Health care information technology services provider Cerner Corp. (NASDAQ: CERN – $64.60) reported first quarter revenue of $1.39 billion, an increase of 8% compared to $1.293 billion in the first quarter of 2018 and in line with consensus. Adjusted earnings were $198.5 million versus $193.9 million last year and earnings per share was $0.61 compared to $0.58 a year ago, also in line with Street views. First quarter operating cash flow was $317.3 million and total backlog of new business settled at $14.87 billion. Bookings in the first quarter of 2019 were in-line with the company’s expectations at $1.242 billion.
Looking into the second quarter, Cerner sees revenue between $1.410 billion and $1.460 billion with new business bookings between $1.25 billion and $1.45 billion. For the full-year management is estimating revenue between $5.65 billion and $5.85 billion, consistent with previously provided full year guidance. For the second period, the company is guiding for earnings per share between $0.63 and $0.65 and $2.64 to $2.67 for the full-year.
The recent announcement to initiate a quarterly dividend payment of $0.15 a share beginning in the September period will expand the stock’s ownership base. The Kansas City-based company is also well positioned to continue prospering in the health care information services business, with earnings growth likely to continue exceeding the advance of the top line over the longer term.