Emis reports “organic growth”

Emis Group says its acquisition of Ascribe has made “positive contributions” to its bottom line, as the company prepares to announce its half year results.

Emis has released a trading update for the first half of 2014, ahead of its results announcement on 5 September.

The update comes just under a year after its purchase of pharmacy and e-prescribing software supplier Ascribe for £57.5m, which the company described as “a significant milestone” towards delivering integrated solutions.

It says trading has been in line with management expectations “with continued organic growth in revenues and profits." Net debt has reduced from £13.5m on 31 December 2013 to £0.1m as of 30 June 2014 due to strong cash flow.

It also says the acquisitions of Ascribe and Digital Healthcare have made “positive contributions” to the group, with further contract wins expected to boost performance over the rest of the year.

While the company’s market share in primary care is “broadly unchanged”, there has been an increase to its “significant market share” in the community pharmacy sector where it has also launched new software enabling pharmacies to view patients’ electronic GP records.

The update also reports growth in the community, child and mental health sector, as well as in secondary and specialist care.

Emis Group chief executive Chris Spencer said the first half of the year has been “another period of encouraging progress” for the group, with the rollout of Emis Web to English GPs on track for completion.

As of 31 June, 3,751 GP practices in England and Wales were live with Emis Web, an increase of 424 practices from 31 December 2013 and representing 84% of Emis practices in the area.

The remaining practices have either ordered Emis Web or are in the familiarisation service which allows them to start streaming their data into the system.

Spencer said the group has also “widened and deepened our connected healthcare offerings” in the community pharmacy sector and in secondary and specialist care.

“Along with politicians from every major party, we are committed to the vision of better and cheaper healthcare through connected software and services. We regard EMIS Group as being uniquely placed to help deliver that vision and are confident in our outlook for the remainder of the year.”