Document and Entity Information
Document and Entity Information - shares | 3 Months Ended | |
Mar. 31, 2021 | Apr. 26, 2021 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Mar. 31, 2021 | |
Document Fiscal Year Focus | 2021 | |
Document Fiscal Period Focus | Q1 | |
Trading Symbol | MDRX | |
Entity Registrant Name | ALLSCRIPTS HEALTHCARE SOLUTIONS, INC. | |
Entity Central Index Key | 0001124804 | |
Entity Current Reporting Status | Yes | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Large Accelerated Filer | |
Entity Shell Company | false | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Common Stock, Shares Outstanding | 141,165,166 | |
Entity File Number | 001-35547 | |
Entity Tax Identification Number | 36-4392754 | |
Entity Address, Address Line One | 222 Merchandise Mart | |
Entity Address, Address Line Two | Suite 2024 | |
Entity Address, City or Town | Chicago | |
Entity Address, State or Province | IL | |
Entity Address, Postal Zip Code | 60654 | |
City Area Code | 800 | |
Local Phone Number | 334-8534 | |
Entity Interactive Data Current | Yes | |
Title of 12(b) Security | Common Stock, par value $0.01 per share | |
Security Exchange Name | NASDAQ | |
Entity Incorporation, State or Country Code | DE | |
Document Quarterly Report | true | |
Document Transition Report | false |
CONSOLIDATED BALANCE SHEETS (Un
CONSOLIDATED BALANCE SHEETS (Unaudited) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
Current assets: | ||
Cash and cash equivalents | $ 513,400 | $ 531,104 |
Restricted cash | 2,110 | 6,361 |
Accounts receivable, net of allowance of $32,078 and $31,596 as of March 31, 2021 and December 31, 2020, respectively | 359,068 | 347,355 |
Contract assets, net of allowance of $1,068 as of March 31, 2021 and December 31, 2020 | 106,945 | 106,717 |
Income tax receivable | 25,421 | 25,421 |
Prepaid expenses and other current assets | 128,493 | 136,264 |
Total current assets | 1,135,437 | 1,153,222 |
Fixed assets, net | 67,376 | 72,162 |
Software development costs, net | 188,716 | 193,202 |
Intangible assets, net | 273,927 | 286,602 |
Goodwill | 974,772 | 974,729 |
Deferred taxes, net | 5,779 | 5,790 |
Contract assets - long-term, net of allowance of $4,273 as of March 31, 2021 and December 31, 2020 | 45,845 | 43,682 |
Right-of-use assets - operating leases | 90,180 | 96,601 |
Other assets | 89,360 | 91,628 |
Total assets | 2,871,392 | 2,917,618 |
Current liabilities: | ||
Accounts payable | 26,886 | 35,905 |
Accrued expenses | 93,499 | 100,262 |
Accrued compensation and benefits | 84,153 | 118,771 |
Deferred revenue | 380,355 | 334,764 |
Current operating lease liabilities | 22,571 | 22,264 |
Current liabilities attributable to discontinued operations | 272,872 | 322,811 |
Total current liabilities | 880,336 | 934,777 |
Long-term debt | 169,442 | 167,587 |
Deferred revenue | 3,020 | 3,471 |
Deferred taxes, net | 16,898 | 18,186 |
Long-term operating lease liabilities | 87,703 | 93,463 |
Other liabilities | 35,335 | 33,891 |
Total liabilities | 1,192,734 | 1,251,375 |
Commitments and contingencies | ||
Stockholders’ equity: | ||
Preferred stock: $0.01 par value, 1,000 shares authorized, no shares issued and outstanding as of March 31, 2021 and December 31, 2020 | 0 | 0 |
Common stock: $0.01 par value, 349,000 shares authorized as of March 31, 2021 and December 31, 2020; 275,241 and 140,626 shares issued and outstanding as of March 31, 2021, respectively; 274,558 and 139,942 shares issued and outstanding as of December 31, 2020, respectively | 2,751 | 2,745 |
Treasury stock: at cost, 134,616 shares as of March 31, 2021 and December 31, 2020 | (870,558) | (870,558) |
Additional paid-in capital | 1,906,534 | 1,902,776 |
Retained earnings | 642,175 | 633,118 |
Accumulated other comprehensive loss | (2,244) | (1,838) |
Total stockholders’ equity | 1,678,658 | 1,666,243 |
Total liabilities and stockholders’ equity | $ 2,871,392 | $ 2,917,618 |
CONSOLIDATED BALANCE SHEETS (_2
CONSOLIDATED BALANCE SHEETS (Unaudited) (Parenthetical) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
Statement Of Financial Position [Abstract] | ||
Accounts receivable, allowance | $ 32,078 | $ 31,596 |
Contract assets, allowance | 1,068 | 1,068 |
Contract assets - long-term, allowance | $ 4,273 | $ 4,273 |
Preferred stock, par value | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized | 1,000,000 | 1,000,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 349,000,000 | 349,000,000 |
Common stock, shares issued | 275,241,000 | 274,558,000 |
Common stock, shares outstanding | 140,626,000 | 139,942,000 |
Treasury stock at cost, shares | 134,616,000 | 134,616,000 |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Revenue: | ||
Revenue from contract with customers | $ 368,352 | $ 381,364 |
Cost of revenue: | ||
Amortization of software development and acquisition-related assets | 29,489 | 28,124 |
Total cost of revenue | 218,307 | 249,428 |
Gross profit | 150,045 | 131,936 |
Selling, general and administrative expenses | 81,708 | 92,825 |
Research and development | 49,173 | 59,377 |
Amortization of intangible and acquisition-related assets | 5,824 | 6,710 |
Income (loss) from operations | 13,340 | (26,976) |
Interest expense | (3,143) | (10,665) |
Other income, net | 1,037 | 522 |
Equity in net income of unconsolidated investments | 22 | 200 |
Income (loss) from continuing operations before income taxes | 11,256 | (36,919) |
Income tax (provision) benefit | (2,663) | 4,534 |
Income (loss) from continuing operations, net of tax | 8,593 | (32,385) |
(Loss) income from discontinued operations | (29) | 16,218 |
Gain on sale of discontinued operations | 647 | 0 |
Income tax effect on discontinued operations | (154) | (4,187) |
Income from discontinued operations, net of tax | 464 | 12,031 |
Net income (loss) | $ 9,057 | $ (20,354) |
Basic | ||
Continuing operations | $ 0.06 | $ (0.20) |
Discontinued operations | 0 | 0.07 |
Net income (loss) per share - Basic | 0.06 | (0.13) |
Diluted | ||
Continuing operations | 0.06 | (0.20) |
Discontinued operations | 0 | 0.07 |
Net income (loss) per share - Diluted | $ 0.06 | $ (0.13) |
Software delivery, Support and Maintenance [Member] | ||
Revenue: | ||
Revenue from contract with customers | $ 222,691 | $ 232,140 |
Cost of revenue: | ||
Total cost of revenue | 70,731 | 73,084 |
Client services [Member] | ||
Revenue: | ||
Revenue from contract with customers | 145,661 | 149,224 |
Cost of revenue: | ||
Total cost of revenue | $ 118,087 | $ 148,220 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Statement Of Income And Comprehensive Income [Abstract] | ||
Net income (loss) | $ 9,057 | $ (20,354) |
Other comprehensive income (loss): | ||
Foreign currency translation adjustments | 99 | (2,512) |
Change in fair value of derivatives qualifying as cash flow hedges | (681) | (473) |
Other comprehensive income (loss) before income tax benefit | (582) | (2,985) |
Income tax benefit related to items in other comprehensive income (loss) | 176 | 122 |
Total other comprehensive income (loss) | (406) | (2,863) |
Comprehensive income (loss) | $ 8,651 | $ (23,217) |
CONSOLIDATED STATEMENTS OF STOC
CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (Unaudited) - USD ($) $ in Thousands | Total | Common Stock Issued [Member] | Treasury Stock [Member] | Additional Paid-In Capital [Member] | Retained Earnings (Accumulated Deficit) [Member] | Retained Earnings (Accumulated Deficit) [Member]Cumulative Effect Period Of Adoption Adjustment [Member]Revision Of Prior Period Accounting Standards Update Adjustment [Member] | Accumulated Other Comprehensive Loss [Member] | Noncontrolling Interest |
Beginning Balance, Shares at Dec. 31, 2019 | 272,609,000 | (110,134,000) | ||||||
Beginning Balance at Dec. 31, 2019 | $ 1,285,188 | $ 2,725 | $ (571,157) | $ 1,907,348 | $ (49,336) | $ (17,953) | $ (4,392) | |
Stock-based compensation | 9,954 | |||||||
Common stock issued under stock compensation plans, net of shares withheld for employee taxes, Shares | 875,000 | |||||||
Common stock issued under stock compensation plans, net of shares withheld for employee taxes | $ 8 | (3,168) | ||||||
Purchase of treasury stock, Shares | (1,449,000) | |||||||
Purchase of treasury stock | $ (9,714) | |||||||
Warrants issued | 682 | |||||||
Net income (loss) | (20,354) | |||||||
Foreign currency translation adjustments, net | (2,512) | (2,512) | ||||||
Unrecognized loss on derivatives qualifying as cash flow hedges,net of tax | (351) | |||||||
Ending Balance, Shares at Mar. 31, 2020 | 273,484,000 | (111,583,000) | ||||||
Ending Balance at Mar. 31, 2020 | 1,241,780 | $ 2,733 | $ (580,871) | 1,914,816 | (87,643) | $ (7,255) | ||
Beginning Balance, Shares at Dec. 31, 2019 | 272,609,000 | (110,134,000) | ||||||
Beginning Balance at Dec. 31, 2019 | $ 1,285,188 | $ 2,725 | $ (571,157) | 1,907,348 | (49,336) | (17,953) | (4,392) | |
Common stock issued under stock compensation plans, net of shares withheld for employee taxes, Shares | 1,900,000 | |||||||
Ending Balance, Shares at Dec. 31, 2020 | 274,558,000 | 274,558,000 | (134,616,000) | |||||
Ending Balance at Dec. 31, 2020 | $ 1,666,243 | $ 2,745 | $ (870,558) | 1,902,776 | 633,118 | $ 0 | (1,838) | |
Stock-based compensation | 8,701 | |||||||
Common stock issued under stock compensation plans, net of shares withheld for employee taxes, Shares | 700,000 | 683,000 | ||||||
Common stock issued under stock compensation plans, net of shares withheld for employee taxes | $ 6 | (5,980) | ||||||
Purchase of treasury stock, Shares | 0 | 0 | ||||||
Purchase of treasury stock | $ 0 | |||||||
Warrants issued | 1,037 | |||||||
Net income (loss) | $ 9,057 | |||||||
Accounting Standards Update Extensible List | Accounting Standards Update 2016-13 [Member] | |||||||
Foreign currency translation adjustments, net | $ 99 | $ 99 | ||||||
Unrecognized loss on derivatives qualifying as cash flow hedges,net of tax | $ (505) | |||||||
Ending Balance, Shares at Mar. 31, 2021 | 275,241,000 | 275,241,000 | (134,616,000) | |||||
Ending Balance at Mar. 31, 2021 | $ 1,678,658 | $ 2,751 | $ (870,558) | $ 1,906,534 | $ 642,175 | $ (2,244) |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Cash flows from operating activities: | ||
Net income (loss) | $ 9,057 | $ (20,354) |
Less: Income from discontinued operations | 464 | 12,031 |
Income (loss) from continuing operations | 8,593 | (32,385) |
Adjustments to reconcile net income (loss) to net cash provided by operating activities: | ||
Depreciation and amortization | 44,026 | 49,505 |
Operating right-of-use asset amortization | 5,019 | 5,463 |
Stock-based compensation expense | 8,701 | 9,954 |
Deferred taxes | (1,122) | (2,160) |
Equity in net income of unconsolidated investments | (22) | (200) |
Other loss (income), net | 1,752 | (1,072) |
Changes in operating assets and liabilities (net of businesses acquired): | ||
Accounts receivable and contract assets, net | 33,795 | 3,960 |
Prepaid expenses and other assets | 7,935 | 20,409 |
Accounts payable | (8,726) | (23,627) |
Accrued expenses | (5,233) | 10,087 |
Accrued compensation and benefits | (34,633) | (640) |
Deferred revenue | (1,475) | 1,849 |
Other liabilities | 1,444 | 2,933 |
Operating leases | (4,143) | (6,143) |
Accrued DOJ settlement | 0 | (57,289) |
Net cash provided by (used in) operating activities - continuing operations | 55,911 | (19,356) |
Net cash (used in) provided by operating activities - discontinued operations | (51,336) | 15,648 |
Net cash provided by (used in) operating activities | 4,575 | (3,708) |
Cash flows from investing activities: | ||
Capital expenditures | (2,377) | (2,777) |
Capitalized software | (18,144) | (26,490) |
Purchases of equity securities, other investments and related intangible assets, net | (221) | (3,028) |
Sale of other investments | 1,753 | 0 |
Net cash used in investing activities - continuing operations | (18,989) | (32,295) |
Net cash used in investing activities - discontinued operations | 0 | (2,134) |
Net cash used in investing activities | (18,989) | (34,429) |
Cash flows from financing activities: | ||
Taxes paid related to net share settlement of equity awards | (5,972) | (3,174) |
Payments for issuance costs on 0.875% Convertible Senior Notes | 0 | (758) |
Credit facility payments | 0 | (80,000) |
Credit facility borrowings, net of issuance costs | 0 | 210,000 |
Repurchase of common stock | 0 | (9,714) |
Payment of acquisition and other financing obligations | (1,542) | (2,911) |
Net cash (used in) provided by financing activities | (7,514) | 113,443 |
Effect of exchange rate changes on cash and cash equivalents | (27) | (713) |
Net (decrease) increase in cash and cash equivalents | (21,955) | 74,593 |
Cash, cash equivalents and restricted cash, beginning of period | 537,465 | 137,539 |
Cash, cash equivalents and restricted cash, end of period | $ 515,510 | $ 212,132 |
CONSOLIDATED STATEMENTS OF CA_2
CONSOLIDATED STATEMENTS OF CASH FLOWS (Parenthetical) (Unaudited) | Mar. 31, 2021 | Jun. 30, 2020 | Mar. 31, 2020 | Dec. 31, 2019 |
0.875% Convertible Senior Notes [Member] | ||||
Debt instrument interest rate | 0.875% | 0.875% | 0.875% | 0.875% |
Basis of Presentation and Signi
Basis of Presentation and Significant Accounting Policies | 3 Months Ended |
Mar. 31, 2021 | |
Accounting Policies [Abstract] | |
Basis of Presentation and Significant Accounting Policies | 1. Basis of Presentation and Significant Accounting Policies Principles of Consolidation The consolidated financial statements include the accounts of Allscripts Healthcare Solutions, Inc. (“Allscripts”) and its wholly-owned subsidiaries and controlled affiliates. All significant intercompany balances and transactions have been eliminated. Each of the terms “we,” “us,” “our” or the “Company” as used herein refers collectively to Allscripts Healthcare Solutions, Inc. and its wholly-owned subsidiaries and controlled affiliates, unless otherwise stated. Unaudited Interim Financial Information The unaudited interim consolidated financial statements as of and for the three months ended March 31, 2021 and 2020 have been prepared in accordance with the rules and regulations of the Securities and Exchange Commission (the “SEC”) for interim financial reporting. These interim consolidated financial statements are unaudited and, in the opinion of our management, include all adjustments, consisting of normal recurring adjustments and accruals, necessary Certain information and footnote disclosures normally included in annual financial statements prepared in accordance with GAAP have been condensed or omitted in accordance with the SEC's rules and regulations for interim reporting. The Company believes that the disclosures made are adequate to make these unaudited interim consolidated financial statements not misleading. They should be read in conjunction with the consolidated financial statements and related notes included in our Annual Report on Form 10-K for the year ended December 31, 2020 (our “Form 10-K”). Use of Estimates The preparation of consolidated financial statements in accordance with GAAP requires us to make estimates and assumptions that affect the amounts reported and disclosed in the consolidated financial statements and the accompanying notes. Our estimates and assumptions consider the economic implications of COVID-19 on our critical and significant accounting estimates. Actual results could differ materially from these estimates. Significant Accounting Policies There have been no changes to our significant accounting policies from those disclosed in our Form 10-K. Recently Adopted Accounting Pronouncements In December 2019, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update No. 2019-12, “ Income Taxes (Topic 740) Accounting Pronouncements Not Yet Adopted In August 2020, the FASB issued Accounting Standards Update No. 2020-06, “ Debt—Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging—Contracts in Entity’s Own Equity (Subtopic 815-40): Accounting for Convertible Instruments and Contracts in an Entity’s Own Equity” We do not believe that any other recently issued, but not yet effective accounting standards, if adopted, will have a material impact on our consolidated financial statements. |
Revenue from Contracts with Cus
Revenue from Contracts with Customers | 3 Months Ended |
Mar. 31, 2021 | |
Revenue From Contract With Customer [Abstract] | |
Revenue from Contracts with Customers | 2. Revenue from Contracts with Customers Our two primary revenue streams are (i) software delivery, support and maintenance and (ii) client services. Software delivery, support and maintenance revenue consists of all of our proprietary software sales (either under a perpetual or term license delivery model), subscription-based software sales, transaction-related revenue, the resale of hardware and third-party software and revenue from post-contract client support and maintenance services, which include telephone support services, maintaining and upgrading software and ongoing enhanced maintenance. Client services revenue consists of revenue from managed services solutions, such as private cloud hosting, outsourcing and revenue cycle management, as well as other client services and project-based revenue from implementation, training and consulting services. For some clients, we host the software applications licensed from us using our own or third-party servers. For other clients, we offer an outsourced service in which we assume partial to total responsibility for a healthcare organization’s IT operations using our employees. At March 31, 2021 and December 31, 2020, we had capitalized costs to obtain or fulfill a contract of $16.2 million and $16.8 million, respectively, in Prepaid and other current assets and $28.4 million and $27.9 million, respectively, in Other assets. During the three months ended March 31, 2021 and 2020, we recognized $5.8 million and $6.7 million, respectively, of amortization expense related to such capitalized costs. The amortization of these capitalized costs to obtain a contract are included in Selling, general and administrative expense within our consolidated statements of operations. The timing of revenue recognition, billings and cash collections results in billed and unbilled accounts receivable, contract assets and customer advances and deposits. Accounts receivable, net includes both billed and unbilled amounts where the right to receive payment is unconditional and only subject to the passage of time. Contract assets include amounts where revenue recognized exceeds the amount billed to the customer and the right to payment is not solely subject to the passage of time. Deferred revenue includes advanced payments and billings in excess of revenue recognized. Our contract assets and deferred revenue are reported in a net position on an individual contract basis at the end of each reporting period. Contract assets are classified as current or long-term based on the timing of when we expect to complete the related performance obligations and bill the customer. Deferred revenue is classified as current or long-term based on the timing of when we expect to recognize revenue. The breakdown of revenue recognized based on the origination of performance obligations and elected accounting expedients is presented in the table below: (In thousands) Three Months Ended March 31, 2021 Revenue related to deferred revenue balance at beginning of period $ 137,848 Revenue related to new performance obligations satisfied during the period 173,316 Revenue recognized under "right-to-invoice" expedient 56,811 Reimbursed travel expenses, shipping and other revenue 377 Total revenue $ 368,352 (In thousands) Three Months Ended March 31, 2020 Revenue related to deferred revenue balance at beginning of period $ 105,366 Revenue related to new performance obligations satisfied during the period 216,580 Revenue recognized under "right-to-invoice" expedient 58,059 Reimbursed travel expenses, shipping and other revenue 1,359 Total revenue $ 381,364 The aggregate amount of contract transaction price related to remaining unsatisfied performance obligations (commonly referred to as “backlog”) represents contracted revenue that has not yet been recognized and includes both deferred revenue and amounts that will be invoiced and recognized as revenue in future periods. Total backlog equaled $4.0 billion as of March 31, 2021, of which we expect to recognize approximately 31% over the next 12 months, and the remaining 69% thereafter. Revenue Recognition We recognize revenue only when we satisfy an identified performance obligation (or bundle of obligations) by transferring control of a promised product or service to a customer. We consider a product or service to be transferred when a customer obtains control because a customer has sole possession of the right to use (or the right to direct the use of) the product or service for the remainder of its economic life or to consume the product or service in its own operations. We evaluate the transfer of control primarily from the customer’s perspective as this reduces the risk that revenue is recognized for activities that do not transfer control to the customer. The majority of our revenue is recognized over time because a customer continuously and simultaneously receives and consumes the benefits of our performance. The exceptions to this pattern are our sales of perpetual and term software licenses, and hardware, where we determined that a customer obtains control of the asset upon granting of access, delivery or shipment. We disaggregate our revenue from contracts with customers based on the type of revenue and nature of revenue stream, as we believe those categories best depict how the nature, amount, timing and uncertainty of our revenue and cash flows are affected by economic factors. The below tables summarize revenue by type and nature of revenue stream as well as by our reportable segments: Three Months Ended March 31, (In thousands) 2021 2020 Revenue: Recurring revenue $ 295,648 $ 309,981 Non-recurring revenue 72,704 71,383 Total revenue $ 368,352 $ 381,364 Three Months Ended March 31, 2021 (In thousands) Core Clinical and Financial Solutions Data, Analytics and Care Coordination Unallocated Amounts Total Software delivery, support and maintenance $ 165,210 $ 61,859 $ (4,378 ) $ 222,691 Client services 143,955 1,706 0 145,661 Total revenue $ 309,165 $ 63,565 $ (4,378 ) $ 368,352 Three Months Ended March 31, 2020 (In thousands) Core Clinical and Financial Solutions Data, Analytics and Care Coordination Unallocated Amounts Total Software delivery, support and maintenance $ 174,081 $ 60,458 $ (2,399 ) $ 232,140 Client services 146,251 2,973 0 149,224 Total revenue $ 320,332 $ 63,431 $ (2,399 ) $ 381,364 Contract Assets – Estimate of Credit Losses We adopted ASU 2016-13 on January 1, 2020 using the cumulative-effect adjustment transition method. The new guidance required the recognition of lifetime estimated credit losses expected to occur for contract assets. The guidance also required that we pool assets with similar risk characteristics and consider current economic conditions when estimating losses. The adoption of ASU 2016-13 for contract assets was recorded as a debit to retained earnings of $5.3 million as of January 1, 2020. At adoption, we segmented the contract asset population into pools based on their risk assessment. Risks related to contract assets are a customer’s inability to pay or bankruptcy. Each pool was defined by their internal credit assessment, and business size. The pools were aligned with management’s review of financial performance at the time. In the fourth quarter of 2020, we used each customer’s primary business unit in our pooling determination. This assessment provides additional information of the customer including size, segment and industry. Using this perspective, we added one new pool. We reallocated pools and loss rates accordingly and noted slight shifts in each pool. The new pools are aligned with management’s current review of financial performance. For the three months ended March 31, 2021, no adjustment to the pools was necessary. We utilized a loss-rate method to measure expected credit loss for each pool. The loss rate is calculated using a twenty-four-month lookback period of credit memos and adjustments divided by the average contract asset balance for each pool during that period. We considered current economic conditions, including how the COVID-19 pandemic is impacting the global economy, internal forecasts, cash collection and credit memos written during the current period when assessing loss rates. We reviewed these factors and concluded that no adjustments should be made to the historical loss rate data. The March 31, 2021 analysis resulted in no change in the ending estimate of credit losses. Changes in the estimate of credit losses for contract assets are presented in the table below. (In thousands) Total Balance at December 31, 2020 $ 5,341 Current period provision 0 Balance at March 31, 2021 $ 5,341 Less: Contract assets, short-term 1,068 Total contract assets, long-term $ 4,273 |
Accounts Receivables
Accounts Receivables | 3 Months Ended |
Mar. 31, 2021 | |
Receivables [Abstract] | |
Accounts Receivables | 3. Accounts Receivable Trade Accounts Receivable – Estimate of Credit Losses We adopted ASU 2016-13 on January 1, 2020 using the cumulative-effect adjustment transition method. The new guidance required the recognition of lifetime estimated credit losses expected to occur for trade accounts receivable. The guidance also required that we pool assets with similar risk characteristics and consider current economic conditions when estimating losses. The adoption of ASU 2016-13 for trade accounts receivable was recorded as a debit to retained earnings of $12.6 million as of January 1, 2020 At adoption, we segmented the accounts receivable population into pools based on their risk assessment. Risks related to trade accounts receivable are a customer’s inability to pay or bankruptcy. Each pool was defined by their internal credit assessment, and business size. The pools were aligned with management’s review of financial performance at the time. In the fourth quarter of 2020, we used each customer’s primary business unit in our pooling determination. This assessment provides additional information of the customer including size, segment and industry. Using this perspective, we added one new pool. We reallocated pools and loss rates accordingly and noted slight shifts in each pool. The new pools are aligned with management’s current review of financial performance. For the three months ended March 31, 2021, no adjustment to the pools was necessary. We utilized a loss-rate method to measure expected credit loss for each pool. The loss rate is calculated using a twelve-month lookback period of credit memos and adjustments divided by the average accounts receivable balance for each pool during that period. We considered current economic conditions, including how the COVID-19 pandemic is impacting the global economy, internal forecasts, cash collection and credit memos written during the current period when assessing loss rates. We reviewed these factors and concluded that no adjustments should be made to the historical loss rate data. Changes in the estimate of credit losses for trade accounts receivable are presented in the tables below. (In thousands) Total Balance at December 31, 2020 $ 31,596 Current period provision 1,463 Write-offs (1,381 ) Recoveries 400 Balance at March 31, 2021 $ 32,078 |
Leases
Leases | 3 Months Ended |
Mar. 31, 2021 | |
Lessee Disclosure [Abstract] | |
Leases | 4. Leases We determine whether an arrangement is a lease at inception. Assets leased under an operating lease arrangement are recorded in Right-of-use assets – operating leases and the associated lease liabilities are included in Current operating lease liabilities and Long-term operating lease liabilities within the consolidated balance sheets. Assets leased under finance lease arrangements are recorded within fixed assets and the associated lease liabilities are recorded within Accrued expenses and Other liabilities within the consolidated balance sheets. Right-of-use assets represent our right to use an underlying asset for the lease term and lease liabilities represent our obligation to make lease payments arising from the lease. Operating lease right-of-use assets and liabilities are recognized at the commencement date based on the present value of lease payments over the expected lease term. Since our lease arrangements do not provide an implicit rate, we use our incremental borrowing rate in conjunction with the market swap rate for the expected remaining lease term at the commencement date for new leases in determining the present value of future lease payments. Our expected lease terms may include options to extend or terminate the lease when it is reasonably certain that we will exercise that option. Operating lease expense is recognized on a straight-line basis over the lease term. We have elected the group of practical expedients under ASU 2016-02 to forego assessing upon adoption: (1) whether any expired contracts are or contain leases; (2) the lease classification for any existing or expired leases and (3) any indirect costs that would have qualified for capitalization for any existing leases. We have lease agreements with lease and non-lease components, which are generally accounted for separately except for real estate and vehicle leases, which we have elected to combine through a practical expedient under ASU 2016-02. Non-lease components for our leases typically consist of executory costs, and the practical expedient allows for executory costs to be recorded as lease payments. Additionally, for certain equipment leases, we apply a portfolio approach to effectively record right-of-use assets and liabilities. Our operating leases mainly include office leases and our finance leases include office and computer equipment leases. Our finance leases are not significant. Our leases have remaining lease terms up to 8 years, some of which include options to extend the leases for up to 5 years, which may include options to terminate the leases within 1 year. Operating costs associated with leased assets are as follows: (In thousands) Three Months Ended March 31, 2021 2020 Operating lease cost (1) $ 6,061 $ 6,753 Less: Sublease income (83 ) (603 ) Total operating lease costs $ 5,978 $ 6,150 (1) Operating lease costs are recognized on a straight-line basis and are included in Selling, general and administrative expenses within the consolidated statements of operations. Supplemental cash flow information for operating leases is as follows: (In thousands) Three Months Ended March 31, 2021 2020 Operating cash flows from operating leases $ 5,056 $ 7,242 Right-of-use assets obtained in exchange for operating lease obligations $ 0 $ 19,913 The balance sheet location and balances for operating leases are as follows: (In thousands, except lease term and discount rate) March 31, 2021 December 31, 2020 Right-of-use assets - operating leases $ 90,180 $ 96,601 Current operating lease liabilities $ 22,571 $ 22,264 Long-term operating lease liabilities $ 87,703 $ 93,463 Weighted average remaining lease term (in years) 5 6 Weighted average discount rate 3.6 % 3.6 % The future maturities of our leasing arrangements including lease and non-lease components are shown in the below table. The maturities are calculated using foreign currency exchange rates in effect as of March 31, 2021. March 31, 2021 (In thousands) Operating Leases Remainder of 2021 $ 19,874 2022 24,442 2023 22,699 2024 17,337 2025 14,878 Thereafter 21,954 Total lease liabilities 121,184 Less: Amount representing interest (10,910 ) Less: Short-term lease liabilities (22,571 ) Total long-term lease liabilities $ 87,703 |
Business Combinations and Dives
Business Combinations and Divestitures | 3 Months Ended |
Mar. 31, 2021 | |
Business Combinations [Abstract] | |
Business Combinations and Divestitures | 5. Business Combinations and Divestitures Acquisitions On July 2, 2019, we acquired the Pinnacle and Diabetes Collaborative Registries from the American College of Cardiology (“ACC”) as part of our broader strategic partnership with the ACC. The total purchase price was $19.7 million, consisting of an initial payment of $11.7 million plus up to an aggregate of $8.0 million pending the attainment of certain milestones over the next 18 months. The contingent consideration of up to $8.0 million was valued at $5.0 million at the time of closing. As part of this partnership, we operate Pinnacle and Diabetes Collaborative Registries, which extends our EHR-enabled ambulatory network to create a large-scale chronic disease network. The business is included in our Data, Analytics and Care Coordination business segment. During the first quarter of 2021, we extended the ACC earnout agreement to June 30, 2021. An expected payout of $1.0 million has been accrued as contingent consideration within our consolidated financial statements. Refer to Note 6, “ Fair Value Measurements and Long-term Investments” for additional information regarding the contingent consideration Divestitures On December 31, 2020, we completed the sale of substantially all of the assets of our CarePort business to a subsidiary of WellSky Corp., a Delaware corporation (“WellSky”), pursuant to a purchase agreement (the “CarePort Purchase Agreement”). The total consideration for CarePort was $1.35 billion, which was subject to certain adjustments for liabilities assumed by WellSky and net working capital as described in the CarePort Purchase Agreement. We realized a pre-tax gain upon the sale of $933.9 million, which was included in the Gain on sale of discontinued operations line in our consolidated statements of operations for the year ended December 31, 2020. During the first quarter of 2021, we recorded a $0.6 million gain that primarily related to net working capital adjustments in the Gain on sale of discontinued operations line in our consolidated statements of operations for the three months ended March 31, 2021. The divestiture was treated as a discontinued operation as of December 31, 2020. Refer to Note 15, “Discontinued Operations” for additional information. On December 31, 2020, we repaid $161.0 million of the Term Loan (as defined below) as a result of the sale, which was a mandatory prepayment in accordance with the Second Amended Credit Agreement (as defined below). On October 15, 2020, we completed the sale of substantially all of the assets of our EPSi TM Strata Decision Technology LLC, an Illinois limited liability company (“Strata”), and Roper Technologies, Inc., a Delaware corporation, pursuant to a purchase agreement (the “EPSi Purchase Agreement”) . Refer to Note 15, “Discontinued Operations” for additional information. On October 29, 2020, we repaid $19.0 million of the Term Loan (as defined below) as a result of the sale, which was a mandatory prepayment in accordance with the Second Amended Credit Agreement (as defined below). |
Fair Value Measurements and Lon
Fair Value Measurements and Long-term Investments | 3 Months Ended |
Mar. 31, 2021 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements and Long-term Investments | 6. Fair Value Measurements and Long-term Investments Fair value measurements are based upon observable and unobservable inputs. Level 1: Inputs are unadjusted quoted prices in active markets for identical assets or liabilities at the measurement date. Level 2: Quoted prices for similar instruments in active markets with inputs that are observable, either directly or indirectly. Our Level 2 derivative financial instruments include foreign currency forward contracts valued based upon observable values of spot and forward foreign currency exchange rates. Level 3: Unobservable inputs are significant to the fair value of the asset or liability, and include situations where there is little, if any, market activity for the asset or liability. Our Level 3 instrument includes the fair value of contingent consideration related to a completed acquisition. The fair value is based on a discounted cash flow analysis reflecting the likelihood of achieving specified performance measures or events and captures the contractual nature of the contingencies, commercial risk, or time value of money. The following table summarizes our financial assets and liabilities measured at fair value on a recurring basis as of the respective balance sheet dates: Balance Sheet March 31, 2021 December 31, 2020 (In thousands) Classifications Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total Foreign exchange derivative assets Prepaid expenses and other current assets $ 0 $ 827 $ 0 $ 827 $ 0 $ 1,509 $ 0 $ 1,509 Total assets $ 0 $ 827 $ 0 $ 827 $ 0 $ 1,509 $ 0 $ 1,509 Contingent consideration - current Accrued expenses $ 0 $ 0 $ 1,011 $ 1,011 $ 0 $ 0 $ 1,011 $ 1,011 Total liabilities $ 0 $ 0 $ 1,011 $ 1,011 $ 0 $ 0 $ 1,011 $ 1,011 The changes in our Level 3 liability measured at fair value on a recurring basis at March 31, 2021 is summarized as follows: (In thousands) Contingent Consideration Balance at December 31, 2020 $ 1,011 Additions 0 Balance at March 31, 2021 $ 1,011 The following table summarizes the quantitative information about our Level 3 fair value measurements at March 31, 2021: March 31, 2021 (In thousands, except the discount rate) Fair Value Valuation Technique Significant Unobservable Inputs Ranges of Inputs Weighted Average (1) Financial instruments: Contingent consideration $ 1,011 Probability Weighted Discounted cash flow Discount rate 5.3% to 5.5% 5.4 % Registry members 0 to 1,551 776 Patient data volume 0 to 52,845 26,422 Projected year of payment 2021 Total financial instruments $ 1,011 (1) The weighted average is calculated based upon the absolute fair value of the instruments. Long-term Investments The following table summarizes our long-term equity investments which are included in Other assets in the accompanying consolidated balance sheets: Number of Investees Original Carrying Value at (In thousands, except for number of investees) at March 31, 2021 Cost March 31, 2021 December 31, 2020 Equity method investments (1) 3 $ 7,099 $ 10,441 $ 10,744 Cost less impairment 8 37,568 25,280 25,059 Total long-term equity investments 11 $ 44,667 $ 35,721 $ 35,803 (1) Allscripts share of the earnings of our equity method investees is reported based on a one quarter lag. As of March 31, 2021, it is not possible to estimate the fair value of our non-marketable cost and equity method investments, primarily because of their illiquidity and restricted marketability. The factors we considered in trying to determine fair value include, but are not limited to, available financial information, the issuer’s ability to meet its current obligations, the issuer’s subsequent or planned raises of capital and observable price changes in orderly transactions. Impairment of Long-term Investments Each quarter, management performs an assessment of each of our investments on an individual basis to determine if there have been any declines in fair value. Based on our assessment, we determined no impairment charges were necessary for the three months ended March 31, 2021. Long-term Financial Liabilities Our long-term financial liabilities include amounts outstanding under our senior secured credit facility (as described in Note 10, “Debt”), with carrying values that approximate fair value since the interest rates approximate current market rates. Refer to Note 10, “Debt,” for further information regarding our long-term financial liabilities. |
Stockholders' Equity
Stockholders' Equity | 3 Months Ended |
Mar. 31, 2021 | |
Equity [Abstract] | |
Stockholders' Equity | 7. Stockholders' Equity Stock-based Compensation Expense Stock-based compensation expense recognized during the three months ended March 31, 2021 and 2020 is included in our consolidated statements of operations as shown in the below table. Stock-based compensation expense includes both non-cash expense related to grants of stock-based awards as well as cash expense related to the employee discount applied to purchases of our common stock under our employee stock purchase plan. No stock-based compensation costs were capitalized during the three months ended March 31, 2021 and 2020. Three Months Ended March 31, (In thousands) 2021 2020 Cost of revenue: Software delivery, support and maintenance $ 496 $ 575 Client services 1,379 1,091 Total cost of revenue 1,875 1,666 Selling, general and administrative expenses 8,043 7,042 Research and development 1,913 2,395 Total stock-based compensation expense $ 11,831 $ 11,103 Allscripts Long-Term Incentive Plan We measure stock-based compensation expense at the grant date based on the fair value of the award. We recognize the expense for service-based share awards over the requisite service period on a straight-line basis, net of estimated forfeitures. We recognize the expense for performance-based and market-based share awards over the vesting period under the accelerated attribution method, net of estimated forfeitures. In addition, we recognize stock-based compensation cost for awards with performance conditions if and when we conclude that it is probable that the performance conditions will be achieved. The fair value of service-based and performance-based restricted stock units is measured at the underlying closing share price of our common stock on the date of grant. The fair value of market-based restricted stock units is measured using the Monte Carlo pricing model. No stock options were granted during the three months ended March 31, 2021 and 2020. We granted stock-based awards as follows: Three Months Ended March 31, 2021 Weighted-Average Grant Date (In thousands, except per share amounts) Shares Fair Value Service-based restricted stock units 482 $ 15.16 Performance-based restricted stock units with a service condition 235 $ 15.16 Market-based restricted stock units with a service condition 235 $ 17.19 952 $ 15.66 During the three months ended March 31, 2021 and the year ended December 31, 2020, 0.7 million and 1.9 million shares of common stock, respectively, were issued in connection with the release of restrictions on stock awards. Net Share-settlements Upon vesting, restricted stock units are generally net share-settled to cover the required withholding tax, and the remaining amount is converted into an equivalent number of shares of common stock. The majority of restricted stock units and awards that vested during the three months ended March 31, 2021 and 2020 were net-share settled such that we withheld shares with fair value equivalent to the employees’ minimum statutory obligation for the applicable income and other employment taxes and remitted the cash to the appropriate taxing authorities. Total payments for the employees' minimum statutory tax obligations to the taxing authorities are reflected as a financing activity within the accompanying consolidated statements of cash flows. The total shares withheld for the three months ended March 31, 2021 and 2020 were 383 thousand and 407 thousand, respectively, and were based on the value of the restricted stock units on their vesting date as determined by our closing stock price. These net-share settlements had the effect of share repurchases by us as they reduced the number of shares that would have otherwise been issued as a result of the vesting. Stock Repurchases On November 18, 2020, we announced that our Board approved a new stock purchase program (the “2020 Program”) under which we may repurchase up to $300 million of our common stock through December 31, 2021. The 2020 Program replaced a previous program. There were no repurchases during the three months ended March 31, 2021. During the three months ended March 31, 2020, we repurchased 1.5 million shares of our common stock under the previous program for a total of $9.7 million. On November 30, 2020, we entered into separate Master Confirmations (each, a “Master Confirmation”) and Supplemental Confirmations (each, together with the related Master Confirmation, an “ASR Agreement”), with JPMorgan Chase Bank, National Association and Wells Fargo Bank, National Association (each, an “ASR Counterparty”, or collectively, “ASR Counterparties”), to purchase shares of our common stock for a total payment of $200.0 million (the “Prepayment Amount”). Under the terms of the ASR Agreements, on November 30, 2020, we paid the Prepayment Amount to the ASR Counterparties and received on December 2, 2020 an initial delivery of 11.7 million shares of our common stock, which is approximately 80% of the total number of shares that could be repurchased under the ASR Agreements if the final purchase price per share equaled the closing price of our common stock on November 30, 2020. These repurchased shares became treasury shares and were recorded as a $165.7 million reduction to shareholder’s equity. The remaining $34.3 million of the Prepayment Amount was recorded as a reduction to shareholders’ equity as an unsettled forward contract indexed to our common stock. We excluded the potential share impact of any remaining shares subject to repurchase from the computation of diluted earnings per share as these shares would be anti-dilutive as of March 31, 2021. The approximate dollar value of shares of our common stock that may yet be purchased under the 2020 Program following the ASR Agreements is $67.2 million as of March 31, 2021. At final settlement, depending on the final purchase price per share, the ASR Counterparties may be required to deliver additional shares of our common stock to the Company, or, under certain circumstances, we may be required to make a cash payment to each ASR Counterparty or may elect to deliver the equivalent value in shares of our common stock. The final purchase price per share under each ASR Agreement will generally be based on the average of daily volume-weighted average prices of shares of our common stock during a term set forth in the ASR Agreements. The ASR Agreements contain provisions customary for agreements of this type, including provisions for adjustments to the transaction terms, the circumstances generally under which the ASR Agreements may be accelerated, extended or terminated early by the ASR Counterparties and various acknowledgments, representations and warranties made by the parties to one another. Final settlement of the ASR Agreements is expected to be completed during the second quarter of 2021. Any future stock repurchase transactions may be made through open market transactions, block trades, privately negotiated transactions (including accelerated share repurchase transactions) or other means, subject to market conditions. Any repurchase activity will depend on many factors such as our working capital needs, cash requirements for investments, debt repayment obligations, economic and market conditions at the time, including the price of our common stock, and other factors that we consider relevant. Our stock repurchase program may be accelerated, suspended, delayed or discontinued at any time. |
Earnings (Loss) Per Share
Earnings (Loss) Per Share | 3 Months Ended |
Mar. 31, 2021 | |
Earnings Per Share [Abstract] | |
Earnings (Loss) Per Share | 8. Earnings (Loss) Per Share Basic earnings (loss) per share is computed by dividing net income (loss) by the weighted-average shares of common stock outstanding. For purposes of calculating diluted earnings (loss) per share, the denominator includes both the weighted-average shares of common stock outstanding and dilutive common stock equivalents. Dilutive common stock equivalents consist of restricted stock unit awards and warrants calculated under the treasury stock method. The calculations of earnings (loss) per share are as follows: Three Months Ended March 31, (In thousands, except per share amounts) 2021 2020 Basic earnings (loss) per Common Share: Income (loss) from continuing operations, net of tax $ 8,593 $ (32,385 ) Income from discontinued operations, net of tax 464 12,031 Net income (loss) $ 9,057 $ (20,354 ) Weighted-average common shares outstanding 140,191 162,461 Basic earnings (loss) from continuing operations per Common Share $ 0.06 $ (0.20 ) Basic earnings from discontinued operations per Common Share 0.00 0.07 Net earnings (loss) per Common Share $ 0.06 $ (0.13 ) Diluted earnings (loss) per Common Share: Income (loss) from continuing operations, net of tax $ 8,593 $ (32,385 ) Income from discontinued operations, net of tax 464 12,031 Net income (loss) $ 9,057 $ (20,354 ) Weighted-average common shares outstanding 140,191 162,461 Plus: Dilutive effect of restricted stock unit awards and warrants 8,949 0 Weighted-average common shares outstanding assuming dilution 149,140 162,461 Diluted earnings (loss) from continuing operations per Common Share $ 0.06 $ (0.20 ) Diluted earnings from discontinued operations per Common Share 0.00 0.07 Net earnings (loss) per Common Share $ 0.06 $ (0.13 ) Due to the net loss for the three months ended March 31, 2020, we used basic weighted-average common shares outstanding in the calculation of diluted loss per share, since the inclusion of any stock equivalents would be anti-dilutive. The following restricted stock unit awards and warrants are not included in the computation of diluted earnings (loss) per share as the effect of including such restricted stock unit awards and warrants in the computation would be anti-dilutive: Three Months Ended March 31, (In thousands) 2021 2020 Shares subject to anti-dilutive restricted stock unit awards and warrants excluded from calculation 5,360 48,032 |
Goodwill and Intangible Assets
Goodwill and Intangible Assets | 3 Months Ended |
Mar. 31, 2021 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Goodwill and Intangible Assets | 9. Goodwill and Intangible Assets Goodwill and intangible assets consist of the following: March 31, 2021 December 31, 2020 Gross Gross Carrying Accumulated Intangible Carrying Accumulated Intangible (In thousands) Amount Amortization Assets, Net Amount Amortization Assets, Net Intangibles subject to amortization: Proprietary technology $ 535,121 $ (472,173 ) $ 62,948 $ 535,092 $ (465,292 ) $ 69,800 Customer contracts and relationships 674,336 (515,357 ) 158,979 674,336 (509,534 ) 164,802 Total $ 1,209,457 $ (987,530 ) $ 221,927 $ 1,209,428 $ (974,826 ) $ 234,602 Intangibles not subject to amortization: Registered trademarks $ 52,000 $ 52,000 Goodwill 974,772 974,729 Total $ 1,026,772 $ 1,026,729 Changes in the carrying amounts of goodwill by reportable segment for the three months ended March 31, 2021 were as follows: (In thousands) Core Clinical and Financial Solutions Data, Analytics and Care Coordination Total Balance as of December 31, 2020 735,502 239,227 974,729 Foreign exchange translation 43 0 43 Balance as of March 31, 2021 $ 735,545 $ 239,227 $ 974,772 There were no accumulated impairment losses associated with goodwill as of March 31, 2021 and December 31, 2020. |
Debt
Debt | 3 Months Ended |
Mar. 31, 2021 | |
Debt Disclosure [Abstract] | |
Debt | 10. Debt Debt outstanding, excluding lease obligations, consists of the following: March 31, 2021 December 31, 2020 (In thousands) Principal Balance Unamortized Discount and Debt Issuance Costs Net Carrying Amount Principal Balance Unamortized Discount and Debt Issuance Costs Net Carrying Amount 0.875% Convertible Senior Notes (1) $ 167,853 $ (4,625 ) $ 172,478 $ 167,853 $ (3,166 ) $ 171,019 Senior Secured Credit Facility 0 3,036 (3,036 ) 0 3,432 (3,432 ) Total debt $ 167,853 $ (1,589 ) $ 169,442 $ 167,853 $ 266 $ 167,587 (1) Principal balance is $207,911 thousand; $167,853 thousand is recognized in debt and $40,058 thousand is recognized in additional paid-in capital. Interest expense consists of the following: Three Months Ended March 31, (In thousands) 2021 2020 Interest expense $ 1,288 $ 4,949 Amortization of discounts and debt issuance costs 1,855 5,716 Total interest expense $ 3,143 $ 10,665 Interest expense related to the 0.875% Convertible Senior Notes and the 1.25% Cash Convertible Senior Notes (which matured and were repaid in full on July 1, 2020), included in the table above, consisted of the following: Three Months Ended March 31, (In thousands) 2021 2020 Coupon interest $ 455 $ 1,555 Amortization of discounts and debt issuance costs 1,459 5,288 Total interest expense related to the convertible notes $ 1,914 $ 6,843 Allscripts Senior Secured Credit Facility On February 15, 2018, Allscripts and Allscripts Healthcare LLC entered into a Second Amended and Restated Credit Agreement (the “Second Amended Credit Agreement”), with JPMorgan Chase Bank, N.A., as administrative agent. The Second Amended Credit Agreement provides for a $400 million senior secured term loan (the “Term Loan”) and a $900 million senior secured revolving facility (the “Revolving Facility”), each with a five-year As of March 31, 2021, $1.1 million in letters of credit were outstanding under the Second Amended Credit Agreement. No amount under the Revolving Facility was outstanding as of March 31, 2021. As of March 31, 2021, we were in compliance with all covenants under the Second Amended Credit Agreement. In connection with the sale of our EPSi which is further discussed in Note 5, “Business Combinations and Divestitures”, the terms of our Second Amended Credit Agreement required us to make a mandatory prepayment of our Term Loan in the amount of $19.0 million on October 29, 2020. In connection with the sale of our CarePort business on December 31, 2020, which is further discussed in Note 5, “Business Combinations and Divestitures”, the terms of our Second Amended Credit Agreement required us to make a mandatory prepayment of our Term Loan in the amount of $161.0 million on December 31, 2020. On August 7, 2019, we entered into a First Amendment to the Second Amended Credit Agreement in order to remain compliant with the covenants of our Second Amended Credit Agreement. The First Amendment provided the financial flexibility to settle the U.S. Department of Justice’s investigations as discussed in Note 14, “Contingencies”, while maintaining our compliance with the covenants of our Second Amended Credit Agreement. None of the original terms of our Second Amended Credit Agreement relating to scheduled future principal payments, applicable interest rates and margins or borrowing capacity under our Revolving Facility were amended. On July 20, 2020, we entered into a Second Amendment to the Second Amended Credit Agreement. None of the original terms of our Second Amended Credit Agreement relating to scheduled future principal payments, applicable interest rates and margins or borrowing capacity under our Revolving Facility were amended. In connection with this amendment, we incurred fees and other costs totaling $1.4 million, of which a majority was capitalized. As of March 31, 2021, we had $898.9 million available borrowing capacity, net of outstanding letters of credit, under the Revolving Facility. There can be no assurance that we will be able to draw on the full available balance of the Revolving Facility if the financial institutions that have extended such credit commitments become unwilling or unable to fund such borrowings or if we are unable to maintain compliance with applicable covenants. 0.875% Convertible Senior Notes The issuance in December 2019 of the combined $ 218.0 0.7 million in debt issuance costs, which were paid in January 2020. We have separately recorded liability and equity components of the 0.875% Convertible Senior Notes, including any discounts and issuance costs, by allocating the proceeds from the issuance between the liability component and the embedded conversion option, or equity component. This allocation was completed by first estimating an interest rate at the time of issuance for similar notes that do not include an embedded conversion option. The semi-annual interest rate of 1.95 % was used to compute the initial fair value of the liability component, which totaled $ 177.9 time of issuance. The excess of the initial proceeds received from the 0.875% Convertible Senior Notes and the $177.9 million liability component was allocated to the equity component, which totaled $ 40.1 17.2 1.1 Future Debt Payments The following table summarizes future debt payment obligations as of March 31, 2021: (In thousands) Total Remainder of 2021 2022 2023 2024 2025 Thereafter 0.875% Convertible Senior Notes (1) $ 207,911 $ 0 $ 0 $ 0 $ 0 $ 0 $ 207,911 Total debt $ 207,911 $ 0 $ 0 $ 0 $ 0 $ 0 $ 207,911 (1) Amount represents face value of the 0.875% Convertible Senior Notes, which includes both the liability and equity portion. |
Income Taxes
Income Taxes | 3 Months Ended |
Mar. 31, 2021 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | 11. Income Taxes We account for income taxes under FASB Accounting Standards Codification 740, “ Income Taxes” Three Months Ended March 31, (In thousands, except effective tax rate) 2021 2020 Income (loss) from continuing operations before income taxes $ 11,256 $ (36,919 ) Income tax (provision) benefit $ (2,663 ) $ 4,534 Effective tax rate 23.7 % 12.3 % Our provision for income taxes differs from the tax computed at the U.S. federal statutory income tax rate primarily due to permanent differences, income attributable to foreign jurisdictions taxed at different rates, state taxes, tax credits and certain discrete items. Our effective tax rate for the three months ended March 31, 2021, compared with the prior year comparable period, differs primarily due to the fact that the permanent items, credits and the impact of foreign earnings had less impact on the pre-tax income of $11.3 million in the three months ended March 31, 2021, compared to the impact of these items on a pre-tax loss of $36.9 million for the three months ended March 31, 2020. In evaluating our ability to recover our deferred tax assets within the jurisdictions from which they arise, we consider all available evidence, including scheduled reversals of deferred tax liabilities, tax-planning strategies, and results of recent operations. In evaluating the objective evidence that historical results provide, we consider three years of cumulative operating income (loss). During the three months ended March 31, 2021, we recorded valuation allowances of $0.2 million related to U.S. and foreign net operating loss carryforwards. Our unrecognized income tax benefits were $30.1 million and $28.9 million as of March 31, 2021 and December 31, 2020, respectively. If any portion of our unrecognized tax benefits is recognized, it could impact our effective tax rate. The tax reserves are reviewed periodically and adjusted considering changing facts and circumstances, such as progress of tax audits, lapse of applicable statutes of limitations and changes in tax law. |
Derivative Financial Instrument
Derivative Financial Instruments | 3 Months Ended |
Mar. 31, 2021 | |
Derivative Instruments And Hedging Activities Disclosure [Abstract] | |
Derivative Financial Instruments | 12. Derivative Financial Instruments The following tables provide information about the fair values of our derivative financial instruments as of the respective balance sheet dates: March 31, 2021 Asset Derivatives (In thousands) Balance Sheet Location Fair Value Derivatives qualifying as cash flow hedges: Foreign exchange contracts Prepaid expenses and other current assets $ 827 Total derivatives $ 827 December 31, 2020 Asset Derivatives (In thousands) Balance Sheet Location Fair Value Derivatives qualifying as cash flow hedges: Foreign exchange contracts Prepaid expenses and other current assets $ 1,509 Total derivatives $ 1,509 Foreign Exchange Contracts We have entered into non-deliverable forward foreign currency exchange contracts with reputable banking counterparties to hedge a portion of our forecasted future Indian Rupee-denominated (“INR”) expenses against foreign currency fluctuations between the United States dollar and the INR. These forward contracts cover a percentage of forecasted monthly INR expenses over time. As of March 31, 2021, there were three forward contracts outstanding that were staggered to mature monthly starting in April 2021 June 2021 The following tables show the impact of derivative instruments designated as cash flow hedges on the consolidated statements of operations and the consolidated statements of comprehensive loss: Amount of Gain (Loss) Recognized in OCI Amount of Gain (Loss) Reclassified from AOCI into Income (In thousands) Three Months Ended March 31, 2021 Location of Gain (Loss) Reclassified from AOCI into Income Three Months Ended March 31, 2021 Foreign exchange contracts $ 175 Cost of Revenue $ 321 Selling, general and administrative expenses 184 Research and development $ 351 Amount of Gain (Loss) Recognized in OCI Amount of Gain (Loss) Reclassified from AOCI into Income (In thousands) Three Months Ended March 31, 2020 Location of Gain (Loss) Reclassified from AOCI into Income Three Months Ended March 31, 2020 Foreign exchange contracts $ (473 ) Cost of Revenue $ 0 Selling, general and administrative expenses 0 Research and development $ 0 |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Loss | 3 Months Ended |
Mar. 31, 2021 | |
Equity [Abstract] | |
Accumulated Other Comprehensive Loss | 13. Accumulated Other Comprehensive Loss Accumulated Other Comprehensive Loss Changes in the balances of each component included in AOCI are presented in the tables below. All amounts are net of tax. (In thousands) Foreign Currency Translation Adjustments Unrealized Net Gains (Losses) on Foreign Exchange Contracts Total Balance as of December 31, 2020 (1) $ (2,957 ) $ 1,119 $ (1,838 ) Other comprehensive income (loss) before reclassifications 99 130 229 Net (gains) losses reclassified from accumulated other comprehensive loss 0 (635 ) (635 ) Net other comprehensive income (loss) 99 (505 ) (406 ) Balance as of March 31, 2021 (2) $ (2,858 ) $ 614 $ (2,244 ) (1) Net of taxes of $390 thousand for unrealized net gains on foreign exchange contract derivatives. (2) Net of taxes of $214 thousand for unrealized net gains on foreign exchange contract derivatives. (In thousands) Foreign Currency Translation Adjustments Unrealized Net Gains (Losses) on Foreign Exchange Contracts Total Balance as of December 31, 2019 (1) $ (4,392 ) $ 0 $ (4,392 ) Other comprehensive income (loss) before reclassifications (2,512 ) (351 ) (2,863 ) Net other comprehensive income (loss) (2,512 ) (351 ) (2,863 ) Balance as of March 31, 2020 (2) $ (6,904 ) $ (351 ) $ (7,255 ) (1) Net of taxes of $149 thousand arising from the revaluation of tax effects included in AOCI. (2) Net of taxes of $122 thousand for unrealized net losses on foreign exchange contract derivatives. Income Tax Effects Related to Components of Other Comprehensive Income (Loss) The following tables reflect the tax effects allocated to each component of other comprehensive income (loss) (“OCI”): Three Months Ended March 31, 2021 2020 (In thousands) Before-Tax Amount Tax Effect Net Amount Before-Tax Amount Tax Effect Net Amount Foreign currency translation adjustments $ 99 $ 0 $ 99 $ (2,512 ) $ 0 $ (2,512 ) Derivatives qualifying as cash flow hedges: Foreign exchange contracts: Net gains (losses) arising during the period 175 (45 ) 130 (473 ) 122 (351 ) Net (gains) losses reclassified into income (856 ) 221 (635 ) 0 0 0 Net change in unrealized (losses) gains on foreign exchange contracts (681 ) 176 (505 ) (473 ) 122 (351 ) Other comprehensive income (loss) $ (582 ) $ 176 $ (406 ) $ (2,985 ) $ 122 $ (2,863 ) |
Contingencies
Contingencies | 3 Months Ended |
Mar. 31, 2021 | |
Commitments And Contingencies Disclosure [Abstract] | |
Contingencies | 14. Contingencies In addition to commitments and obligations in the ordinary course of business, we are currently subject to various legal proceedings and claims that have not been fully adjudicated. We intend to vigorously defend ourselves, as appropriate, in these matters. No less than quarterly, we review the status of each significant matter and assess our potential financial exposure. We accrue a liability for an estimated loss if the potential loss from any legal proceeding or claim is considered probable and the amount can be reasonably estimated. Significant judgment is required in both the determination of probability and the determination as to whether the amount of an exposure is reasonably estimable, and accruals are based only on the information available to our management at the time the judgment is made. The outcome of legal proceedings is inherently uncertain, and we may incur substantial defense costs and expenses defending any of these matters. In the opinion of our management, the ultimate disposition of pending legal proceedings or claims will not have a material adverse effect on our consolidated financial position, liquidity or results of operations. However, if one or more of these additional legal proceedings were resolved against or settled by us in a reporting period for amounts in excess of our management’s expectations, our consolidated financial statements for that and subsequent reporting periods could be materially adversely affected. Additionally, the resolution of a legal proceeding against us could prevent us from offering our products and services to current or prospective clients or cause us to incur increased compliance costs, either of which could further adversely affect our operating results. The Enterprise Information Solutions business (the “EIS Business”) acquired from McKesson Corporation (“McKesson”) on October 2, 2017 is subject to a May 2017 civil investigative demand (“CID”) from the U.S. Attorney’s Office for the Eastern District of New York. The CID requests documents and information related to the certification McKesson obtained for Horizon Clinicals in connection with the U.S. Department of Health and Human Services’ Electronic Health Record Incentive Program. In August 2018, McKesson received an additional CID seeking similar information for Paragon. McKesson has agreed, with respect to the CIDs, to indemnify Allscripts for amounts paid or payable to the government (or any private relator) involving any products or services marketed, sold or licensed by the EIS Business as of or prior to the closing of the acquisition. Practice Fusion, acquired by Allscripts on February 13, 2018, received in March 2017 a request for documents and information from the U.S. Attorney’s Office for the District of Vermont pursuant to a CID. Between April 2018 and June 2019, Practice Fusion received from the U.S. Department of Justice (the “DOJ”) seven additional requests for documents and information through four additional CIDs and three Health Insurance Portability and Accountability Act (“HIPAA”) subpoenas. The document and information requests received by Practice Fusion related to both the certification Practice Fusion obtained in connection with the U.S. Department of Health and Human Services’ Electronic Health Record Incentive Program and Practice Fusion’s compliance with the Anti-Kickback Statute (“AKS”) and HIPAA as it relates to certain business practices engaged in by Practice Fusion. In March 2019, Practice Fusion received a grand jury subpoena in connection with a criminal investigation related to Practice Fusion’s compliance with the AKS. On August 6, 2019, Practice Fusion reached an agreement in principle with the DOJ to resolve all of the DOJ’s outstanding civil and criminal investigations, including the investigation by the U.S. Attorney’s Office for the District of Vermont, and we announced that on January 27, 2020, Practice Fusion entered into a deferred prosecution agreement and various civil settlement agreements, including with the Medicaid programs for each U.S. state, the District of Columbia and Puerto Rico (collectively, the “Settlement Agreements”) resolving the investigations conducted by the DOJ and the U.S. Attorney’s Office. The Settlement Agreements required Practice Fusion to, among other matters, pay a criminal fine of $25.3 million, a forfeiture payment of $959,700 and a civil settlement of $118.6 million, which includes $5.2 million designated for the state Medicaid program expenditures, all of which, as of December 31, 2020, have been paid in full. |
Discontinued Operations
Discontinued Operations | 3 Months Ended |
Mar. 31, 2021 | |
Discontinued Operations And Disposal Groups [Abstract] | |
Discontinued Operations | 15. Discontinued Operations During 2020, we implemented a strategic initiative to sell two of our businesses, EPSi and CarePort. Since both businesses were part of the same strategic initiative and were sold within the same period, the combined sale of EPSi and CarePort represents a strategic shift that had a major effect on our operations and financial results. As of December 31, 2020, these businesses were reported together as discontinued operations. On October 15, 2020, we completed the sale of our EPSi business. Prior to the sale, EPSi was part of the Unallocated category as it did not meet the requirements to be a reportable segment nor the criteria to be aggregated into our two reportable segments. On its own, the divestiture of the EPSi business did not represent a strategic shift that had a major effect on our operations and financial results. However, the combined sale of EPSi and CarePort represented a strategic shift that had a major effect on our operations and financial results. Therefore, EPSi was treated as a discontinued operation. On December 31, 2020, we completed the sale of our CarePort business. Prior to the sale, CarePort was part of the Data, Analytics and Care Coordination reportable segment. On its own, the divestiture of the CarePort business represented a strategic shift that had a major effect on our operations and financial results. The following table summarizes the major classes of assets and liabilities of EPSi and CarePort, as reported on the consolidated balance sheets as of March 31, 2021 and December 31, 2020: (In thousands) March 31, 2021 December 31, 2020 Carrying amounts of major classes of liabilities associated with EPSi and CarePort included as part of discontinued operations: Accrued expenses $ 3,566 $ 6,669 Income tax payable 269,306 316,142 Total current liabilities attributable to discontinued operations $ 272,872 $ 322,811 The following table summarizes the major income and expense line items of EPSi and CarePort as reported in the consolidated statements of operations for the three months ended March 31, 2021 and 2020. The activity during the three months ended March 31, 2021 primarily relates to net working capital adjustments that impacted the gain on the sale of the discontinued operations. Three Months Ended Three Months Ended (In thousands) March 31, 2021 March 31, 2020 Major income and expense line items related to EPSi and CarePort: Revenue: Software delivery, support and maintenance $ (363 ) $ 31,482 Client services (5 ) 3,878 Total revenue (368 ) 35,360 Cost of revenue: Software delivery, support and maintenance (487 ) 3,241 Client services 123 4,565 Amortization of software development and acquisition-related assets 0 2,517 Total cost of revenue (364 ) 10,323 Gross profit (4 ) 25,037 Selling, general and administrative expenses 65 4,464 Research and development (40 ) 2,778 Amortization of intangible assets 0 7 (Loss) income from discontinued operations for EPSi and CarePort (29 ) 17,788 Interest expense 0 (1,558 ) Gain on sale of discontinued operations 647 0 Income from discontinued operations for EPSi and CarePort before income taxes (1) 618 16,230 Income tax provision (154 ) (4,187 ) Income from discontinued operations, net of tax for EPSi and CarePort ( 2) $ 464 $ 12,043 (1) Income from discontinued operations for EPSi and CarePort does not agree to the consolidated statements of operations for the three months ended March 31, 2020, due to residual amounts related to Netsmart . Refer to Note 17, “Supplemental Disclosures” for additional information. (2) Income from discontinued operations, net of tax for EPSi and CarePort does not agree to the consolidated statements of operations for the three months ended March 31, 2020 due to residual amounts related to Netsmart. Refer to Note 17, Supplemental Disclosures” for additional information. |
Business Segments
Business Segments | 3 Months Ended |
Mar. 31, 2021 | |
Segment Reporting [Abstract] | |
Business Segments | 16. Business Segments We primarily derive our revenues from sales of our proprietary software (either as a direct license sale or under a subscription delivery model), which also serves as the basis for our recurring service contracts for software support and maintenance and certain transaction-related services. In addition, we provide various other client services, including installation, and managed services, such as outsourcing, private cloud hosting and revenue cycle management. As of March 31, 2021, we had two operating segments. The operating segments are equivalent to the reportable segments. The Core Clinical and Financial Solutions segment derives its revenue from the sale of software applications for patient engagement, integrated clinical and financial management solutions, which primarily include EHR-related software, financial and practice management software, related installation, support and maintenance, outsourcing, private cloud hosting and revenue cycle management. The Data, Analytics and Care Coordination segment derives its revenue from the sale of practice reimbursement and payer and life sciences solutions, which are mainly targeted at physician practices, payers, life sciences companies and other key healthcare stakeholders. These solutions enable clients to transition, analyze, coordinate care and improve the quality, efficiency and value of healthcare delivery across the entire care community. The “Unallocated Amounts” category consists of transfer pricing revenues and as of January 1, 2021 includes certain corporate related expenses. Our Chief Operating Decision Maker (“CODM”) uses segment revenues, gross profit and income (loss) from operations as measures of performance and to make decisions about the allocation of resources. We do not track our assets by segment. Three Months Ended March 31, (In thousands) 2021 2020 Revenue: Core Clinical and Financial Solutions $ 309,165 $ 320,332 Data, Analytics and Care Coordination 63,565 63,431 Unallocated Amounts (4,378 ) (2,399 ) Total revenue $ 368,352 $ 381,364 Gross profit: Core Clinical and Financial Solutions $ 119,962 $ 100,434 Data, Analytics and Care Coordination 30,083 31,502 Unallocated Amounts 0 0 Total gross profit $ 150,045 $ 131,936 Income (loss) from operations: Core Clinical and Financial Solutions $ 17,605 $ (20,712 ) Data, Analytics and Care Coordination 382 (6,264 ) Unallocated Amounts (4,647 ) 0 Total income (loss) from operations $ 13,340 $ (26,976 ) |
Supplemental Disclosures
Supplemental Disclosures | 3 Months Ended |
Mar. 31, 2021 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Supplemental Disclosures | 17. Supplemental Disclosures Supplemental Consolidated Statements of Cash Flows Information The majority of the restricted cash balance as of March 31, 2021 and 2020 represents the remaining balance of the escrow account established as part of the acquisition of Netsmart LLC (“Netsmart”) in 2016, to be used by Netsmart to facilitate the integration of Allscripts’ former Homecare TM March 31, (In thousands) 2021 2020 Reconciliation of cash, cash equivalents and restricted cash: Cash and cash equivalents $ 513,400 $ 204,308 Restricted cash 2,110 7,824 Total cash, cash equivalents and restricted cash $ 515,510 $ 212,132 |
Basis of Presentation and Sig_2
Basis of Presentation and Significant Accounting Policies (Policies) | 3 Months Ended |
Mar. 31, 2021 | |
Accounting Policies [Abstract] | |
Principles of Consolidation | Principles of Consolidation The consolidated financial statements include the accounts of Allscripts Healthcare Solutions, Inc. (“Allscripts”) and its wholly-owned subsidiaries and controlled affiliates. All significant intercompany balances and transactions have been eliminated. Each of the terms “we,” “us,” “our” or the “Company” as used herein refers collectively to Allscripts Healthcare Solutions, Inc. and its wholly-owned subsidiaries and controlled affiliates, unless otherwise stated. |
Unaudited Interim Financial Information | Unaudited Interim Financial Information The unaudited interim consolidated financial statements as of and for the three months ended March 31, 2021 and 2020 have been prepared in accordance with the rules and regulations of the Securities and Exchange Commission (the “SEC”) for interim financial reporting. These interim consolidated financial statements are unaudited and, in the opinion of our management, include all adjustments, consisting of normal recurring adjustments and accruals, necessary Certain information and footnote disclosures normally included in annual financial statements prepared in accordance with GAAP have been condensed or omitted in accordance with the SEC's rules and regulations for interim reporting. The Company believes that the disclosures made are adequate to make these unaudited interim consolidated financial statements not misleading. They should be read in conjunction with the consolidated financial statements and related notes included in our Annual Report on Form 10-K for the year ended December 31, 2020 (our “Form 10-K”). |
Use of Estimates | Use of Estimates The preparation of consolidated financial statements in accordance with GAAP requires us to make estimates and assumptions that affect the amounts reported and disclosed in the consolidated financial statements and the accompanying notes. Our estimates and assumptions consider the economic implications of COVID-19 on our critical and significant accounting estimates. Actual results could differ materially from these estimates. |
Recently Adopted Accounting Pronouncements | Significant Accounting Policies There have been no changes to our significant accounting policies from those disclosed in our Form 10-K. Recently Adopted Accounting Pronouncements In December 2019, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update No. 2019-12, “ Income Taxes (Topic 740) |
Accounting Pronouncements Not Yet Adopted | Accounting Pronouncements Not Yet Adopted In August 2020, the FASB issued Accounting Standards Update No. 2020-06, “ Debt—Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging—Contracts in Entity’s Own Equity (Subtopic 815-40): Accounting for Convertible Instruments and Contracts in an Entity’s Own Equity” We do not believe that any other recently issued, but not yet effective accounting standards, if adopted, will have a material impact on our consolidated financial statements. |
Revenue Recognition | Revenue Recognition We recognize revenue only when we satisfy an identified performance obligation (or bundle of obligations) by transferring control of a promised product or service to a customer. We consider a product or service to be transferred when a customer obtains control because a customer has sole possession of the right to use (or the right to direct the use of) the product or service for the remainder of its economic life or to consume the product or service in its own operations. We evaluate the transfer of control primarily from the customer’s perspective as this reduces the risk that revenue is recognized for activities that do not transfer control to the customer. The majority of our revenue is recognized over time because a customer continuously and simultaneously receives and consumes the benefits of our performance. The exceptions to this pattern are our sales of perpetual and term software licenses, and hardware, where we determined that a customer obtains control of the asset upon granting of access, delivery or shipment. |
Revenue from Contracts with C_2
Revenue from Contracts with Customers (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Summary of Revenue Recognized on Various Performance Obligations and Elected Accounting Expedients | The breakdown of revenue recognized based on the origination of performance obligations and elected accounting expedients is presented in the table below: (In thousands) Three Months Ended March 31, 2021 Revenue related to deferred revenue balance at beginning of period $ 137,848 Revenue related to new performance obligations satisfied during the period 173,316 Revenue recognized under "right-to-invoice" expedient 56,811 Reimbursed travel expenses, shipping and other revenue 377 Total revenue $ 368,352 (In thousands) Three Months Ended March 31, 2020 Revenue related to deferred revenue balance at beginning of period $ 105,366 Revenue related to new performance obligations satisfied during the period 216,580 Revenue recognized under "right-to-invoice" expedient 58,059 Reimbursed travel expenses, shipping and other revenue 1,359 Total revenue $ 381,364 |
Summary of Revenue by Type and Nature of Revenue Stream by Reportable Segments | The below tables summarize revenue by type and nature of revenue stream as well as by our reportable segments: Three Months Ended March 31, (In thousands) 2021 2020 Revenue: Recurring revenue $ 295,648 $ 309,981 Non-recurring revenue 72,704 71,383 Total revenue $ 368,352 $ 381,364 |
Summary of Changes in Estimate of Credit Losses for Contract Assets | Changes in the estimate of credit losses for contract assets are presented in the table below. (In thousands) Total Balance at December 31, 2020 $ 5,341 Current period provision 0 Balance at March 31, 2021 $ 5,341 Less: Contract assets, short-term 1,068 Total contract assets, long-term $ 4,273 |
Revenue by Segment [Member] | |
Summary of Revenue by Type and Nature of Revenue Stream by Reportable Segments | Three Months Ended March 31, 2021 (In thousands) Core Clinical and Financial Solutions Data, Analytics and Care Coordination Unallocated Amounts Total Software delivery, support and maintenance $ 165,210 $ 61,859 $ (4,378 ) $ 222,691 Client services 143,955 1,706 0 145,661 Total revenue $ 309,165 $ 63,565 $ (4,378 ) $ 368,352 Three Months Ended March 31, 2020 (In thousands) Core Clinical and Financial Solutions Data, Analytics and Care Coordination Unallocated Amounts Total Software delivery, support and maintenance $ 174,081 $ 60,458 $ (2,399 ) $ 232,140 Client services 146,251 2,973 0 149,224 Total revenue $ 320,332 $ 63,431 $ (2,399 ) $ 381,364 |
Accounts Receivables (Tables)
Accounts Receivables (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Trade Accounts Receivable [Member] | |
Accounts Notes And Loans Receivable [Line Items] | |
Schedule of Changes in Estimate of Credit Losses for Trade Accounts Receivable | Changes in the estimate of credit losses for trade accounts receivable are presented in the tables below. (In thousands) Total Balance at December 31, 2020 $ 31,596 Current period provision 1,463 Write-offs (1,381 ) Recoveries 400 Balance at March 31, 2021 $ 32,078 |
Leases (Tables)
Leases (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Lessee Disclosure [Abstract] | |
Summary of Operating Costs Associated with Leased Assets | Operating costs associated with leased assets are as follows: (In thousands) Three Months Ended March 31, 2021 2020 Operating lease cost (1) $ 6,061 $ 6,753 Less: Sublease income (83 ) (603 ) Total operating lease costs $ 5,978 $ 6,150 (1) Operating lease costs are recognized on a straight-line basis and are included in Selling, general and administrative expenses within the consolidated statements of operations. |
Supplemental Cash Flow Information for Operating Leases | Supplemental cash flow information for operating leases is as follows: (In thousands) Three Months Ended March 31, 2021 2020 Operating cash flows from operating leases $ 5,056 $ 7,242 Right-of-use assets obtained in exchange for operating lease obligations $ 0 $ 19,913 |
Summary of Balance Sheet Location and Balances for Operating Leases | The balance sheet location and balances for operating leases are as follows: (In thousands, except lease term and discount rate) March 31, 2021 December 31, 2020 Right-of-use assets - operating leases $ 90,180 $ 96,601 Current operating lease liabilities $ 22,571 $ 22,264 Long-term operating lease liabilities $ 87,703 $ 93,463 Weighted average remaining lease term (in years) 5 6 Weighted average discount rate 3.6 % 3.6 % |
Summary of Future Maturities of Lease and Non-Lease Components | The future maturities of our leasing arrangements including lease and non-lease components are shown in the below table. The maturities are calculated using foreign currency exchange rates in effect as of March 31, 2021. March 31, 2021 (In thousands) Operating Leases Remainder of 2021 $ 19,874 2022 24,442 2023 22,699 2024 17,337 2025 14,878 Thereafter 21,954 Total lease liabilities 121,184 Less: Amount representing interest (10,910 ) Less: Short-term lease liabilities (22,571 ) Total long-term lease liabilities $ 87,703 |
Fair Value Measurements and L_2
Fair Value Measurements and Long-term Investments (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Summary of Financial Assets and Liabilities Measured at Fair Value on Recurring Basis | The following table summarizes our financial assets and liabilities measured at fair value on a recurring basis as of the respective balance sheet dates: Balance Sheet March 31, 2021 December 31, 2020 (In thousands) Classifications Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total Foreign exchange derivative assets Prepaid expenses and other current assets $ 0 $ 827 $ 0 $ 827 $ 0 $ 1,509 $ 0 $ 1,509 Total assets $ 0 $ 827 $ 0 $ 827 $ 0 $ 1,509 $ 0 $ 1,509 Contingent consideration - current Accrued expenses $ 0 $ 0 $ 1,011 $ 1,011 $ 0 $ 0 $ 1,011 $ 1,011 Total liabilities $ 0 $ 0 $ 1,011 $ 1,011 $ 0 $ 0 $ 1,011 $ 1,011 |
Summary of Changes in Liability Measured at Fair Value on Recurring Basis | The changes in our Level 3 liability measured at fair value on a recurring basis at March 31, 2021 is summarized as follows: (In thousands) Contingent Consideration Balance at December 31, 2020 $ 1,011 Additions 0 Balance at March 31, 2021 $ 1,011 |
Summary of Quantitative Information About Fair Value Measurements | The following table summarizes the quantitative information about our Level 3 fair value measurements at March 31, 2021: March 31, 2021 (In thousands, except the discount rate) Fair Value Valuation Technique Significant Unobservable Inputs Ranges of Inputs Weighted Average (1) Financial instruments: Contingent consideration $ 1,011 Probability Weighted Discounted cash flow Discount rate 5.3% to 5.5% 5.4 % Registry members 0 to 1,551 776 Patient data volume 0 to 52,845 26,422 Projected year of payment 2021 Total financial instruments $ 1,011 (1) The weighted average is calculated based upon the absolute fair value of the instruments. |
Long-Term Equity and Cost Method Investments [Member] | |
Summary of Long-term Equity Investments Included in Other Assets | The following table summarizes our long-term equity investments which are included in Other assets in the accompanying consolidated balance sheets: Number of Investees Original Carrying Value at (In thousands, except for number of investees) at March 31, 2021 Cost March 31, 2021 December 31, 2020 Equity method investments (1) 3 $ 7,099 $ 10,441 $ 10,744 Cost less impairment 8 37,568 25,280 25,059 Total long-term equity investments 11 $ 44,667 $ 35,721 $ 35,803 (1) Allscripts share of the earnings of our equity method investees is reported based on a one quarter lag. |
Stockholders' Equity (Tables)
Stockholders' Equity (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Equity [Abstract] | |
Share-Based Compensation Expense | Three Months Ended March 31, (In thousands) 2021 2020 Cost of revenue: Software delivery, support and maintenance $ 496 $ 575 Client services 1,379 1,091 Total cost of revenue 1,875 1,666 Selling, general and administrative expenses 8,043 7,042 Research and development 1,913 2,395 Total stock-based compensation expense $ 11,831 $ 11,103 |
Share-Based Awards Granted | We granted stock-based awards as follows: Three Months Ended March 31, 2021 Weighted-Average Grant Date (In thousands, except per share amounts) Shares Fair Value Service-based restricted stock units 482 $ 15.16 Performance-based restricted stock units with a service condition 235 $ 15.16 Market-based restricted stock units with a service condition 235 $ 17.19 952 $ 15.66 |
Earnings (Loss) Per Share (Tabl
Earnings (Loss) Per Share (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Earnings Per Share [Abstract] | |
Calculations of Earnings (Loss) Per Share | The calculations of earnings (loss) per share are as follows: Three Months Ended March 31, (In thousands, except per share amounts) 2021 2020 Basic earnings (loss) per Common Share: Income (loss) from continuing operations, net of tax $ 8,593 $ (32,385 ) Income from discontinued operations, net of tax 464 12,031 Net income (loss) $ 9,057 $ (20,354 ) Weighted-average common shares outstanding 140,191 162,461 Basic earnings (loss) from continuing operations per Common Share $ 0.06 $ (0.20 ) Basic earnings from discontinued operations per Common Share 0.00 0.07 Net earnings (loss) per Common Share $ 0.06 $ (0.13 ) Diluted earnings (loss) per Common Share: Income (loss) from continuing operations, net of tax $ 8,593 $ (32,385 ) Income from discontinued operations, net of tax 464 12,031 Net income (loss) $ 9,057 $ (20,354 ) Weighted-average common shares outstanding 140,191 162,461 Plus: Dilutive effect of restricted stock unit awards and warrants 8,949 0 Weighted-average common shares outstanding assuming dilution 149,140 162,461 Diluted earnings (loss) from continuing operations per Common Share $ 0.06 $ (0.20 ) Diluted earnings from discontinued operations per Common Share 0.00 0.07 Net earnings (loss) per Common Share $ 0.06 $ (0.13 ) |
Anti-Dilutive Stock Options, Restricted Stock Unit Awards and Warrants Excluded from Computation of Diluted Earnings (Loss) Per Share | The following restricted stock unit awards and warrants are not included in the computation of diluted earnings (loss) per share as the effect of including such restricted stock unit awards and warrants in the computation would be anti-dilutive: Three Months Ended March 31, (In thousands) 2021 2020 Shares subject to anti-dilutive restricted stock unit awards and warrants excluded from calculation 5,360 48,032 |
Goodwill and Intangible Assets
Goodwill and Intangible Assets (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Goodwill and Intangible Assets | Goodwill and intangible assets consist of the following: March 31, 2021 December 31, 2020 Gross Gross Carrying Accumulated Intangible Carrying Accumulated Intangible (In thousands) Amount Amortization Assets, Net Amount Amortization Assets, Net Intangibles subject to amortization: Proprietary technology $ 535,121 $ (472,173 ) $ 62,948 $ 535,092 $ (465,292 ) $ 69,800 Customer contracts and relationships 674,336 (515,357 ) 158,979 674,336 (509,534 ) 164,802 Total $ 1,209,457 $ (987,530 ) $ 221,927 $ 1,209,428 $ (974,826 ) $ 234,602 Intangibles not subject to amortization: Registered trademarks $ 52,000 $ 52,000 Goodwill 974,772 974,729 Total $ 1,026,772 $ 1,026,729 |
Changes in Carrying Amount of Goodwill | Changes in the carrying amounts of goodwill by reportable segment for the three months ended March 31, 2021 were as follows: (In thousands) Core Clinical and Financial Solutions Data, Analytics and Care Coordination Total Balance as of December 31, 2020 735,502 239,227 974,729 Foreign exchange translation 43 0 43 Balance as of March 31, 2021 $ 735,545 $ 239,227 $ 974,772 |
Debt (Tables)
Debt (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Debt Instrument [Line Items] | |
Debt Outstanding Excluding Lease Obligations | Debt outstanding, excluding lease obligations, consists of the following: March 31, 2021 December 31, 2020 (In thousands) Principal Balance Unamortized Discount and Debt Issuance Costs Net Carrying Amount Principal Balance Unamortized Discount and Debt Issuance Costs Net Carrying Amount 0.875% Convertible Senior Notes (1) $ 167,853 $ (4,625 ) $ 172,478 $ 167,853 $ (3,166 ) $ 171,019 Senior Secured Credit Facility 0 3,036 (3,036 ) 0 3,432 (3,432 ) Total debt $ 167,853 $ (1,589 ) $ 169,442 $ 167,853 $ 266 $ 167,587 (1) Principal balance is $207,911 thousand; $167,853 thousand is recognized in debt and $40,058 thousand is recognized in additional paid-in capital. |
Interest Expense | Interest expense consists of the following: Three Months Ended March 31, (In thousands) 2021 2020 Interest expense $ 1,288 $ 4,949 Amortization of discounts and debt issuance costs 1,855 5,716 Total interest expense $ 3,143 $ 10,665 |
Summary of Future Debt Payment Obligations | Future Debt Payments The following table summarizes future debt payment obligations as of March 31, 2021: (In thousands) Total Remainder of 2021 2022 2023 2024 2025 Thereafter 0.875% Convertible Senior Notes (1) $ 207,911 $ 0 $ 0 $ 0 $ 0 $ 0 $ 207,911 Total debt $ 207,911 $ 0 $ 0 $ 0 $ 0 $ 0 $ 207,911 (1) Amount represents face value of the 0.875% Convertible Senior Notes, which includes both the liability and equity portion. |
0.875% Convertible Senior Notes and the 1.25% Cash Convertible Senior Notes [Member] | |
Debt Instrument [Line Items] | |
Interest Expense Related to 0.875% Convertible Senior Notes and 1.25% Cash Convertible Senior Notes | Interest expense related to the 0.875% Convertible Senior Notes and the 1.25% Cash Convertible Senior Notes (which matured and were repaid in full on July 1, 2020), included in the table above, consisted of the following: Three Months Ended March 31, (In thousands) 2021 2020 Coupon interest $ 455 $ 1,555 Amortization of discounts and debt issuance costs 1,459 5,288 Total interest expense related to the convertible notes $ 1,914 $ 6,843 |
Income Taxes (Tables)
Income Taxes (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Income Tax Disclosure [Abstract] | |
Effective Tax Rates | The effective tax rates were as follows: Three Months Ended March 31, (In thousands, except effective tax rate) 2021 2020 Income (loss) from continuing operations before income taxes $ 11,256 $ (36,919 ) Income tax (provision) benefit $ (2,663 ) $ 4,534 Effective tax rate 23.7 % 12.3 % |
Derivative Financial Instrume_2
Derivative Financial Instruments (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Derivative Instruments And Hedging Activities Disclosure [Abstract] | |
Fair Value and Balance Sheet Locations | The following tables provide information about the fair values of our derivative financial instruments as of the respective balance sheet dates: March 31, 2021 Asset Derivatives (In thousands) Balance Sheet Location Fair Value Derivatives qualifying as cash flow hedges: Foreign exchange contracts Prepaid expenses and other current assets $ 827 Total derivatives $ 827 December 31, 2020 Asset Derivatives (In thousands) Balance Sheet Location Fair Value Derivatives qualifying as cash flow hedges: Foreign exchange contracts Prepaid expenses and other current assets $ 1,509 Total derivatives $ 1,509 |
Derivatives Instruments Designated as Cash Flow Hedges | The following tables show the impact of derivative instruments designated as cash flow hedges on the consolidated statements of operations and the consolidated statements of comprehensive loss: Amount of Gain (Loss) Recognized in OCI Amount of Gain (Loss) Reclassified from AOCI into Income (In thousands) Three Months Ended March 31, 2021 Location of Gain (Loss) Reclassified from AOCI into Income Three Months Ended March 31, 2021 Foreign exchange contracts $ 175 Cost of Revenue $ 321 Selling, general and administrative expenses 184 Research and development $ 351 Amount of Gain (Loss) Recognized in OCI Amount of Gain (Loss) Reclassified from AOCI into Income (In thousands) Three Months Ended March 31, 2020 Location of Gain (Loss) Reclassified from AOCI into Income Three Months Ended March 31, 2020 Foreign exchange contracts $ (473 ) Cost of Revenue $ 0 Selling, general and administrative expenses 0 Research and development $ 0 |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Loss (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Equity [Abstract] | |
Components of Accumulated Other Comprehensive Loss | Changes in the balances of each component included in AOCI are presented in the tables below. All amounts are net of tax. (In thousands) Foreign Currency Translation Adjustments Unrealized Net Gains (Losses) on Foreign Exchange Contracts Total Balance as of December 31, 2020 (1) $ (2,957 ) $ 1,119 $ (1,838 ) Other comprehensive income (loss) before reclassifications 99 130 229 Net (gains) losses reclassified from accumulated other comprehensive loss 0 (635 ) (635 ) Net other comprehensive income (loss) 99 (505 ) (406 ) Balance as of March 31, 2021 (2) $ (2,858 ) $ 614 $ (2,244 ) (1) Net of taxes of $390 thousand for unrealized net gains on foreign exchange contract derivatives. (2) Net of taxes of $214 thousand for unrealized net gains on foreign exchange contract derivatives. (In thousands) Foreign Currency Translation Adjustments Unrealized Net Gains (Losses) on Foreign Exchange Contracts Total Balance as of December 31, 2019 (1) $ (4,392 ) $ 0 $ (4,392 ) Other comprehensive income (loss) before reclassifications (2,512 ) (351 ) (2,863 ) Net other comprehensive income (loss) (2,512 ) (351 ) (2,863 ) Balance as of March 31, 2020 (2) $ (6,904 ) $ (351 ) $ (7,255 ) (1) Net of taxes of $149 thousand arising from the revaluation of tax effects included in AOCI. (2) Net of taxes of $122 thousand for unrealized net losses on foreign exchange contract derivatives. |
Income Tax Effects Related to Components of Other Comprehensive Income (Loss) | The following tables reflect the tax effects allocated to each component of other comprehensive income (loss) (“OCI”): Three Months Ended March 31, 2021 2020 (In thousands) Before-Tax Amount Tax Effect Net Amount Before-Tax Amount Tax Effect Net Amount Foreign currency translation adjustments $ 99 $ 0 $ 99 $ (2,512 ) $ 0 $ (2,512 ) Derivatives qualifying as cash flow hedges: Foreign exchange contracts: Net gains (losses) arising during the period 175 (45 ) 130 (473 ) 122 (351 ) Net (gains) losses reclassified into income (856 ) 221 (635 ) 0 0 0 Net change in unrealized (losses) gains on foreign exchange contracts (681 ) 176 (505 ) (473 ) 122 (351 ) Other comprehensive income (loss) $ (582 ) $ 176 $ (406 ) $ (2,985 ) $ 122 $ (2,863 ) |
Discontinued Operations (Tables
Discontinued Operations (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
EPSi and CarePort [Member] | |
Summary of Discontinued Operations in Financial Statements | The following table summarizes the major classes of assets and liabilities of EPSi and CarePort, as reported on the consolidated balance sheets as of March 31, 2021 and December 31, 2020: (In thousands) March 31, 2021 December 31, 2020 Carrying amounts of major classes of liabilities associated with EPSi and CarePort included as part of discontinued operations: Accrued expenses $ 3,566 $ 6,669 Income tax payable 269,306 316,142 Total current liabilities attributable to discontinued operations $ 272,872 $ 322,811 The following table summarizes the major income and expense line items of EPSi and CarePort as reported in the consolidated statements of operations for the three months ended March 31, 2021 and 2020. The activity during the three months ended March 31, 2021 primarily relates to net working capital adjustments that impacted the gain on the sale of the discontinued operations. Three Months Ended Three Months Ended (In thousands) March 31, 2021 March 31, 2020 Major income and expense line items related to EPSi and CarePort: Revenue: Software delivery, support and maintenance $ (363 ) $ 31,482 Client services (5 ) 3,878 Total revenue (368 ) 35,360 Cost of revenue: Software delivery, support and maintenance (487 ) 3,241 Client services 123 4,565 Amortization of software development and acquisition-related assets 0 2,517 Total cost of revenue (364 ) 10,323 Gross profit (4 ) 25,037 Selling, general and administrative expenses 65 4,464 Research and development (40 ) 2,778 Amortization of intangible assets 0 7 (Loss) income from discontinued operations for EPSi and CarePort (29 ) 17,788 Interest expense 0 (1,558 ) Gain on sale of discontinued operations 647 0 Income from discontinued operations for EPSi and CarePort before income taxes (1) 618 16,230 Income tax provision (154 ) (4,187 ) Income from discontinued operations, net of tax for EPSi and CarePort ( 2) $ 464 $ 12,043 (1) Income from discontinued operations for EPSi and CarePort does not agree to the consolidated statements of operations for the three months ended March 31, 2020, due to residual amounts related to Netsmart . Refer to Note 17, “Supplemental Disclosures” for additional information. (2) Income from discontinued operations, net of tax for EPSi and CarePort does not agree to the consolidated statements of operations for the three months ended March 31, 2020 due to residual amounts related to Netsmart. Refer to Note 17, Supplemental Disclosures” for additional information. |
Business Segments (Tables)
Business Segments (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Segment Reporting [Abstract] | |
Revenues and Income (Loss) from Operations Related to Segment Within Reconciliation to Consolidated Amounts | Three Months Ended March 31, (In thousands) 2021 2020 Revenue: Core Clinical and Financial Solutions $ 309,165 $ 320,332 Data, Analytics and Care Coordination 63,565 63,431 Unallocated Amounts (4,378 ) (2,399 ) Total revenue $ 368,352 $ 381,364 Gross profit: Core Clinical and Financial Solutions $ 119,962 $ 100,434 Data, Analytics and Care Coordination 30,083 31,502 Unallocated Amounts 0 0 Total gross profit $ 150,045 $ 131,936 Income (loss) from operations: Core Clinical and Financial Solutions $ 17,605 $ (20,712 ) Data, Analytics and Care Coordination 382 (6,264 ) Unallocated Amounts (4,647 ) 0 Total income (loss) from operations $ 13,340 $ (26,976 ) |
Supplemental Disclosures (Table
Supplemental Disclosures (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Supplemental Disclosures | The majority of the restricted cash balance as of March 31, 2021 and 2020 represents the remaining balance of the escrow account established as part of the acquisition of Netsmart LLC (“Netsmart”) in 2016, to be used by Netsmart to facilitate the integration of Allscripts’ former Homecare TM March 31, (In thousands) 2021 2020 Reconciliation of cash, cash equivalents and restricted cash: Cash and cash equivalents $ 513,400 $ 204,308 Restricted cash 2,110 7,824 Total cash, cash equivalents and restricted cash $ 515,510 $ 212,132 |
Basis of Presentation and Sig_3
Basis of Presentation and Significant Accounting Policies - Additional Information (Detail) - Accounting Standards Update 2019-12 [Member] | Mar. 31, 2021 |
Basis Of Presentation And Significant Accounting Policies [Line Items] | |
Change in Accounting Principle, Accounting Standards Update, Adopted [true false] | true |
Change in Accounting Principle, Accounting Standards Update, Adoption Date | Jan. 1, 2021 |
Change in Accounting Principle, Accounting Standards Update, Immaterial Effect [true false] | true |
Revenue from Contracts with C_3
Revenue from Contracts with Customers - Additional Information (Detail) $ in Thousands | 3 Months Ended | 12 Months Ended | |||
Mar. 31, 2021USD ($)Revenue_Stream | Dec. 31, 2020USD ($) | Mar. 31, 2020USD ($) | Jan. 01, 2020USD ($) | Dec. 31, 2019USD ($) | |
Revenue Initial Application Period Cumulative Effect Transition [Line Items] | |||||
Number of primary revenue streams | Revenue_Stream | 2 | ||||
Total backlog | $ 4,000,000 | ||||
Total backlog, percentage, year one | 31.00% | ||||
Total backlog, percentage after year one | 69.00% | ||||
Cumulative impact on retained earnings (accumulated deficit) | $ 1,678,658 | $ 1,666,243 | $ 1,241,780 | $ 1,285,188 | |
ASU 2016-13 [Member] | Cumulative Effect Period Of Adoption Adjustment [Member] | |||||
Revenue Initial Application Period Cumulative Effect Transition [Line Items] | |||||
Cumulative impact on retained earnings (accumulated deficit) | $ (5,300) | ||||
Selling, General and Administrative Expenses [Member] | |||||
Revenue Initial Application Period Cumulative Effect Transition [Line Items] | |||||
Capitalized Contract Cost Amortization | 5,800 | 6,700 | |||
Prepaid Expenses and Other Current Assets [Member] | |||||
Revenue Initial Application Period Cumulative Effect Transition [Line Items] | |||||
Capitalized Contract Cost, Gross | 16,200 | 16,800 | |||
Other Assets [Member] | |||||
Revenue Initial Application Period Cumulative Effect Transition [Line Items] | |||||
Capitalized Contract Cost, Gross | $ 28,400 | $ 27,900 |
Revenue from Contracts with C_4
Revenue from Contracts with Customers - Summary of Revenue Recognized on Various Performance Obligations and Elected Accounting Expedients (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Revenue From Contract With Customer [Abstract] | ||
Revenue related to deferred revenue balance at beginning of period | $ 137,848 | $ 105,366 |
Revenue related to new performance obligations satisfied during the period | 173,316 | 216,580 |
Revenue recognized under "right-to-invoice" expedient | 56,811 | 58,059 |
Reimbursed travel expenses, shipping and other revenue | 377 | 1,359 |
Total revenue | $ 368,352 | $ 381,364 |
Revenue from Contracts with C_5
Revenue from Contracts with Customers - Summary of Revenue by Type and Nature of Revenue Stream by Reportable Segments (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Disaggregation Of Revenue [Line Items] | ||
Recurring revenue | $ 295,648 | $ 309,981 |
Non-recurring revenue | 72,704 | 71,383 |
Total revenue | 368,352 | 381,364 |
Unallocated Amounts [Member] | ||
Disaggregation Of Revenue [Line Items] | ||
Total revenue | (4,378) | (2,399) |
Core Clinical and Financial Solutions [Member] | Operating Segments [Member] | ||
Disaggregation Of Revenue [Line Items] | ||
Total revenue | 309,165 | 320,332 |
Data Analytics and Care Coordination [Member] | Operating Segments [Member] | ||
Disaggregation Of Revenue [Line Items] | ||
Total revenue | 63,565 | 63,431 |
Software delivery, Support and Maintenance [Member] | ||
Disaggregation Of Revenue [Line Items] | ||
Total revenue | 222,691 | 232,140 |
Software delivery, Support and Maintenance [Member] | Unallocated Amounts [Member] | ||
Disaggregation Of Revenue [Line Items] | ||
Total revenue | (4,378) | (2,399) |
Software delivery, Support and Maintenance [Member] | Core Clinical and Financial Solutions [Member] | Operating Segments [Member] | ||
Disaggregation Of Revenue [Line Items] | ||
Total revenue | 165,210 | 174,081 |
Software delivery, Support and Maintenance [Member] | Data Analytics and Care Coordination [Member] | Operating Segments [Member] | ||
Disaggregation Of Revenue [Line Items] | ||
Total revenue | 61,859 | 60,458 |
Client services [Member] | ||
Disaggregation Of Revenue [Line Items] | ||
Total revenue | 145,661 | 149,224 |
Client services [Member] | Unallocated Amounts [Member] | ||
Disaggregation Of Revenue [Line Items] | ||
Total revenue | 0 | 0 |
Client services [Member] | Core Clinical and Financial Solutions [Member] | Operating Segments [Member] | ||
Disaggregation Of Revenue [Line Items] | ||
Total revenue | 143,955 | 146,251 |
Client services [Member] | Data Analytics and Care Coordination [Member] | Operating Segments [Member] | ||
Disaggregation Of Revenue [Line Items] | ||
Total revenue | $ 1,706 | $ 2,973 |
Revenue from Contracts with C_6
Revenue from Contracts with Customers - Summary of Changes in Estimate of Credit Losses for Contract Assets (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Dec. 31, 2020 | |
Revenue From Contract With Customer [Abstract] | ||
Balance at December 31, 2020 | $ 5,341 | |
Current period provision | 0 | |
Balance at March 31, 2021 | 5,341 | |
Contract assets, allowance | 1,068 | $ 1,068 |
Total contract assets, long-term | $ 4,273 | $ 4,273 |
Accounts Receivables - Addition
Accounts Receivables - Additional Information (Detail) - Trade Accounts Receivable [Member] - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 | Jan. 01, 2020 |
Accounts Notes And Loans Receivable [Line Items] | |||
Accounts receivable, allowance for credit loss | $ 32,078 | $ 31,596 | |
Accounting Standards Update 2016-13 [Member] | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Accounts receivable, allowance for credit loss | $ 12,600 |
Accounts Receivables - Schedule
Accounts Receivables - Schedule of Changes in Estimate of Credit Losses for Trade Accounts Receivable (Detail) - Trade Accounts Receivable [Member] $ in Thousands | 3 Months Ended |
Mar. 31, 2021USD ($) | |
Accounts Notes And Loans Receivable [Line Items] | |
Balance at December 31, 2020 | $ 31,596 |
Current period provision | 1,463 |
Write-offs | (1,381) |
Recoveries | 400 |
Balance at March 31, 2021 | $ 32,078 |
Leases - Additional Information
Leases - Additional Information (Detail) - Maximum [Member] | 3 Months Ended |
Mar. 31, 2021 | |
Lessee Lease Description [Line Items] | |
Operating leases, remaining lease terms | 8 years |
Operating leases, options to extend leases term | 5 years |
Operating leases, options to terminate leases term | 1 year |
Leases - Summary of Operating C
Leases - Summary of Operating Costs Associated with Leased Assets (Detail) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2021 | Mar. 31, 2020 | ||
Leases [Abstract] | |||
Operating lease cost | [1] | $ 6,061 | $ 6,753 |
Less: Sublease income | (83) | (603) | |
Total operating lease costs | $ 5,978 | $ 6,150 | |
[1] | Operating lease costs are recognized on a straight-line basis and are included in Selling, general and administrative expenses within the consolidated statements of operations. |
Leases - Supplemental Cash Flow
Leases - Supplemental Cash Flow Information for Operating Leases (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Leases [Abstract] | ||
Operating cash flows from operating leases | $ 5,056 | $ 7,242 |
Right-of-use assets obtained in exchange for operating lease obligations | $ 0 | $ 19,913 |
Leases - Summary of Balance She
Leases - Summary of Balance Sheet Location and Balances for Operating Leases (Detail) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
Leases [Abstract] | ||
Right-of-use assets - operating leases | $ 90,180 | $ 96,601 |
Current operating lease liabilities | 22,571 | 22,264 |
Long-term operating lease liabilities | $ 87,703 | $ 93,463 |
Weighted average remaining lease term (in years) | 5 years | 6 years |
Weighted average discount rate | 3.60% | 3.60% |
Leases - Summary of Future Matu
Leases - Summary of Future Maturities of Lease and Non-Lease Components (Detail) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
Operating Leases [Abstract] | ||
Operating Leases, Remainder of 2021 | $ 19,874 | |
Operating Leases, 2022 | 24,442 | |
Operating Leases, 2023 | 22,699 | |
Operating Leases, 2024 | 17,337 | |
Operating Leases, 2025 | 14,878 | |
Operating Leases, Thereafter | 21,954 | |
Operating Leases, Total lease liabilities | 121,184 | |
Operating Leases, Less: Amount representing interest | (10,910) | |
Operating Leases, Less: Short-term lease liabilities | (22,571) | $ (22,264) |
Operating Leases, Total long-term lease liabilities | $ 87,703 | $ 93,463 |
Business Combinations and Div_2
Business Combinations and Divestitures - Additional Information (Detail) - USD ($) | Dec. 31, 2020 | Oct. 29, 2020 | Oct. 15, 2020 | Jul. 02, 2019 | Mar. 31, 2021 | Dec. 31, 2020 |
CarePort Purchase Agreement [Member] | Senior Secured Term Loan [Member] | Second Amended Credit Agreement [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Prepayment of debt | $ 161,000,000 | |||||
CarePort Purchase Agreement [Member] | WellSky Corp [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Sale of business unit | $ 1,350,000,000 | |||||
Pre-tax gain (loss) on sale of business | 933,900,000 | $ 600,000 | ||||
CarePort Purchase Agreement [Member] | WellSky Corp [Member] | Senior Secured Term Loan [Member] | Second Amended Credit Agreement [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Prepayment of debt | $ 161,000,000 | |||||
EPSi Purchase Agreement [Member] | Senior Secured Term Loan [Member] | Second Amended Credit Agreement [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Prepayment of debt | $ 19,000,000 | |||||
EPSi Purchase Agreement [Member] | Strata Decision Technology LLC [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Sale of business unit | $ 365,000,000 | |||||
Pre-tax gain (loss) on sale of business | $ 222,600,000 | |||||
EPSi Purchase Agreement [Member] | Strata Decision Technology LLC [Member] | Senior Secured Term Loan [Member] | Second Amended Credit Agreement [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Prepayment of debt | $ 19,000,000 | |||||
ACC Pinnacle and Diabetes Collaborative Registries [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Total purchase price | $ 19,700,000 | |||||
Purchase price initial payment | 11,700,000 | |||||
Potential milestone/earnout payments | 5,000,000 | |||||
ACC Pinnacle and Diabetes Collaborative Registries [Member] | Accrued Liabilities [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Potential milestone/earnout payments | 1,000,000 | |||||
ACC Pinnacle and Diabetes Collaborative Registries [Member] | Maximum [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Potential milestone/earnout payments | $ 8,000,000 |
Fair Value Measurements and L_3
Fair Value Measurements and Long-term Investments - Summary of Financial Assets and Liabilities Measured at Fair Value on Recurring Basis (Detail) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Prepaid expenses and other current assets | $ 128,493 | $ 136,264 |
Total assets | 827 | 1,509 |
Total liabilities | 1,011 | 1,011 |
Level 1 [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total assets | 0 | 0 |
Total liabilities | 0 | 0 |
Level 2 [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total assets | 827 | 1,509 |
Total liabilities | 0 | 0 |
Level 3 [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total assets | 0 | 0 |
Total liabilities | 1,011 | 1,011 |
Foreign exchange derivative assets [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Prepaid expenses and other current assets | 827 | 1,509 |
Foreign exchange derivative assets [Member] | Level 1 [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Prepaid expenses and other current assets | 0 | 0 |
Foreign exchange derivative assets [Member] | Level 2 [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Prepaid expenses and other current assets | 827 | 1,509 |
Foreign exchange derivative assets [Member] | Level 3 [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Prepaid expenses and other current assets | 0 | 0 |
Contingent Consideration Current [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Accrued expenses | 1,011 | 1,011 |
Contingent Consideration Current [Member] | Level 1 [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Accrued expenses | 0 | 0 |
Contingent Consideration Current [Member] | Level 2 [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Accrued expenses | 0 | 0 |
Contingent Consideration Current [Member] | Level 3 [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Accrued expenses | $ 1,011 | $ 1,011 |
Fair Value Measurements and L_4
Fair Value Measurements and Long-term Investments - Summary of Changes in Liability Measured at Fair Value on Recurring Basis (Detail) - Contingent Consideration [Member] $ in Thousands | 3 Months Ended |
Mar. 31, 2021USD ($) | |
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |
Balance at December 31, 2020 | $ 1,011 |
Additions | 0 |
Balance at March 31, 2021 | $ 1,011 |
Fair Value Measurements and L_5
Fair Value Measurements and Long-term Investments - Summary of Quantitative Information About Fair Value Measurements (Detail) - Level 3 [Member] $ in Thousands | 3 Months Ended | |
Mar. 31, 2021USD ($)RegistryMemberPatientDataVolume | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total financial instruments | $ | $ 1,011 | |
Projected year of payment | 2021 | |
Registry Members [Member] | Minimum [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Ranges of Inputs | RegistryMember | 0 | |
Registry Members [Member] | Maximum [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Ranges of Inputs | RegistryMember | 1,551 | |
Registry Members [Member] | Weighted Average [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Ranges of Inputs | RegistryMember | 776 | [1] |
Patient Data Volume [Member] | Minimum [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Ranges of Inputs | PatientDataVolume | 0 | |
Patient Data Volume [Member] | Maximum [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Ranges of Inputs | PatientDataVolume | 52,845 | |
Patient Data Volume [Member] | Weighted Average [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Ranges of Inputs | PatientDataVolume | 26,422 | [1] |
Contingent Consideration [Member] | Probability Weighted Discounted Cash Flow [Member] | Discount Rate [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total financial instruments | $ | $ 1,011 | |
Contingent Consideration [Member] | Probability Weighted Discounted Cash Flow [Member] | Discount Rate [Member] | Minimum [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Ranges of Inputs | 5.3 | |
Contingent Consideration [Member] | Probability Weighted Discounted Cash Flow [Member] | Discount Rate [Member] | Maximum [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Ranges of Inputs | 5.5 | |
Contingent Consideration [Member] | Probability Weighted Discounted Cash Flow [Member] | Discount Rate [Member] | Weighted Average [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Ranges of Inputs | 5.4 | [1] |
[1] | The weighted average is calculated based upon the absolute fair value of the instruments. |
Fair Value Measurements and L_6
Fair Value Measurements and Long-term Investments - Summary of Long-term Equity Investments Included in Other Assets (Detail) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2021USD ($)Investment | Dec. 31, 2020USD ($) | ||
Fair Value Disclosures [Abstract] | |||
Equity method investments, Number of Investees | Investment | [1] | 3 | |
Cost less impairments, Number of investees | Investment | 8 | ||
Total long-term equity investments, Number of Investees | Investment | 11 | ||
Equity method investments, Original Cost | [1] | $ 7,099 | |
Cost less impairment, Original Cost | 37,568 | ||
Total long-term equity investments, Original Cost | 44,667 | ||
Equity method investments, Carrying Value | [1] | 10,441 | $ 10,744 |
Cost less impairment, Carrying Value | 25,280 | 25,059 | |
Total long-term equity investments, Carrying Value | $ 35,721 | $ 35,803 | |
[1] | Allscripts share of the earnings of our equity method investees is reported based on a one quarter lag. |
Fair Value Measurements and L_7
Fair Value Measurements and Long-term Investments - Additional Information (Detail) | 3 Months Ended |
Mar. 31, 2021USD ($) | |
Fair Value Disclosures [Abstract] | |
Impairment of long-term investments | $ 0 |
Stockholders' Equity - Addition
Stockholders' Equity - Additional Information (Detail) - USD ($) | Dec. 02, 2020 | Nov. 30, 2020 | Nov. 18, 2020 | Mar. 31, 2021 | Mar. 31, 2020 | Dec. 31, 2020 |
Class Of Stock [Line Items] | ||||||
Capitalized stock-based compensation costs | $ 0 | $ 0 | ||||
Stock options granted | 0 | 0 | ||||
Share issued, exercise of options and release of stock awards | 700,000 | 1,900,000 | ||||
Shares settled for tax withholding | 383,000 | 407,000 | ||||
Common stock repurchased, amount | $ 0 | $ 9,714,000 | ||||
Common stock repurchased, shares | 0 | |||||
November 2020 Stock Repurchase Program [Member] | ||||||
Class Of Stock [Line Items] | ||||||
Common stock repurchased, amount | $ 300,000,000 | |||||
Previous Program [Member] | ||||||
Class Of Stock [Line Items] | ||||||
Common stock repurchased, amount | $ 9,700,000 | |||||
Common stock repurchased, shares | 1,500,000 | |||||
Accelerated Share Repurchase Agreement [Member] | ||||||
Class Of Stock [Line Items] | ||||||
Common stock repurchased, amount | $ 200,000,000 | |||||
Initial delivery received | $ 11,700,000 | |||||
Percentage of expected shares repurchased | 80.00% | |||||
Reduction to shareholders equity | $ 165,700,000 | |||||
Reduction to shareholders equity as an unsettled forward contract | $ 34,300,000 | |||||
Shares of common stock yet to be repurchased, amount | $ 67,200,000 |
Stockholders' Equity - Stock-Ba
Stockholders' Equity - Stock-Based Compensation Expense (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Total stock-based compensation expense | $ 11,831 | $ 11,103 |
Cost of revenue [Member] | ||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Total stock-based compensation expense | 1,875 | 1,666 |
Cost of revenue [Member] | Software delivery, Support and Maintenance [Member] | ||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Total stock-based compensation expense | 496 | 575 |
Cost of revenue [Member] | Client services [Member] | ||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Total stock-based compensation expense | 1,379 | 1,091 |
Selling, General and Administrative Expenses [Member] | ||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Total stock-based compensation expense | 8,043 | 7,042 |
Research and development [Member] | ||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Total stock-based compensation expense | $ 1,913 | $ 2,395 |
Stockholders' Equity - Stock-_2
Stockholders' Equity - Stock-Based Awards Granted (Detail) shares in Thousands | 3 Months Ended |
Mar. 31, 2021$ / sharesshares | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Shares, granted | shares | 952 |
Weighted-Average Grant Date Fair Value, granted | $ / shares | $ 15.66 |
Service-Based Restricted Stock Units [Member] | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Shares, granted | shares | 482 |
Weighted-Average Grant Date Fair Value, granted | $ / shares | $ 15.16 |
Performance-Based Restricted Stock Units with a Service Condition [Member] | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Shares, granted | shares | 235 |
Weighted-Average Grant Date Fair Value, granted | $ / shares | $ 15.16 |
Market-Based Restricted Stock Units with a Service Condition [Member] | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Shares, granted | shares | 235 |
Weighted-Average Grant Date Fair Value, granted | $ / shares | $ 17.19 |
Earnings (Loss) Per Share - Cal
Earnings (Loss) Per Share - Calculations of Earnings (Loss) Per Share (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Basic earnings (loss) per Common Share: | ||
Income (loss) from continuing operations, net of tax | $ 8,593 | $ (32,385) |
Income from discontinued operations, net of tax | 464 | 12,031 |
Net income (loss) | $ 9,057 | $ (20,354) |
Weighted-average common shares outstanding | 140,191 | 162,461 |
Basic earnings (loss) from continuing operations per Common Share | $ 0.06 | $ (0.20) |
Basic earnings from discontinued operations per Common Share | 0 | 0.07 |
Net income (loss) per share - Basic | $ 0.06 | $ (0.13) |
Diluted earnings (loss) per Common Share: | ||
Income (loss) from continuing operations, net of tax | $ 8,593 | $ (32,385) |
Income from discontinued operations, net of tax | 464 | 12,031 |
Net income (loss) | $ 9,057 | $ (20,354) |
Weighted-average common shares outstanding | 140,191 | 162,461 |
Plus: Dilutive effect of restricted stock unit awards and warrants | 8,949 | 0 |
Weighted-average common shares outstanding assuming dilution | 149,140 | 162,461 |
Diluted earnings (loss) from continuing operations per Common Share | $ 0.06 | $ (0.20) |
Diluted earnings from discontinued operations per Common Share | 0 | 0.07 |
Net income (loss) per share - Diluted | $ 0.06 | $ (0.13) |
Earnings (Loss) Per Share - Ant
Earnings (Loss) Per Share - Anti-Dilutive Stock Options, Restricted Stock Unit Awards and Warrants Excluded from Computation of Diluted Earnings (Loss) Per Share (Detail) - shares shares in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Earnings Per Share [Abstract] | ||
Shares subject to anti-dilutive restricted stock unit awards and warrants excluded from calculation | 5,360 | 48,032 |
Goodwill and Intangible Asset_2
Goodwill and Intangible Assets - Goodwill and Intangible Assets (Detail) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
Schedule Of Goodwill And Intangible Assets [Line Items] | ||
Gross Carrying Amount | $ 1,209,457 | $ 1,209,428 |
Accumulated Amortization | (987,530) | (974,826) |
Intangible Assets, Net | 221,927 | 234,602 |
Registered trademarks | 52,000 | 52,000 |
Goodwill | 974,772 | 974,729 |
Total | 1,026,772 | 1,026,729 |
Proprietary Technology [Member] | ||
Schedule Of Goodwill And Intangible Assets [Line Items] | ||
Gross Carrying Amount | 535,121 | 535,092 |
Accumulated Amortization | (472,173) | (465,292) |
Intangible Assets, Net | 62,948 | 69,800 |
Customer Contracts and Relationships [Member] | ||
Schedule Of Goodwill And Intangible Assets [Line Items] | ||
Gross Carrying Amount | 674,336 | 674,336 |
Accumulated Amortization | (515,357) | (509,534) |
Intangible Assets, Net | $ 158,979 | $ 164,802 |
Goodwill and Intangible Asset_3
Goodwill and Intangible Assets - Changes in Carrying Amount of Goodwill (Detail) $ in Thousands | 3 Months Ended |
Mar. 31, 2021USD ($) | |
Goodwill [Line Items] | |
Goodwill | $ 974,729 |
Foreign exchange translation | 43 |
Goodwill, net | 974,772 |
Core Clinical and Financial Solutions [Member] | Operating Segments [Member] | |
Goodwill [Line Items] | |
Goodwill | 735,502 |
Foreign exchange translation | 43 |
Goodwill, net | 735,545 |
Data Analytics and Care Coordination [Member] | Operating Segments [Member] | |
Goodwill [Line Items] | |
Goodwill | 239,227 |
Foreign exchange translation | 0 |
Goodwill, net | $ 239,227 |
Goodwill and Intangible Asset_4
Goodwill and Intangible Assets - Additional Information (Detail) - USD ($) | Mar. 31, 2021 | Dec. 31, 2020 |
Goodwill And Intangible Assets Disclosure [Abstract] | ||
Accumulated impairment losses associated with goodwill | $ 0 | $ 0 |
Debt - Debt Outstanding Excludi
Debt - Debt Outstanding Excluding Lease Obligations (Detail) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
Debt Instrument [Line Items] | ||
Principal Balance | $ 167,853 | $ 167,853 |
Unamortized Discount and Debt Issuance Costs | (1,589) | 266 |
Net Carrying Amount | 169,442 | 167,587 |
0.875% Convertible Senior Notes [Member] | ||
Debt Instrument [Line Items] | ||
Principal Balance | 167,853 | 167,853 |
Unamortized Discount and Debt Issuance Costs | (4,625) | (3,166) |
Net Carrying Amount | 172,478 | 171,019 |
Senior Secured Credit Facility [Member] | ||
Debt Instrument [Line Items] | ||
Principal Balance | 0 | 0 |
Unamortized Discount and Debt Issuance Costs | 3,036 | 3,432 |
Net Carrying Amount | $ (3,036) | $ (3,432) |
Debt - Debt Outstanding Exclu_2
Debt - Debt Outstanding Excluding Lease Obligations (Parenthetical) (Detail) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Debt Instrument [Line Items] | |||
Debt recognized | $ 167,853 | $ 167,853 | |
0.875% Convertible Senior Notes [Member] | |||
Debt Instrument [Line Items] | |||
Debt instrument principal amount | 207,911 | $ 218,000 | |
Debt recognized | 167,853 | 167,853 | |
Additional Paid-In Capital [Member] | 0.875% Convertible Senior Notes [Member] | |||
Debt Instrument [Line Items] | |||
Additional paid-in capital recognized | $ 40,058 | $ 40,058 | $ 40,100 |
Debt - Interest Expense (Detail
Debt - Interest Expense (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Debt Instrument [Line Items] | ||
Total interest expense | $ 3,143 | $ 10,665 |
Convertible Senior Notes and Senior Secured Credit Facility [Member] | ||
Debt Instrument [Line Items] | ||
Interest expense | 1,288 | 4,949 |
Amortization of discounts and debt issuance costs | 1,855 | 5,716 |
Total interest expense | $ 3,143 | $ 10,665 |
Debt - Interest Expense Related
Debt - Interest Expense Related to 0.875% Convertible Senior Notes and 1.25% Cash Convertible Senior Notes (Detail) - 0.875% Convertible Senior Notes and the 1.25% Cash Convertible Senior Notes [Member] - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Debt Instrument [Line Items] | ||
Coupon interest | $ 455 | $ 1,555 |
Amortization of discounts and debt issuance costs | 1,459 | 5,288 |
Total interest expense related to the convertible notes | $ 1,914 | $ 6,843 |
Debt - Additional Information (
Debt - Additional Information (Detail) - USD ($) | Oct. 29, 2020 | Jul. 20, 2020 | Feb. 15, 2018 | Jun. 30, 2020 | Dec. 31, 2019 | Mar. 31, 2021 | Mar. 31, 2020 | Dec. 31, 2020 |
Debt Instrument [Line Items] | ||||||||
Debt instrument principal amount | $ 167,853,000 | $ 167,853,000 | ||||||
Debt issuance costs | 0 | $ 758,000 | ||||||
Senior Secured Revolving Facility [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Credit facility, amount available borrowing capacity | 898,900,000 | |||||||
Senior Secured Credit Facility [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Debt instrument principal amount | 0 | 0 | ||||||
0.875% Convertible Senior Notes [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Debt instrument principal amount | 167,853,000 | 167,853,000 | ||||||
Debt instrument principal amount | $ 218,000,000 | $ 207,911,000 | ||||||
Debt instrument interest rate | 0.875% | 0.875% | 0.875% | 0.875% | ||||
Debt issuance costs | $ 700,000 | |||||||
Percentage of interest rate used to to compute the initial fair value of the liability component | 1.95% | |||||||
Debt instrument, initial fair value of liability component | $ 177,900,000 | |||||||
Debt instrument, net carrying value of equity component | $ 14,900,000 | |||||||
Payments for repurchase debt instrument | $ 7,700,000 | |||||||
Debt instrument aggregate principal amount repurchased | 10,100,000 | |||||||
Gain on repurchase of debt instrument | 500,000 | |||||||
Proceeds due to termination of capped call transaction | 300,000 | |||||||
Reduction to capped call fees | 800,000 | |||||||
Loss in capped call | $ 500,000 | |||||||
0.875% Convertible Senior Notes [Member] | Additional Paid-In Capital [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Debt instrument, equity component amount | 40,100,000 | $ 40,058,000 | 40,058,000 | |||||
Payments of capped call fees | 17,200,000 | |||||||
Debt discounts and issuance costs | $ 1,100,000 | |||||||
Letter of Credit [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Portion of facility available for issuance | $ 50,000,000 | |||||||
Swing Loans [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Portion of facility available for issuance | 10,000,000 | |||||||
Foreign Currencies [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Portion of facility available for issuance | 100,000,000 | |||||||
Senior Secured Term Loan [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Credit facility, maximum borrowing capacity | $ 400,000,000 | |||||||
Senior secured credit facilities term, years | 5 years | |||||||
Line of credit facility, frequency of payments | The Term Loan was repayable in quarterly installments, which began on June 30, 2018. We repaid the Term Loan in full on December 31, 2020. | |||||||
Second Amended Credit Agreement [Member] | Senior Secured Revolving Facility [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Debt instrument principal amount | $ 0 | |||||||
Second Amended Credit Agreement [Member] | Senior Secured Credit Facility [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Letters of credit outstanding | $ 1,100,000 | |||||||
Second Amended Credit Agreement [Member] | Senior Secured Term Loan [Member] | EPSi Purchase Agreement [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Prepayment of debt | $ 19,000,000 | |||||||
Second Amended Credit Agreement [Member] | Senior Secured Term Loan [Member] | CarePort Purchase Agreement [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Prepayment of debt | $ 161,000,000 | |||||||
Senior Secured Revolving Facility [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Credit facility, maximum borrowing capacity | $ 900,000,000 | |||||||
Senior secured credit facilities term, years | 5 years | |||||||
Fees and other costs, incurred | $ 1,400,000 |
Debt - Summary of Future Debt P
Debt - Summary of Future Debt Payment Obligations (Detail) $ in Thousands | Mar. 31, 2021USD ($) |
Debt Instrument [Line Items] | |
Total | $ 207,911 |
Remainder of 2021 | 0 |
2022 | 0 |
2023 | 0 |
2024 | 0 |
2025 | 0 |
Thereafter | 207,911 |
0.875% Convertible Senior Notes [Member] | |
Debt Instrument [Line Items] | |
Total | 207,911 |
Remainder of 2021 | 0 |
2022 | 0 |
2023 | 0 |
2024 | 0 |
2025 | 0 |
Thereafter | $ 207,911 |
Effective Tax Rates (Detail)
Effective Tax Rates (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Income Tax Disclosure [Abstract] | ||
Income (loss) from continuing operations before income taxes | $ 11,256 | $ (36,919) |
Income tax (provision) benefit | $ (2,663) | $ 4,534 |
Effective tax rate | 23.70% | 12.30% |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2021 | Mar. 31, 2020 | Dec. 31, 2020 | |
Income Loss From Operations Before Provision Benefit For Income Taxes [Line Items] | |||
Income (loss) from continuing operations before income taxes | $ 11,256 | $ (36,919) | |
Cumulative operating income loss period considered | 3 years | ||
Unrecognized income tax benefits | $ 30,100 | $ 28,900 | |
U.S. and Foreign Net Operating Loss Carryforwards [Member] | |||
Income Loss From Operations Before Provision Benefit For Income Taxes [Line Items] | |||
Valuation allowance | $ 200 |
Derivative Financial Instrume_3
Derivative Financial Instruments - Fair Value and Balance Sheet Locations - (Detail) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
Derivatives Fair Value [Line Items] | ||
Derivative asset, fair value | $ 827 | $ 1,509 |
Designated as Hedging Instrument [Member] | Foreign Exchange Contract [Member] | Prepaid Expenses and Other Current Assets [Member] | ||
Derivatives Fair Value [Line Items] | ||
Derivative asset, fair value | $ 827 | $ 1,509 |
Derivative Financial Instrume_4
Derivative Financial Instruments - Additional Information (Detail) - Foreign Exchange Forward Contracts [Member] | 3 Months Ended | |
Mar. 31, 2021USD ($)Derivative | Mar. 31, 2021INR (₨)Derivative | |
Derivative [Line Items] | ||
Number of contracts | Derivative | 3 | 3 |
Derivative notional amount outstanding | $ 3,100,000 | ₨ 225,000,000 |
Unrealized derivatives gains included in accumulated other comprehensive (loss) income reclassified into income | $ | $ 800,000 | |
Estimated period of unrealized losses included in AOCI reclassified into income | 12 months | |
Minimum [Member] | ||
Derivative [Line Items] | ||
Date of contracts mature | Apr. 30, 2021 | |
Maximum [Member] | ||
Derivative [Line Items] | ||
Date of contracts mature | Jun. 30, 2021 |
Derivative Financial Instrume_5
Derivative Financial Instruments - Derivatives Instruments Designated as Cash Flow Hedges - (Detail) - Cash Flow Hedging [Member] - Foreign Exchange Contract [Member] - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Derivative Instruments Gain Loss [Line Items] | ||
Amount of Gain (Loss) Recognized in OCI | $ 175 | $ (473) |
Cost of revenue [Member] | ||
Derivative Instruments Gain Loss [Line Items] | ||
Amount of Gain (Loss) Reclassified from AOCI into Income | 321 | 0 |
Selling, General and Administrative Expenses [Member] | ||
Derivative Instruments Gain Loss [Line Items] | ||
Amount of Gain (Loss) Reclassified from AOCI into Income | 184 | 0 |
Research and development [Member] | ||
Derivative Instruments Gain Loss [Line Items] | ||
Amount of Gain (Loss) Reclassified from AOCI into Income | $ 351 | $ 0 |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Loss - Components of Accumulated Other Comprehensive Loss (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Accumulated Other Comprehensive Income Loss [Line Items] | ||
Balance at the beginning of the period | $ 1,666,243 | |
Other comprehensive income (loss) before reclassifications | 229 | $ (2,863) |
Net (gains) losses reclassified from accumulated other comprehensive loss | (635) | |
Total other comprehensive income (loss) | (406) | (2,863) |
Balance at the end of the period | 1,678,658 | |
Foreign Currency Translation Adjustments [Member] | ||
Accumulated Other Comprehensive Income Loss [Line Items] | ||
Balance at the beginning of the period | (2,957) | (4,392) |
Other comprehensive income (loss) before reclassifications | 99 | (2,512) |
Net (gains) losses reclassified from accumulated other comprehensive loss | 0 | |
Total other comprehensive income (loss) | 99 | (2,512) |
Balance at the end of the period | (2,858) | (6,904) |
Derivatives Qualifying as Cash Flow Hedges [Member] | Foreign Exchange Contract [Member] | ||
Accumulated Other Comprehensive Income Loss [Line Items] | ||
Balance at the beginning of the period | 1,119 | 0 |
Other comprehensive income (loss) before reclassifications | 130 | (351) |
Net (gains) losses reclassified from accumulated other comprehensive loss | (635) | |
Total other comprehensive income (loss) | (505) | (351) |
Balance at the end of the period | 614 | (351) |
Accumulated Other Comprehensive Loss [Member] | ||
Accumulated Other Comprehensive Income Loss [Line Items] | ||
Balance at the beginning of the period | (1,838) | (4,392) |
Balance at the end of the period | $ (2,244) | $ (7,255) |
Accumulated Other Comprehensi_4
Accumulated Other Comprehensive Loss - Components of Accumulated Other Comprehensive Loss (Parenthetical) (Detail) - Foreign Exchange Contract [Member] - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2019 | Mar. 31, 2021 | Dec. 31, 2020 | Mar. 31, 2020 | |
Accumulated Other Comprehensive Income Loss [Line Items] | ||||
Unrealized net gains (losses), taxes (benefits) | $ 214 | $ 390 | $ (122) | |
Revaluation of tax effects | $ 149 |
Accumulated Other Comprehensi_5
Accumulated Other Comprehensive Loss - Income Tax Effects Related to Components of Other Comprehensive Income (Loss) (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Accumulated Other Comprehensive Income Loss [Line Items] | ||
Foreign currency translation adjustments, Before-Tax Amount | $ 99 | $ (2,512) |
Other comprehensive income (loss) before income tax benefit | (582) | (2,985) |
Foreign currency translation adjustments, Tax Effect | 0 | 0 |
Other comprehensive income (loss), Tax effect | 176 | 122 |
Foreign currency translation adjustments, Net | 99 | (2,512) |
Derivatives qualifying as cash flow hedges, net change in unrealized (losses) gains on foreign exchange contracts, Net | (505) | (351) |
Other comprehensive income (loss) | (406) | (2,863) |
Derivatives Qualifying as Cash Flow Hedges [Member] | Foreign Exchange Contract [Member] | ||
Accumulated Other Comprehensive Income Loss [Line Items] | ||
Derivatives qualifying as cash flow hedges, net gains (losses) arising during the period, Before-Tax, Amount | 175 | (473) |
Derivatives qualifying as cash flow hedges, net (gains) losses reclassified into income, Before-Tax Amount | (856) | 0 |
Derivatives qualifying as cash flow hedges, net change in unrealized (losses) gains on foreign exchange contracts, Before-Tax Amount | (681) | (473) |
Derivatives qualifying as cash flow hedges, net gains (losses) arising during the period, Tax Effect | (45) | 122 |
Derivatives qualifying as cash flow hedges, net (gains) losses reclassified into income, Tax Effect | 221 | 0 |
Derivatives qualifying as cash flow hedges, net change in unrealized (losses) gains on foreign exchange contracts, Tax Effect | 176 | 122 |
Derivatives qualifying as cash flow hedges, net gains (losses) arising during the period, Net | 130 | (351) |
Derivatives qualifying as cash flow hedges, net (gains) losses reclassified into income, Net | (635) | 0 |
Derivatives qualifying as cash flow hedges, net change in unrealized (losses) gains on foreign exchange contracts, Net | (505) | (351) |
Other comprehensive income (loss) | $ (505) | $ (351) |
Contingencies - Additional Info
Contingencies - Additional Information (Detail) - Practice Fusion, Inc. [Member] - US Department of Justice and US Attorney [Member] | 12 Months Ended |
Dec. 31, 2020USD ($) | |
Criminal Fine [Member] | |
Loss Contingencies [Line Items] | |
Litigation settlement, amount | $ 25,300,000 |
Forfeiture Payment [Member] | |
Loss Contingencies [Line Items] | |
Litigation settlement, amount | 959,700 |
Civil Settlements [Member] | |
Loss Contingencies [Line Items] | |
Litigation settlement, amount | 118,600,000 |
State Medicaid Program Expenditures [Member] | |
Loss Contingencies [Line Items] | |
Litigation settlement, amount | $ 5,200,000 |
Discontinued Operations - Addit
Discontinued Operations - Additional Information (Detail) | 12 Months Ended |
Dec. 31, 2020Business | |
Discontinued Operations And Disposal Groups [Abstract] | |
Number of businesses sold | 2 |
Discontinued Operations - Summa
Discontinued Operations - Summary of Major Classes of Assets and Liabilities as Reported on Consolidated Balance Sheets (Detail) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
Carrying amounts of major classes of liabilities associated with EPSi and CarePort included as part of discontinued operations: | ||
Total current liabilities attributable to discontinued operations | $ 272,872 | $ 322,811 |
EPSi and CarePort [Member] | ||
Carrying amounts of major classes of liabilities associated with EPSi and CarePort included as part of discontinued operations: | ||
Accrued expenses | 3,566 | 6,669 |
Income tax payable | 269,306 | 316,142 |
Total current liabilities attributable to discontinued operations | $ 272,872 | $ 322,811 |
Discontinued Operations - Sum_2
Discontinued Operations - Summary of Major Income and Expense Line Items Reported in Consolidated Statements of Operations (Detail) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2021 | Mar. 31, 2020 | ||
Cost of revenue: | |||
Gain on sale of discontinued operations | $ 647 | $ 0 | |
Income from discontinued operations before income taxes | (29) | 16,218 | |
Income tax benefit (provision) | (154) | (4,187) | |
Income from discontinued operations, net of tax | 464 | 12,031 | |
EPSi and CarePort [Member] | |||
Revenue: | |||
Total revenue | (368) | 35,360 | |
Cost of revenue: | |||
Total cost of revenue | (364) | 10,323 | |
Amortization of software development and acquisition-related assets | 0 | 2,517 | |
Gross profit | (4) | 25,037 | |
Selling, general and administrative expenses | 65 | 4,464 | |
Research and development | (40) | 2,778 | |
Amortization of intangible assets | 0 | 7 | |
(Loss) income from discontinued operations | (29) | 17,788 | |
Interest expense | 0 | (1,558) | |
Gain on sale of discontinued operations | 647 | 0 | |
Income from discontinued operations before income taxes | 618 | 16,230 | |
Income tax benefit (provision) | [1] | (154) | (4,187) |
Income from discontinued operations, net of tax | [2] | 464 | 12,043 |
Software delivery, Support and Maintenance [Member] | EPSi and CarePort [Member] | |||
Revenue: | |||
Total revenue | (363) | 31,482 | |
Cost of revenue: | |||
Total cost of revenue | (487) | 3,241 | |
Client services [Member] | EPSi and CarePort [Member] | |||
Revenue: | |||
Total revenue | (5) | 3,878 | |
Cost of revenue: | |||
Total cost of revenue | $ 123 | $ 4,565 | |
[1] | Income from discontinued operations for EPSi and CarePort does not agree to the consolidated statements of operations for the three months ended March 31, 2020, due to residual amounts related to Netsmart . Refer to Note 17, “Supplemental Disclosures” for additional information. | ||
[2] | Income from discontinued operations, net of tax for EPSi and CarePort does not agree to the consolidated statements of operations for the three months ended March 31, 2020 due to residual amounts related to Netsmart. Refer to Note 17, Supplemental Disclosures” for additional information. |
Business Segments - Additional
Business Segments - Additional Information (Detail) | 3 Months Ended |
Mar. 31, 2021Segment | |
Segment Reporting [Abstract] | |
Number of operating segments | 2 |
Business Segments - Revenues an
Business Segments - Revenues and Income (Loss) from Operations Related to Segment Within Reconciliation to Consolidated Amounts (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Segment Reporting Information [Line Items] | ||
Revenue | $ 368,352 | $ 381,364 |
Gross profit | 150,045 | 131,936 |
Income (loss) from operations: | 13,340 | (26,976) |
Unallocated Amounts [Member] | ||
Segment Reporting Information [Line Items] | ||
Revenue | (4,378) | (2,399) |
Gross profit | 0 | 0 |
Income (loss) from operations: | (4,647) | 0 |
Core Clinical and Financial Solutions [Member] | Operating Segments [Member] | ||
Segment Reporting Information [Line Items] | ||
Revenue | 309,165 | 320,332 |
Gross profit | 119,962 | 100,434 |
Income (loss) from operations: | 17,605 | (20,712) |
Data Analytics and Care Coordination [Member] | Operating Segments [Member] | ||
Segment Reporting Information [Line Items] | ||
Revenue | 63,565 | 63,431 |
Gross profit | 30,083 | 31,502 |
Income (loss) from operations: | $ 382 | $ (6,264) |
Supplemental Disclosures - Supp
Supplemental Disclosures - Supplemental Disclosures (Detail) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 | Mar. 31, 2020 |
Reconciliation of cash, cash equivalents and restricted cash: | |||
Cash and cash equivalents | $ 513,400 | $ 531,104 | $ 204,308 |
Restricted cash | 2,110 | $ 6,361 | 7,824 |
Total cash, cash equivalents and restricted cash | $ 515,510 | $ 212,132 |