash conversion option Other liabilities 0 0 3,619 3,619 0 0 9,974 9,974 Total liabilities $ 0 $ 0 $ 29,706 $ 29,706 $ 0 $ 0 $ 35,819 $ 35,819 |
Summary of Changes in Assets and Liabilities Measured at Fair Value on Recurring Basis | The changes in Level 3 assets and liabilities measured at fair value on a recurring basis at September 30, 2019 are summarized as follows: (In thousands) Contingent Consideration 1.25% Notes Call Spread Overlay Balance at December 31, 2018 $ 25,845 $ (870 ) Additions 11,791 0 Payments (11,500 ) 0 Fair value adjustments (49 ) 93 Balance at September 30, 2019 $ 26,087 $ (777 ) |
Summary of Long-term Equity Investments Included in Other Assets | The following table summarizes our long-term equity investments which are included in Other assets in the accompanying consolidated balance sheets: Number of Investees Original Carrying Value at (In thousands, except for number of investees) at September 30, 2019 Cost September 30, 2019 December 31, 2018 Equity method investments (1) 5 $ 7,407 $ 11,207 $ 10,667 Cost method and available-for-sale investments 9 43,874 34,158 25,923 Total long-term equity investments 14 $ 51,281 $ 45,365 $ 36,590 (1) |
Stockholders' Equity (Tables)
Stockholders' Equity (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Equity [Abstract] | |
Stock-Based Compensation Expense | Three Months Ended September 30, Nine Months Ended September 30, (In thousands) 2019 2018 2019 2018 Cost of revenue: Software delivery, support and maintenance $ 395 $ 498 $ 1,522 $ 1,538 Client services 765 1,031 3,021 3,537 Total cost of revenue 1,160 1,529 4,543 5,075 Selling, general and administrative expenses 5,643 6,208 20,799 17,672 Research and development 1,677 2,349 7,125 7,248 Total stock-based compensation expense $ 8,480 $ 10,086 $ 32,467 $ 29,995 |
Stock-Based Awards Granted | We granted stock-based awards as follows: Three Months Ended September 30, 2019 Nine Months Ended September 30, 2019 Weighted-Average Weighted-Average Grant Date Grant Date (In thousands, except per share amounts) Shares Fair Value Shares Fair Value Service-based restricted stock units 0 $ 0.00 3,973 $ 9.85 Market-based restricted stock units with a service condition 0 $ 0.00 700 $ 11.74 0 $ 0.00 4,673 $ 10.14 |
Earnings (Loss) Per Share (Tabl
Earnings (Loss) Per Share (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Earnings Per Share [Abstract] | |
Calculations of Earnings (Loss) Per Share | The calculations of earnings (loss) per share are as follows: Three Months Ended September 30, Nine Months Ended September 30, (In thousands, except per share amounts) 2019 2018 2019 2018 Basic earnings (loss) per Common Share: (Loss) income from continuing operations, net of tax $ (5,725 ) $ (12,141 ) $ (163,632 ) $ 47,264 Net loss attributable to non-controlling interests 0 4 424 3,494 Net (loss) income from continuing operations attributable to Allscripts Healthcare Solutions, Inc. stockholders $ (5,725 ) $ (12,137 ) $ (163,208 ) $ 50,758 Loss from discontinued operations, net of tax $ 0 $ (11,705 ) $ 0 $ (25,353 ) Accretion of redemption preference on redeemable convertible non-controlling interest - discontinued operations 0 (12,149 ) 0 (36,446 ) Net loss from discontinued operations attributable to Allscripts Healthcare Solutions, Inc. stockholders 0 (23,854 ) 0 (61,799 ) Net loss attributable to Allscripts Healthcare Solutions, Inc. stockholders $ (5,725 ) $ (35,991 ) $ (163,208 ) $ (11,041 ) Weighted-average common shares outstanding 166,391 174,638 167,610 176,942 Basic (loss) earnings from continuing operations per Common Share $ (0.03 ) $ (0.07 ) $ (0.97 ) $ 0.28 Basic loss from discontinued operations per Common Share 0.00 (0.13 ) 0.00 (0.34 ) Net (loss) income attributable to Allscripts Healthcare Solutions, Inc. stockholders per Common Share $ (0.03 ) $ (0.20 ) $ (0.97 ) $ (0.06 ) Diluted earnings (loss) per Common Share: (Loss) income from continuing operations, net of tax $ (5,725 ) $ (12,141 ) $ (163,632 ) $ 47,264 Net loss attributable to non-controlling interests 0 4 424 3,494 Net (loss) income from continuing operations attributable to Allscripts Healthcare Solutions, Inc. stockholders $ (5,725 ) $ (12,137 ) $ (163,208 ) $ 50,758 Loss from discontinued operations, net of tax $ 0 $ (11,705 ) $ 0 $ (25,353 ) Accretion of redemption preference on redeemable convertible non-controlling interest - discontinued operations 0 (12,149 ) 0 (36,446 ) Net loss from discontinued operations attributable to Allscripts Healthcare Solutions, Inc. stockholders 0 (23,854 ) 0 (61,799 ) Net (loss) income attributable to Allscripts Healthcare Solutions, Inc. stockholders $ (5,725 ) $ (35,991 ) $ (163,208 ) $ (11,041 ) Weighted-average common shares outstanding 166,391 174,638 167,610 176,942 Plus: Dilutive effect of stock options, restricted stock unit awards and warrants 0 0 0 0 Weighted-average common shares outstanding assuming dilution 166,391 174,638 167,610 176,942 Diluted (loss) earnings from continuing operations per Common Share $ (0.03 ) $ (0.07 ) $ (0.97 ) $ 0.28 Diluted loss from discontinued operations per Common Share 0.00 (0.13 ) 0.00 (0.34 ) Net (loss) income attributable to Allscripts Healthcare Solutions, Inc. stockholders per Common Share $ (0.03 ) $ (0.20 ) $ (0.97 ) $ (0.06 ) |
Anti-Dilutive Stock Options, Restricted Stock Unit Awards and Warrants Excluded from Computation of Diluted Earnings (Loss) Per Share | The following stock options, restricted stock unit awards and warrants are not included in the computation of diluted earnings (loss) per share as the effect of including such stock options, restricted stock unit awards and warrants in the computation would be anti-dilutive: Three Months Ended September 30, Nine Months Ended September 30, (In thousands) 2019 2018 2019 2018 Shares subject to anti-dilutive stock options, restricted stock unit awards and warrants excluded from calculation 27,969 24,191 27,350 24,688 |
Goodwill and Intangible Assets
Goodwill and Intangible Assets (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Goodwill and Intangible Assets | Goodwill and intangible assets consist of the following: September 30, 2019 December 31, 2018 Gross Gross Carrying Accumulated Intangible Carrying Accumulated Intangible (In thousands) Amount Amortization Assets, Net Amount Amortization Assets, Net Intangibles subject to amortization: Proprietary technology $ 546,078 $ (428,261 ) $ 117,817 $ 537,834 $ (401,093 ) $ 136,741 Customer contracts and relationships 710,853 (482,720 ) 228,133 704,808 (462,468 ) 242,340 Total $ 1,256,931 $ (910,981 ) $ 345,950 $ 1,242,642 $ (863,561 ) $ 379,081 Intangibles not subject to amortization: Registered trademarks $ 52,000 $ 52,000 Goodwill 1,387,088 1,373,744 Total $ 1,439,088 $ 1,425,744 |
Changes in Carrying Amount of Goodwill | Changes in the carrying amounts of goodwill by reportable segment for the nine months ended September 30, 2019 were as follows: (In thousands) Provider Veradigm Total Balance as of December 31, 2018 $ 1,254,284 $ 119,460 $ 1,373,744 Additions 0 13,707 13,707 Foreign exchange translation (363 ) 0 (363 ) Balance as of September 30, 2019 $ 1,253,921 $ 133,167 $ 1,387,088 |
Debt (Tables)
Debt (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Debt Instrument [Line Items] | |
Debt Outstanding Excluding Lease Obligations | Debt outstanding, excluding lease obligations, consists of the following: September 30, 2019 December 31, 2018 (In thousands) Principal Balance Unamortized Discount and Debt Issuance Costs Net Carrying Amount Principal Balance Unamortized Discount and Debt Issuance Costs Net Carrying Amount 1.25% Cash Convertible Senior Notes $ 345,000 $ 11,236 $ 333,764 $ 345,000 $ 22,112 $ 322,888 Senior Secured Credit Facility 585,000 5,628 579,372 350,000 6,038 343,962 Other debt 302 0 302 748 0 748 Total debt $ 930,302 $ 16,864 $ 913,438 $ 695,748 $ 28,150 $ 667,598 Less: Debt payable within one year 359,067 493 358,574 20,538 479 20,059 Total long-term debt, less current maturities $ 571,235 $ 16,371 $ 554,864 $ 675,210 $ 27,671 $ 647,539 |
Interest Expense | Interest expense consists of the following: Three Months Ended September 30, Nine Months Ended September 30, (In thousands) 2019 2018 2019 2018 Interest expense $ 6,741 $ 9,352 $ 19,404 $ 25,436 Amortization of discounts and debt issuance costs 4,098 3,899 12,043 11,489 Total interest expense $ 10,839 $ 13,251 $ 31,447 $ 36,925 |
Summary of Future Debt Payment Obligations | The following table summarizes future debt payment obligations as of September 30, 2019: (In thousands) Total Remainder of 2019 2020 2021 2022 2023 Thereafter 1.25% Cash Convertible Senior Notes (1) $ 345,000 $ 0 $ 345,000 $ 0 $ 0 $ 0 $ 0 Term Loan 335,000 5,000 27,500 30,000 37,500 235,000 0 Revolving Facility (2) 250,000 0 0 0 0 250,000 0 Other debt 302 302 0 0 0 0 0 Total debt $ 930,302 $ 5,302 $ 372,500 $ 30,000 $ 37,500 $ 485,000 $ 0 (1) (2) |
1.25% Notes [Member] | |
Debt Instrument [Line Items] | |
Interest Expense Related to 1.25% Notes | Interest expense related to 1.25% Notes, included in the table above, consists of the following: Three Months Ended September 30, Nine Months Ended September 30, (In thousands) 2019 2018 2019 2018 Coupon interest at 1.25% $ 1,078 $ 1,078 $ 3,234 $ 3,234 Amortization of discounts and debt issuance costs 3,685 3,509 10,876 10,358 Total interest expense related to the 1.25% Notes $ 4,763 $ 4,587 $ 14,110 $ 13,592 |
Income Taxes (Tables)
Income Taxes (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Income Tax Disclosure [Abstract] | |
Effective Tax Rates | Three Months Ended September 30, Nine Months Ended September 30, (In thousands) 2019 2018 2019 2018 (Loss) income from continuing operations before income taxes $ (6,490 ) $ (13,778 ) $ (162,992 ) $ 53,182 Income tax benefit (provision) $ 765 $ 1,637 $ (640 ) $ (5,918 ) Effective tax rate 11.8 % 11.9 % (0.4 %) 11.1 % |
Derivative Financial Instrume_2
Derivative Financial Instruments (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Derivative Instruments And Hedging Activities Disclosure [Abstract] | |
Fair Value and Balance Sheet Locations | The following tables provide information about the fair values of our derivative financial instruments as of the respective balance sheet dates: September 30, 2019 Asset Derivatives Liability Derivatives (In thousands) Balance Sheet Location Fair Value Balance Sheet Location Fair Value Derivatives qualifying as cash flow hedges: Foreign exchange contracts Prepaid expenses and other current assets $ 131 Accrued expenses $ 0 Derivatives not subject to hedge accounting: 1.25% Call Option Other assets 2,842 N/A 1.25% Embedded cash conversion option N/A Other liabilities 3,619 Total derivatives $ 2,973 $ 3,619 December 31, 2018 Asset Derivatives Liability Derivatives (In thousands) Balance Sheet Location Fair Value Balance Sheet Location Fair Value Derivatives qualifying as cash flow hedges: Foreign exchange contracts Prepaid expenses and other current assets $ 262 Accrued expenses $ 0 Derivatives not subject to hedge accounting: 1.25% Call Option Other assets 9,104 N/A 1.25% Embedded cash conversion option N/A Other liabilities 9,974 Total derivatives $ 9,366 $ 9,974 |
Derivatives Instruments Designated as Cash Flow Hedges | The following tables show the impact of derivative instruments designated as cash flow hedges on the consolidated statements of operations and the consolidated statements of comprehensive loss: Amount of Gain (Loss) Recognized in OCI Amount of Gain (Loss) Reclassified from AOCI into Income (In thousands) Three Months Ended September 30, 2019 Nine Months Ended September 30, 2019 Location of Gain (Loss) Reclassified from AOCI into Income Three Months Ended September 30, 2019 Nine Months Ended September 30, 2019 Foreign exchange contracts $ (257 ) $ 83 Cost of Revenue $ 16 $ 76 Selling, general and administrative expenses 12 53 Research and development $ 19 $ 85 Amount of Gain (Loss) Recognized in OCI Amount of Gain (Loss) Reclassified from AOCI into Income (In thousands) Three Months Ended September 30, 2018 Nine Months Ended September 30, 2018 Location of Gain (Loss) Reclassified from AOCI into Income Three Months Ended September 30, 2018 Nine Months Ended September 30, 2018 Foreign exchange contracts $ (1,803 ) $ (2,010 ) Cost of Revenue $ (74 ) $ 227 Selling, general and administrative expenses (50 ) 180 Research and development $ (77 ) $ 278 |
Net Impact of Changes in Fair Value of Call Option and Embedded Cash Conversion Option | The following table shows the net impact of the changes in fair values of the 1.25% Call Option and the 1.25% Notes’ embedded cash conversion option in the consolidated statements of operations: Three Months Ended September 30, Nine Months Ended September 30, (In thousands) 2019 2018 2019 2018 1.25% Call Option $ (3,567 ) $ 15,043 $ (6,262 ) $ (13,108 ) 1.25% Embedded cash conversion option 3,746 (15,503 ) 6,355 12,870 Net (loss) income included in other income, net $ 179 $ (460 ) $ 93 $ (238 ) |
Other Comprehensive Income (Tab
Other Comprehensive Income (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Equity [Abstract] | |
Components of Accumulated Other Comprehensive Loss | Changes in the balances of each component included in AOCI are presented in the tables below. All amounts are net of tax and exclude non-controlling interest. (In thousands) Foreign Currency Translation Adjustments Unrealized Net Gains on Foreign Exchange Contracts Total Balance as of December 31, 2018 (1) $ (5,584 ) $ 195 $ (5,389 ) Other comprehensive income (loss) before reclassifications (35 ) 61 26 Net (gains) losses reclassified from accumulated other comprehensive loss 0 (158 ) (158 ) Net other comprehensive loss (35 ) (97 ) (132 ) Balance as of September 30, 2019 (2) $ (5,619 ) $ 98 $ (5,521 ) (1) (2) (In thousands) Foreign Currency Translation Adjustments Unrealized Net Gains on Foreign Exchange Contracts Total Balance as of December 31, 2017 (1) $ (2,676 ) $ 691 $ (1,985 ) Other comprehensive income (loss) before reclassifications (1,622 ) (1,487 ) (3,109 ) Net (gains) losses reclassified from accumulated other comprehensive loss 0 (358 ) (358 ) Net other comprehensive income (1,622 ) (1,845 ) (3,467 ) Balance as of September 30, 2018 (2) $ (4,298 ) $ (1,154 ) $ (5,452 ) (1) (2) |
Income Tax Effects Related to Components of Other Comprehensive Income (Loss) | The following tables reflect the tax effects allocated to each component of other comprehensive income (loss) (“OCI”): Three Months Ended September 30, 2019 2018 (In thousands) Before-Tax Amount Tax Effect Net Amount Before-Tax Amount Tax Effect Net Amount Foreign currency translation adjustments $ (574 ) $ 0 $ (574 ) $ (60 ) $ 0 $ (60 ) Foreign exchange contracts: Net (losses) gains arising during the period (257 ) 67 (190 ) (1,803 ) 468 (1,335 ) Net losses (gains) reclassified into income (1) (48 ) 13 (35 ) 201 (52 ) 149 Net change in unrealized (losses) gains on foreign exchange contracts (305 ) 80 (225 ) (1,602 ) 416 (1,186 ) Net (loss) gain on cash flow hedges (305 ) 80 (225 ) (1,602 ) 416 (1,186 ) Other comprehensive (loss) income $ (879 ) $ 80 $ (799 ) $ (1,662 ) $ 416 $ (1,246 ) (1) Tax effects for the three months ended September 30, 2018 149 thousand arising from the revaluation of tax effects included in accumulated other comprehensive income at December 31, 2017. Nine Months Ended September 30, 2019 2018 (In thousands) Before-Tax Amount Tax Effect Net Amount Before-Tax Amount Tax Effect Net Amount Foreign currency translation adjustments $ (35 ) $ 0 $ (35 ) $ (1,622 ) $ 0 $ (1,622 ) Derivatives qualifying as cash flow hedges: Foreign exchange contracts: Net (losses) gains arising during the period 83 (22 ) 61 (2,010 ) 522 (1,488 ) Net (gains) losses reclassified into income (1) (214 ) 56 (158 ) (685 ) 328 (357 ) Net change in unrealized (losses) gains on foreign exchange contracts (131 ) 34 (97 ) (2,695 ) 850 (1,845 ) Net (loss) gain on cash flow hedges (131 ) 34 (97 ) (2,695 ) 850 (1,845 ) Other comprehensive (loss) income $ (166 ) $ 34 $ (132 ) $ (4,317 ) $ 850 $ (3,467 ) (1) Tax effects for the nine months ended September 30, 2018 149 thousand arising from the revaluation of tax effects included in accumulated other comprehensive income at December 31, 2017. |
Discontinued Operations (Tables
Discontinued Operations (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Netsmart [Member] | |
Summary of Discontinued Operations in Financial Statements | The following table summarizes Netsmart’s major income and expense line items as reported in the consolidated statements of operations for the three and nine months ended September 30, 2018: Three Months Ended Nine Months Ended (In thousands) September 30, 2018 September 30, 2018 Major income and expense line items related to Netsmart: Revenue: Software delivery, support and maintenance $ 56,259 $ 157,393 Client services 33,590 96,773 Total revenue 89,849 254,166 Cost of revenue: Software delivery, support and maintenance 16,441 45,110 Client services 23,905 68,440 Amortization of software development and acquisition related assets 9,084 24,991 Total cost of revenue 49,430 138,541 Gross profit 40,419 115,625 Selling, general and administrative expenses 25,089 74,390 Research and development 6,715 17,753 Amortization of intangible and acquisition-related assets 6,391 17,580 Income from discontinued operations of Netsmart 2,224 5,902 Interest expense (16,092 ) (43,918 ) Other gain (loss) 11 (6 ) Loss from discontinued operations of Netsmart before income taxes (13,857 ) (38,022 ) Income tax benefit 2,152 8,938 Loss from discontinued operations, net of tax for Netsmart $ (11,705 ) $ (29,084 ) |
Horizon Clinicals and Series2000 [Member] | |
Summary of Discontinued Operations in Financial Statements | The following table summarizes the major classes of line items constituting income (loss) of the discontinued operations with the sunset businesses of Horizon Clinicals and Series2000 Revenue Cycle, as reported in the consolidated statements of operations for the three and nine months ended September 30, 2018: Three Months Ended Nine Months Ended (In thousands) September 30, 2018 September 30, 2018 Major classes of line items constituting pretax profit (loss) of discontinued operations for Horizon Clinicals and Series2000 Revenue Cycle: Revenue: Software delivery, support and maintenance $ 0 $ 9,441 Client services 0 404 Total revenue 0 9,845 Cost of revenue: Software delivery, support and maintenance 0 2,322 Client services 0 830 Total cost of revenue 0 3,152 Gross profit 0 6,693 Research and development 0 1,651 (Loss) income from discontinued operations for Horizon Clinicals and Series2000 Revenue Cycle before income taxes 0 5,042 Income tax benefit (provision) 0 (1,311 ) (Loss) income from discontinued operations, net of tax for Horizon Clinicals and Series2000 Revenue Cycle $ 0 $ 3,731 |
Business Segments (Tables)
Business Segments (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Segment Reporting [Abstract] | |
Revenues and Income from Operations Related to Segment Within Reconciliation to Consolidated Amounts | Three Months Ended September 30, Nine Months Ended September 30, (In thousands) 2019 2018 2019 2018 Revenue: Provider $ 396,679 $ 402,213 $ 1,194,976 $ 1,226,104 Veradigm 41,680 38,775 115,317 95,079 Unallocated Amounts 5,825 (8,558 ) 10,400 (13,567 ) Total revenue $ 444,184 $ 432,430 $ 1,320,693 $ 1,307,616 Gross profit: Provider $ 168,047 $ 175,393 $ 508,180 $ 545,223 Veradigm 25,655 27,669 75,203 66,112 Unallocated Amounts (18,400 ) (25,110 ) (49,864 ) (74,951 ) Total gross profit $ 175,302 $ 177,952 $ 533,519 $ 536,384 Income (loss) from operations: Provider $ 96,895 $ 101,130 $ 301,294 $ 308,071 Veradigm 8,975 12,850 29,525 26,163 Unallocated Amounts (102,688 ) (113,794 ) (320,249 ) (400,843 ) Total income (loss) from operations $ 3,182 $ 186 $ 10,570 $ (66,609 ) |
Supplemental Disclosures (Table
Supplemental Disclosures (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Supplemental Disclosures | The majority of the restricted cash balance as of September 30, 2019 and 2018 represents the remaining balance of the escrow account established as part of the acquisition of Netsmart in 2016, to be used by Netsmart to facilitate the integration of Allscripts’ former Homecare TM September 30, (In thousands) 2019 2018 Reconciliation of cash, cash equivalents and restricted cash: Cash and cash equivalents $ 129,349 $ 90,738 Restricted cash 9,375 11,286 Total cash, cash equivalents and restricted cash $ 138,724 $ 102,024 Nine Months Ended September 30, (In thousands) 2019 2018 Supplemental non-cash information: Accretion of redemption preference on redeemable convertible non-controlling interest - discontinued operation $ 0 $ 36,446 Contribution of assets in exchange for equity interest $ 0 $ 4,000 Issuance of treasury stock to commercial partner $ 701 $ 1,121 |
Revenue from Contracts with C_3
Revenue from Contracts with Customers - Additional Information (Detail) $ in Millions | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2019USD ($) | Sep. 30, 2018USD ($) | Sep. 30, 2019USD ($)Revenue_Stream | Sep. 30, 2018USD ($) | Dec. 31, 2018USD ($) | |
Revenue Initial Application Period Cumulative Effect Transition [Line Items] | |||||
Number of primary revenue streams | Revenue_Stream | 2 | ||||
Total backlog | $ 3,900 | $ 3,900 | |||
Total backlog, percentage, year one | 38.00% | 38.00% | |||
Total backlog, percentage after year one | 62.00% | 62.00% | |||
Selling, General and Administrative Expenses [Member] | |||||
Revenue Initial Application Period Cumulative Effect Transition [Line Items] | |||||
Capitalized Contract Cost Amortization | $ 7.5 | $ 7.1 | $ 22.5 | $ 22.3 | |
Prepaid Expenses and Other Current Assets [Member] | |||||
Revenue Initial Application Period Cumulative Effect Transition [Line Items] | |||||
Capitalized Contract Cost, Gross | 20.9 | 20.9 | $ 24.7 | ||
Other Assets [Member] | |||||
Revenue Initial Application Period Cumulative Effect Transition [Line Items] | |||||
Capitalized Contract Cost, Gross | $ 32.2 | $ 32.2 | $ 33.8 |
Revenue from Contract with Cust
Revenue from Contract with Customer - Summary of Revenue Recognized Related to Various Performance Obligations and Elected accounting Expedients (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||||
Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Revenue From Contract With Customer [Abstract] | ||||||||
Revenue related to deferred revenue balance at beginning of period | $ 151,543 | $ 146,150 | $ 126,184 | $ 153,151 | $ 196,163 | $ 181,398 | ||
Revenue related to new performance obligations satisfied during the period | 228,927 | 233,696 | 248,221 | 225,641 | 180,001 | 200,232 | ||
Revenue recognized under "right-to-invoice" expedient | 61,814 | 62,245 | 55,923 | 51,288 | 62,533 | 49,403 | ||
Reimbursed travel expenses, shipping and other revenue | 1,900 | 2,369 | 1,721 | 2,350 | 2,767 | 2,689 | ||
Total revenue | $ 444,184 | $ 444,460 | $ 432,049 | $ 432,430 | $ 441,464 | $ 433,722 | $ 1,320,693 | $ 1,307,616 |
Revenue from Contracts with C_4
Revenue from Contracts with Customers - Summary of Revenue by Type and Nature of Revenue Stream by Reportable Segments (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||||
Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Disaggregation Of Revenue [Line Items] | ||||||||
Recurring revenue | $ 349,455 | $ 349,404 | $ 1,048,204 | $ 1,063,440 | ||||
Non-recurring revenue | 94,729 | 83,026 | 272,489 | 244,176 | ||||
Total revenue | 444,184 | $ 444,460 | $ 432,049 | 432,430 | $ 441,464 | $ 433,722 | 1,320,693 | 1,307,616 |
Unallocated [Member] | ||||||||
Disaggregation Of Revenue [Line Items] | ||||||||
Total revenue | 5,825 | (8,558) | 10,400 | (13,567) | ||||
Provider [Member] | Operating Segments [Member] | ||||||||
Disaggregation Of Revenue [Line Items] | ||||||||
Total revenue | 396,679 | 402,213 | 1,194,976 | 1,226,104 | ||||
Veradigm [Member] | Operating Segments [Member] | ||||||||
Disaggregation Of Revenue [Line Items] | ||||||||
Total revenue | 41,680 | 38,775 | 115,317 | 95,079 | ||||
Software delivery, Support and Maintenance [Member] | ||||||||
Disaggregation Of Revenue [Line Items] | ||||||||
Total revenue | 284,373 | 274,138 | 844,908 | 839,176 | ||||
Software delivery, Support and Maintenance [Member] | Unallocated [Member] | ||||||||
Disaggregation Of Revenue [Line Items] | ||||||||
Total revenue | 5,363 | (2,690) | 9,611 | (3,382) | ||||
Software delivery, Support and Maintenance [Member] | Provider [Member] | Operating Segments [Member] | ||||||||
Disaggregation Of Revenue [Line Items] | ||||||||
Total revenue | 241,516 | 241,142 | 726,310 | 752,650 | ||||
Software delivery, Support and Maintenance [Member] | Veradigm [Member] | Operating Segments [Member] | ||||||||
Disaggregation Of Revenue [Line Items] | ||||||||
Total revenue | 37,494 | 35,686 | 108,987 | 89,908 | ||||
Client services [Member] | ||||||||
Disaggregation Of Revenue [Line Items] | ||||||||
Total revenue | 159,811 | 158,292 | 475,785 | 468,440 | ||||
Client services [Member] | Unallocated [Member] | ||||||||
Disaggregation Of Revenue [Line Items] | ||||||||
Total revenue | 462 | (5,868) | 789 | (10,185) | ||||
Client services [Member] | Provider [Member] | Operating Segments [Member] | ||||||||
Disaggregation Of Revenue [Line Items] | ||||||||
Total revenue | 155,163 | 161,071 | 468,666 | 473,454 | ||||
Client services [Member] | Veradigm [Member] | Operating Segments [Member] | ||||||||
Disaggregation Of Revenue [Line Items] | ||||||||
Total revenue | $ 4,186 | $ 3,089 | $ 6,330 | $ 5,171 |
Leases - Additional Information
Leases - Additional Information (Detail) | 9 Months Ended |
Sep. 30, 2019 | |
Minimum [Member] | |
Lessee Lease Description [Line Items] | |
Operating leases, remaining lease terms | 1 year |
Finance leases, remaining lease terms | 1 year |
Maximum [Member] | |
Lessee Lease Description [Line Items] | |
Operating leases, remaining lease terms | 9 years |
Finance leases, remaining lease terms | 9 years |
Operating leases, options to extend leases term | 5 years |
Finance leases, options to extend leases term | 5 years |
Operating leases, options to terminate leases term | 1 year |
Finance leases, options to terminate leases term | 1 year |
Leases - Summary of Total Costs
Leases - Summary of Total Costs Associated with Leased Assets (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |
Sep. 30, 2019 | Sep. 30, 2019 | ||
Leases [Abstract] | |||
Operating lease cost | [1] | $ 7,113 | $ 20,881 |
Less: Sublease income | (824) | (2,404) | |
Total operating lease costs | 6,289 | 18,477 | |
Finance lease costs: | |||
Amortization of right-of-use assets | [2] | 34 | 122 |
Interest on lease liability | [3] | 2 | 6 |
Total finance lease costs | $ 36 | $ 128 | |
[1] | Operating lease costs are recognized on a straight-line basis and are included in Selling, general and administrative expenses within the consolidated statement of operations. | ||
[2] | Amortization of finance right-of-use assets is recognized on a straight-line basis and is included in in Selling, general and administrative expenses within the consolidated statement of operations. | ||
[3] | Interest on finance lease liabilities is recorded as Interest expense within the consolidated statement of operations . |
Leases - Supplemental Informati
Leases - Supplemental Information for Operating and Finance Leases (Detail) $ in Thousands | 9 Months Ended |
Sep. 30, 2019USD ($) | |
Cash paid for amounts included in the measurement of lease liabilities: | |
Operating cash flows from operating leases | $ 22,211 |
Operating cash flows from finance leases | 6 |
Financing cash flows from finance leases | 108 |
Right-of-use assets obtained in exchange for lease obligations: | |
Operating leases | 144,080 |
Finance leases | $ 263 |
Leases - Summary of Balance She
Leases - Summary of Balance Sheet Location and Balances for Operating and Finance Leases (Detail) - USD ($) $ in Thousands | Sep. 30, 2019 | Dec. 31, 2018 | |
Operating leases: | |||
Right-of-use assets - operating leases | $ 103,537 | $ 0 | |
Current operating lease liabilities | 24,451 | 0 | |
Long-term operating lease liabilities | 100,230 | 0 | |
Finance leases: | |||
Fixed assets, net | 96,813 | $ 121,913 | |
Current finance lease liabilities | [1] | $ 127 | |
Finance Lease, Liability, Current, Statement of Financial Position [Extensible List] | us-gaap:AccruedLiabilitiesCurrent | ||
Long-term finance lease liabilities | [2] | $ 57 | |
Finance Lease, Liability, Noncurrent, Statement of Financial Position [Extensible List] | us-gaap:OtherLiabilitiesNoncurrent | ||
Weighted average remaining lease term (in years) | |||
Operating leases | 6 years | ||
Finance leases | 2 years | ||
Weighted average discount rate | |||
Operating leases | 4.30% | ||
Finance leases | 5.10% | ||
Finance Leases [Member] | |||
Finance leases: | |||
Fixed assets, gross | $ 524 | ||
Accumulated depreciation | 357 | ||
Fixed assets, net | $ 167 | ||
[1] | Current finance lease liabilities are included in Accrued expenses within the consolidated balance sheets. | ||
[2] | Long-term finance lease liabilities are included in Other liabilities within the consolidated balance sheets. |
Leases - Summary of Future Matu
Leases - Summary of Future Maturities of Lease and Non-Lease Components (Detail) - USD ($) $ in Thousands | Sep. 30, 2019 | Dec. 31, 2018 | |
Operating Leases [Abstract] | |||
Operating Leases, Remainder of 2019 | $ 7,824 | ||
Operating Leases, 2020 | 27,923 | ||
Operating Leases, 2021 | 23,131 | ||
Operating Leases, 2022 | 21,630 | ||
Operating Leases, 2023 | 19,324 | ||
Operating Leases, Thereafter | 42,396 | ||
Operating Leases, Total lease liabilities | 142,228 | ||
Operating Leases, Less: Amount representing interest | (17,547) | ||
Operating Leases, Less: Short-term lease liabilities | (24,451) | $ 0 | |
Operating Leases, Total long-term lease liabilities | 100,230 | $ 0 | |
Finance Leases [Abstract] | |||
Finance Leases, Remainder of 2019 | 58 | ||
Finance Leases, 2020 | 85 | ||
Finance Leases, 2021 | 40 | ||
Finance Leases, 2022 | 7 | ||
Finance Leases, 2023 | 0 | ||
Finance Leases, Thereafter | 0 | ||
Finance Leases, Total lease liabilities | 190 | ||
Finance Leases, Less: Amount representing interest | (6) | ||
Finance Leases, Less: Short-term lease liabilities | [1] | (127) | |
Finance Leases, Total long-term lease liabilities | [2] | $ 57 | |
[1] | Current finance lease liabilities are included in Accrued expenses within the consolidated balance sheets. | ||
[2] | Long-term finance lease liabilities are included in Other liabilities within the consolidated balance sheets. |
Business Combinations - Additio
Business Combinations - Additional Information (Detail) - USD ($) | Jul. 02, 2019 | Mar. 01, 2019 | Jun. 15, 2018 |
Business Acquisition [Line Items] | |||
Acquisition of outstanding minority interest | $ 6,900,000 | ||
ACC Pinnacle and Diabetes Collaborative Registries [Member] | |||
Business Acquisition [Line Items] | |||
Total purchase price | $ 19,700,000 | ||
Purchase price initial payment | 11,700,000 | ||
Contingent consideration, fair value at time of closing | 5,000,000 | ||
ACC Pinnacle and Diabetes Collaborative Registries [Member] | Maximum [Member] | |||
Business Acquisition [Line Items] | |||
Potential milestone/earnout payments | $ 8,000,000 | ||
Pulse8, Inc. [Member] | |||
Business Acquisition [Line Items] | |||
Acquisition of outstanding minority interest | $ 53,800,000 | ||
Pulse8, Inc. [Member] | Maximum [Member] | |||
Business Acquisition [Line Items] | |||
Potential milestone/earnout payments | $ 10,000,000 |
Business Combinations - Other A
Business Combinations - Other Acquisitions and Divestiture - Additional Information (Detail) - USD ($) $ in Thousands | Jun. 15, 2018 | Apr. 02, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 |
Business Acquisition [Line Items] | ||||||
Acquisition of outstanding minority interest in third party | $ 6,900 | |||||
Pre-tax gain (loss) on sale of business | $ 0 | $ 0 | $ 0 | $ 172,258 | ||
One Content Business [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Date of divestiture | Apr. 2, 2018 | |||||
Total consideration paid | $ 260,000 | |||||
Pre-tax gain (loss) on sale of business | $ 177,900 |
Summary of Financial Assets and
Summary of Financial Assets and Liabilities Measured at Fair Value on Recurring Basis (Detail) - USD ($) $ in Thousands | Sep. 30, 2019 | Dec. 31, 2018 |
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Prepaid expenses and other current assets | $ 142,843 | $ 142,455 |
Total assets | 2,973 | 9,366 |
Total liabilities | 29,706 | 35,819 |
Foreign exchange derivative assets [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Prepaid expenses and other current assets | 131 | 262 |
Contingent Consideration Current [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Accrued expenses | 22,541 | 10,528 |
Contingent Consideration Long Term [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Other liabilities | 3,546 | 15,317 |
1.25% Notes Embedded Cash Conversion Option [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Other liabilities | 3,619 | 9,974 |
Level 1 [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total assets | 0 | 0 |
Total liabilities | 0 | 0 |
Level 1 [Member] | Foreign exchange derivative assets [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Prepaid expenses and other current assets | 0 | 0 |
Level 1 [Member] | Contingent Consideration Current [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Accrued expenses | 0 | 0 |
Level 1 [Member] | Contingent Consideration Long Term [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Other liabilities | 0 | 0 |
Level 1 [Member] | 1.25% Notes Embedded Cash Conversion Option [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Other liabilities | 0 | 0 |
Level 2 [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total assets | 131 | 262 |
Total liabilities | 0 | 0 |
Level 2 [Member] | Foreign exchange derivative assets [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Prepaid expenses and other current assets | 131 | 262 |
Level 2 [Member] | Contingent Consideration Current [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Accrued expenses | 0 | 0 |
Level 2 [Member] | Contingent Consideration Long Term [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Other liabilities | 0 | 0 |
Level 2 [Member] | 1.25% Notes Embedded Cash Conversion Option [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Other liabilities | 0 | 0 |
Level 3 [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total assets | 2,842 | 9,104 |
Total liabilities | 29,706 | 35,819 |
Level 3 [Member] | Foreign exchange derivative assets [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Prepaid expenses and other current assets | 0 | 0 |
Level 3 [Member] | Contingent Consideration Current [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Accrued expenses | 22,541 | 10,528 |
Level 3 [Member] | Contingent Consideration Long Term [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Other liabilities | 3,546 | 15,317 |
Level 3 [Member] | 1.25% Notes Embedded Cash Conversion Option [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Other liabilities | 3,619 | 9,974 |
1.25% Call Option [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Other assets | 2,842 | 9,104 |
1.25% Call Option [Member] | Level 1 [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Other assets | 0 | 0 |
1.25% Call Option [Member] | Level 2 [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Other assets | 0 | 0 |
1.25% Call Option [Member] | Level 3 [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Other assets | $ 2,842 | $ 9,104 |
Summary of Financial Assets a_2
Summary of Financial Assets and Liabilities Measured at Fair Value on Recurring Basis (Parenthetical) (Detail) | Sep. 30, 2019 |
1.25% Notes Embedded Cash Conversion Option [Member] | |
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |
Interest rate | 1.25% |
1.25% Call Option [Member] | |
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |
Interest rate | 1.25% |
Summary of Changes in Assets an
Summary of Changes in Assets and Liabilities Measured at Fair Value on Recurring Basis (Detail) $ in Thousands | 9 Months Ended |
Sep. 30, 2019USD ($) | |
Contingent Consideration [Member] | |
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |
Balance at December 31, 2018 | $ 25,845 |
Additions | 11,791 |
Payments | (11,500) |
Fair value adjustments | (49) |
Balance at September 30, 2019 | 26,087 |
1.25% Notes Call Spread Overlay [Member] | |
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Roll Forward] | |
Balance at December 31, 2018 | (870) |
Additions | 0 |
Payments | 0 |
Fair value adjustments | 93 |
Balance at September 30, 2019 | $ (777) |
Summary of Long-term Equity Inv
Summary of Long-term Equity Investments Included in Other Assets (Detail) $ in Thousands | 9 Months Ended | ||
Sep. 30, 2019USD ($)Investment | Dec. 31, 2018USD ($) | ||
Fair Value Disclosures [Abstract] | |||
Equity method investments, Number of Investees | Investment | [1] | 5 | |
Cost method and available-for-sale investments, Number of Investees | Investment | 9 | ||
Total long-term equity investments, Number of Investees | Investment | 14 | ||
Equity method investments, Original Cost | [1] | $ 7,407 | |
Cost method and available-for-sale investments, Original Cost | 43,874 | ||
Total long-term equity investments, Original Cost | 51,281 | ||
Equity method investments, Carrying Value | 11,207 | $ 10,667 | |
Cost method and available-for-sale investments, Carrying Value | 34,158 | 25,923 | |
Total long-term equity investments, Carrying Value | $ 45,365 | $ 36,590 | |
[1] |
Fair Value Measurements and L_3
Fair Value Measurements and Long-term Investments - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||||
Impairment recoveries | $ 1,000 | |||
Non-cash impairment charges of investments | $ 0 | $ 0 | $ (1,045) | $ 15,487 |
1.25% Cash Convertible Senior Notes [Member] | ||||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||||
Interest rate | 1.25% | 1.25% | ||
Other Assets [Member] | ||||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||||
Convertible note carrying value | $ 6,000 | $ 6,000 |
Stockholders' Equity - Addition
Stockholders' Equity - Additional Information (Detail) - USD ($) | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | Dec. 31, 2018 | Aug. 02, 2018 | Nov. 17, 2016 | |
Class Of Stock [Line Items] | |||||||
Capitalized stock-based compensation costs | $ 0 | $ 0 | $ 0 | $ 0 | |||
Stock options granted | 0 | 0 | 0 | 0 | |||
Share issued, exercise of options and release of stock awards | 1,500,000 | 1,600,000 | |||||
Shares settled for tax withholding | 658,000 | 629,000 | |||||
Common stock repurchased, amount | $ 102,160,000 | $ 101,905,000 | |||||
Repurchase of unsettled common stock | $ 9,301,000 | $ 0 | |||||
November 2016 Stock Repurchase Program [Member] | |||||||
Class Of Stock [Line Items] | |||||||
Stock repurchase program, authorized amount | $ 200,000,000 | ||||||
Common stock repurchased, shares | 0 | 7,700,000 | |||||
Common stock repurchased, amount | $ 101,900,000 | ||||||
August 2018 Stock Repurchase Program [Member] | |||||||
Class Of Stock [Line Items] | |||||||
Stock repurchase program, authorized amount | $ 250,000,000 | ||||||
Common stock repurchased, shares | 3,500,000 | 9,600,000 | |||||
Common stock repurchased, amount | $ 37,100,000 | $ 102,200,000 | |||||
Stock repurchase program, shares yet to be purchased | $ 111,100,000 | $ 111,100,000 | |||||
Repurchase of unsettled common stock, shares | 900,000 | ||||||
Repurchase of unsettled common stock | $ 9,300,000 | ||||||
Transaction settlement date | 2019-10 |
Stock-Based Compensation Expens
Stock-Based Compensation Expense (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Total stock-based compensation expense | $ 8,480 | $ 10,086 | $ 32,467 | $ 29,995 |
Cost of revenue [Member] | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Total stock-based compensation expense | 1,160 | 1,529 | 4,543 | 5,075 |
Cost of revenue [Member] | Software delivery, Support and Maintenance [Member] | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Total stock-based compensation expense | 395 | 498 | 1,522 | 1,538 |
Cost of revenue [Member] | Client services [Member] | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Total stock-based compensation expense | 765 | 1,031 | 3,021 | 3,537 |
Selling, General and Administrative Expenses [Member] | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Total stock-based compensation expense | 5,643 | 6,208 | 20,799 | 17,672 |
Research and development [Member] | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Total stock-based compensation expense | $ 1,677 | $ 2,349 | $ 7,125 | $ 7,248 |
Stock-Based Awards Granted (Det
Stock-Based Awards Granted (Detail) - $ / shares shares in Thousands | 3 Months Ended | 9 Months Ended |
Sep. 30, 2019 | Sep. 30, 2019 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Shares, granted | 0 | 4,673 |
Weighted-Average Grant Date Fair Value, granted | $ 0 | $ 10.14 |
Service-Based Restricted Stock Units [Member] | ||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Shares, granted | 0 | 3,973 |
Weighted-Average Grant Date Fair Value, granted | $ 0 | $ 9.85 |
Market-Based Restricted Stock Units with a Service Condition [Member] | ||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Shares, granted | 0 | 700 |
Weighted-Average Grant Date Fair Value, granted | $ 0 | $ 11.74 |
Calculations of Earnings (Loss)
Calculations of Earnings (Loss) Per Share (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Basic earnings (loss) per Common Share: | ||||
(Loss) income from continuing operations, net of tax | $ (5,725) | $ (12,141) | $ (163,632) | $ 47,264 |
Net loss attributable to non-controlling interests | 0 | 4 | 424 | 3,494 |
Net (loss) income from continuing operations attributable to Allscripts Healthcare Solutions, Inc. stockholders | (5,725) | (12,137) | (163,208) | 50,758 |
Less: Loss from discontinued operations | 0 | (11,705) | 0 | (25,353) |
Accretion of redemption preference on redeemable convertible non-controlling interest - discontinued operations | 0 | (12,149) | 0 | (36,446) |
Net loss from discontinued operations attributable to Allscripts Healthcare Solutions, Inc. stockholders | 0 | (23,854) | 0 | (61,799) |
Net loss attributable to Allscripts Healthcare Solutions, Inc. stockholders | $ (5,725) | $ (35,991) | $ (163,208) | $ (11,041) |
Weighted-average common shares outstanding | 166,391 | 174,638 | 167,610 | 176,942 |
Basic (loss) earnings from continuing operations per Common Share | $ (0.03) | $ (0.07) | $ (0.97) | $ 0.28 |
Basic loss from discontinued operations per Common Share | 0 | (0.13) | 0 | (0.34) |
Net loss attributable to Allscripts Healthcare Solutions, Inc. stockholders per share | $ (0.03) | $ (0.20) | $ (0.97) | $ (0.06) |
Diluted earnings (loss) per Common Share: | ||||
(Loss) income from continuing operations, net of tax | $ (5,725) | $ (12,141) | $ (163,632) | $ 47,264 |
Net loss attributable to non-controlling interests | 0 | 4 | 424 | 3,494 |
Net (loss) income from continuing operations attributable to Allscripts Healthcare Solutions, Inc. stockholders | (5,725) | (12,137) | (163,208) | 50,758 |
Loss from discontinued operations, net of tax | 0 | (11,705) | 0 | (25,353) |
Accretion of redemption preference on redeemable convertible non-controlling interest - discontinued operations | 0 | (12,149) | 0 | (36,446) |
Net loss from discontinued operations attributable to Allscripts Healthcare Solutions, Inc. stockholders | 0 | (23,854) | 0 | (61,799) |
Net (loss) income attributable to Allscripts Healthcare Solutions, Inc. stockholders | $ (5,725) | $ (35,991) | $ (163,208) | $ (11,041) |
Weighted-average common shares outstanding | 166,391 | 174,638 | 167,610 | 176,942 |
Plus: Dilutive effect of stock options, restricted stock unit awards and warrants | 0 | 0 | 0 | 0 |
Weighted-average common shares outstanding assuming dilution | 166,391 | 174,638 | 167,610 | 176,942 |
Diluted (loss) earnings from continuing operations per Common Share | $ (0.03) | $ (0.07) | $ (0.97) | $ 0.28 |
Diluted loss from discontinued operations per Common Share | 0 | (0.13) | 0 | (0.34) |
Net loss attributable to Allscripts Healthcare Solutions, Inc. stockholders per share | $ (0.03) | $ (0.20) | $ (0.97) | $ (0.06) |
Anti-Dilutive Stock Options, Re
Anti-Dilutive Stock Options, Restricted Stock Unit Awards and Warrants Excluded from Computation of Diluted Earnings (Loss) Per Share (Detail) - shares shares in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Earnings Per Share [Abstract] | ||||
Shares subject to anti-dilutive stock options, restricted stock unit awards and warrants excluded from calculation | 27,969 | 24,191 | 27,350 | 24,688 |
Goodwill and Intangible Asset_2
Goodwill and Intangible Assets (Detail) - USD ($) $ in Thousands | Sep. 30, 2019 | Dec. 31, 2018 |
Schedule Of Goodwill And Intangible Assets [Line Items] | ||
Gross Carrying Amount | $ 1,256,931 | $ 1,242,642 |
Accumulated Amortization | (910,981) | (863,561) |
Intangible Assets, Net | 345,950 | 379,081 |
Registered trademarks | 52,000 | 52,000 |
Goodwill | 1,387,088 | 1,373,744 |
Total | 1,439,088 | 1,425,744 |
Proprietary Technology [Member] | ||
Schedule Of Goodwill And Intangible Assets [Line Items] | ||
Gross Carrying Amount | 546,078 | 537,834 |
Accumulated Amortization | (428,261) | (401,093) |
Intangible Assets, Net | 117,817 | 136,741 |
Customer Contracts and Relationships [Member] | ||
Schedule Of Goodwill And Intangible Assets [Line Items] | ||
Gross Carrying Amount | 710,853 | 704,808 |
Accumulated Amortization | (482,720) | (462,468) |
Intangible Assets, Net | $ 228,133 | $ 242,340 |
Changes in Carrying Amount of G
Changes in Carrying Amount of Goodwill (Detail) $ in Thousands | 9 Months Ended |
Sep. 30, 2019USD ($) | |
Goodwill [Line Items] | |
Goodwill | $ 1,373,744 |
Additions | 13,707 |
Foreign exchange translation | (363) |
Goodwill, net | 1,387,088 |
Provider [Member] | |
Goodwill [Line Items] | |
Goodwill | 1,254,284 |
Additions | 0 |
Foreign exchange translation | (363) |
Goodwill, net | 1,253,921 |
Veradigm [Member] | |
Goodwill [Line Items] | |
Goodwill | 119,460 |
Additions | 13,707 |
Foreign exchange translation | 0 |
Goodwill, net | $ 133,167 |
Goodwill and Intangible Asset_3
Goodwill and Intangible Assets - Additional Information (Detail) - USD ($) $ in Millions | Sep. 30, 2019 | Dec. 31, 2018 |
Goodwill And Intangible Assets Disclosure [Abstract] | ||
Accumulated impairment losses associated with goodwill | $ 13.5 | $ 13.5 |
Debt Outstanding Excluding Leas
Debt Outstanding Excluding Lease Obligations (Detail) - USD ($) $ in Thousands | Sep. 30, 2019 | Dec. 31, 2018 | |
Debt Instrument [Line Items] | |||
Principal Balance | $ 930,302 | $ 695,748 | |
Unamortized Discount and Debt Issuance Costs | 16,864 | 28,150 | |
Net Carrying Amount | 913,438 | 667,598 | |
Principal Balance, Current | 359,067 | 20,538 | |
Unamortized Discount and Debt Issuance Costs, Current | 493 | 479 | |
Net Carrying Amount, Current | 358,574 | 20,059 | |
Principal Balance, Noncurrent | 571,235 | 675,210 | |
Unamortized Discount and Debt Issuance Costs, Noncurrent | 16,371 | 27,671 | |
Net Carrying Amount, Noncurrent | 554,864 | 647,539 | |
1.25% Cash Convertible Senior Notes [Member] | |||
Debt Instrument [Line Items] | |||
Principal Balance | 345,000 | [1] | 345,000 |
Unamortized Discount and Debt Issuance Costs | 11,236 | 22,112 | |
Net Carrying Amount | 333,764 | 322,888 | |
Senior Secured Credit Facility [Member] | |||
Debt Instrument [Line Items] | |||
Principal Balance | 585,000 | 350,000 | |
Unamortized Discount and Debt Issuance Costs | 5,628 | 6,038 | |
Net Carrying Amount | 579,372 | 343,962 | |
Other Debt [Member] | |||
Debt Instrument [Line Items] | |||
Principal Balance | 302 | 748 | |
Unamortized Discount and Debt Issuance Costs | 0 | 0 | |
Net Carrying Amount | $ 302 | $ 748 | |
[1] | Assumes no cash conversions of the 1.25% Notes prior to their maturity on July 1, 2020. |
Interest Expense (Detail)
Interest Expense (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Debt Instrument [Line Items] | ||||
Total interest expense | $ 10,839 | $ 13,251 | $ 31,447 | $ 36,925 |
Convertible Senior Notes and Senior Secured Credit Facility [Member] | ||||
Debt Instrument [Line Items] | ||||
Interest expense | 6,741 | 9,352 | 19,404 | 25,436 |
Amortization of discounts and debt issuance costs | 4,098 | 3,899 | 12,043 | 11,489 |
Total interest expense | $ 10,839 | $ 13,251 | $ 31,447 | $ 36,925 |
Interest Expense Related to 1.2
Interest Expense Related to 1.25% Notes (Detail) - 1.25% Notes [Member] - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Debt Instrument [Line Items] | ||||
Coupon interest at 1.25% | $ 1,078 | $ 1,078 | $ 3,234 | $ 3,234 |
Amortization of discounts and debt issuance costs | 3,685 | 3,509 | 10,876 | 10,358 |
Total interest expense related to the 1.25% Notes | $ 4,763 | $ 4,587 | $ 14,110 | $ 13,592 |
Debt - Additional Information (
Debt - Additional Information (Detail) - USD ($) | Aug. 07, 2019 | Feb. 15, 2018 | Sep. 30, 2019 | Dec. 31, 2018 | |
Debt Instrument [Line Items] | |||||
Debt instrument principal amount | $ 930,302,000 | $ 695,748,000 | |||
Senior Secured Term Loan [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt instrument principal amount | 335,000,000 | ||||
Senior Secured Revolving Facility [Member] | |||||
Debt Instrument [Line Items] | |||||
Credit facility, amount available | 649,000,000 | ||||
Senior Secured Credit Facility [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt instrument principal amount | 585,000,000 | 350,000,000 | |||
1.25% Cash Convertible Senior Notes [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt instrument principal amount | $ 345,000,000 | [1] | $ 345,000,000 | ||
Interest rate | 1.25% | ||||
Letter of Credit [Member] | |||||
Debt Instrument [Line Items] | |||||
Portion of facility available for issuance of letters of credit | $ 50,000,000 | ||||
Line of Credit [Member] | |||||
Debt Instrument [Line Items] | |||||
Portion of facility available for issuance of swingline loans | 10,000,000 | ||||
Senior Secured Revolving Facility [Member] | |||||
Debt Instrument [Line Items] | |||||
Credit facility, maximum borrowing capacity | $ 900,000,000 | ||||
Senior secured credit facilities term, years | 5 years | ||||
Credit facility, maximum borrowing capacity, foreign currencies | $ 100,000,000 | ||||
Senior Secured Term Loan [Member] | |||||
Debt Instrument [Line Items] | |||||
Credit facility, maximum borrowing capacity | $ 400,000,000 | ||||
Senior secured credit facilities term, years | 5 years | ||||
Line of credit facility, frequency of payments | The Term Loan is repayable in quarterly installments, which began on June 30, 2018. | ||||
Second Amended Credit Agreement [Member] | Senior Secured Term Loan [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt instrument principal amount | $ 335,000,000 | ||||
Second Amended Credit Agreement [Member] | Senior Secured Revolving Facility [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt instrument principal amount | $ 250,000,000 | ||||
Second Amended Credit Agreement [Member] | Senior Secured Revolving Facility [Member] | United States dollars [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt instrument, interest rate, effective percentage | 3.54% | ||||
Second Amended Credit Agreement [Member] | Senior Secured Revolving Facility [Member] | LIBOR Rate [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt instrument, variable interest rate | 1.50% | ||||
Second Amended Credit Agreement [Member] | Senior Secured Credit Facility [Member] | |||||
Debt Instrument [Line Items] | |||||
Letters of credit outstanding | $ 1,000,000 | ||||
Fees and other costs, incurred | $ 800,000 | ||||
[1] | Assumes no cash conversions of the 1.25% Notes prior to their maturity on July 1, 2020. |
Summary of Future Debt Payment
Summary of Future Debt Payment Obligations (Detail) - USD ($) $ in Thousands | Sep. 30, 2019 | Dec. 31, 2018 | ||
Debt Instrument [Line Items] | ||||
Total | $ 930,302 | $ 695,748 | ||
Remainder of 2019 | 5,302 | |||
2020 | 372,500 | |||
2021 | 30,000 | |||
2022 | 37,500 | |||
2023 | 485,000 | |||
Thereafter | 0 | |||
1.25% Cash Convertible Senior Notes [Member] | ||||
Debt Instrument [Line Items] | ||||
Total | 345,000 | [1] | 345,000 | |
Remainder of 2019 | [1] | 0 | ||
2020 | [1] | 345,000 | ||
2021 | [1] | 0 | ||
2022 | [1] | 0 | ||
2023 | [1] | 0 | ||
Thereafter | [1] | 0 | ||
Senior Secured Term Loan [Member] | ||||
Debt Instrument [Line Items] | ||||
Total | 335,000 | |||
Remainder of 2019 | 5,000 | |||
2020 | 27,500 | |||
2021 | 30,000 | |||
2022 | 37,500 | |||
2023 | 235,000 | |||
Thereafter | 0 | |||
Other Debt [Member] | ||||
Debt Instrument [Line Items] | ||||
Total | 302 | $ 748 | ||
Remainder of 2019 | 302 | |||
2020 | 0 | |||
2021 | 0 | |||
2022 | 0 | |||
2023 | 0 | |||
Thereafter | 0 | |||
Revolving Facility [Member] | ||||
Debt Instrument [Line Items] | ||||
Total | [2] | 250,000 | ||
Remainder of 2019 | [2] | 0 | ||
2020 | [2] | 0 | ||
2021 | [2] | 0 | ||
2022 | [2] | 0 | ||
2023 | [2] | 250,000 | ||
Thereafter | [2] | $ 0 | ||
[1] | Assumes no cash conversions of the 1.25% Notes prior to their maturity on July 1, 2020. | |||
[2] | Assumes no additional borrowings after September 30, 2019, payment of any required periodic installments of principal and that all drawn amounts are repaid upon maturity. |
Summary of Future Debt Payments
Summary of Future Debt Payments (Parenthetical) (Detail) | 9 Months Ended |
Sep. 30, 2019 | |
1.25% Cash Convertible Senior Notes [Member] | |
Debt Instrument [Line Items] | |
Maturity date | Jul. 1, 2020 |
Effective Tax Rates (Detail)
Effective Tax Rates (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Income Tax Disclosure [Abstract] | ||||
(Loss) income from continuing operations before income taxes | $ (6,490) | $ (13,778) | $ (162,992) | $ 53,182 |
Income tax benefit (provision) | $ 765 | $ 1,637 | $ (640) | $ (5,918) |
Effective tax rate | 11.80% | 11.90% | (0.40%) | 11.10% |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) $ in Millions | 3 Months Ended | ||
Sep. 30, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | |
Income Tax Disclosure [Abstract] | |||
Release of valuation allowance | $ 14.5 | ||
Cumulative operating income loss period considered | 3 years | ||
Unrecognized income tax benefits | $ 20.3 | $ 19.8 |
Fair Value and Balance Sheet Lo
Fair Value and Balance Sheet Locations - (Detail) - USD ($) $ in Thousands | Sep. 30, 2019 | Dec. 31, 2018 |
Derivatives Fair Value [Line Items] | ||
Derivative asset, fair value | $ 2,973 | $ 9,366 |
Derivative liability, fair value | 3,619 | 9,974 |
Designated as Hedging Instrument [Member] | Foreign Exchange Contract [Member] | Prepaid Expenses and Other Current Assets [Member] | ||
Derivatives Fair Value [Line Items] | ||
Derivative asset, fair value | 131 | 262 |
Designated as Hedging Instrument [Member] | Foreign Exchange Contract [Member] | Accrued expenses [Member] | ||
Derivatives Fair Value [Line Items] | ||
Derivative liability, fair value | 0 | 0 |
Not Designated as Hedging Instrument [Member] | 1.25% Call Option [Member] | Other Assets [Member] | ||
Derivatives Fair Value [Line Items] | ||
Derivative asset, fair value | 2,842 | 9,104 |
Not Designated as Hedging Instrument [Member] | 1.25% Embedded Cash Conversion Option [Member] | Other Liabilities [Member] | ||
Derivatives Fair Value [Line Items] | ||
Derivative liability, fair value | $ 3,619 | $ 9,974 |
Derivative Financial Instrume_3
Derivative Financial Instruments - Additional Information (Detail) | 9 Months Ended | ||
Sep. 30, 2019USD ($)Derivative | Sep. 30, 2019INR (₨)Derivative | Jun. 18, 2013USD ($) | |
1.25% Call Option [Member] | |||
Derivative [Line Items] | |||
Debt instrument interest rate | 1.25% | 1.25% | |
Foreign Exchange Forward Contracts [Member] | |||
Derivative [Line Items] | |||
Number of contracts | Derivative | 3 | 3 | |
Derivative notional amount outstanding | $ 2,300,000 | ₨ 160,000,000 | |
Unrealized derivatives gains included in other comprehensive (loss) income reclassified into income | $ 100,000 | ||
Estimated period of unrealized gains included in AOCI reclassified into income | 12 months | ||
1.25% Notes Embedded Cash Conversion Option [Member] | |||
Derivative [Line Items] | |||
Debt instrument interest rate | 1.25% | 1.25% | |
1.25% Notes Embedded Cash Conversion Option [Member] | Level 3 [Member] | Fair Value Measurements, Recurring [Member] | |||
Derivative [Line Items] | |||
Fair value liability of embedded cash conversion option | $ 82,800,000 | ||
Minimum [Member] | Foreign Exchange Forward Contracts [Member] | |||
Derivative [Line Items] | |||
Date of contracts mature | Oct. 31, 2019 | ||
Maximum [Member] | Foreign Exchange Forward Contracts [Member] | |||
Derivative [Line Items] | |||
Date of contracts mature | Dec. 31, 2019 |
Derivatives Instruments Designa
Derivatives Instruments Designated as Cash Flow Hedges - (Detail) - Cash Flow Hedging [Member] - Foreign Exchange Contract [Member] - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Derivative Instruments Gain Loss [Line Items] | ||||
Amount of Gain (Loss) Recognized in OCI | $ (257) | $ (1,803) | $ 83 | $ (2,010) |
Cost of revenue [Member] | ||||
Derivative Instruments Gain Loss [Line Items] | ||||
Amount of Gain (Loss) Reclassified from AOCI into Income | 16 | (74) | 76 | 227 |
Selling, General and Administrative Expenses [Member] | ||||
Derivative Instruments Gain Loss [Line Items] | ||||
Amount of Gain (Loss) Reclassified from AOCI into Income | 12 | (50) | 53 | 180 |
Research and development [Member] | ||||
Derivative Instruments Gain Loss [Line Items] | ||||
Amount of Gain (Loss) Reclassified from AOCI into Income | $ 19 | $ (77) | $ 85 | $ 278 |
Net Impact of Changes in Fair V
Net Impact of Changes in Fair Value of Call Option and Embedded Cash Conversion Option - (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Derivative Instruments Gain Loss [Line Items] | ||||
Net (loss) income included in other income, net | $ 179 | $ (460) | $ 93 | $ (238) |
1.25% Call Option [Member] | ||||
Derivative Instruments Gain Loss [Line Items] | ||||
Net (loss) income included in other income, net | (3,567) | 15,043 | (6,262) | (13,108) |
1.25% Notes Embedded Cash Conversion Option [Member] | ||||
Derivative Instruments Gain Loss [Line Items] | ||||
Net (loss) income included in other income, net | $ 3,746 | $ (15,503) | $ 6,355 | $ 12,870 |
Components of Accumulated Other
Components of Accumulated Other Comprehensive Loss (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Accumulated Other Comprehensive Income Loss [Line Items] | ||||
Balance at the beginning of the period | $ 1,551,113 | |||
Other comprehensive income (loss) before reclassifications | 26 | $ (3,109) | ||
Net (gains) losses reclassified from accumulated other comprehensive loss | (158) | (358) | ||
Total other comprehensive income (loss) | $ (799) | $ (1,246) | (132) | (3,467) |
Balance at the end of the period | 1,281,058 | 1,281,058 | ||
Foreign Currency Translation Adjustments [Member] | ||||
Accumulated Other Comprehensive Income Loss [Line Items] | ||||
Balance at the beginning of the period | (5,584) | (2,676) | ||
Other comprehensive income (loss) before reclassifications | (35) | (1,622) | ||
Net (gains) losses reclassified from accumulated other comprehensive loss | 0 | 0 | ||
Total other comprehensive income (loss) | (35) | (1,622) | ||
Balance at the end of the period | (5,619) | (4,298) | (5,619) | (4,298) |
Derivatives Qualifying as Cash Flow Hedges [Member] | Foreign Exchange Contract [Member] | ||||
Accumulated Other Comprehensive Income Loss [Line Items] | ||||
Balance at the beginning of the period | 195 | 691 | ||
Other comprehensive income (loss) before reclassifications | 61 | (1,487) | ||
Net (gains) losses reclassified from accumulated other comprehensive loss | (158) | (358) | ||
Total other comprehensive income (loss) | (97) | (1,845) | ||
Balance at the end of the period | 98 | (1,154) | 98 | (1,154) |
Accumulated Other Comprehensive Loss [Member] | ||||
Accumulated Other Comprehensive Income Loss [Line Items] | ||||
Balance at the beginning of the period | (5,389) | (1,985) | ||
Balance at the end of the period | $ (5,521) | $ (5,452) | $ (5,521) | $ (5,452) |
Components of Accumulated Oth_2
Components of Accumulated Other Comprehensive Loss (Parenthetical) (Detail) - Foreign Exchange Contract [Member] - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | Dec. 31, 2018 | Dec. 31, 2017 | |
Accumulated Other Comprehensive Income Loss [Line Items] | |||||
Unrealized net gains (losses), taxes (benefits) | $ (405) | $ (34) | $ (405) | $ 68 | $ 445 |
Revaluation of tax effects | $ 149 | $ 149 | $ 149 |
Income Tax Effects Related to C
Income Tax Effects Related to Components of Other Comprehensive Income (Loss) (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Accumulated Other Comprehensive Income Loss [Line Items] | ||||
Foreign currency translation adjustments, Before-Tax Amount | $ (574) | $ (60) | $ (35) | $ (1,622) |
Derivatives qualifying as cash flow hedges, net (loss) gain, Before-Tax Amount | (305) | (1,602) | (131) | (2,695) |
Other comprehensive (loss) income, Before-Tax Amount | (879) | (1,662) | (166) | (4,317) |
Foreign currency translation adjustments, Tax Effect | 0 | 0 | 0 | 0 |
Other comprehensive (loss) income, Tax Effect | 80 | 416 | 34 | 850 |
Foreign currency translation adjustments, Net | (574) | (60) | (35) | (1,622) |
Other comprehensive (loss) income, Net | (799) | (1,246) | (132) | (3,467) |
Derivatives Qualifying as Cash Flow Hedges [Member] | ||||
Accumulated Other Comprehensive Income Loss [Line Items] | ||||
Derivatives qualifying as cash flow hedges, net (loss) gain, Before-Tax Amount | (305) | (1,602) | (131) | (2,695) |
Derivatives qualifying as cash flow hedges, net losses (gains), Tax Effect | 80 | 416 | 34 | 850 |
Derivatives qualifying as cash flow hedges, net (loss) gain, Net | (225) | (1,186) | (97) | (1,845) |
Derivatives Qualifying as Cash Flow Hedges [Member] | Foreign Exchange Contract [Member] | ||||
Accumulated Other Comprehensive Income Loss [Line Items] | ||||
Derivatives qualifying as cash flow hedges, net (losses) gains arising during the period, Before-Tax Amount | (257) | (1,803) | 83 | (2,010) |
Derivatives qualifying as cash flow hedges, net losses (gains) reclassified into income, Before-Tax Amount | (48) | 201 | (214) | (685) |
Derivatives qualifying as cash flow hedges, net (loss) gain, Before-Tax Amount | (305) | (1,602) | (131) | (2,695) |
Derivatives qualifying as cash flow hedges, net (losses) gains arising during the period, Tax Effect | 67 | 468 | (22) | 522 |
Derivatives qualifying as cash flow hedges, net losses (gains) reclassified into income, Tax Effect | 13 | (52) | 56 | 328 |
Derivatives qualifying as cash flow hedges, net losses (gains), Tax Effect | 80 | 416 | 34 | 850 |
Derivatives qualifying as cash flow hedges, net (losses) gains arising during the period, Net | (190) | (1,335) | 61 | (1,488) |
Derivatives qualifying as cash flow hedges, net losses (gains) reclassified into income, Net | (35) | 149 | (158) | (357) |
Derivatives qualifying as cash flow hedges, net (loss) gain, Net | $ (225) | $ (1,186) | (97) | (1,845) |
Other comprehensive (loss) income, Net | $ (97) | $ (1,845) |
Income Tax Effects Related to_2
Income Tax Effects Related to Components of Other Comprehensive Income (Loss) (Parenthetical) (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |
Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Foreign Exchange Contract [Member] | |||
Accumulated Other Comprehensive Income Loss [Line Items] | |||
Revaluation of tax effects | $ 149 | $ 149 | $ 149 |
Contingencies - Additional Info
Contingencies - Additional Information (Detail) - USD ($) | Aug. 06, 2019 | May 01, 2012 |
Commitments And Contingencies Disclosure [Abstract] | ||
Plaintiff sought amount for each alleged violation | $ 500 | |
Expense subject to final settlement | $ 145,000,000 |
Summary of Major Income and Exp
Summary of Major Income and Expense Line Items Reported in Consolidated Statements of Operations (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Cost of revenue: | ||||
(Loss) income from discontinued operations before income taxes | $ 0 | $ (13,857) | $ 0 | $ (32,980) |
Income tax benefit (provision) | 0 | 2,152 | 0 | 7,627 |
Loss from discontinued operations, net of tax | $ 0 | (11,705) | $ 0 | (25,353) |
Netsmart [Member] | ||||
Revenue: | ||||
Total revenue | 89,849 | 254,166 | ||
Cost of revenue: | ||||
Total cost of revenue | 49,430 | 138,541 | ||
Amortization of software development and acquisition related assets | 9,084 | 24,991 | ||
Gross profit | 40,419 | 115,625 | ||
Selling, general and administrative expenses | 25,089 | 74,390 | ||
Research and development | 6,715 | 17,753 | ||
Amortization of intangible and acquisition-related assets | 6,391 | 17,580 | ||
Income from discontinued operations of Netsmart | 2,224 | 5,902 | ||
Interest expense | (16,092) | (43,918) | ||
Other gain (loss) | 11 | (6) | ||
(Loss) income from discontinued operations before income taxes | (13,857) | (38,022) | ||
Income tax benefit (provision) | 2,152 | 8,938 | ||
Loss from discontinued operations, net of tax | (11,705) | (29,084) | ||
Netsmart [Member] | Software delivery, Support and Maintenance [Member] | ||||
Revenue: | ||||
Total revenue | 56,259 | 157,393 | ||
Cost of revenue: | ||||
Total cost of revenue | 16,441 | 45,110 | ||
Netsmart [Member] | Client services [Member] | ||||
Revenue: | ||||
Total revenue | 33,590 | 96,773 | ||
Cost of revenue: | ||||
Total cost of revenue | $ 23,905 | $ 68,440 |
Discontinued Operations - Addit
Discontinued Operations - Additional Information (Detail) - Horizon Clinicals and Series2000 [Member] | 12 Months Ended |
Dec. 31, 2018USD ($) | |
Income Statement Balance Sheet And Additional Disclosures By Disposal Groups Including Discontinued Operations [Line Items] | |
Gain (Loss) on disposal of discontinued operations before tax | $ 0 |
Accrued expenses | $ 900,000 |
Summary of Major Classes of Lin
Summary of Major Classes of Line Items Constituting Income (Loss) of Discontinued Operations (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Cost of revenue: | ||||
(Loss) income from discontinued operations before income taxes | $ 0 | $ (13,857) | $ 0 | $ (32,980) |
Income tax benefit (provision) | 0 | 2,152 | 0 | 7,627 |
Loss from discontinued operations, net of tax | $ 0 | (11,705) | $ 0 | (25,353) |
Horizon Clinicals and Series2000 [Member] | ||||
Revenue: | ||||
Total revenue | 0 | 9,845 | ||
Cost of revenue: | ||||
Total cost of revenue | 0 | 3,152 | ||
Gross profit | 0 | 6,693 | ||
Research and development | 0 | 1,651 | ||
(Loss) income from discontinued operations before income taxes | 0 | 5,042 | ||
Income tax benefit (provision) | 0 | (1,311) | ||
Loss from discontinued operations, net of tax | 0 | 3,731 | ||
Horizon Clinicals and Series2000 [Member] | Software delivery, Support and Maintenance [Member] | ||||
Revenue: | ||||
Total revenue | 0 | 9,441 | ||
Cost of revenue: | ||||
Total cost of revenue | 0 | 2,322 | ||
Horizon Clinicals and Series2000 [Member] | Client services [Member] | ||||
Revenue: | ||||
Total revenue | 0 | 404 | ||
Cost of revenue: | ||||
Total cost of revenue | $ 0 | $ 830 |
Business Segments - Additional
Business Segments - Additional Information (Detail) | 9 Months Ended |
Sep. 30, 2019Segment | |
Segment Reporting [Abstract] | |
Number of reportable segments | 2 |
Number of operating segments | 8 |
Revenues and Income from Operat
Revenues and Income from Operations Related to Segment Within Reconciliation to Consolidated Amounts (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||||
Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Segment Reporting Information [Line Items] | ||||||||
Revenue | $ 444,184 | $ 444,460 | $ 432,049 | $ 432,430 | $ 441,464 | $ 433,722 | $ 1,320,693 | $ 1,307,616 |
Gross profit | 175,302 | 177,952 | 533,519 | 536,384 | ||||
Income (loss) from operations | 3,182 | 186 | 10,570 | (66,609) | ||||
Unallocated Amounts [Member] | ||||||||
Segment Reporting Information [Line Items] | ||||||||
Revenue | 5,825 | (8,558) | 10,400 | (13,567) | ||||
Gross profit | (18,400) | (25,110) | (49,864) | (74,951) | ||||
Income (loss) from operations | (102,688) | (113,794) | (320,249) | (400,843) | ||||
Provider [Member] | Operating Segments [Member] | ||||||||
Segment Reporting Information [Line Items] | ||||||||
Revenue | 396,679 | 402,213 | 1,194,976 | 1,226,104 | ||||
Gross profit | 168,047 | 175,393 | 508,180 | 545,223 | ||||
Income (loss) from operations | 96,895 | 101,130 | 301,294 | 308,071 | ||||
Veradigm [Member] | Operating Segments [Member] | ||||||||
Segment Reporting Information [Line Items] | ||||||||
Revenue | 41,680 | 38,775 | 115,317 | 95,079 | ||||
Gross profit | 25,655 | 27,669 | 75,203 | 66,112 | ||||
Income (loss) from operations | $ 8,975 | $ 12,850 | $ 29,525 | $ 26,163 |
Supplemental Disclosures (Detai
Supplemental Disclosures (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | Dec. 31, 2018 | |
Reconciliation of cash, cash equivalents and restricted cash: | |||||
Cash and cash equivalents | $ 129,349 | $ 90,738 | $ 129,349 | $ 90,738 | $ 174,243 |
Restricted cash | 9,375 | 11,286 | 9,375 | 11,286 | $ 10,552 |
Total cash, cash equivalents and restricted cash | 138,724 | 102,024 | 138,724 | 102,024 | |
Supplemental non-cash information: | |||||
Accretion of redemption preference on redeemable convertible non-controlling interest - discontinued operation | $ 0 | $ 12,149 | 0 | 36,446 | |
Contribution of assets in exchange for equity interest | 0 | 4,000 | |||
Issuance of treasury stock to commercial partner | 701 | 1,121 | |||
Netsmart [Member] | |||||
Supplemental non-cash information: | |||||
Accretion of redemption preference on redeemable convertible non-controlling interest - discontinued operation | $ 0 | $ 36,446 |