Computer Programs and Systems, Inc. (NASDAQ:CPSI) Q4 2017 Earnings Conference Call - Final Transcript
Feb 08, 2018 • 04:30 pm ET
Ladies and gentlemen, thank you for standing by, and welcome to the CPSI Fourth Quarter and Year End 2017 Earnings Conference Call. During the presentation, all participants will be in a listen-only mode. Afterwards, we will conduct a question-and-answer session. [Operator Instructions]
I will now turn the conference over to Boyd Douglas, President and Chief Executive Officer, CPSI. Please go ahead, sir.
J. Boyd Douglas
Thank you, George. Good afternoon, everyone, and thank you for joining us. During this conference, we may make statements regarding future operating plans, expectations and performance that constitute forward-looking statements made pursuant to the Safe Harbor provisions of the Private Securities Litigation Reform Act of 1995. We caution you that any such forward-looking statements only reflect management expectations and predictions based upon currently available information and are not guarantees of future results or performance.
Actual results might differ materially from those expressed or implied by such forward-looking statements as a result of known and unknown risk, uncertainties, and other factors, including those described in our public releases and reports filed with the Securities and Exchange Commission including, but not limited to, our most recent Annual Report on Form 10-K. We also caution investors that the forward-looking information provided in this call represents our outlook only as of this date, and we undertake no obligation to update or revise any forward-looking statements to reflect events or developments after the date of this call.
Joining me on the call today will be Matt Chambless, Chief Financial Officer; Chris Fowler, Chief Operating Officer; and David Dye, our Chief Growth Officer. At the conclusion of our prepared comments, we will be available to take any questions that you may have.
Our fourth quarter of 2017 concluded with solid results, especially as it relates to revenue and earnings, as adjusted EBITDA and non-GAAP EPS were at their highest levels since the acquisition of Healthland and its affiliates two years ago. A significant portion of our Q4 revenues were associated with meaningful use theory due to the majority of our clients staying on track with their MU3 implementation schedule. This has driven sales of our MU3 package and we are on track to see a number of clients begin attestation in the first quarter of 2018. In addition, we wrapped up 2017 with strong cash flow of $5.3 million that helps put our financial operations in a steady position as we move into 2018.
Speaking of MU3, I want to address the current language and the continuing resolution for the budget proposal in regards to advancing stages of meaningful use. The proposed language removes a requirement that CMS make meaningful use standards more stringent over time. We do not anticipate that the proposed legislation will have an impact on the MU3 portion of the meaningful use program. We view this as positive for our Company as we will then be able to focus our future development efforts on new software and enhancements that our customers desire as opposed to software that will be needed to