Agreements with two government agencies fuel continued growth momentum
MARKHAM, ON, March 19, 2012 /CNW/ - Nightingale Informatix Corporation ("Nightingale" or the "Company") (TSX-V: NGH), an application service provider (ASP) of electronic medical record (EMR) software and related services, today announced that it has signed EMR license and service agreements with two government agencies totaling more than $1.0 million. Nightingale will commence deployment for both contracts immediately, with the deployment expected to be completed by Summer 2012.
"These two agreements demonstrate our continued success in accelerating organic growth with larger-scale EMR contract and other services wins," said Sam Chebib, President and CEO, Nightingale Informatix. "We continue to be a leading choice with small and medium clinics, and now that the enterprise market is starting to open up, we are a clear front runner with that market segment as well. With these recent wins, in addition to our milestone 10-year $17.0 million EMR contract that we announced late last year, we are building a deployment backlog that positions us for sustainable revenue growth and EBITDA margin expansion going forward."
"Large healthcare organizations conduct extensive due diligence and set stringent selection criteria when choosing an EMR vendor," Mr. Chebib added. "As such, winning enterprise deals is always a particularly strong testament to the technology leadership of our cloud-based EMR offering, quality of our customer service and overall Nightingale brand."
In December 2011, Nightingale strengthened its market leadership in Canada by winning a major contract to provide bilingual (French and English) EMR software to 3,500 healthcare providers across Ontario. Valued at $17.0 million over the 10-year life of the agreement, this represents one of the largest EMR contracts ever awarded in Canada. In addition, with the Company's plans to launch a bilingual EMR, and its new office in Quebec City, Nightingale is positioned to expand its services to the Quebec EMR market in the next fiscal year.
Nightingale is one of the fastest growing health care service and software companies in North America and is recognized as an industry leader in Web-based clinician and community based electronic medical records (EMR) serving the needs of small primary care practices, multi-physician outpatient clinics, and large scale regional health organizations and networks. Coupled with integrated practice management, transcription and revenue cycle management, Nightingale's comprehensive service offering allows customers to enhance patient care, increase revenue opportunities and optimize operations. Nightingale is continuously innovating and enhancing its services to meet the needs of its growing and diverse customer base. Nightingale - Healthcare connected. www.nightingalemd.com
Forward Looking Statement
This press release contains "forward-looking statements" respecting the issuance and cancellation of securities of the Company within the meaning of applicable Canadian securities legislation. Generally, forward-looking statements can be identified by the use of forward- looking terminology such as "plans", "expects" or "does not expect", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or state that certain actions, events or results "may" ,"could", "would", "might", "occur" or "be achieved". Forward-looking statements are subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of Nightingale to be materially different from those expressed or implied by such forward-looking statements, including but not limited to: risks related to the speculative nature of the medical software industry, which is affected by numerous factors beyond Nightingale's control; the ability of Nightingale to successfully secure customer contracts and the timing of securing such contracts; the ability of Nightingale to complete and successfully integrate its acquisitions on an accretive basis, Nightingale's access to debt and capital facilities, including compliance with current debt arrangements; the existence of present and possible future government regulation; the significant competition that exists in the medical software industry; the early stage of Nightingale's business, and risks associated with early stage companies, including uncertainty of revenues, markets and profitability and the need to raise additional funding. All material assumptions used in making forward-looking statements are based on management's knowledge of current business conditions and expectations of future business conditions and trends. Certain material factors or assumptions applied by management in making forward-looking statements, include without limitation, factors and assumptions regarding future trends in healthcare spending, economic conditions affecting Nightingale and North American economies; Nightingale's ability to continue to fund its business, rates of customer defaults, relationships with, and payments to lenders, as well as Nightingale's operating cost structure.
Although Nightingale has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements. Nightingale does not undertake to update any forward-looking statements that are incorporated by reference herein, except in accordance with applicable securities laws. Further information on Nightingale Informatix Corporation is available at www.sedar.com.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
For further information:
Sharmeen Arafat, Marketing Manager
Nightingale Informatix Corporation
Kristen Dickson, Account Executive
The Equicom Group
Tel: 416-815-0700 ext. 273