Allscripts sells OneContent business to Hyland

The company also posted 22 percent revenue growth in Q4, but bookings were down.
By Mike Miliard
01:45 PM
Allscripts sells OneContent business to Hyland

Allscripts, which gained McKesson's OneContent document capture and health record management software as part of its acquisition of that company's health IT business this past summer, is now selling the technology to Hyland Software.

The OneContent client base and associates will transition to Hyland, which specializes in content and image management tools for healthcare. Allscripts said Hyland would be a good steward of the technology, helping OneContent customers make better use of platform with new features and functionalities, and refining its integration with Allscripts' electronic health records.

[Also: Allscripts to show new Microsoft Azure-powered EHR at HIMSS18]

The deal is expected to finalize in the second quarter; the two companies will operate independently until then.

Allscripts also announced its financial results for fourth quarter and full-year 2017 on February 15. It reported an increase in Q4 revenue: $517 million, up 22 percent year-over-year. For the full year, GAAP revenue totaled $1.8 billion, an increase of 17 percent year-over-year.

Bookings in the Q4 quarter were down 22.7 percent, however: $314 million compared with $406 million for the same period in 2016.

Nonetheless, in an earnings call, Allscripts President Rick Poulton said 2017 was a "transformational year for Allscripts," and not just thanks to big-name acquisitions such as McKesson EIS and Practice Fusion.

"We've made a number of important decisions that have made 2017 the year that it was," explained CEO Paul Black.

"We've invested in our core solutions, effectively spending the R&D to meet regulatory demand, increased solution breadth and depth and to innovate on the platforms we offer clients on a worldwide basis," he said.

"This has contributed to the multiple consecutive quarterly bookings records and on an annual basis, we've been able to demonstrate client retentions, attract some new clients and cross-sell new capabilities to our existing clients, expanding our market share," Black added. "We've also invested in new platforms in anticipation of the world in a post-stimulus market reality, creating a number of growth platforms outside of our core EMR offerings."

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