Thanks, Brent.
have dry going a say but let me cover in my the to afternoon eyes I am to I second. a Now item. housekeeping QX everyone. brief I want tears for good results and guidance, do first future our
I went to our noticed early promise as which the to time. You -- push out release to prior next may release schedule to a that figure the out have time. do advisory website little posted was today our button
that on to me results. our go let with So,
$X.XX with billion, This above of $XX.XX our ended X% backlog from our We divestitures. quarter down a is a range. metrics of year key the impact due quarter which with revenue in the of we which delivered expectations. the primarily I’ll to all with were guidance ago start billion, bookings, line midpoint
months. some client as RX. had revenue definition, of as impacts combined also the of contracted in the impacted excluded the to remainder more in RevWorks the Revenue from than to in commercial than Spain, was business we the RevWorks as visibility from commercial earlier related revenue range reflects as our next impact revenue in XXX backlog closed the billion over the transitioned of that closing anticipated expected non-core and in well business. backlog of assets guidance the divestitures sale more is XX% Germany services with our than of expected ASC we to $X.XX Our and other still sale QX quarter and quarter provides was XX contracts revenue, Revenue the
items, million these in the QX instead transaction into RevWorks QX on more $XX of two As a we guidance, revenue of than on $XX million. factored impact $XX about had total our impact million revenue the making result
And QX X% through our Professional XX% lower Now, $XX year-over-year million, the to in Maintenance in services. services. Subscriptions million pandemic-driven detail continued reimbursed a QX revenue business technology the divestitures, the I’ll $XXX up in and model X% now that anticipated by was down of being in software portion growth to to domestic QX due Technology primarily year-over-year by year-over-year in strong termination $XXX revenue. down finally, $X to impact driven in to Services driven due travel XX% SaaS Managed million, attrition partially declines $XX was travel restrictions. and hardware The large these impact million resale $XXX of maintenance go with growth million, compared up by was Licensed QX than XX% for XXXX. of primarily million, RevWorks in environment QX revenue down few in offset deals QX X% offerings. factors of our slightly revenue divestitures lower pushing agreement in million. overall in subscriptions was to growth was the of the QX, down Support of strength grew QX was was a and $XXX Federal due services was by the reduced out professional resale continued to to were offset XXXX, anticipated divestiture subscriptions. the driven tough third-party by of of and X% global quarter. our in year-over-year partially
revenue million from non-U.S. year-ago was billion, year revenue quarter, down Looking of $XXX due the Germany Spain. by and of down ago was geographic at assets XX% the from quarter at $X.XX primarily revenue to segment, in domestic divestiture and X% the
Moving to gross margin.
QX reimbursed for from This basis and mix was resale, XX.X%. reflecting travel. due outsourcing year Our less XXX a gross services, points is technology revenue about up improved ago, to margin
margin, net will earnings. I and operating discuss Now, spending,
acquisition-related Adjusted reconciled GAAP other other organizational For expense, COVID-XX share-based in both the Non-GAAP, Adjusted, adjustments, these earnings items, detailed our and and The restructuring that and provide gains results. release. exclude and expenses, businesses of we compensation are GAAP results sale to expense, adjustments or on related
our expenses $XXX of million down third at our compared in operating operating XX% billion $X.XX quarter the spending, to GAAP were Looking period. year-ago
QX Our to adjusted compared our were due optimization efforts, of down primarily expense. XXXX, cost operating lower and travel X% continued to expenses divestitures,
and Looking at items lower decreased the line Service Sales X% Client divestitures. driven & expense year-over-year, expense non-personnel for by QX,
XX%, our in development non-personnel net in increase software. R&D was decreased both QX basically G&A in QX expenses. a and and a from driven gross expense flat X% by f XXXX, Software expense slight capitalized decline personnel down with
gains to out a compared operating margins, X.X% included as the our on which earnings operating GAAP million see Moving statement. $XXX on you’ll line QX to in income our year-ago broke margin we XX.X% was in our divestitures, on period GAAP in separate operating
Our optimization cost improved XXXX margin XX.X%, efforts from mix. quarter and quarter, of QX our XX.X% the adjusted operating of up and for in the XX.X% reflecting was impact revenue last
expansion, track us of XXX the year Our This basis would which approximately to results operating impressive on for points be our margin and given view circumstances. outlook adjusted margin be full keep XX%. full-year we as around
QX than reflect of margin we of operating our QX, strong XXX of within points would original to XX XX.X% This our XXXX. points basis expansion For compared XXX basis still be more to to expect target. margin
We benefit as to improving the expect for continue and shared platform additional framework at remains longer investor aim to from our beyond believe modernization. valid this also margins we term implement we expansion and margin efforts optimization ongoing a we realize day year
impact $X.XX adjusted and our which QX from EPS $XXX divestitures compared the Moving QX earnings in the $X.XX million share, is Adjusted EPS, earnings diluted the up of was XXXX net in to $X.XX, gains per in net in X% quarter. in or QXXX. reflects $X.XX earnings QX $XXX up and million our to and net were were from GAAP diluted
tax on our impact GAAP the gains the XX% was and non-GAAP rate the of for taxes on reflecting higher with rate rate the our Our XX%, tax GAAP was higher quarter divestitures.
QX sheet, from partner. flow, and a a and stake an to sale We Moving balance of investments, short-term in in position. ended by free of we million equity our proceeds driven cash the $XXX cash remain divestitures, with strong solid our
ended quarter $X.XX Our billion, $XX the receivables from million at last quarter. up
and year-ago to up XX was flat QX in XX is of XXXX the Our DSO period. from which QX days days,
forward, in was in $XX expect $XXX the Free to were expenditures strong million, Looking cash quarter. cash Operating XXs capitalized and $XXX million million, DSO capital QX was $XX at for the beyond. and was we to software flow flow QX return million.
recently strengthening our amount bringing including with million, $XXX which available of billion the billion Our total us debt dividend, cash we remained increased drawn. at capital free million billion from $X.X at QX. agreement to only under coupled of share allocation has $XXX the by continuing our Note agreement M&A. and shelf strategy, end $X.X execute $X.XX flow, the that been our positions This, to repurchases, our
to Moving guidance.
discussed, uncertain pandemic to to important previously exact impact progression outlook quantify provide feel to As of business. with current we’ve but the is challenging makes the for we investors continue our the the on it our business, it
environment, colder current an weather the the to amount season and how flu our the that pandemic, impact of especially Given normal uncertainty risk. remains a on higher caution around subject large to than we have guidance continue of will
the fourth quarter. I’ll for Now, the walk through guidance
$X.XXX QX, revenue $X.XXX and between be to For we expect billion.
$X.XXX QX included As in commercial for divestitures. roughly RevWorks about XXXX divested guidance global XXXX divestitures from million and midpoint also $XX revenue of to after is adjusting from our not The range which and of a would businesses, which QX and bring of of X% XXXX reflects for QXXX revenue this revenue. represents X% with consistent year included is billion full approximately growth after billion, XXXX prior adjusting from growth $X.XXX reminder,
pandemic to and about position from QX divestitures and the million is quarter approximately management QX comparable us and of out the the in solid XXXX in our these for continue growth periods. believe XXXX. The divested $XX portfolio of QX revenue is of We subsides when headwind actions $XX remaining per impact million
businesses of to is for The guidance X% EPS our over growth to share. which over $X.XX QX through growth prior year of COVID Moving represents to from year X% to XXXX diluted offset and The adjusted would bring and to optimization lost $X.XX full EPS diluted per $X.XX, XXXX this continues impact range earnings be and we expect full growth EPS, with consistent QX the reflect and of EPS adjusted cost midpoint QX divested reflects XXXX. in the revenues ability the lower our from expected initiatives. to
that billion we midpoint we to $X.XX over through statements of our consistent we would QX from with by $X.XX pandemic billion. The the XXXX, in X% nice QX this divestitures. range Moving to increase and bookings and a of expect prior bring XXXX guidance, move bookings billion, sequential impact to The driven billion continue activity year. revenue the expect $X.XX ramp to is QX of down as bookings midpoint $X.XXX will full-year the represents
for We expect on outlook QX XXXX to provide call. our our
While there for framework the pandemic’s shared uncertainty revenue of impact, mid-single-digit points day average of some growth we duration we is investor our about the believe remains and of margin expansion the reasonable. at basis XXX an
for basis us XXXX outlook in results and are that like, in potential and finish is and drive margin how the of points quarter there expansion what pleased a XXXX. on strong pipeline than dependent updated finish focused on the year year are third next we think Our backlog on XXXX. and will be our but given solid our for look In more to this summary, in XXX we to on note executing building circumstances we with we
next call the After comment at be I XX turning to years my leaving will year. Cerner, John, Before about I’d the over departure. news like on to
external seeking we been advisor a internal smooth transition. serve associate. to Cerner named every be all when a considering noble successor, I during part a that we honor indicated, of pursuing $XXX revenue over to incredible million are $X have has we personal a It a to grew Brent to mission Once plan from while and billion, an Cerner a candidates. As as successor ensure an to and is time
gratifying. During this to Cerner both celebrate, an our work This and for had several growth. has transformational time, been definitely wave along facing next challenges. made few years The career. exciting countless we and to included reasons This with has important position of for challenging have fulfilling past profitable have
strategy me facing delivering around XXX-year Cerner was a focused We It are on value more pandemic; client delivering technology. and despite creating organized in on expansion a see commitments; growth have to margin created healthcare deliver we the we opportunities have on begin and we important to Cerner’s and to at this are while an care new well-positioned to on stay be members and believe greater than leadership health advanced our I the to ever. team which era of can get team allowed we now acclimated. impact transformational work Brent during
catching but leave. will and community part my I better. for I challenged each over in CFO to you us appreciated successes, many John. thank in a up also perspective before call Finally, as I’d when that needed turn we with always you like the do that, our of I to experience. I investment have look you With making your the time forward to acknowledged great to of your
