TruBridge (TBRG) 10-Q 7 Nov 22 2022 Q3 Quarterly report Financial data

Cover

Cover - shares	9 Months Ended
	Sep. 30, 2022	Nov. 02, 2022
Cover [Abstract]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Sep. 30, 2022
Document Transition Report	false
Entity File Number	000-49796
Entity Registrant Name	COMPUTER PROGRAMS AND SYSTEMS, INC
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	74-3032373
Entity Address, Address Line One	54 St. Emanuel Street
Entity Address, City or Town	Mobile
Entity Address, State or Province	AL
Entity Address, Postal Zip Code	36602
City Area Code	251
Local Phone Number	639-8100
Title of 12(b) Security	Common Stock, par value $.001 per share
Trading Symbol	CPSI
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		14,514,137
Document Fiscal Year Focus	2022
Document Fiscal Period Focus	Q3
Amendment Flag	false
Entity Central Index Key	0001169445
Current Fiscal Year End Date	--12-31

CONDENSED CONSOLIDATED BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Sep. 30, 2022	Dec. 31, 2021
Current assets:
Cash and cash equivalents	$ 15,558	$ 11,431
Accounts receivable (net of allowance for expected credit losses of $2,565 and $1,826, respectively)	45,627	34,431
Financing receivables, current portion, net (net of allowance for expected credit losses of $251 and $325, respectively)	5,028	6,488
Inventories	1,754	855
Prepaid income taxes	955	4,599
Prepaid expenses and other	11,890	11,194
Total current assets	80,812	68,998
Property and equipment, net	10,301	11,590
Software development costs, net	23,955	11,644
Operating lease assets	7,999	7,097
Financing receivables, net of current portion (net of allowance for expected credit losses of $376 and $397, respectively)	4,227	7,231
Other assets, net of current portion	5,631	3,874
Intangible assets, net	106,486	95,203
Goodwill	198,584	177,713
Total assets	437,995	383,350
Current liabilities:
Accounts payable	7,476	8,079
Current portion of long-term debt	3,141	4,394
Deferred revenue	12,255	11,529
Accrued vacation	6,350	5,262
Other accrued liabilities	16,181	17,163
Total current liabilities	45,403	46,427
Long-term debt, net of current portion	137,174	94,966
Operating lease liabilities, net of current portion	6,088	5,505
Deferred tax liabilities	16,372	13,880
Total liabilities	205,037	160,778
Stockholders’ equity:
Common stock, $0.001 par value; 30,000 shares authorized; 14,914 and 14,734 shares issued, respectively	15	15
Additional paid-in capital	192,363	187,079
Retained earnings	51,404	38,054
Treasury stock, 354 shares and 89 shares, respectively	(10,824)	(2,576)
Total stockholders’ equity	232,958	222,572
Total liabilities and stockholders’ equity	$ 437,995	$ 383,350

CONDENSED CONSOLIDATED BALANC_2

CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands	Sep. 30, 2022	Dec. 31, 2021
Statement of Financial Position [Abstract]
Accounts receivable, net of allowance for doubtful accounts	$ 2,565	$ 1,826
Financing receivable, allowance for credit loss, current	251	325
Financing receivable, allowance for credit loss, noncurrent	$ 376	$ 397
Common stock, par value (in dollars per share)	$ 0.001	$ 0.001
Common stock, shares authorized (in shares)	30,000,000	30,000,000
Common stock, shares issued (in shares)	14,914,000	14,734,000
Treasury stock, shares (in shares)	354,000	89,000

CONDENSED CONSOLIDATED STATEMEN

CONDENSED CONSOLIDATED STATEMENTS OF INCOME - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Sales revenues:
Total sales revenues	$ 82,827	$ 70,091	$ 243,424	$ 206,629
Costs of sales:
Total costs of sales	44,809	34,802	126,141	102,599
Gross profit	38,018	35,289	117,283	104,030
Operating expenses:
Product development	7,822	7,700	22,036	22,598
Sales and marketing	7,309	5,200	22,578	15,813
General and administrative	13,458	14,184	41,235	38,322
Amortization of acquisition-related intangibles	4,486	3,674	12,917	10,114
Total operating expenses	33,075	30,758	98,766	86,847
Operating income	4,943	4,531	18,517	17,183
Other income (expense):
Other income	355	123	914	1,160
Gain on contingent consideration	(589)	0	992	0
Loss on extinguishment of debt	0	0	(125)	0
Interest expense	(1,771)	(825)	(4,044)	(2,249)
Total other income (expense)	(2,005)	(702)	(2,263)	(1,089)
Income before taxes	2,938	3,829	16,254	16,094
Provision for income taxes	777	1,085	2,904	3,065
Net income	$ 2,161	$ 2,744	$ 13,350	$ 13,029
Net income per common share-basic (in dollars per share)	$ 0.15	$ 0.19	$ 0.91	$ 0.89
Net income per common share-diluted (in dollars per share)	$ 0.15	$ 0.19	$ 0.91	$ 0.89
Weighted average shares outstanding used in per common share computations:
Basic (in shares)	14,365	14,334	14,405	14,276
Diluted (in shares)	14,365	14,343	14,405	14,303
Dividends declared per common share (in dollars per share)	$ 0	$ 0	$ 0	$ 0
TruBridge
Sales revenues:
Total sales revenues	$ 47,878	$ 34,531	$ 139,569	$ 98,736
Costs of sales:
Total costs of sales	26,190	17,377	73,863	50,349
System sales and support
Sales revenues:
Total sales revenues	34,949	35,560	103,855	107,893
Costs of sales:
Total costs of sales	$ 18,619	$ 17,425	$ 52,278	$ 52,250

CONDENSED CONSOLIDATED STATEM_2

CONDENSED CONSOLIDATED STATEMENT OF STOCKHOLDERS’ EQUITY - USD ($) shares in Thousands, $ in Thousands	Total	Common Stock	Additional Paid-in-Capital	Retained Earnings	Treasury Stock
Beginning Balance (in shares) at Dec. 31, 2020		14,511
Beginning Balance at Dec. 31, 2020	$ 200,000	$ 15	$ 181,622	$ 19,624	$ (1,261)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	13,029			13,029
Issuance of restricted stock (in shares)		229
Forfeiture of common stock (in shares)		(6)
Stock-based compensation	4,179		4,179
Treasury stock acquired	(1,222)				(1,222)
Ending Balance (in shares) at Sep. 30, 2021		14,734
Ending Balance at Sep. 30, 2021	215,986	$ 15	185,801	32,653	(2,483)
Beginning Balance (in shares) at Jun. 30, 2021		14,734
Beginning Balance at Jun. 30, 2021	211,542	$ 15	184,101	29,909	(2,483)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	2,744			2,744
Stock-based compensation	1,700		1,700
Ending Balance (in shares) at Sep. 30, 2021		14,734
Ending Balance at Sep. 30, 2021	215,986	$ 15	185,801	32,653	(2,483)
Beginning Balance (in shares) at Dec. 31, 2021		14,734
Beginning Balance at Dec. 31, 2021	222,572	$ 15	187,079	38,054	(2,576)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	13,350			13,350
Issuance of restricted stock (in shares)		189
Forfeiture of common stock (in shares)		(9)
Stock-based compensation	5,284		5,284
Treasury stock acquired	(8,248)				(8,248)
Ending Balance (in shares) at Sep. 30, 2022		14,914
Ending Balance at Sep. 30, 2022	232,958	$ 15	192,363	51,404	(10,824)
Beginning Balance (in shares) at Jun. 30, 2022		14,897
Beginning Balance at Jun. 30, 2022	232,933	$ 15	190,499	49,243	(6,824)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	2,161			2,161
Issuance of restricted stock (in shares)		17
Stock-based compensation	1,864		1,864
Treasury stock acquired	(4,000)				(4,000)
Ending Balance (in shares) at Sep. 30, 2022		14,914
Ending Balance at Sep. 30, 2022	$ 232,958	$ 15	$ 192,363	$ 51,404	$ (10,824)

CONDENSED CONSOLIDATED STATEM_3

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Operating Activities:
Net income	$ 2,161	$ 2,744	$ 13,350	$ 13,029
Adjustments to net income:
Provision for credit losses			1,202	2,080
Deferred taxes			(3,073)	2,306
Stock-based compensation	1,864	1,700	5,284	4,179
Depreciation	622	525	1,890	1,641
Loss on extinguishment of debt	0	0	125	0
Amortization of acquisition-related intangibles	4,486	3,674	12,917	10,114
Amortization of software development costs	1,024	262	2,283	527
Amortization of deferred finance costs			242	220
Gain on contingent consideration	589	0	(992)	0
Loss on disposal of PP&E			0	313
Changes in operating assets and liabilities:
Accounts receivable			(6,877)	1,304
Financing receivables			4,598	5,962
Inventories			(899)	(67)
Prepaid expenses and other			(1,982)	(2,892)
Accounts payable			(988)	(2,723)
Deferred revenue			726	1,414
Other liabilities			(1,239)	(666)
Prepaid income taxes			3,644	(2,267)
Net cash provided by operating activities			30,211	34,474
Investing Activities:
Purchase of business, net of cash acquired			(43,696)	(59,634)
Investment in software development			(14,594)	(6,447)
Purchase of property and equipment			(134)	(915)
Net cash used in investing activities			(58,424)	(66,996)
Financing Activities:
Proceeds from long-term debt			575	0
Payments of long-term debt principal			(2,687)	(2,813)
Proceeds from revolving line of credit			48,000	61,000
Payments of revolving line of credit			(5,300)	(20,000)
Treasury stock purchases			(8,248)	(1,222)
Net cash provided by financing activities			32,340	36,965
Increase in cash and cash equivalents			4,127	4,443
Cash and cash equivalents at beginning of period			11,431	12,671
Cash and cash equivalents at end of period	$ 15,558	$ 17,114	15,558	17,114
Supplemental disclosure of cash flow information:
Cash paid for interest			3,677	1,979
Cash paid for income taxes, net of refund			$ 2,656	$ 3,116

BASIS OF PRESENTATION

BASIS OF PRESENTATION	9 Months Ended
	Sep. 30, 2022
Organization, Consolidation and Presentation of Financial Statements [Abstract]
BASIS OF PRESENTATION	BASIS OF PRESENTATION Basis of Presentation The accompanying unaudited condensed consolidated financial statements have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission (the "SEC") and include all adjustments that, in the opinion of management, are necessary for a fair presentation of the results of the periods presented. All such adjustments are considered of a normal recurring nature. Quarterly results of operations are not necessarily indicative of annual results. Certain footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America ("U.S. GAAP") have been condensed or omitted. The condensed consolidated balance sheet as of December 31, 2021 was derived from the audited consolidated balance sheet at that date. These unaudited condensed consolidated financial statements should be read in conjunction with the audited financial statements of Computer Programs and Systems, Inc. ("CPSI" or the "Company") for the year ended December 31, 2021 and the notes thereto contained in the Company’s Annual Report on Form 10-K for the year ended December 31, 2021. During the second quarter of 2021, we elected to change our method of estimating the labor costs incurred in developing software assets requiring capitalization under Accounting Standards Codification ("ASC") 350-40, Internal Use Software. Prior to this change, we estimated the associated labor costs using an estimated time-equivalent for workload metrics commonly utilized within agile software development environments. With this change, we now estimate these labor costs using the distribution of these agile workload metrics between capitalizable and non-capitalizable units of work. We believe this change is preferable as the new methodology better estimates capitalizable labor costs and is consistent with industry best practices. We have determined that this change is a change in accounting estimate effected by a change in accounting principle and, as such, has been accounted for on a prospective basis. See Note 6, “Software Development,” for further information. Principles of Consolidation The condensed consolidated financial statements of CPSI include the accounts of TruBridge, LLC ("TruBridge"), Evident, LLC ("Evident"), Healthland Holding Inc. ("HHI"), iNetXperts, Corp. d/b/a Get Real Health ("Get Real Health"), TruCode LLC ("TruCode"), and Healthcare Resource Group, Inc. ("HRG"), all of which are wholly-owned subsidiaries of CPSI. The accounts of HHI include those of its wholly-owned subsidiaries, Healthland Inc. ("Healthland"), Rycan Technologies, Inc. ("Rycan"), and American HealthTech, Inc. ("AHT"). All significant intercompany balances and transactions have been eliminated.

RECENT ACCOUNTING PRONOUNCEMENT

RECENT ACCOUNTING PRONOUNCEMENTS	9 Months Ended
	Sep. 30, 2022
Accounting Changes and Error Corrections [Abstract]
RECENT ACCOUNTING PRONOUNCEMENTS	RECENT ACCOUNTING PRONOUNCEMENTS New Accounting Standards Adopted in 2022 There were no new accounting standards required to be adopted in 2022 that would have a material impact on our consolidated financial statements. New Accounting Standards Yet to be Adopted We do not believe that any other recently issued but not yet effective accounting standards, if adopted, would have a material impact on our consolidated financial statements.

REVENUE RECOGNITION

REVENUE RECOGNITION	9 Months Ended
	Sep. 30, 2022
Accounting Policies [Abstract]
REVENUE RECOGNITION	REVENUE RECOGNITION Revenue is recognized upon transfer of control of promised products or services to clients in an amount that reflects the consideration we expect to receive in exchange for those products and services. We enter into contracts that can include various combinations of products and services, which are generally distinct and accounted for as separate performance obligations. The Company employs the 5-step revenue recognition model under ASC 606, Revenue from Contracts with Customers , to: (1) identify the contract with the client, (2) identify the performance obligations in the contract, (3) determine the transaction price, (4) allocate the transaction price to the performance obligations in the contract, and (5) recognize revenue when (or as) the entity satisfies a performance obligation. Revenue is recognized net of shipping charges and any taxes collected from clients, which are subsequently remitted to governmental authorities. TruBridge TruBridge provides an array of business processing services ("BPS") consisting of accounts receivable management, private pay services, insurance services, medical coding, electronic billing, statement processing, payroll processing, and contract management. Fees are recognized over the period of the client contractual relationship as the services are performed based on the stand-alone selling price ("SSP"), net of discounts. Fees for many of these services are invoiced, and revenue recognized accordingly, based on the volume of transactions or a percentage of client accounts receivable collections. Payment is due monthly for BPS with certain amounts varying based on utilization and/or volumes. TruBridge also provides professional IT services. Revenue from professional IT services is recognized as the services are performed based on SSP. Payment is due monthly as services are performed. Lastly, TruBridge also provides various revenue cycle optimization software solutions on a subscription or Software as a Service (“SaaS”) basis. Subscription revenue is recognized as a separate performance obligation ratably over the subscription term based on SSP, which is cost plus a reasonable margin. SaaS revenue is recognized as a separate performance obligation on a monthly basis as the SaaS service is provided to the client over the contract term. Payment is due monthly for subscriptions and SaaS services provided. System Sales and Support The Company enters into contractual obligations to sell perpetual software licenses, installation, conversion, training, hardware and software application support and hardware maintenance services to acute care community hospitals and post-acute care providers. Non-recurring Revenues • Perpetual software licenses, installation, conversion, and related training are not considered separate and distinct performance obligations due to the proprietary nature of our software and are, therefore, accounted for as a single performance obligation on a module-by-module basis. Revenue is recognized as each module's implementation is completed based on the module's SSP, net of discounts. Fees for licenses, installation, conversion, and related training are typically due in three installments: (1) at placement of order, (2) upon installation of software and commencement of training, and (3) upon satisfactory completion of monthly accounting cycle or end-of-month operation by application and as applicable for each application. Often, short-term and/or long-term financing arrangements are provided for software implementations; refer to Note 11 - Financing Receivables for further information. Electronic health records ("EHR") implementations include a system warranty that terminates thirty days from the software go-live date, the date on which the client begins using the system in a live environment. • Hardware revenue is recognized separately from software licenses at the point in time it is delivered to the client. The SSP of hardware is cost plus a reasonable margin. Payment is generally due upon delivery of the hardware to the client. Standard manufacturer warranties apply to hardware. Recurring Revenues • Software application support and hardware maintenance services sold with software licenses and hardware are separate and distinct performance obligations. Revenue for support and maintenance services is recognized based on SSP, which is the renewal price, ratably over the life of the contract, which is generally three • Subscriptions to third party content revenue is recognized as a separate performance obligation ratably over the subscription term based on SSP, which is cost plus a reasonable margin. Payment is due monthly for subscriptions to third party content. • SaaS arrangements for EHR software and related conversion and training services are considered a single performance obligation. Revenue is recognized on a monthly basis as the SaaS service is provided to the client over the contract term. Payment is due monthly for SaaS services provided. Refer to Note 17 - Segment Reporting, for further information, including revenue by client base (acute care or post-acute care) bifurcated by recurring and non-recurring revenue. Deferred Revenue Deferred revenue represents amounts invoiced to clients for which the services under contract have not been completed and revenue has not been recognized, including annual renewals of certain software subscriptions and customer deposits for implementations to be performed at a later date. Revenue is recognized ratably over the life of the software subscriptions as services are provided and at the point-in-time when implementations have been completed. The following table details deferred revenue for the nine months ended September 30, 2022 and 2021, included in the condensed consolidated balance sheets: (In thousands) Nine Months Ended September 30, 2022 Nine Months Ended September 30, 2021 Beginning balance $ 11,529 $ 8,130 Deferred revenue recorded 19,474 16,886 Deferred revenue acquired — 1,300 Less deferred revenue recognized as revenue (18,748) (15,472) Ending balance $ 12,255 $ 10,844 The deferred revenue recorded during the nine months ended September 30, 2022 is comprised primarily of the annual renewals of certain software subscriptions billed during the first quarter of each year and deposits collected for future EHR installations. The deferred revenue recognized as revenue during the nine months ended September 30, 2022 and 2021 is comprised primarily of the periodic recognition of annual renewals that were deferred until earned and deposits for future EHR installations that were deferred until earned. Costs to Obtain and Fulfill a Contract with a Customer Costs to obtain a contract include the commission costs related to SaaS licensing agreements, which are capitalized and amortized ratably over the expected life of the customer. As a practical expedient, we generally recognize the incremental costs of obtaining a contract as an expense when incurred if the amortization period of the asset would have been one year or less, with the exception of commissions generated from TruBridge sales. TruBridge commissions, which are paid up to twelve months in advance of services performed, are capitalized and amortized over the prepayment period. Costs to obtain a contract are expensed within sales and marketing expenses in the accompanying condensed consolidated statements of income. Contract fulfillment costs related to the implementation of SaaS arrangements are capitalized and amortized ratably over the expected life of the customer. Costs to fulfill contracts consist of the payroll costs for the implementation of SaaS arrangements, including time for training, conversion and installation that is necessary for the software to be utilized. Contract fulfillment costs are expensed within the caption "System sales and support - Cost of sales" in the accompanying condensed consolidated statements of income. Costs to obtain and fulfill contracts related to SaaS arrangements are included within the "Prepaid expenses and other" and "Other assets, net of current portion" line items on our condensed consolidated balance sheets. The following table details costs to obtain and fulfill contracts with customers for the nine months ended September 30, 2022 and 2021, included in the condensed consolidated balance sheets: (In thousands) Nine Months Ended September 30, 2022 Nine Months Ended September 30, 2021 Beginning balance $ 7,312 $ 5,992 Costs to obtain and fulfill contracts capitalized 7,460 4,719 Less costs to obtain and fulfill contracts recognized as expense (5,440) (4,441) Ending balance $ 9,332 $ 6,270 Remaining Performance Obligations Disclosures regarding remaining performance obligations are not considered material as the overwhelming majority of the Company's remaining performance obligations either (a) are related to contracts with an expected duration of one year or less, or (b) exhibit revenue recognition in the amount to which the Company has the right to invoice.

BUSINESS COMBINATION

BUSINESS COMBINATION	9 Months Ended
	Sep. 30, 2022
Business Combination and Asset Acquisition [Abstract]
BUSINESS COMBINATION	BUSINESS COMBINATION Acquisition of Healthcare Resource Group On March 1, 2022, we acquired all of the assets and liabilities of Healthcare Resource Group, Inc., a Washington corporation ("HRG"), pursuant to a Stock Purchase Agreement dated March 1, 2022. Based in Spokane, Washington, HRG is a leading provider of customized revenue cycle management ("RCM") solutions and consulting services that enable hospitals and clinics to improve efficiency, profitability, and patient satisfaction. Consideration for the acquisition included cash (net of cash of the acquired entity) of $43.9 million (inclusive of seller's transaction expenses). During 2022, we have incurred approximately $1.0 million of pre-tax acquisition costs in connection with the acquisition of HRG. Acquisition costs are included in general and administrative expenses in our consolidated statements of income. Our acquisition of HRG will be treated as a purchase in accordance with ASC 805, Business Combinations , which requires allocation of the purchase price to the estimated fair values of assets and liabilities acquired in the transaction. Our allocation of the purchase price is based on management's judgment after evaluating several factors, including a preliminary valuation assessment. The allocation is preliminary and subject to changes, which could be significant, as additional information becomes available and appraisals of intangible assets and deferred tax positions are finalized. The preliminary allocation of the purchase price paid for HRG as of September 30, 2022 was as follows: (In thousands) Purchase Price Allocation Acquired cash $ 3,989 Accounts receivable 5,655 Prepaid expenses 398 Property and equipment 467 Other assets 73 Intangible assets 24,200 Operating lease assets 1,315 Goodwill 21,081 Accounts payable and accrued liabilities (2,403) Deferred taxes, net (5,565) Operating lease liability (1,315) Net assets acquired $ 47,895 The intangible assets in the table above are being amortized on a straight-line basis over their estimated useful lives, which range from four The fair value measurements of tangible and intangible assets and liabilities were based on significant inputs not observable in the market and thus represent Level 3 measurements within the fair value measurement hierarchy (see Note 16 - Fair Value). Level 3 inputs included, among others, discount rates that we estimated would be used by a market participant in valuing these assets and liabilities, projections of revenues and cash flows, client attrition rates and market comparables. Our condensed consolidated statement of operations for the nine months ended September 30, 2022 includes revenues of approximately $24.5 million and pre-tax net income of approximately $5.8 million attributed to the acquired business since the March 1, 2022 acquisition date. The following unaudited pro forma revenue, net income and earnings per share amounts for the three and nine months ended September 30, 2022 give effect to the HRG acquisition as if it had been completed on January 1, 2021. The pro forma financial information is presented for illustrative purposes only and is not necessarily indicative of what the operating results actually would have been during the periods presented had the HRG acquisition been completed during the periods presented. In addition, the unaudited pro forma financial information does not purport to project future operating results. The pro forma information does not fully reflect: (1) any anticipated synergies (or costs to achieve synergies) or (2) the impact of non-recurring items directly related to the HRG acquisition. Three Months Ended Nine Months Ended (In thousands, except per share data) 2022 2021 2022 2021 Pro forma revenues $ 82,827 $ 78,395 $ 249,764 $ 231,049 Pro forma net income $ 2,285 $ 2,146 $ 13,973 $ 11,520 Pro forma diluted earnings per share $ 0.16 $ 0.15 $ 0.95 $ 0.78 Pro forma net income was calculated by adjusting the results for the applicable period to reflect the additional amortization that would have been charged assuming the fair value adjustments to intangible assets had been applied on January 1, 2021 and other miscellaneous, immaterial adjustments. Acquisition of TruCode On May 12, 2021, we acquired all of the assets and liabilities of TruCode LLC, a Virginia limited liability company (“TruCode”), pursuant to a Stock Purchase Agreement dated May 12, 2021. Based in Alpharetta, Georgia, TruCode provides configurable, knowledge-based software that gives coders, clinical documentation improvement specialists and auditors the flexibility to code according to their knowledge, preferences and experience. The cloud-based medical coding solution has been bundled with the TruBridge solutions and services to enhance revenue cycle performance for healthcare organizations of all sizes. Consideration for the acquisition included cash (net of cash of the acquired entity) of $59.9 million (inclusive of sellers' transaction expenses), plus a contingent earnout payment of up to $15.0 million tied to TruCode's earnings before interest, tax, depreciation, and amortization ("EBITDA") (subject to certain pro-forma adjustments) for the twelve-month period concluding on the anniversary date of the acquisition (the "earnout period"). As of September 30, 2022, $1.0 million of the original $2.5 million contingent consideration estimated in determining the purchase price was reversed as TruCode's earnings over the earnout period were less than estimated at the date of acquisition. During 2021, we incurred approximately $0.9 million of pre-tax acquisition costs in connection with the acquisition of TruCode. Acquisition costs are included in general and administrative expenses in our consolidated statements of income. Our acquisition of TruCode was treated as a purchase in accordance with ASC 805, Business Combinations , which requires allocation of the purchase price to the estimated fair values of assets and liabilities acquired in the transaction. Our allocation of the purchase price is based on management's judgment after evaluating several factors, including a valuation assessment. The allocation of the purchase price paid for TruCode was as follows: (In thousands) Purchase Price Allocation Acquired cash $ 4,249 Accounts receivable 924 Prepaid expenses 2 Intangible assets 37,300 Goodwill 27,287 Accounts payable and accrued liabilities (1,840) Contingent consideration (2,500) Deferred revenue (1,300) Net assets acquired $ 64,122 The intangible assets in the table above are being amortized on a straight-line basis over their estimated useful lives. The amortization is included in amortization of acquisition-related intangibles in our condensed consolidated statements of income.

PROPERTY AND EQUIPMENT

PROPERTY AND EQUIPMENT	9 Months Ended
	Sep. 30, 2022
Property, Plant and Equipment [Abstract]
PROPERTY AND EQUIPMENT	PROPERTY AND EQUIPMENT Property and equipment, net was comprised of the following at September 30, 2022 and December 31, 2021: (In thousands) September 30, December 31, 2021 Land $ 2,848 $ 2,848 Buildings and improvements 8,279 8,269 Computer equipment 8,133 7,868 Leasehold improvements 783 783 Office furniture and fixtures 1,008 682 Automobiles 18 18 Property and equipment, gross 21,069 20,468 Less: accumulated depreciation (10,768) (8,878) Property and equipment, net $ 10,301 $ 11,590

SOFTWARE DEVELOPMENT

SOFTWARE DEVELOPMENT	9 Months Ended
	Sep. 30, 2022
Research and Development [Abstract]
SOFTWARE DEVELOPMENT	SOFTWARE DEVELOPMENT Software development costs are accounted for in accordance with ASC 350-40, Internal-Use Software. We capitalize incurred labor costs for software development from the time the preliminary project phase is completed until the software is available for general release. Research and development costs and other computer software maintenance costs related to software development are expensed as incurred. We estimate the useful life of our capitalized software and amortize its value on a straight-line basis over that estimated life, which is estimated to be five years. If the actual life of the asset is deemed to be impaired, a write-down of the value of the asset may be recorded as a charge to earnings. Amortization begins when the related software features are placed in service. During the second quarter of 2021, our ongoing monitoring activities associated with the capitalization of software development costs and the related correlation between capitalization rates and operational metrics designed to reflect the distribution of work revealed that our then-current labor capitalization methodology did not fully reflect all of the critical activities necessary to develop software assets. Consequently, during the second quarter of 2021, we elected to change our method of estimating the labor costs incurred in developing software assets. Prior to this change, we estimated the associated labor costs using an estimated time-equivalent for workload metrics commonly utilized within agile software development environments. With this change, we now estimate these labor costs using the distribution of these agile workload metrics between capitalizable and non-capitalizable units of work. We believe this change is preferable as the new methodology better estimates capitalizable labor costs and is consistent with industry best practices. We have determined that this change in accounting for software development costs is a change in accounting estimate effected by a change in accounting principle and, as such, has been accounted for on a prospective basis. In connection with this change, we capitalized software development costs of $8.8 million during the year ended December 31, 2021. We estimate that the effect of this change was to increase capitalized amounts by approximately $4.6 million for the year ended December 31, 2021, with a corresponding decrease to product development costs. Software development costs, net was comprised of the following at September 30, 2022 and December 31, 2021: (In thousands) September 30, December 31, 2021 Software development costs $ 27,287 $ 12,693 Less: accumulated amortization (3,332) (1,049) Software development costs, net $ 23,955 $ 11,644

OTHER ACCRUED LIABILITIES

OTHER ACCRUED LIABILITIES	9 Months Ended
	Sep. 30, 2022
Payables and Accruals [Abstract]
OTHER ACCRUED LIABILITIES	OTHER ACCRUED LIABILITIES Other accrued liabilities was comprised of the following at September 30, 2022 and December 31, 2021: (In thousands) September 30, December 31, 2021 Salaries and benefits $ 8,857 $ 8,482 Severance 147 236 Commissions 1,001 1,158 Self-insurance reserves 1,450 1,409 Contingent consideration 1,508 2,500 Operating lease liabilities, current portion 2,051 1,592 Other 1,167 1,786 Other accrued liabilities $ 16,181 $ 17,163

NET INCOME PER SHARE

NET INCOME PER SHARE	9 Months Ended
	Sep. 30, 2022
Earnings Per Share [Abstract]
NET INCOME PER SHARE	NET INCOME PER SHARE The Company presents basic and diluted earnings per share ("EPS") data for its common stock. Basic EPS is calculated by dividing the net income attributable to stockholders of the Company by the weighted average number of shares of common stock outstanding during the period. Diluted EPS is determined by adjusting the net income attributable to stockholders of the Company and the weighted average number of shares of common stock outstanding during the period for the effects of all dilutive potential common shares, including awards under stock-based compensation arrangements. The Company's unvested restricted stock awards (see Note 10) are considered participating securities under ASC 260, Earnings Per Share , because they entitle holders to non-forfeitable rights to dividends until the awards vest or are forfeited. When a company has a security that qualifies as a "participating security," the Codification requires the use of the two-class method when computing basic EPS. The two-class method is an earnings allocation formula that determines EPS for each class of common stock and participating security according to dividends declared (or accumulated) and participation rights in undistributed earnings. In determining the amount of net income to allocate to common stockholders, income is allocated to both common stock and participating securities based on their respective weighted average shares outstanding for the period, with net income attributable to common stockholders ultimately equaling net income less net income attributable to participating securities. Diluted EPS for the Company's common stock is computed using the more dilutive of the two-class method or the treasury stock method. The following is a calculation of the basic and diluted EPS for the Company's common stock, including a reconciliation between net income and net income attributable to common stockholders: Three Months Ended September 30, Nine Months Ended September 30, (In thousands, except per share data) 2022 2021 2022 2021 Net income $ 2,161 $ 2,744 $ 13,350 $ 13,029 Less: Net income attributable to participating securities (42) (59) (261) (293) Net income attributable to common stockholders $ 2,119 $ 2,685 $ 13,089 $ 12,736 Weighted average shares outstanding used in basic per common share computations 14,365 14,334 14,405 14,276 Add: Dilutive potential common shares — 9 — 27 Weighted average shares outstanding used in diluted per common share computations 14,365 14,343 14,405 14,303 Basic EPS $ 0.15 $ 0.19 $ 0.91 $ 0.89 Diluted EPS $ 0.15 $ 0.19 $ 0.91 $ 0.89 During 2020, 2021, and 2022, performance share awards were granted to certain executive officers and key employees of the Company that will result in the issuance of common stock if the predefined performance criteria are met. The awards provide for an aggregate target of 279,374 shares, of which none have been included in the calculation of diluted EPS for the three or nine months ended September 30, 2022 because the related threshold award performance levels have not been achieved as of September 30, 2022. See Note 10 - Stock-Based Compensation and Equity for more information.

INCOME TAXES

INCOME TAXES	9 Months Ended
	Sep. 30, 2022
Income Tax Disclosure [Abstract]
INCOME TAXES	INCOME TAXES The Company determines the tax provision for interim periods using an estimate of our annual effective tax rate, adjusted for discrete items, if any, that are taken into account in the relevant period. Each quarter we update our estimate of the annual effective tax rate, and if our estimated tax rate changes, we make a cumulative adjustment. Our effective tax rate for the three months ended September 30, 2022 decreased to 26.4% from 28.3% for the three months ended September 30, 2021, resulting in an immaterial impact to income tax expense. Our effective tax rate for the nine months ended September 30, 2022 decreased slightly to 17.9% from 19.0% for the nine months ended September 30, 2021.

STOCK-BASED COMPENSATION AND EQ

STOCK-BASED COMPENSATION AND EQUITY	9 Months Ended
	Sep. 30, 2022
Share-Based Payment Arrangement [Abstract]
STOCK-BASED COMPENSATION AND EQUITY	STOCK-BASED COMPENSATION AND EQUITY Stock-based compensation expense is measured at the grant date based on the fair value of the award, and is recognized as an expense over the employee's or non-employee director's requisite service period. The following table details total stock-based compensation expense for the three and nine months ended September 30, 2022 and 2021, included in the condensed consolidated statements of income: Three Months Ended September 30, Nine Months Ended September 30, (In thousands) 2022 2021 2022 2021 Costs of sales $ 274 $ 311 $ 851 $ 793 Operating expenses 1,590 1,389 4,433 3,386 Pre-tax stock-based compensation expense 1,864 1,700 5,284 4,179 Less: income tax effect (410) (374) (1,162) (919) Net stock-based compensation expense $ 1,454 $ 1,326 $ 4,122 $ 3,260 The Company's stock-based compensation awards are in the form of restricted stock and performance share awards granted pursuant to the Company's Amended and Restated 2019 Incentive Plan (the "Plan"). As of September 30, 2022, th ere was $12.0 million of unrecognized compensation expense related to unvested and unearned stock-based compensation arrangements granted under the Plan, which is expected to be recognized over a weighted-average period of 2.0 years. Restricted Stock The Company grants restricted stock to executive officers, certain key employees and non-employee directors under the Plan with the fair value of the awards representing the fair value of the common stock on the date the restricted stock is granted. During the vesting period, recipients of restricted stock are entitled to dividends and posses voting rights. Shares of restricted stock generally vest in equal annual installments over the applicable vesting period, which ranges from one A summary of restricted stock activity under the Plan during the nine months ended September 30, 2022 and 2021 is as follows: Nine Months Ended September 30, 2022 Nine Months Ended September 30, 2021 Shares Weighted-Average Shares Weighted-Average Unvested restricted stock outstanding at beginning of period 314,883 $ 29.79 412,967 $ 28.87 Granted 161,375 34.22 153,700 31.22 Vested (181,405) 29.79 (245,455) 29.16 Forfeited (8,936) 31.60 (6,329) 29.10 Unvested restricted stock outstanding at end of period 285,917 $ 32.23 314,883 $ 29.79 Performance Share Awards The Company grants performance share awards to executive officers and certain key employees under the Plan, with the number of shares of common stock earned and issuable under each award determined at the end of a three-year performance period, based on the Company's achievement of performance goals predetermined by the Compensation Committee of the Board of Directors at the time of grant. These performance share awards include a modifier to the total number of shares earned based on the Company's total shareholder return ("TSR") compared to a small-cap stock market index. If certain levels of the performance objective are met, the award results in the issuance of shares of common stock corresponding to such level. Performance share awards that result in the issuance of shares of common stock are not subject to time-based vesting at the conclusion of the three-year performance period. In the event that the Company's financial performance meets the predetermined targets for the performance objectives of the performance share awards, the Company will issue each award recipient the number of shares of common stock equal to the target award specified in the individual's underlying performance share award agreement. In the event the financial results of the Company exceed the predetermined targets, additional shares up to the maximum award may be issued. In the event the financial results of the Company fall below the predetermined targets, a reduced number of shares may be issued. If the financial results of the Company fall below the threshold performance levels, no shares may be issued. The total number of shares issued for the performance share award may be increased, decreased, or unchanged based on the TSR modifier described above. The recipients of performance share awards do not receive dividends or possess voting rights during the performance period and, accordingly, the fair value of the performance share awards is the quoted market value of CPSI's common stock on the grant date less the present value of the expected dividends not received during the relevant period. The TSR modifier applicable to the performance share awards is considered a market condition and therefore is reflected in the grant date fair value of the award. A Monte Carlo simulation has been used to account for this market condition in the grant date fair value of the award. Expense related to performance share awards is recognized using ratable straight-line amortization over the three-year performance period. In the event the Company determines it is no longer probable that the minimum performance level will be achieved, all previously recognized compensation expense related to the applicable awards is reversed in the period such a determination is made. A summary of performance share award activity under the Plan during the nine months ended September 30, 2022 and 2021 is as follows, based on the target award amounts set forth in the performance share award agreements: Nine Months Ended September 30, 2022 Nine Months Ended September 30, 2021 Shares Weighted-Average Shares Weighted-Average Performance share awards outstanding at beginning of period 249,952 $ 29.59 252,852 $ 29.27 Granted 101,799 37.98 93,444 31.26 Forfeited or unearned (45,060) 31.70 (20,373) 29.92 Earned and issued (27,317) 31.75 (75,971) 30.50 Performance share awards outstanding at end of period 279,374 $ 32.09 249,952 $ 29.59 Stock Repurchases On September 4, 2020, our Board of Directors approved a stock repurchase program under which we were authorized to repurchase up to $30.0 million of our common stock through September 3, 2022. On July 27, 2022, the Board of Directors extended the expiration date of the stock repurchase program to September 4, 2024. We repurchased 212,299 shares during the nine months ended September 30, 2022 and 17,387 shares during the nine months ended September 30, 2021. The approximate dollar value of shares that may yet be repurchased under the stock repurchase program was $21.6 million as of September 30, 2022. Any future stock repurchase transactions may be made through open market purchases, privately-negotiated transactions, or otherwise in compliance with Rule 10b-18 under the Securities Exchange Act of 1934, as amended. Any repurchase activity will depend on many factors, such as the availability of shares of our common stock, general market conditions, the trading price of our common stock, alternative uses for capital, the Company’s financial performance, compliance with the terms of our Amended and Restated Credit Agreement and other factors. Concurrent with the authorization of this stock repurchase program in September 2020, the Board of Directors opted to indefinitely suspend all quarterly dividends. In addition to shares repurchased under the approved stock repurchase program, we purchased 52,905 shares during the nine months ended September 30, 2022 and 21,444 shares during the nine months ended September 30, 2021 to fund required tax withholdings related to the vesting of restricted stock. Shares withheld to cover required tax withholdings related to the vesting of restricted stock do not reduce our total share repurchase authority.

FINANCING RECEIVABLES

FINANCING RECEIVABLES	9 Months Ended
	Sep. 30, 2022
Receivables [Abstract]
FINANCING RECEIVABLES	FINANCING RECEIVABLES Short-Term Payment Plans The Company provides fixed monthly payment arrangements ("short-term payment plans") over terms ranging from three (In thousands) September 30, December 31, 2021 Short-term payment plans, gross $ 402 $ 121 Less: allowance for losses (20) (6) Short-term payment plans, net $ 382 $ 115 Long-Term Financing Arrangements Additionally, the Company provides financing for purchases of its information and patient care systems to certain healthcare providers under long-term financing arrangements expiring in various years through 2028. Under long-term financing arrangements, the transaction price is adjusted by a discount rate that reflects market conditions that would be used for a separate financing transaction between the Company and licensee at contract inception, and takes into account the credit characteristics of the licensee and market interest rates as of the date of the agreement. As such, the amount of fixed fee revenue recognized at the beginning of the license term will be reduced by the calculated financing component. As payments are received from the licensee, the Company recognizes a portion of the financing component as interest income, reported as other income in the condensed consolidated statements of income. These receivables typically have terms from two The decrease in long-term financing arrangement balances during the nine months ended September 30, 2022 is primarily a result of the continued evolution of customer licensing preferences. Although the overwhelming majority of our historical EHR installations prior to 2019 were made under a perpetual license model, the dramatic shift in customer preferences to a SaaS license model began during 2019 with 49% of the year's new acute care EHR installations being performed in a SaaS model, compared to only 12% in 2018. The shift in customer preference toward a SaaS model has since continued, with SaaS installations representing approximately 68% of new acute care EHR installations in 2020, 63% in 2021 and 100% in the first nine months of 2022. Due to the nature of the revenue recognition requirements for SaaS arrangements coupled with recurring monthly payments, these arrangements do not give rise to long-term financing arrangements. The components of these receivables were as follows at September 30, 2022 and December 31, 2021: (In thousands) September 30, December 31, 2021 Long-term financing arrangements, gross $ 10,291 $ 15,659 Less: allowance for expected credit losses (607) (716) Less: unearned income (811) (1,339) Long-term financing arrangements, net $ 8,873 $ 13,604 Future minimum payments to be received subsequent to September 30, 2022 are as follows: (In thousands) Years Ending December 31, 2022 $ 2,744 2023 4,146 2024 2,315 2025 948 2026 117 Thereafter 21 Total minimum payments to be received 10,291 Less: allowance for expected credit losses (607) Less: unearned income (811) Receivables, net $ 8,873 Credit Quality of Financing Receivables and Allowance for Expected Credit Losses The following table is a roll-forward of the allowance for expected credit losses for the nine months ended September 30, 2022 and year ended December 31, 2021: (In thousands) Balance at Beginning of Period Provision Charge-offs Recoveries Balance at End of Period September 30, 2022 $ 722 $ (133) $ 38 $ — $ 627 December 31, 2021 $ 1,489 $ 481 $ (1,248) $ — $ 722 The Company’s financing receivables are comprised of a single portfolio segment, as the balances are all derived from short-term payment plan arrangements and long-term financing arrangements within our target market of community hospitals. The Company evaluates the credit quality of its financing receivables based on a combination of factors, including, but not limited to, customer collection experience, current and future economic conditions, the customer’s financial condition, and known risk characteristics impacting the respective customer base of community hospitals, the most notable of which relate to enacted and potential changes in Medicare and Medicaid reimbursement rates as community hospitals typically generate a significant portion of their revenues and related cash flows from beneficiaries of these programs. In addition to specific account identification, the Company utilizes historical collection experience to establish the allowance for expected credit losses. Financing receivables are written off only after the Company has exhausted all collection efforts. Customer payments are considered past due if a scheduled payment is not received within contractually agreed upon terms. To facilitate customer collection and credit monitoring efforts, financing receivable amounts are invoiced and reclassified to trade accounts receivable when they become due, with all invoiced amounts placed on nonaccrual status. As a result, all past due amounts related to the Company’s financing receivables are included in trade accounts receivable in the accompanying condensed consolidated balance sheets. The following is an analysis of the age of financing receivables amounts (excluding short-term payment plans) that have been reclassified to trade accounts receivable and were past due as of September 30, 2022 and December 31, 2021: (In thousands) 1 to 90 Days Past Due 91 to 180 Days Past Due 181 + Days Past Due Total Past Due September 30, 2022 $ 1,052 $ 201 $ 270 $ 1,523 December 31, 2021 $ 713 $ 78 $ 73 $ 864 From time to time, the Company may agree to alternative payment terms outside of the terms of the original financing receivable agreement due to customer difficulties in achieving the original terms. In general, such alternative payment arrangements do not result in a re-aging of the related receivables. Rather, payments pursuant to any alternative payment arrangements are applied to the already outstanding invoices beginning with the oldest outstanding invoices as the payments are received. Because amounts are reclassified to trade accounts receivable when they become due, there are no past due amounts included within financing receivables, current portion, net or financing receivables, net of current portion in the accompanying condensed consolidated balance sheets. The Company utilizes an aging of trade accounts receivable as the primary credit quality indicator for its financing receivables, which is facilitated by the reclassification of customer payment amounts to trade accounts receivable when they become due. The table below categorizes customer financing receivable balances (excluding short-term payment plans) based on the age of the oldest payment outstanding that has been reclassified to trade accounts receivable: (In thousands) September 30, December 31, 2021 Stratification of uninvoiced client financing receivables based on aging of related trade accounts receivable: Uninvoiced client financing receivables related to trade accounts receivable that are 1 to 90 Days Past Due $ 4,985 $ 9,100 Uninvoiced client financing receivables related to trade accounts receivable that are 91 to 180 Days Past Due 2,237 329 Uninvoiced client financing receivables related to trade accounts receivable that are 181 + Days Past Due 867 386 Total uninvoiced client financing receivables balances of clients with a trade accounts receivable $ 8,089 $ 9,815 Total uninvoiced client financing receivables of clients with no related trade accounts receivable 1,391 4,505 Total financing receivables with contractual maturities of one year or less 402 121 Less: allowance for expected credit losses (627) (722) Total financing receivables $ 9,255 $ 13,719

INTANGIBLE ASSETS AND GOODWILL

INTANGIBLE ASSETS AND GOODWILL	9 Months Ended
	Sep. 30, 2022
Goodwill and Intangible Assets Disclosure [Abstract]
INTANGIBLE ASSETS AND GOODWILL	INTANGIBLE ASSETS AND GOODWILL Our purchased definite-lived intangible assets as of September 30, 2022 and December 31, 2021 are summarized as follows: September 30, 2022 (In thousands) Customer Relationships Trademark Developed Technology Non-Compete Agreements Total Gross carrying amount, beginning of period $ 112,570 $ 12,320 $ 37,600 $ — $ 162,490 Intangible assets acquired 19,600 — 3,200 1,400 24,200 Accumulated amortization (49,623) (5,851) (24,567) (163) (80,204) Net intangible assets as of September 30, 2022 $ 82,547 $ 6,469 $ 16,233 $ 1,237 $ 106,486 Weighted average remaining years of useful life 8 13 8 5 10 December 31, 2021 (In thousands) Customer Relationships Trademark Developed Technology Non-Compete Agreements Total Gross carrying amount, beginning of period $ 84,370 $ 11,120 $ 29,700 $ — $ 125,190 Intangible assets acquired 28,200 1,200 7,900 — 37,300 Accumulated amortization (41,738) (5,177) (20,372) — (67,287) Net intangible assets as of December 31, 2021 $ 70,832 $ 7,143 $ 17,228 $ — $ 95,203 The following table represents the remaining amortization of definite-lived intangible assets as of September 30, 2022: (In thousands) For the year ended December 31, 2022 $ 4,486 2023 16,058 2024 14,523 2025 14,208 2026 12,919 Thereafter 44,292 Total $ 106,486 The following table sets forth the change in the carrying amount of goodwill by segment for the nine months ended September 30, 2022: (In thousands) Acute Care EHR Post-acute Care EHR TruBridge Total Balance as of December 31, 2021 $ 97,095 $ 29,570 $ 51,048 $ 177,713 Goodwill acquired — — 20,871 20,871 Balance as of September 30, 2022 $ 97,095 $ 29,570 $ 71,919 $ 198,584

LONG-TERM DEBT

LONG-TERM DEBT	9 Months Ended
	Sep. 30, 2022
Debt Disclosure [Abstract]
LONG-TERM DEBT	LONG-TERM DEBT Long-term debt was comprised of the following at September 30, 2022 and December 31, 2021: (In thousands) September 30, December 31, 2021 Term loan facility $ 68,250 $ 69,375 Revolving credit facility 73,700 31,000 Debt obligations 141,950 100,375 Less: unamortized debt issuance costs (1,635) (1,015) Debt obligation, net 140,315 99,360 Less: current portion (3,141) (4,394) Long-term debt $ 137,174 $ 94,966 As of September 30, 2022, the carrying value of debt approximated the fair value due to the variable interest rate, which reflected the market rate. Credit Agreement In conjunction with our acquisition of HHI in January 2016, we entered into a syndicated credit agreement with Regions Bank ("Regions") serving as administrative agent, which provided for a $125 million term loan facility and a $50 million revolving credit facility. On June 16, 2020, we entered into an Amended and Restated Credit Agreement that increased the aggregate principal amount of our credit facilities to $185 million, including a $75 million term loan facility and a $110 million revolving credit facility. On May 2, 2022, we entered into a First Amendment (the "First Amendment") to the Amended and Restated Credit Agreement, that increased the aggregate principal amount of our credit facilities to $230 million, which includes a $70 million term loan facility and a $160 million revolving credit facility. In addition, the interest rate provisions of the First Amendment reflect the transition from the London Interbank Offered Rate (" LIBOR") to the Secured Overnight Financing Rate ("SOFR") as the new benchmark interest rate for each loan. Each of our credit facilities continues to bear interest at a rate per annum equal to an applicable margin plus, at our option, either (1) the Adjusted SOFR rate for the relevant interest period, subject to a floor of 0.50%, (2) an alternate base rate determined by reference to the greater of (a) the prime lending rate of Regions, (b) the federal funds rate for the relevant interest period plus one half of one percent per annum and (c) the one month SOFR rate, subject to the aforementioned floor, plus one percent per annum, or (3) a combination of (1) and (2). The applicable margin range for SOFR loans and the letter of credit fee ranges from 1.8% to 3.0%. The applicable margin range for base rate loans ranges from 0.8% to 2.0%, in each case based on the Company's consolidated net leverage ratio. Principal payments with respect to the term loan facility are due on the last day of each fiscal quarter beginning June 30, 2022, with quarterly principal payments of approximately $0.9 million through March 31, 2027, with maturity on May 2, 2027 or such earlier date as the obligations under the Amended and Restated Credit Agreement as amended by the First Amendment become due and payable pursuant to the terms of such agreement. Any principal outstanding under the revolving credit facility is due and payable on the maturity date. Anticipated annual future maturities of the term loan facility and revolving credit facility are as follows as of September 30, 2022: (In thousands) 2022 $ 875 2023 3,500 2024 3,500 2025 3,500 2026 3,500 Thereafter 127,075 $ 141,950 Our credit facilities are secured pursuant to the Amended and Restated Credit Agreement, dated as of June 16, 2020, among the parties identified as obligors therein and Regions, as collateral agent, on a first priority basis by a security interest in substantially all of the tangible and intangible assets (subject to certain exceptions) of the Company and certain subsidiaries of the Company, as guarantors (collectively, the “Subsidiary Guarantors”), including certain registered intellectual property and the capital stock of certain of the Company’s direct and indirect subsidiaries. Our obligations under the Amended and Restated Credit Agreement are also guaranteed by the Subsidiary Guarantors. The First Amendment provides incremental facility capacity of $75 million, subject to certain conditions. The Amended and Restated Credit Agreement, as amended by the First Amendment, includes a number of restrictive covenants that, among other things and in each case subject to certain exceptions and baskets, impose operating and financial restrictions on the Company and the Subsidiary Guarantors, including the ability to incur additional debt; incur liens and encumbrances; make certain restricted payments, including paying dividends on the Company's equity securities or payments to redeem, repurchase, or retire the Company's equity securities (which are subject to our compliance, on a pro forma basis to give effect to the restricted payment, with the fixed charge coverage ratio and consolidated net leverage ratio described below); enter into certain restrictive agreements; make investments, loans and acquisitions; merge or consolidate with any other person; dispose of assets; enter into sale and leaseback transactions; engage in transactions with affiliates; and materially alter the business we conduct. The First Amendment requires the Company to maintain a minimum fixed charge coverage ratio of 1.25:1.00 throughout the duration of such agreement. Under the First Amendment, the Company is required to comply with a maximum consolidated net leverage ratio of 3.75:1.00 for each quarter through March 31, 2023, after which time the maximum consolidated net leverage ratio will be 3.50:1.00. Further, under the First Amendment, in connection with any acquisition by the Company exceeding $25 million, the Company may elect to increase the maximum permitted consolidated net leverage ratio for the fiscal quarter in which the acquisition occurs and each of the following three fiscal quarters by 0.50:1.00 above the otherwise permitted maximum. If the consolidated net leverage ratio is less than 2.50:1.00, there is no limit on the amount of incremental facilities. The Amended and Restated Credit Agreement also contains customary representations and warranties, affirmative covenants and events of default. We believe that we were in compliance with the covenants contained in such agreement as of September 30, 2022.

OPERATING LEASES

OPERATING LEASES	9 Months Ended
	Sep. 30, 2022
Leases [Abstract]
OPERATING LEASES	OPERATING LEASES The Company leases office space in various locations in Alabama, Pennsylvania, Minnesota, Maryland, Mississippi, and Washington. These leases have terms expiring from 2022 through 2030 but do contain optional extension terms. Leases with an initial term of 12 months or less are not recorded on the balance sheet; we recognize lease expense for these leases on a straight-line basis over the lease term. Supplemental balance sheet information related to operating leases was as follows: (In thousands) September 30, Operating lease assets Operating lease assets $ 7,999 Operating lease liabilities Other accrued liabilities 2,051 Operating lease liabilities, net of current portion 6,088 Total operating lease liabilities $ 8,139 Weighted average remaining lease term in years 5 Weighted average discount rate 4.4% Because our leases do not provide an implicit rate, we use our incremental borrowing rate based on the information available at the lease commencement date in determining the present value of lease payments. We used the incremental borrowing rate on January 1, 2019, for operating leases that commenced prior to that date. The future minimum lease payments payable under these operating leases subsequent to September 30, 2022 are as follows: (In thousands) 2022 $ 511 2023 2,063 2024 1,994 2025 1,258 2026 1,225 Thereafter 2,065 Total lease payments 9,116 Less imputed interest (977) Total $ 8,139 Total lease expense for the nine months ended September 30, 2022 and 2021 was $1.6 million and $1.4 million, respectively. Total cash paid for amounts included in the measurement of lease liabilities within operating cash flows from operating leases for the nine months ended September 30, 2022 and 2021 was $1.6 million and $2.3 million, respectively.

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES	9 Months Ended
	Sep. 30, 2022
Commitments and Contingencies Disclosure [Abstract]
COMMITMENTS AND CONTINGENCIES	COMMITMENTS AND CONTINGENCIESFrom time to time, the Company is involved in routine litigation that arises in the ordinary course of business. Management does not believe it is reasonably possible that such matters will have a material adverse effect on the Company’s financial statements.

FAIR VALUE

FAIR VALUE	9 Months Ended
	Sep. 30, 2022
Fair Value Disclosures [Abstract]
FAIR VALUE	FAIR VALUE FASB Codification topic, Fair Value Measurements and Disclosures, establishes a framework for measuring fair value and expands financial statement disclosures about fair value measurements. Fair value is the price that would be received to sell an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants at the measurement date. The Codification does not require any new fair value measurements, but rather applies to all other accounting pronouncements that require or permit fair value measurements. The Codification requires that assets and liabilities carried at fair value be classified and disclosed in one of the following three categories: Level 1: Quoted market prices in active markets for identical assets or liabilities. Level 2: Observable market-based inputs or unobservable inputs that are corroborated by market data. Level 3: Unobservable inputs that are not corroborated by market data. As of September 30, 2022, we measured the fair value of contingent consideration that represents the potential earnout incentive for TruCode's former equity holders. We estimated the fair value of the contingent consideration based on the probability of TruCode meeting EBITDA targets (subject to certain pro-forma adjustments). We did not have any other instruments that required fair value measurement as of September 30, 2022. The following tables summarize the carrying amounts and fair value of the contingent consideration at September 30, 2022 and December 31, 2021, respectively: Fair Value at September 30, 2022 Using Carrying Amount at Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs (In thousands) 9/30/2022 (Level 1) (Level 2) (Level 3) Description Contingent consideration $ 1,508 $ — $ — $ 1,508 Total $ 1,508 $ — $ — $ 1,508 Fair Value at December 31, 2021 Using Carrying Amount at Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs (In thousands) 12/31/2021 (Level 1) (Level 2) (Level 3) Description Contingent consideration $ 2,500 $ — $ — $ 2,500 Total $ 2,500 $ — $ — $ 2,500

SEGMENT REPORTING

SEGMENT REPORTING	9 Months Ended
	Sep. 30, 2022
Segment Reporting [Abstract]
SEGMENT REPORTING	SEGMENT REPORTING Our chief operating decision makers ("CODM") utilize three operating segments, "TruBridge," "Acute Care EHR," and "Post-acute Care EHR" based on our three distinct business units with unique market dynamics and opportunities. These segments represent the components of the Company for which separate financial information is available that is utilized on a regular basis by the CODM in assessing segment performance and in allocating the Company's resources. Management evaluates the performance of the segments based on revenues and adjusted EBITDA. The Company previously evaluated the performance of the segments based on segment gross profit. Management believes adjusted EBITDA is a useful measure to assess the performance and liquidity of the Company as it provides meaningful operating results by excluding the effects of expenses that are not reflective of its operating business performance. Our CODM group is comprised of the Chief Executive Officer, Chief Growth Officer, and Chief Financial Officer. Accounting policies for each of the reportable segments are the same as those used on a consolidated basis. Adjusted EBITDA consists of GAAP net income as reported and adjusts for (i) deferred revenue purchase accounting adjustments arising from purchase allocation adjustments related to business acquisitions; (ii) depreciation expense; (iii) amortization of software development costs; (iv) amortization of acquisition-related intangible assets; (v) stock-based compensation; (vi) severance and other non-recurring charges; (vii) interest expense and other, net; (viii) gain (loss) on contingent consideration; and (ix) the provision for income taxes. There are no intersegment revenues to be eliminated in computing segment revenue. The CODM do not evaluate operating segments nor make decisions regarding operating segments based on assets. Consequently, we do not disclose total assets by reportable segment. The following table presents a summary of the revenues and adjusted EBITDA of our three operating segments for the three and nine months ended September 30, 2022 and 2021: Three Months Ended September 30, Nine Months Ended September 30, (In thousands) 2022 2021 2022 2021 Revenues by segment: TruBridge $ 47,878 $ 34,531 139,569 98,736 Acute Care EHR Recurring revenue 27,237 26,776 $ 81,333 $ 80,792 Non-recurring revenue 3,500 4,350 9,467 13,786 Total Acute Care EHR revenue 30,737 31,126 90,800 94,578 Post-acute Care EHR Recurring revenue 3,817 4,010 11,504 12,402 Non-recurring revenue 395 424 1,551 913 Total Post-acute Care EHR revenue 4,212 4,434 13,055 13,315 Total revenues $ 82,827 $ 70,091 $ 243,424 $ 206,629 Adjusted EBITDA by segment: TruBridge 8,060 6,840 27,609 20,216 Acute Care EHR 4,584 4,773 13,915 15,650 Post-acute Care EHR 705 624 1,147 2,487 Total adjusted EBITDA $ 13,349 $ 12,237 $ 42,671 $ 38,353 The following table reconciles net income from continuing operations to adjusted EBITDA: Three Months Ended September 30, Nine Months Ended September 30, (In thousands) 2022 2021 2022 2021 Net income from continuing operations, as reported $ 2,161 $ 2,744 13,350 13,029 Deferred revenue and other acquisition-related adjustments — 388 109 546 Depreciation expense 622 525 1,890 1,641 Amortization of software development costs 1,024 262 2,283 527 Amortization of acquisition-related intangibles 4,486 3,674 12,917 10,114 Stock-based compensation 1,864 1,700 5,284 4,179 Severance and other non-recurring charges 410 1,157 1,671 4,163 Interest expense and other, net 1,416 702 3,255 1,089 (Gain)/Loss on contingent consideration 589 — (992) — Provision for income taxes 777 1,085 2,904 3,065 Total adjusted EBITDA $ 13,349 $ 12,237 $ 42,671 $ 38,353 Certain of the items excluded or adjusted to arrive at adjusted EBITDA are described below: • Deferred revenue and other acquisition-related adjustments - Deferred revenue and other acquisition-related adjustments includes acquisition-related deferred revenue adjustments, which reflect the fair value adjustments to deferred revenues acquired in business acquisitions. The fair value of deferred revenue represents an amount equivalent to the estimated cost plus an appropriate profit margin, to perform services related to the acquiree's software and product support, which assumes a legal obligation to do so, based on the deferred revenue balance as of the acquisition date. We add back deferred revenue and other adjustments for adjusted EBITDA because we believe the inclusion of this amount directly correlates to the underlying performance of our operations. • Amortization of acquisition-related intangibles - Acquisition related amortization expense is a non-cash expense arising primarily from the acquisition of intangibles in connection with acquisitions or investments. We exclude acquisition-related amortization expense from adjusted EBITDA because we believe (i) the amount of such expenses in any specific period may not directly correlate to the underlying performance of our business operations and (ii) such expenses can vary significantly between periods as a result of new acquisitions and full amortization of previously acquired intangible assets. • Stock-based compensation - Stock-based compensation expense is a non-cash expense arising from the grant of stock-based awards. We exclude stock-based compensation expense from adjusted EBITDA because we believe (i) the amount of such expenses in any specific period may not directly correlate to the underlying performance of our business operations and (ii) such expenses can vary significantly between periods as a result of the timing and valuation of grants of new stock-based awards, including grants in connection with acquisitions. • Severance and other non-recurring charges - Non-recurring charges relate to certain severance and other charges incurred in connection with activities that are considered non-recurring. We exclude non-recurring expenses (primarily related to costs associated with our recent business transformation initiative and non-recurring lease termination costs) and transaction-related costs from adjusted EBITDA because we believe (i) the amount of such expenses in any specific period may not directly correlate to the underlying performance of our business operations and (ii) such expenses can vary significantly between periods.

BASIS OF PRESENTATION (Policies

BASIS OF PRESENTATION (Policies)	9 Months Ended
	Sep. 30, 2022
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Basis of Presentation	Basis of Presentation The accompanying unaudited condensed consolidated financial statements have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission (the "SEC") and include all adjustments that, in the opinion of management, are necessary for a fair presentation of the results of the periods presented. All such adjustments are considered of a normal recurring nature. Quarterly results of operations are not necessarily indicative of annual results. Certain footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America ("U.S. GAAP") have been condensed or omitted. The condensed consolidated balance sheet as of December 31, 2021 was derived from the audited consolidated balance sheet at that date. These unaudited condensed consolidated financial statements should be read in conjunction with the audited financial statements of Computer Programs and Systems, Inc. ("CPSI" or the "Company") for the year ended December 31, 2021 and the notes thereto contained in the Company’s Annual Report on Form 10-K for the year ended December 31, 2021.
Internal Use Software	During the second quarter of 2021, we elected to change our method of estimating the labor costs incurred in developing software assets requiring capitalization under Accounting Standards Codification ("ASC") 350-40, Internal Use Software. Prior to this change, we estimated the associated labor costs using an estimated time-equivalent for workload metrics commonly utilized within agile software development environments. With this change, we now estimate these labor costs using the distribution of these agile workload metrics between capitalizable and non-capitalizable units of work. We believe this change is preferable as the new methodology better estimates capitalizable labor costs and is consistent with industry best practices. We have determined that this change is a change in accounting estimate effected by a change in accounting principle and, as such, has been accounted for on a prospective basis. See Note 6, “Software Development,” for further information.
Principles of Consolidation	Principles of Consolidation The condensed consolidated financial statements of CPSI include the accounts of TruBridge, LLC ("TruBridge"), Evident, LLC ("Evident"), Healthland Holding Inc. ("HHI"), iNetXperts, Corp. d/b/a Get Real Health ("Get Real Health"), TruCode LLC ("TruCode"), and Healthcare Resource Group, Inc. ("HRG"), all of which are wholly-owned subsidiaries of CPSI. The accounts of HHI include those of its wholly-owned subsidiaries, Healthland Inc. ("Healthland"), Rycan Technologies, Inc. ("Rycan"), and American HealthTech, Inc. ("AHT"). All significant intercompany balances and transactions have been eliminated.
Recent Account Pronouncements	RECENT ACCOUNTING PRONOUNCEMENTS New Accounting Standards Adopted in 2022 There were no new accounting standards required to be adopted in 2022 that would have a material impact on our consolidated financial statements. New Accounting Standards Yet to be Adopted We do not believe that any other recently issued but not yet effective accounting standards, if adopted, would have a material impact on our consolidated financial statements.
Revenue Recognition	Revenue is recognized upon transfer of control of promised products or services to clients in an amount that reflects the consideration we expect to receive in exchange for those products and services. We enter into contracts that can include various combinations of products and services, which are generally distinct and accounted for as separate performance obligations. The Company employs the 5-step revenue recognition model under ASC 606, Revenue from Contracts with Customers , to: (1) identify the contract with the client, (2) identify the performance obligations in the contract, (3) determine the transaction price, (4) allocate the transaction price to the performance obligations in the contract, and (5) recognize revenue when (or as) the entity satisfies a performance obligation. Revenue is recognized net of shipping charges and any taxes collected from clients, which are subsequently remitted to governmental authorities. TruBridge TruBridge provides an array of business processing services ("BPS") consisting of accounts receivable management, private pay services, insurance services, medical coding, electronic billing, statement processing, payroll processing, and contract management. Fees are recognized over the period of the client contractual relationship as the services are performed based on the stand-alone selling price ("SSP"), net of discounts. Fees for many of these services are invoiced, and revenue recognized accordingly, based on the volume of transactions or a percentage of client accounts receivable collections. Payment is due monthly for BPS with certain amounts varying based on utilization and/or volumes. TruBridge also provides professional IT services. Revenue from professional IT services is recognized as the services are performed based on SSP. Payment is due monthly as services are performed. Lastly, TruBridge also provides various revenue cycle optimization software solutions on a subscription or Software as a Service (“SaaS”) basis. Subscription revenue is recognized as a separate performance obligation ratably over the subscription term based on SSP, which is cost plus a reasonable margin. SaaS revenue is recognized as a separate performance obligation on a monthly basis as the SaaS service is provided to the client over the contract term. Payment is due monthly for subscriptions and SaaS services provided. System Sales and Support The Company enters into contractual obligations to sell perpetual software licenses, installation, conversion, training, hardware and software application support and hardware maintenance services to acute care community hospitals and post-acute care providers. Non-recurring Revenues • Perpetual software licenses, installation, conversion, and related training are not considered separate and distinct performance obligations due to the proprietary nature of our software and are, therefore, accounted for as a single performance obligation on a module-by-module basis. Revenue is recognized as each module's implementation is completed based on the module's SSP, net of discounts. Fees for licenses, installation, conversion, and related training are typically due in three installments: (1) at placement of order, (2) upon installation of software and commencement of training, and (3) upon satisfactory completion of monthly accounting cycle or end-of-month operation by application and as applicable for each application. Often, short-term and/or long-term financing arrangements are provided for software implementations; refer to Note 11 - Financing Receivables for further information. Electronic health records ("EHR") implementations include a system warranty that terminates thirty days from the software go-live date, the date on which the client begins using the system in a live environment. • Hardware revenue is recognized separately from software licenses at the point in time it is delivered to the client. The SSP of hardware is cost plus a reasonable margin. Payment is generally due upon delivery of the hardware to the client. Standard manufacturer warranties apply to hardware. Recurring Revenues • Software application support and hardware maintenance services sold with software licenses and hardware are separate and distinct performance obligations. Revenue for support and maintenance services is recognized based on SSP, which is the renewal price, ratably over the life of the contract, which is generally three • Subscriptions to third party content revenue is recognized as a separate performance obligation ratably over the subscription term based on SSP, which is cost plus a reasonable margin. Payment is due monthly for subscriptions to third party content. • SaaS arrangements for EHR software and related conversion and training services are considered a single performance obligation. Revenue is recognized on a monthly basis as the SaaS service is provided to the client over the contract term. Payment is due monthly for SaaS services provided. Refer to Note 17 - Segment Reporting, for further information, including revenue by client base (acute care or post-acute care) bifurcated by recurring and non-recurring revenue. Deferred Revenue Deferred revenue represents amounts invoiced to clients for which the services under contract have not been completed and revenue has not been recognized, including annual renewals of certain software subscriptions and customer deposits for implementations to be performed at a later date. Revenue is recognized ratably over the life of the software subscriptions as services are provided and at the point-in-time when implementations have been completed. The deferred revenue recorded during the nine months ended September 30, 2022 is comprised primarily of the annual renewals of certain software subscriptions billed during the first quarter of each year and deposits collected for future EHR installations. The deferred revenue recognized as revenue during the nine months ended September 30, 2022 and 2021 is comprised primarily of the periodic recognition of annual renewals that were deferred until earned and deposits for future EHR installations that were deferred until earned. Costs to Obtain and Fulfill a Contract with a Customer Costs to obtain a contract include the commission costs related to SaaS licensing agreements, which are capitalized and amortized ratably over the expected life of the customer. As a practical expedient, we generally recognize the incremental costs of obtaining a contract as an expense when incurred if the amortization period of the asset would have been one year or less, with the exception of commissions generated from TruBridge sales. TruBridge commissions, which are paid up to twelve months in advance of services performed, are capitalized and amortized over the prepayment period. Costs to obtain a contract are expensed within sales and marketing expenses in the accompanying condensed consolidated statements of income. Contract fulfillment costs related to the implementation of SaaS arrangements are capitalized and amortized ratably over the expected life of the customer. Costs to fulfill contracts consist of the payroll costs for the implementation of SaaS arrangements, including time for training, conversion and installation that is necessary for the software to be utilized. Contract fulfillment costs are expensed within the caption "System sales and support - Cost of sales" in the accompanying condensed consolidated statements of income.
Net Income Per Share	The Company presents basic and diluted earnings per share ("EPS") data for its common stock. Basic EPS is calculated by dividing the net income attributable to stockholders of the Company by the weighted average number of shares of common stock outstanding during the period. Diluted EPS is determined by adjusting the net income attributable to stockholders of the Company and the weighted average number of shares of common stock outstanding during the period for the effects of all dilutive potential common shares, including awards under stock-based compensation arrangements. The Company's unvested restricted stock awards (see Note 10) are considered participating securities under ASC 260, Earnings Per Share , because they entitle holders to non-forfeitable rights to dividends until the awards vest or are forfeited. When a company has a security that qualifies as a "participating security," the Codification requires the use of the two-class method when computing basic EPS. The two-class method is an earnings allocation formula that determines EPS for each class of common stock and participating security according to dividends declared (or accumulated) and participation rights in undistributed earnings. In determining the amount of net income to allocate to common stockholders, income is allocated to both common stock and participating securities based on their respective weighted average shares outstanding for the period, with net income attributable to common stockholders ultimately equaling net income less net income attributable to participating securities. Diluted EPS for the Company's common stock is computed using the more dilutive of the two-class method or the treasury stock method.
Income Taxes	The Company determines the tax provision for interim periods using an estimate of our annual effective tax rate, adjusted for discrete items, if any, that are taken into account in the relevant period. Each quarter we update our estimate of the annual effective tax rate, and if our estimated tax rate changes, we make a cumulative adjustment.
Fair Value	FASB Codification topic, Fair Value Measurements and Disclosures, establishes a framework for measuring fair value and expands financial statement disclosures about fair value measurements. Fair value is the price that would be received to sell an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants at the measurement date. The Codification does not require any new fair value measurements, but rather applies to all other accounting pronouncements that require or permit fair value measurements. The Codification requires that assets and liabilities carried at fair value be classified and disclosed in one of the following three categories: Level 1: Quoted market prices in active markets for identical assets or liabilities. Level 2: Observable market-based inputs or unobservable inputs that are corroborated by market data. Level 3: Unobservable inputs that are not corroborated by market data.

REVENUE RECOGNITION (Tables)

REVENUE RECOGNITION (Tables)	9 Months Ended
	Sep. 30, 2022
Accounting Policies [Abstract]
Schedule of Contract with Customer, Asset and Liability	The following table details deferred revenue for the nine months ended September 30, 2022 and 2021, included in the condensed consolidated balance sheets: (In thousands) Nine Months Ended September 30, 2022 Nine Months Ended September 30, 2021 Beginning balance $ 11,529 $ 8,130 Deferred revenue recorded 19,474 16,886 Deferred revenue acquired — 1,300 Less deferred revenue recognized as revenue (18,748) (15,472) Ending balance $ 12,255 $ 10,844
Schedule of Capitalized Contract Cost	The following table details costs to obtain and fulfill contracts with customers for the nine months ended September 30, 2022 and 2021, included in the condensed consolidated balance sheets: (In thousands) Nine Months Ended September 30, 2022 Nine Months Ended September 30, 2021 Beginning balance $ 7,312 $ 5,992 Costs to obtain and fulfill contracts capitalized 7,460 4,719 Less costs to obtain and fulfill contracts recognized as expense (5,440) (4,441) Ending balance $ 9,332 $ 6,270

BUSINESS COMBINATION (Tables)

BUSINESS COMBINATION (Tables)	9 Months Ended
	Sep. 30, 2022
Business Combination and Asset Acquisition [Abstract]
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed	The preliminary allocation of the purchase price paid for HRG as of September 30, 2022 was as follows: (In thousands) Purchase Price Allocation Acquired cash $ 3,989 Accounts receivable 5,655 Prepaid expenses 398 Property and equipment 467 Other assets 73 Intangible assets 24,200 Operating lease assets 1,315 Goodwill 21,081 Accounts payable and accrued liabilities (2,403) Deferred taxes, net (5,565) Operating lease liability (1,315) Net assets acquired $ 47,895 The allocation of the purchase price paid for TruCode was as follows: (In thousands) Purchase Price Allocation Acquired cash $ 4,249 Accounts receivable 924 Prepaid expenses 2 Intangible assets 37,300 Goodwill 27,287 Accounts payable and accrued liabilities (1,840) Contingent consideration (2,500) Deferred revenue (1,300) Net assets acquired $ 64,122
Schedule of Business Acquisition, Pro Forma Information	The following unaudited pro forma revenue, net income and earnings per share amounts for the three and nine months ended September 30, 2022 give effect to the HRG acquisition as if it had been completed on January 1, 2021. The pro forma financial information is presented for illustrative purposes only and is not necessarily indicative of what the operating results actually would have been during the periods presented had the HRG acquisition been completed during the periods presented. In addition, the unaudited pro forma financial information does not purport to project future operating results. The pro forma information does not fully reflect: (1) any anticipated synergies (or costs to achieve synergies) or (2) the impact of non-recurring items directly related to the HRG acquisition. Three Months Ended Nine Months Ended (In thousands, except per share data) 2022 2021 2022 2021 Pro forma revenues $ 82,827 $ 78,395 $ 249,764 $ 231,049 Pro forma net income $ 2,285 $ 2,146 $ 13,973 $ 11,520 Pro forma diluted earnings per share $ 0.16 $ 0.15 $ 0.95 $ 0.78

PROPERTY AND EQUIPMENT (Tables)

PROPERTY AND EQUIPMENT (Tables)	9 Months Ended
	Sep. 30, 2022
Property, Plant and Equipment [Abstract]
Schedule of Property and Equipment	Property and equipment, net was comprised of the following at September 30, 2022 and December 31, 2021: (In thousands) September 30, December 31, 2021 Land $ 2,848 $ 2,848 Buildings and improvements 8,279 8,269 Computer equipment 8,133 7,868 Leasehold improvements 783 783 Office furniture and fixtures 1,008 682 Automobiles 18 18 Property and equipment, gross 21,069 20,468 Less: accumulated depreciation (10,768) (8,878) Property and equipment, net $ 10,301 $ 11,590

SOFTWARE DEVELOPMENT (Tables)

SOFTWARE DEVELOPMENT (Tables)	9 Months Ended
	Sep. 30, 2022
Research and Development [Abstract]
Schedule of software development, net	Software development costs, net was comprised of the following at September 30, 2022 and December 31, 2021: (In thousands) September 30, December 31, 2021 Software development costs $ 27,287 $ 12,693 Less: accumulated amortization (3,332) (1,049) Software development costs, net $ 23,955 $ 11,644

OTHER ACCRUED LIABILITIES (Tabl

OTHER ACCRUED LIABILITIES (Tables)	9 Months Ended
	Sep. 30, 2022
Payables and Accruals [Abstract]
Other Accrued Liabilities	Other accrued liabilities was comprised of the following at September 30, 2022 and December 31, 2021: (In thousands) September 30, December 31, 2021 Salaries and benefits $ 8,857 $ 8,482 Severance 147 236 Commissions 1,001 1,158 Self-insurance reserves 1,450 1,409 Contingent consideration 1,508 2,500 Operating lease liabilities, current portion 2,051 1,592 Other 1,167 1,786 Other accrued liabilities $ 16,181 $ 17,163

NET INCOME PER SHARE (Tables)

NET INCOME PER SHARE (Tables)	9 Months Ended
	Sep. 30, 2022
Earnings Per Share [Abstract]
Schedule of Earnings Per Share, Basic and Diluted	The following is a calculation of the basic and diluted EPS for the Company's common stock, including a reconciliation between net income and net income attributable to common stockholders: Three Months Ended September 30, Nine Months Ended September 30, (In thousands, except per share data) 2022 2021 2022 2021 Net income $ 2,161 $ 2,744 $ 13,350 $ 13,029 Less: Net income attributable to participating securities (42) (59) (261) (293) Net income attributable to common stockholders $ 2,119 $ 2,685 $ 13,089 $ 12,736 Weighted average shares outstanding used in basic per common share computations 14,365 14,334 14,405 14,276 Add: Dilutive potential common shares — 9 — 27 Weighted average shares outstanding used in diluted per common share computations 14,365 14,343 14,405 14,303 Basic EPS $ 0.15 $ 0.19 $ 0.91 $ 0.89 Diluted EPS $ 0.15 $ 0.19 $ 0.91 $ 0.89

STOCK-BASED COMPENSATION AND _2

STOCK-BASED COMPENSATION AND EQUITY (Tables)	9 Months Ended
	Sep. 30, 2022
Share-Based Payment Arrangement [Abstract]
Total Stock-Based Compensation Expense	The following table details total stock-based compensation expense for the three and nine months ended September 30, 2022 and 2021, included in the condensed consolidated statements of income: Three Months Ended September 30, Nine Months Ended September 30, (In thousands) 2022 2021 2022 2021 Costs of sales $ 274 $ 311 $ 851 $ 793 Operating expenses 1,590 1,389 4,433 3,386 Pre-tax stock-based compensation expense 1,864 1,700 5,284 4,179 Less: income tax effect (410) (374) (1,162) (919) Net stock-based compensation expense $ 1,454 $ 1,326 $ 4,122 $ 3,260
Summary of Restricted Stock Activity	A summary of restricted stock activity under the Plan during the nine months ended September 30, 2022 and 2021 is as follows: Nine Months Ended September 30, 2022 Nine Months Ended September 30, 2021 Shares Weighted-Average Shares Weighted-Average Unvested restricted stock outstanding at beginning of period 314,883 $ 29.79 412,967 $ 28.87 Granted 161,375 34.22 153,700 31.22 Vested (181,405) 29.79 (245,455) 29.16 Forfeited (8,936) 31.60 (6,329) 29.10 Unvested restricted stock outstanding at end of period 285,917 $ 32.23 314,883 $ 29.79
Summary of Performance Share Award Activity	A summary of performance share award activity under the Plan during the nine months ended September 30, 2022 and 2021 is as follows, based on the target award amounts set forth in the performance share award agreements: Nine Months Ended September 30, 2022 Nine Months Ended September 30, 2021 Shares Weighted-Average Shares Weighted-Average Performance share awards outstanding at beginning of period 249,952 $ 29.59 252,852 $ 29.27 Granted 101,799 37.98 93,444 31.26 Forfeited or unearned (45,060) 31.70 (20,373) 29.92 Earned and issued (27,317) 31.75 (75,971) 30.50 Performance share awards outstanding at end of period 279,374 $ 32.09 249,952 $ 29.59

FINANCING RECEIVABLES (Tables)

FINANCING RECEIVABLES (Tables)	9 Months Ended
	Sep. 30, 2022
Receivables [Abstract]
Schedule of Components of Short Term Payment Plans	These receivables, included in the current portion of financing receivables, were comprised of the following at September 30, 2022 and December 31, 2021: (In thousands) September 30, December 31, 2021 Short-term payment plans, gross $ 402 $ 121 Less: allowance for losses (20) (6) Short-term payment plans, net $ 382 $ 115
Components of Lease Receivables	The components of these receivables were as follows at September 30, 2022 and December 31, 2021: (In thousands) September 30, December 31, 2021 Long-term financing arrangements, gross $ 10,291 $ 15,659 Less: allowance for expected credit losses (607) (716) Less: unearned income (811) (1,339) Long-term financing arrangements, net $ 8,873 $ 13,604
Future Minimum Lease Payments to be Received	Future minimum payments to be received subsequent to September 30, 2022 are as follows: (In thousands) Years Ending December 31, 2022 $ 2,744 2023 4,146 2024 2,315 2025 948 2026 117 Thereafter 21 Total minimum payments to be received 10,291 Less: allowance for expected credit losses (607) Less: unearned income (811) Receivables, net $ 8,873
Allowance for Financing Credit Losses	The following table is a roll-forward of the allowance for expected credit losses for the nine months ended September 30, 2022 and year ended December 31, 2021: (In thousands) Balance at Beginning of Period Provision Charge-offs Recoveries Balance at End of Period September 30, 2022 $ 722 $ (133) $ 38 $ — $ 627 December 31, 2021 $ 1,489 $ 481 $ (1,248) $ — $ 722
Analysis of Age of Financing Receivables Amounts	The following is an analysis of the age of financing receivables amounts (excluding short-term payment plans) that have been reclassified to trade accounts receivable and were past due as of September 30, 2022 and December 31, 2021: (In thousands) 1 to 90 Days Past Due 91 to 180 Days Past Due 181 + Days Past Due Total Past Due September 30, 2022 $ 1,052 $ 201 $ 270 $ 1,523 December 31, 2021 $ 713 $ 78 $ 73 $ 864
Schedule of Financing Receivable Credit Quality Indicators	The table below categorizes customer financing receivable balances (excluding short-term payment plans) based on the age of the oldest payment outstanding that has been reclassified to trade accounts receivable: (In thousands) September 30, December 31, 2021 Stratification of uninvoiced client financing receivables based on aging of related trade accounts receivable: Uninvoiced client financing receivables related to trade accounts receivable that are 1 to 90 Days Past Due $ 4,985 $ 9,100 Uninvoiced client financing receivables related to trade accounts receivable that are 91 to 180 Days Past Due 2,237 329 Uninvoiced client financing receivables related to trade accounts receivable that are 181 + Days Past Due 867 386 Total uninvoiced client financing receivables balances of clients with a trade accounts receivable $ 8,089 $ 9,815 Total uninvoiced client financing receivables of clients with no related trade accounts receivable 1,391 4,505 Total financing receivables with contractual maturities of one year or less 402 121 Less: allowance for expected credit losses (627) (722) Total financing receivables $ 9,255 $ 13,719

INTANGIBLE ASSETS AND GOODWILL

INTANGIBLE ASSETS AND GOODWILL (Tables)	9 Months Ended
	Sep. 30, 2022
Goodwill and Intangible Assets Disclosure [Abstract]
Summary of Definite-lived Intangible Assets	Our purchased definite-lived intangible assets as of September 30, 2022 and December 31, 2021 are summarized as follows: September 30, 2022 (In thousands) Customer Relationships Trademark Developed Technology Non-Compete Agreements Total Gross carrying amount, beginning of period $ 112,570 $ 12,320 $ 37,600 $ — $ 162,490 Intangible assets acquired 19,600 — 3,200 1,400 24,200 Accumulated amortization (49,623) (5,851) (24,567) (163) (80,204) Net intangible assets as of September 30, 2022 $ 82,547 $ 6,469 $ 16,233 $ 1,237 $ 106,486 Weighted average remaining years of useful life 8 13 8 5 10 December 31, 2021 (In thousands) Customer Relationships Trademark Developed Technology Non-Compete Agreements Total Gross carrying amount, beginning of period $ 84,370 $ 11,120 $ 29,700 $ — $ 125,190 Intangible assets acquired 28,200 1,200 7,900 — 37,300 Accumulated amortization (41,738) (5,177) (20,372) — (67,287) Net intangible assets as of December 31, 2021 $ 70,832 $ 7,143 $ 17,228 $ — $ 95,203
Schedule of Remaining Amortization of Definite-lived Intangible Assets	The following table represents the remaining amortization of definite-lived intangible assets as of September 30, 2022: (In thousands) For the year ended December 31, 2022 $ 4,486 2023 16,058 2024 14,523 2025 14,208 2026 12,919 Thereafter 44,292 Total $ 106,486
Schedule of Changes in the Carrying Amount of Goodwill	The following table sets forth the change in the carrying amount of goodwill by segment for the nine months ended September 30, 2022: (In thousands) Acute Care EHR Post-acute Care EHR TruBridge Total Balance as of December 31, 2021 $ 97,095 $ 29,570 $ 51,048 $ 177,713 Goodwill acquired — — 20,871 20,871 Balance as of September 30, 2022 $ 97,095 $ 29,570 $ 71,919 $ 198,584

LONG-TERM DEBT (Tables)

LONG-TERM DEBT (Tables)	9 Months Ended
	Sep. 30, 2022
Debt Disclosure [Abstract]
Schedule of Long-term Debt	Long-term debt was comprised of the following at September 30, 2022 and December 31, 2021: (In thousands) September 30, December 31, 2021 Term loan facility $ 68,250 $ 69,375 Revolving credit facility 73,700 31,000 Debt obligations 141,950 100,375 Less: unamortized debt issuance costs (1,635) (1,015) Debt obligation, net 140,315 99,360 Less: current portion (3,141) (4,394) Long-term debt $ 137,174 $ 94,966
Schedule of Annual Future Maturities of the Term Loan Facility and Revolving Credit Facility	Anticipated annual future maturities of the term loan facility and revolving credit facility are as follows as of September 30, 2022: (In thousands) 2022 $ 875 2023 3,500 2024 3,500 2025 3,500 2026 3,500 Thereafter 127,075 $ 141,950

OPERATING LEASES (Tables)

OPERATING LEASES (Tables)	9 Months Ended
	Sep. 30, 2022
Leases [Abstract]
Schedule of Lease, Supplemental Balance Sheet Information	Supplemental balance sheet information related to operating leases was as follows: (In thousands) September 30, Operating lease assets Operating lease assets $ 7,999 Operating lease liabilities Other accrued liabilities 2,051 Operating lease liabilities, net of current portion 6,088 Total operating lease liabilities $ 8,139 Weighted average remaining lease term in years 5 Weighted average discount rate 4.4%
Schedule of Operating Lease, Liability, Maturity	The future minimum lease payments payable under these operating leases subsequent to September 30, 2022 are as follows: (In thousands) 2022 $ 511 2023 2,063 2024 1,994 2025 1,258 2026 1,225 Thereafter 2,065 Total lease payments 9,116 Less imputed interest (977) Total $ 8,139

FAIR VALUE (Tables)

FAIR VALUE (Tables)	9 Months Ended
	Sep. 30, 2022
Fair Value Disclosures [Abstract]
Carrying Amounts and Fair Value of the Contingent Consideration	The following tables summarize the carrying amounts and fair value of the contingent consideration at September 30, 2022 and December 31, 2021, respectively: Fair Value at September 30, 2022 Using Carrying Amount at Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs (In thousands) 9/30/2022 (Level 1) (Level 2) (Level 3) Description Contingent consideration $ 1,508 $ — $ — $ 1,508 Total $ 1,508 $ — $ — $ 1,508 Fair Value at December 31, 2021 Using Carrying Amount at Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs (In thousands) 12/31/2021 (Level 1) (Level 2) (Level 3) Description Contingent consideration $ 2,500 $ — $ — $ 2,500 Total $ 2,500 $ — $ — $ 2,500

SEGMENT REPORTING (Tables)

SEGMENT REPORTING (Tables)	9 Months Ended
	Sep. 30, 2022
Segment Reporting [Abstract]
Schedule of Segment Reporting Information, by Segment	The following table presents a summary of the revenues and adjusted EBITDA of our three operating segments for the three and nine months ended September 30, 2022 and 2021: Three Months Ended September 30, Nine Months Ended September 30, (In thousands) 2022 2021 2022 2021 Revenues by segment: TruBridge $ 47,878 $ 34,531 139,569 98,736 Acute Care EHR Recurring revenue 27,237 26,776 $ 81,333 $ 80,792 Non-recurring revenue 3,500 4,350 9,467 13,786 Total Acute Care EHR revenue 30,737 31,126 90,800 94,578 Post-acute Care EHR Recurring revenue 3,817 4,010 11,504 12,402 Non-recurring revenue 395 424 1,551 913 Total Post-acute Care EHR revenue 4,212 4,434 13,055 13,315 Total revenues $ 82,827 $ 70,091 $ 243,424 $ 206,629 Adjusted EBITDA by segment: TruBridge 8,060 6,840 27,609 20,216 Acute Care EHR 4,584 4,773 13,915 15,650 Post-acute Care EHR 705 624 1,147 2,487 Total adjusted EBITDA $ 13,349 $ 12,237 $ 42,671 $ 38,353
Reconciliation Of Net Income From Continuing Operations To Adjusted Income (Loss) From Before Interest, Taxes, Depreciation And Amortization	The following table reconciles net income from continuing operations to adjusted EBITDA: Three Months Ended September 30, Nine Months Ended September 30, (In thousands) 2022 2021 2022 2021 Net income from continuing operations, as reported $ 2,161 $ 2,744 13,350 13,029 Deferred revenue and other acquisition-related adjustments — 388 109 546 Depreciation expense 622 525 1,890 1,641 Amortization of software development costs 1,024 262 2,283 527 Amortization of acquisition-related intangibles 4,486 3,674 12,917 10,114 Stock-based compensation 1,864 1,700 5,284 4,179 Severance and other non-recurring charges 410 1,157 1,671 4,163 Interest expense and other, net 1,416 702 3,255 1,089 (Gain)/Loss on contingent consideration 589 — (992) — Provision for income taxes 777 1,085 2,904 3,065 Total adjusted EBITDA $ 13,349 $ 12,237 $ 42,671 $ 38,353

REVENUE RECOGNITION (Detail)

REVENUE RECOGNITION (Detail)	9 Months Ended
	Sep. 30, 2022
Minimum
Revenue Recognition, Multiple-deliverable Arrangements [Line Items]
Maintenance contract term	3 years
Maximum
Revenue Recognition, Multiple-deliverable Arrangements [Line Items]
Maintenance contract term	5 years

REVENUE RECOGNITION Deferred Re

REVENUE RECOGNITION Deferred Revenue (Details) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021
Change in Contract with Customer, Liability [Roll Forward]
Beginning balance	$ 11,529	$ 8,130
Deferred revenue recorded	19,474	16,886
Deferred revenue acquired	0	1,300
Less deferred revenue recognized as revenue	(18,748)	(15,472)
Ending balance	$ 12,255	$ 10,844

REVENUE RECOGNITION Costs to Ob

REVENUE RECOGNITION Costs to Obtain and Fulfill Contracts (Details) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021
Capitalized Contract Cost [Roll Forward]
Beginning balance	$ 7,312	$ 5,992
Costs to obtain and fulfill contracts capitalized	7,460	4,719
Less costs to obtain and fulfill contracts recognized as expense	(5,440)	(4,441)
Ending balance	$ 9,332	$ 6,270

BUSINESS COMBINATION - Narrativ

BUSINESS COMBINATION - Narrative (Details) - USD ($) $ in Thousands			3 Months Ended		9 Months Ended		12 Months Ended
	Mar. 01, 2022	May 12, 2021	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021	Dec. 31, 2021
Business Acquisition [Line Items]
Weighted average remaining years of useful life					10 years
Gain on contingent consideration			$ 589	$ 0	$ (992)	$ 0
Healthcare Resource Group, Inc.
Business Acquisition [Line Items]
Consideration transferred	$ 43,900
Acquisition related costs					1,000
Pro forma information, revenue					24,500
Pro forma information, pre-tax income					$ 5,800
Healthcare Resource Group, Inc. | Minimum
Business Acquisition [Line Items]
Weighted average remaining years of useful life	4 years
Healthcare Resource Group, Inc. | Maximum
Business Acquisition [Line Items]
Weighted average remaining years of useful life	9 years
TruCode, LLC
Business Acquisition [Line Items]
Consideration transferred		$ 59,900
Acquisition related costs							$ 900
Contingent consideration earnout payment (up to)		$ 15,000
Business combination, contingent consideration period					12 months
Contingent consideration			$ 2,500		$ 2,500
Gain on contingent consideration					$ 1,000

BUSINESS COMBINATION - Prelimin

BUSINESS COMBINATION - Preliminary Allocation of the Purchase Price Paid (Details) - USD ($) $ in Thousands	Sep. 30, 2022	Dec. 31, 2021	May 12, 2021
Business Acquisition [Line Items]
Goodwill	$ 198,584	$ 177,713
Healthcare Resource Group, Inc.
Business Acquisition [Line Items]
Acquired cash	3,989
Accounts receivable	5,655
Prepaid expenses	398
Property and equipment	467
Other assets	73
Intangible assets	24,200
Operating lease assets	1,315
Goodwill	21,081
Accounts payable and accrued liabilities	(2,403)
Deferred taxes, net	(5,565)
Operating lease liability	(1,315)
Net assets acquired	$ 47,895
TruCode, LLC
Business Acquisition [Line Items]
Acquired cash			$ 4,249
Accounts receivable			924
Prepaid expenses			2
Intangible assets			37,300
Goodwill			27,287
Accounts payable and accrued liabilities			(1,840)
Contingent consideration			(2,500)
Deferred revenue			(1,300)
Net assets acquired			$ 64,122

BUSINESS COMBINATION - Pro Form

BUSINESS COMBINATION - Pro Forma Information (Details) - Healthcare Resource Group, Inc. - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Business Acquisition [Line Items]
Pro forma revenues	$ 82,827	$ 78,395	$ 249,764	$ 231,049
Pro forma net income	$ 2,285	$ 2,146	$ 13,973	$ 11,520
Pro forma diluted earnings per share (in dollars per share)	$ 0.16	$ 0.15	$ 0.95	$ 0.78

PROPERTY AND EQUIPMENT (Details

PROPERTY AND EQUIPMENT (Details) - USD ($) $ in Thousands	Sep. 30, 2022	Dec. 31, 2021
Property, Plant and Equipment [Line Items]
Property and equipment, gross	$ 21,069	$ 20,468
Less: accumulated depreciation	(10,768)	(8,878)
Property and equipment, net	10,301	11,590
Land
Property, Plant and Equipment [Line Items]
Property and equipment, gross	2,848	2,848
Buildings and improvements
Property, Plant and Equipment [Line Items]
Property and equipment, gross	8,279	8,269
Computer equipment
Property, Plant and Equipment [Line Items]
Property and equipment, gross	8,133	7,868
Leasehold improvements
Property, Plant and Equipment [Line Items]
Property and equipment, gross	783	783
Office furniture and fixtures
Property, Plant and Equipment [Line Items]
Property and equipment, gross	1,008	682
Automobiles
Property, Plant and Equipment [Line Items]
Property and equipment, gross	$ 18	$ 18

SOFTWARE DEVELOPMENT - Narrativ

SOFTWARE DEVELOPMENT - Narrative (Details) - USD ($) $ in Millions	9 Months Ended	12 Months Ended
	Sep. 30, 2022	Dec. 31, 2021
Finite-Lived Intangible Assets [Line Items]
Capitalized software development costs		$ 8.8
Increase in capitalized software development costs		$ 4.6
Software Development
Finite-Lived Intangible Assets [Line Items]
Estimated useful life	5 years

SOFTWARE DEVELOPMENT - Schedule

SOFTWARE DEVELOPMENT - Schedule of Software Development Costs, Net (Details) - USD ($) $ in Thousands	Sep. 30, 2022	Dec. 31, 2021
Research and Development [Abstract]
Software development costs	$ 27,287	$ 12,693
Less: accumulated amortization	(3,332)	(1,049)
Software development costs, net	$ 23,955	$ 11,644

OTHER ACCRUED LIABILITIES (Deta

OTHER ACCRUED LIABILITIES (Details) - USD ($) $ in Thousands	Sep. 30, 2022	Dec. 31, 2021
Payables and Accruals [Abstract]
Salaries and benefits	$ 8,857	$ 8,482
Severance	147	236
Commissions	1,001	1,158
Self-insurance reserves	1,450	1,409
Contingent consideration	1,508	2,500
Operating lease liabilities, current portion	2,051	1,592
Other	1,167	1,786
Other accrued liabilities	$ 16,181	$ 17,163

NET INCOME PER SHARE (Details)

NET INCOME PER SHARE (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Earnings Per Share [Abstract]
Net income	$ 2,161	$ 2,744	$ 13,350	$ 13,029
Less: Net income attributable to participating securities	(42)	(59)	(261)	(293)
Net income attributable to common stockholders	$ 2,119	$ 2,685	$ 13,089	$ 12,736
Weighted average shares outstanding used in basic per common share computations (in shares)	14,365,000	14,334,000	14,405,000	14,276,000
Add: Dilutive potential common shares (in shares)	0	9,000	0	27,000
Weighted average shares outstanding used in diluted per common share computations (in shares)	14,365,000	14,343,000	14,405,000	14,303,000
Basic EPS (in dollars per share)	$ 0.15	$ 0.19	$ 0.91	$ 0.89
Diluted EPS (in dollars per share)	$ 0.15	$ 0.19	$ 0.91	$ 0.89

NET INCOME PER SHARE - Narrativ

NET INCOME PER SHARE - Narrative (Details) - shares	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Earnings Per Share [Abstract]
Aggregate target (in shares)			279,374
Dilutive potential common shares included in the calculation of diluted earnings per share (in shares)	0	9,000	0	27,000

INCOME TAXES (Details)

INCOME TAXES (Details)	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Income Tax Disclosure [Abstract]
Effective tax rate percentage	26.40%	28.30%	17.90%	19%

STOCK-BASED COMPENSATION AND _3

STOCK-BASED COMPENSATION AND EQUITY - Total Stock-Based Compensation Expense (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Pre-tax stock-based compensation expense	$ 1,864	$ 1,700	$ 5,284	$ 4,179
Less: income tax effect	(410)	(374)	(1,162)	(919)
Net stock-based compensation expense	1,454	1,326	4,122	3,260
Unrecognized compensation cost related to non-vested stock-based compensation arrangements	12,000		$ 12,000
Period for recognition for which unrecognized compensation costs are expected to be recognized			2 years
Costs of sales
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Pre-tax stock-based compensation expense	274	311	$ 851	793
Operating expenses
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Pre-tax stock-based compensation expense	$ 1,590	$ 1,389	$ 4,433	$ 3,386

STOCK-BASED COMPENSATION AND _4

STOCK-BASED COMPENSATION AND EQUITY - Summary of Restricted Stock Activity (Details) - Restricted Stock - $ / shares	9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021
Shares
Stock outstanding at beginning of period (in shares)	314,883	412,967
Granted (in shares)	161,375	153,700
Vested (in shares)	(181,405)	(245,455)
Forfeited (in shares)	(8,936)	(6,329)
Stock outstanding at end of period (in shares)	285,917	314,883
Weighted-Average Grant Date Fair Value Per Share
Nonvested stock outstanding at beginning of period, weighted-average grant-date fair value (in dollars per share)	$ 29.79	$ 28.87
Granted, weighted-average grant-date fair value (in dollars per share)	34.22	31.22
Vested, weighted-average grant-date fair value (in dollars per share)	29.79	29.16
Forfeited or unearned, weighted-average grant-date fair value (in dollars per share)	31.60	29.10
Nonvested stock outstanding at end of period, weighted-average grant-date fair value (in dollars per share)	$ 32.23	$ 29.79
Minimum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period	1 year
Maximum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period	3 years

STOCK-BASED COMPENSATION AND _5

STOCK-BASED COMPENSATION AND EQUITY - Summary of Performance Share Awards (Details) - Performance Shares - $ / shares	9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021
Shares
Stock outstanding at beginning of period (in shares)	249,952	252,852
Granted (in shares)	101,799	93,444
Forfeited or unearned (in shares)	(45,060)	(20,373)
Vested and issued (in shares)	(27,317)	(75,971)
Stock outstanding at end of period (in shares)	279,374	249,952
Weighted-Average Grant Date Fair Value Per Share
Nonvested stock outstanding at beginning of period, weighted-average grant-date fair value (in dollars per share)	$ 29.59	$ 29.27
Granted, weighted-average grant-date fair value (in dollars per share)	37.98	31.26
Forfeited or unearned, weighted-average grant-date fair value (in dollars per share)	31.70	29.92
Vested and issued, weighted-average grant-date fair value (in dollars per share)	31.75	30.50
Nonvested stock outstanding at end of period, weighted-average grant-date fair value (in dollars per share)	$ 32.09	$ 29.59
Maximum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period	3 years

STOCK-BASED COMPENSATION AND _6

STOCK-BASED COMPENSATION AND EQUITY - Stock Repurchases (Details) - USD ($)	9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 04, 2020
Share-Based Payment Arrangement [Abstract]
Stock repurchase program, authorized amount			$ 30,000,000
Stock repurchased during period (in shares)	212,299	17,387
Stock repurchase program, remaining authorized repurchase amount	$ 21,600,000
Shares purchased for award (in shares)	52,905	21,444

FINANCING RECEIVABLES - Narrati

FINANCING RECEIVABLES - Narrative (Details)	3 Months Ended	9 Months Ended	12 Months Ended
	Mar. 31, 2018	Sep. 30, 2022	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2019
Loans and Leases Receivable Disclosure [Line Items]
Percentage of acute care EHR installations performed in a SaaS model	12%	100%	63%	68%	49%
Minimum
Loans and Leases Receivable Disclosure [Line Items]
Financial receivable lease term		2 years
Maximum
Loans and Leases Receivable Disclosure [Line Items]
Financial receivable lease term		7 years
Fixed Periodic Payment Plans | Minimum
Loans and Leases Receivable Disclosure [Line Items]
Current financing receivable terms		3 months
Fixed Periodic Payment Plans | Maximum
Loans and Leases Receivable Disclosure [Line Items]
Current financing receivable terms		12 months

FINANCING RECEIVABLES - Short t

FINANCING RECEIVABLES - Short term Payment Plans (Details) - USD ($) $ in Thousands	Sep. 30, 2022	Dec. 31, 2021
Financing Receivable, Allowance for Credit Loss [Line Items]
Less: allowance for losses	$ (251)	$ (325)
Short-term payment plans, net	5,028	6,488
Short-Term Payment Plans
Financing Receivable, Allowance for Credit Loss [Line Items]
Short-term payment plans, gross	402	121
Less: allowance for losses	(20)	(6)
Short-term payment plans, net	$ 382	$ 115

FINANCING RECEIVABLES - Compone

FINANCING RECEIVABLES - Components of Receivables (Details) - USD ($) $ in Thousands	Sep. 30, 2022	Dec. 31, 2021	Dec. 31, 2020
Financing Receivable, Recorded Investment, Past Due [Line Items]
Less: allowance for expected credit losses	$ (627)	$ (722)	$ (1,489)
Total financing receivables	9,255	13,719
Long-Term Financing Arrangement
Financing Receivable, Recorded Investment, Past Due [Line Items]
Long-term financing arrangements, gross	10,291	15,659
Less: allowance for expected credit losses	(607)	(716)
Less: unearned income	(811)	(1,339)
Total financing receivables	$ 8,873	$ 13,604

FINANCING RECEIVABLES - Future

FINANCING RECEIVABLES - Future Minimum Lease Payments (Details) - USD ($) $ in Thousands	Sep. 30, 2022	Dec. 31, 2021	Dec. 31, 2020
Financing Receivable, Recorded Investment, Past Due [Line Items]
Less: allowance for expected credit losses	$ (627)	$ (722)	$ (1,489)
Total financing receivables	9,255	13,719
Long-Term Financing Arrangement
Financing Receivable, Recorded Investment, Past Due [Line Items]
2022	2,744
2023	4,146
2024	2,315
2025	948
2026	117
Thereafter	21
Total minimum payments to be received	10,291
Less: allowance for expected credit losses	(607)	(716)
Less: unearned income	(811)	(1,339)
Total financing receivables	$ 8,873	$ 13,604

FINANCING RECEIVABLES - Allowan

FINANCING RECEIVABLES - Allowance for Financing Credit Losses (Details) - USD ($) $ in Thousands	9 Months Ended	12 Months Ended
	Sep. 30, 2022	Dec. 31, 2021
Allowance for Credit Losses on Financing Receivables [Roll Forward]
Balance at Beginning of Period	$ 722	$ 1,489
Provision	(133)	481
Charge-offs	38	(1,248)
Recoveries	0	0
Balance at End of Period	$ 627	$ 722

FINANCING RECEIVABLES - Analysi

FINANCING RECEIVABLES - Analysis of Age of Financing Receivables Amounts (Details) - USD ($) $ in Thousands	Sep. 30, 2022	Dec. 31, 2021
Total Past Due
Financing Receivable, Recorded Investment, Past Due [Line Items]
Long-term financing arrangements, gross	$ 1,523	$ 864
1 to 90 Days Past Due
Financing Receivable, Recorded Investment, Past Due [Line Items]
Long-term financing arrangements, gross	1,052	713
91 to 180 Days Past Due
Financing Receivable, Recorded Investment, Past Due [Line Items]
Long-term financing arrangements, gross	201	78
181 + Days Past Due
Financing Receivable, Recorded Investment, Past Due [Line Items]
Long-term financing arrangements, gross	$ 270	$ 73

FINANCING RECEIVABLES - Summary

FINANCING RECEIVABLES - Summary of Financing Receivables (Details) - USD ($) $ in Thousands	Sep. 30, 2022	Dec. 31, 2021	Dec. 31, 2020
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total financing receivables with contractual maturities of one year or less	$ 402	$ 121
Less: allowance for expected credit losses	(627)	(722)	$ (1,489)
Total financing receivables	9,255	13,719
Total Past Due
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total uninvoiced client financing receivables of clients with no related trade accounts receivable	1,523	864
Total Past Due | Trade Accounts Receivable
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total uninvoiced client financing receivables of clients with no related trade accounts receivable	8,089	9,815
Uninvoiced client financing receivables related to trade accounts receivable that are 1 to 90 Days Past Due
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total uninvoiced client financing receivables of clients with no related trade accounts receivable	1,052	713
Uninvoiced client financing receivables related to trade accounts receivable that are 1 to 90 Days Past Due | Trade Accounts Receivable
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total uninvoiced client financing receivables of clients with no related trade accounts receivable	4,985	9,100
Uninvoiced client financing receivables related to trade accounts receivable that are 91 to 180 Days Past Due
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total uninvoiced client financing receivables of clients with no related trade accounts receivable	201	78
Uninvoiced client financing receivables related to trade accounts receivable that are 91 to 180 Days Past Due | Trade Accounts Receivable
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total uninvoiced client financing receivables of clients with no related trade accounts receivable	2,237	329
Uninvoiced client financing receivables related to trade accounts receivable that are 181 + Days Past Due
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total uninvoiced client financing receivables of clients with no related trade accounts receivable	270	73
Uninvoiced client financing receivables related to trade accounts receivable that are 181 + Days Past Due | Trade Accounts Receivable
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total uninvoiced client financing receivables of clients with no related trade accounts receivable	867	386
Total Not Past Due
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total uninvoiced client financing receivables of clients with no related trade accounts receivable	$ 1,391	$ 4,505

INTANGIBLE ASSETS AND GOODWIL_2

INTANGIBLE ASSETS AND GOODWILL - Definite-lived Intangible Assets (Details) - USD ($) $ in Thousands	9 Months Ended	12 Months Ended
	Sep. 30, 2022	Dec. 31, 2021	Dec. 31, 2020
Finite-Lived Intangible Assets [Line Items]
Gross carrying amount, beginning of period		$ 162,490	$ 125,190
Intangible assets acquired	$ 24,200	37,300
Accumulated amortization	(80,204)	(67,287)
Intangible assets, net	$ 106,486	95,203
Weighted average remaining years of useful life	10 years
Customer Relationships
Finite-Lived Intangible Assets [Line Items]
Gross carrying amount, beginning of period		112,570	84,370
Intangible assets acquired	$ 19,600	28,200
Accumulated amortization	(49,623)	(41,738)
Intangible assets, net	$ 82,547	70,832
Weighted average remaining years of useful life	8 years
Trademark
Finite-Lived Intangible Assets [Line Items]
Gross carrying amount, beginning of period		12,320	11,120
Intangible assets acquired	$ 0	1,200
Accumulated amortization	(5,851)	(5,177)
Intangible assets, net	$ 6,469	7,143
Weighted average remaining years of useful life	13 years
Developed Technology
Finite-Lived Intangible Assets [Line Items]
Gross carrying amount, beginning of period		37,600	29,700
Intangible assets acquired	$ 3,200	7,900
Accumulated amortization	(24,567)	(20,372)
Intangible assets, net	$ 16,233	17,228
Weighted average remaining years of useful life	8 years
Non-Compete Agreements
Finite-Lived Intangible Assets [Line Items]
Gross carrying amount, beginning of period		0	$ 0
Intangible assets acquired	$ 1,400	0
Accumulated amortization	(163)	0
Intangible assets, net	$ 1,237	$ 0
Weighted average remaining years of useful life	5 years

INTANGIBLE ASSETS AND GOODWIL_3

INTANGIBLE ASSETS AND GOODWILL - Remaining Amortization of Definite-lived Intangible Assets (Details) - USD ($) $ in Thousands	Sep. 30, 2022	Dec. 31, 2021
Goodwill and Intangible Assets Disclosure [Abstract]
2022	$ 4,486
2023	16,058
2024	14,523
2025	14,208
2026	12,919
Thereafter	44,292
Intangible assets, net	$ 106,486	$ 95,203

INTANGIBLE ASSETS AND GOODWIL_4

INTANGIBLE ASSETS AND GOODWILL - Schedule of Goodwill (Details) $ in Thousands	9 Months Ended
	Sep. 30, 2022 USD ($)
Goodwill [Roll Forward]
Goodwill, beginning balance	$ 177,713
Goodwill acquired	20,871
Goodwill, ending balance	198,584
Operating Segments | Acute Care EHR
Goodwill [Roll Forward]
Goodwill, beginning balance	97,095
Goodwill acquired	0
Goodwill, ending balance	97,095
Operating Segments | Post-acute Care EHR
Goodwill [Roll Forward]
Goodwill, beginning balance	29,570
Goodwill acquired	0
Goodwill, ending balance	29,570
Operating Segments | TruBridge
Goodwill [Roll Forward]
Goodwill, beginning balance	51,048
Goodwill acquired	20,871
Goodwill, ending balance	$ 71,919

LONG-TERM DEBT - Schedule of Lo

LONG-TERM DEBT - Schedule of Long-term Debt (Details) - USD ($) $ in Thousands	Sep. 30, 2022	Dec. 31, 2021
Debt Instrument [Line Items]
Debt obligations	$ 141,950	$ 100,375
Less: unamortized debt issuance costs	(1,635)	(1,015)
Debt obligation, net	140,315	99,360
Less: current portion	(3,141)	(4,394)
Long-term debt	137,174	94,966
Line of credit | Term loan facility
Debt Instrument [Line Items]
Debt obligations	68,250	69,375
Line of credit | Revolving credit facility
Debt Instrument [Line Items]
Debt obligations	$ 73,700	$ 31,000

LONG-TERM DEBT - Narrative (Det

LONG-TERM DEBT - Narrative (Details) - Line of credit - USD ($)		1 Months Ended
	May 02, 2022	Jan. 31, 2016	Jun. 16, 2020
Debt Instrument [Line Items]
Line of credit facility, incremental facility capacity	$ 75,000,000
Fixed charge coverage ratio, minimum	1.25
Line of credit facility, acquisition connection incremental facility capacity	$ 25,000,000
Quarterly increase in consolidated leverage ratio after acquisition	0.5
Minimum consolidated leverage ratio	2.5
Each Quarter Through March 31, 2023
Debt Instrument [Line Items]
Consolidated leverage ratio, maximum	3.75
Each Quarter After March 31, 2023
Debt Instrument [Line Items]
Consolidated leverage ratio, maximum	3.5
London Interbank Offered Rate (LIBOR)
Debt Instrument [Line Items]
Basis spread on variable rate	0.50%
Term loan facility
Debt Instrument [Line Items]
Amount of credit facility	$ 70,000,000	$ 125,000,000	$ 75,000,000
Periodic payment, principal	900,000
Revolving credit facility
Debt Instrument [Line Items]
Amount of credit facility	$ 160,000,000	$ 50,000,000	110,000,000
Revolving credit facility | London Interbank Offered Rate (LIBOR)
Debt Instrument [Line Items]
Basis spread on variable rate	1%
Revolving credit facility | London Interbank Offered Rate (LIBOR) | Minimum
Debt Instrument [Line Items]
Basis spread on variable rate	1.80%
Revolving credit facility | London Interbank Offered Rate (LIBOR) | Maximum
Debt Instrument [Line Items]
Basis spread on variable rate	3%
Revolving credit facility | Base Rate | Minimum
Debt Instrument [Line Items]
Basis spread on variable rate	0.80%
Revolving credit facility | Base Rate | Maximum
Debt Instrument [Line Items]
Basis spread on variable rate	2%
Revolving credit facility | Federal funds rate
Debt Instrument [Line Items]
Basis spread on variable rate		0.50%
Amended and restated credit agreement
Debt Instrument [Line Items]
Amount of credit facility			$ 185,000,000
First amended and restated credit agreement
Debt Instrument [Line Items]
Amount of credit facility	$ 230,000,000

LONG-TERM DEBT - Annual Future

LONG-TERM DEBT - Annual Future Maturities (Details) - Line of credit $ in Thousands	Sep. 30, 2022 USD ($)
Debt Instrument [Line Items]
2022	$ 875
2023	3,500
2024	3,500
2025	3,500
2026	3,500
Thereafter	127,075
Total debt	$ 141,950

OPERATING LEASES - Supplemental

OPERATING LEASES - Supplemental Balance Sheet Information (Details) - USD ($) $ in Thousands	Sep. 30, 2022	Dec. 31, 2021
Leases [Abstract]
Operating lease assets	$ 7,999	$ 7,097
Operating lease liabilities
Other accrued liabilities	$ 2,051	1,592
Operating Lease, Liability, Current, Statement of Financial Position [Extensible Enumeration]	Other accrued liabilities
Operating lease liabilities, net of current portion	$ 6,088	$ 5,505
Total operating lease liabilities	$ 8,139
Weighted average remaining lease term in years	5 years
Weighted average discount rate	4.40%

OPERATING LEASES - Future Minim

OPERATING LEASES - Future Minimum Lease Payments Payable Under these Operating Leases (Details) $ in Thousands	Sep. 30, 2022 USD ($)
Leases [Abstract]
2022	$ 511
2023	2,063
2024	1,994
2025	1,258
2026	1,225
Thereafter	2,065
Total lease payments	9,116
Less imputed interest	(977)
Total	$ 8,139

OPERATING LEASES - Narrative (D

OPERATING LEASES - Narrative (Details) - USD ($) $ in Millions	9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021
Leases [Abstract]
Lease expense	$ 1.6	$ 1.4
Operating lease, payments	$ 1.6	$ 2.3

FAIR VALUE (Details)

FAIR VALUE (Details) - Fair Value, Recurring - USD ($) $ in Thousands	Sep. 30, 2022	Dec. 31, 2021
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Contingent consideration	$ 1,508	$ 2,500
Total financial liabilities	1,508	2,500
(Level 1)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Contingent consideration	0	0
Total financial liabilities	0	0
(Level 2)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Contingent consideration	0	0
Total financial liabilities	0	0
(Level 3)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Contingent consideration	1,508	2,500
Total financial liabilities	$ 1,508	$ 2,500

SEGMENT REPORTING - Summary of

SEGMENT REPORTING - Summary of Revenues and EBITDA by Segment (Details) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2022 USD ($)	Sep. 30, 2021 USD ($)	Sep. 30, 2022 USD ($) segment	Sep. 30, 2021 USD ($)
Segment Reporting Information [Line Items]
Number of operating segments | segment			3
Total sales revenues	$ 82,827	$ 70,091	$ 243,424	$ 206,629
Total adjusted EBITDA	13,349	12,237	42,671	38,353
Operating Segments | TruBridge
Segment Reporting Information [Line Items]
Total sales revenues	47,878	34,531	139,569	98,736
Total adjusted EBITDA	8,060	6,840	27,609	20,216
Operating Segments | Acute Care EHR
Segment Reporting Information [Line Items]
Total sales revenues	30,737	31,126	90,800	94,578
Total adjusted EBITDA	4,584	4,773	13,915	15,650
Operating Segments | Post-acute Care EHR
Segment Reporting Information [Line Items]
Total sales revenues	4,212	4,434	13,055	13,315
Total adjusted EBITDA	705	624	1,147	2,487
Recurring revenue | Operating Segments | Acute Care EHR
Segment Reporting Information [Line Items]
Total sales revenues	27,237	26,776	81,333	80,792
Recurring revenue | Operating Segments | Post-acute Care EHR
Segment Reporting Information [Line Items]
Total sales revenues	3,817	4,010	11,504	12,402
Non-recurring revenue | Operating Segments | Acute Care EHR
Segment Reporting Information [Line Items]
Total sales revenues	3,500	4,350	9,467	13,786
Non-recurring revenue | Operating Segments | Post-acute Care EHR
Segment Reporting Information [Line Items]
Total sales revenues	$ 395	$ 424	$ 1,551	$ 913

SEGMENT REPORTING - Reconciliat

SEGMENT REPORTING - Reconciliation of Adjusted Income (Loss) From Before Interest, Taxes, Depreciation And Amortization (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Segment Reporting [Abstract]
Net income	$ 2,161	$ 2,744	$ 13,350	$ 13,029
Deferred revenue and other acquisition-related adjustments	0	388	109	546
Depreciation	622	525	1,890	1,641
Amortization of software development costs	1,024	262	2,283	527
Amortization of acquisition-related intangibles	4,486	3,674	12,917	10,114
Stock-based compensation	1,864	1,700	5,284	4,179
Severance and other non-recurring charges	410	1,157	1,671	4,163
Interest expense and other, net	1,416	702	3,255	1,089
Gain on contingent consideration	589	0	(992)	0
Provision for income taxes	777	1,085	2,904	3,065
Total adjusted EBITDA	$ 13,349	$ 12,237	$ 42,671	$ 38,353