Cerner Corporation (NASDAQ:CERN) Q2 2020 Earnings Conference Call - Final Transcript

Jul 29, 2020 • 04:30 pm ET


Cerner Corporation (NASDAQ:CERN) Q2 2020 Earnings Conference Call - Final Transcript


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Welcome to Cerner Corporation's Second Quarter 2020 Conference Call. Today's date is July 29, 2020, and this call is being recorded. The company has asked me to remind you that various remarks made here today constitute forward-looking statements, including, without limitation, those regarding projections of future revenues or earnings, operating margins, operating and capital expenses, bookings, new solution, services and offering development and capital allocation plans, cost optimization and operational improvement initiatives, future business outlook, including the markets or prospects by the company's solution and services, the expected benefits of our acquisitions, divestitures or other collaborations and the expected impact of the COVID-19 pandemic.

Actual results may differ materially from those indicated by the forward-looking statements. Please see Cerner's earnings release, which was furnished to the SEC today and posted to the Investors section of and other filings with the SEC for additional information concerning factors that could cause actual results to differ materially from those in the forward-looking statements. A reconciliation of non-GAAP to GAAP financial measures discussed in this earnings release call can also be found in the company's earnings release. Cerner assumes no obligation to update any forward-looking statements or information, except as required by law.

At this time, I'd like to turn the call over to Brent Shafer, President and CEO of Cerner Corporation.

Brent Shafer

Thanks very much, and good afternoon, everyone. Thank you for joining the call. Like most of you, we're doing this call from remote locations today, so please bear with us through any technical challenges. Hopefully, we won't have any. I'll spend a few minutes providing my thoughts on the business and current environment before handing the call over to CFO, Marc Naughton; our Chief Client and Services Officer, John Peterzalek; and our President, Don Trigg, for more on the numbers and marketplace commentary. While COVID has hurt our clients financially by significantly reducing elective procedures and other margin contributors, Cerner's intense focus on supporting them through the pandemic has enabled us to strengthen and extend client relationships and actually help plan for their post COVID recovery. As an example, we recently announced the expansion of our Banner Health relationship to include Cerner's Revenue Cycle Management Solution. With 28 hospitals in six states, Banner is one of the country's largest health systems, and we're very proud to grow our relationship with them. In addition to clarity, alignment and focus, COVID has also produced a real burst of innovation as Cerner teams delivered critical, quick-turn projects. Our Lights On Network analytics solution released more than 15 new reports and dashboards in 45 days. We stood up a new version of our cloud-based CareAware solution to support the Center for Disease Control on a national scale in just 72 hours, and we developed and deployed new syndromic and surveillance reporting to support clients in a matter of hours.

The flexibility and commitment we've shown our clients has been inspiring, and Cerner Solutions are helping caregivers respond to the crisis and plan for recovery from its