Company profile

Ticker
CERN
Exchange
Website
CEO
Brent Shafer
Employees
Incorporated in
Location
Fiscal year end
Former names
Cerner Corp
SEC CIK
IRS number
431196944

CERN stock data

(
)

Calendar

25 Oct 19
21 Nov 19
28 Dec 19

News

Company financial data Financial data

Quarter (USD) Sep 19 Jun 19 Mar 19 Dec 18
Revenue 1.43B 1.43B 1.39B 1.37B
Net income 81.94M 126.97M 166.22M 131.32M
Diluted EPS 0.26 0.39 0.51 0.4
Net profit margin 5.73% 8.87% 11.96% 9.62%
Operating income 88.78M 131.12M 197.94M 164.13M
Net change in cash -206.49M 199.76M 129.04M -124.49M
Cash on hand 496.43M 702.92M 503.16M 374.13M
Cost of revenue 271.78M 268.67M 253.2M 236.96M

Financial data from Cerner earnings reports

Financial report summary

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Management Discussion
  • Revenues increased 7% to $1.43 billion in the third quarter of 2019, as compared to $1.34 billion in the same period of 2018. This increase was primarily driven by a $51 million increase in professional services revenue due to growth in implementation activity, and growth in licensed software revenue of $15 million as a result of continued demand for our solutions. Refer to Note (2) of the notes to condensed consolidated financial statements for further information regarding revenues disaggregated by our business models.
  • Backlog, which reflects contracted revenue that has not yet been recognized as revenue, was $13.31 billion in the third quarter of 2019, compared to $14.70 billion in the same period of 2018. This decrease was primarily driven by the termination of certain client contracts, discussed further below. We expect to recognize 31% of our backlog as revenue over the next 12 months.
  • We believe that backlog may not necessarily be a comprehensive indicator of future revenue as certain of our arrangements may be canceled (or conversely renewed) at our clients' option, thus contract consideration related to such cancellable periods has been excluded from our calculation of backlog. However, historically our experience has been that such cancellation provisions are rarely exercised. We expect to recognize $882 million of revenue over the next 12 months under currently executed contracts related to such cancellable periods, which is not included in our calculation of backlog.
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