What bothered investors was that while earnings per share of 83 cents were a big jump over the 59 cents earned in the last quarter of 2011, CPSI missed expectations of 88 cents. But the overall numbers were good for the company.
Revenue, which included $1.6 million in tax benefits for deductions not previously recognized, rose 13.5 percent to $47.9 million, compared with $42.2 million for the prior-year quarter. Fourth quarter net income increased 39 percent to $9.1 million. Cash collections totaled a record $53.2 million, compared to $44.3 million in the prior-year quarter and the previous high of $46.1 million in the third quarter of 2011.
For all of 2012, CPSI saw revenue increase 5.6 percent to $183.3 million with net income up 16 percent to $30 million. The company projects 2013 revenue of $194 million to $206 million with profit of $31 million to $33 million.