Greenway Medical forecasts loss, and stock skids
Greenway Medical expects fiscal-year loss and cuts sales outlook, and stock tumbles
CARROLLTON, Ga. (AP) -- Medical software maker Greenway Medical Technologies Inc. said Monday that it expects to take a loss in its current fiscal year because of lower system sales and deferred revenue from some large customers.
Greenway is working to shift more of its customers to cloud-computing based subscription services. It said one-time system sales were weaker than expected, and training and consulting revenue from some large customers was deferred.
The company now expects to lose between 11 and 13 cents per share in the fiscal year ending June 30. It forecasts $132 million to $134 million in revenue.
Previously the company had called for net income of 10 to 17 cents per share and revenue of $145 million to $150 million. Analysts were expecting earnings of 12 cents per share and revenue of $146.7 million, according to FactSet.
Greenway Medical Technologies shares fell $3.05, or 19 percent, to $13 in afternoon trading. The company is scheduled to report its fiscal third-quarter results on May 6.
