In fact delays on these gifts from the taxpayers is the reason QSII said they missed the quarter. After dropping to support this morning, the stock has now bounced and is actually in the green. Until the name breaks support we'll stick around. The action around mid $58s is important as that was a late June peak. If the stock breaks above that, it has potential for the next leg up; if the stock reverses there you have a bearish double top potential.
In normal times this sort of earnings miss would of meant a much darker outcome. But we're in the new normal. And despite missing analysts expectations for revenue by about $1M, they still grew the top line by 20%+ year over year, which is a lot more than most companies can say. Gross margin came in around 61%.
- The Company posted record net revenues of $66.6 million in the first quarter, an increase of 21% from the $55.2 million generated during the same quarter of the prior year.
- The Company reported net income of $10.3 million, down 7% when compared to net income of $11.1 million earned in the comparable quarter of the prior year. Fully diluted earnings per share was $0.36 in the quarter, which was down 10% compared to $0.40 per share earnings recorded in the same quarter last year.
- The Company’s results continue to be impacted by the delays in purchasing decisions related to uncertainty surrounding the American Recovery and Reinvestment Act of 2009 (“ARRA”), which was signed into law in February 2009.
[Jan 6, 2009: Analyst Throws Water on "Hope" in Medical IT]
[Jan 9, 2009: Bookkeeping - Starting Quality Systems]
[Jan 30, 2009: Quality Systems Earnings Solid]