Meditech filed its earnings results for the first quarter of 2018 with the U.S. Securities and Exchange Commission April 30.
Here are four things to know about the company's performance.
1. Meditech posted $122.37 million in revenue for the first quarter, up 4.5 percent from $117.15 million during the same period last year.
2. The company reported $41.92 million in product revenue, up 20.5 percent from $34.78 million during the first quarter of 2017.
3. Meditech posted $80.45 million in service revenue, down 2.3 percent from $82.37 million the company posted during the same period last year.
4. The company reported a net income of $2.82 million during the first quarter, down 80.5 percent from the company's net income of $14.51 million during the first quarter of 2017.
In an emailed statement to Becker's Hospital Review May 23, a Meditech spokesperson added, "starting in 2018, new accounting procedures required Meditech to record any changes within our marketable securities within other income and expenses. This newly required accounting practice has led to skewed results for our statements of income. With changes in marketable securities now reported in statements of income, we will see fluctuations to net income (positive and negative) based on how the market and our portfolio is performing. We believe many companies, both inside and outside of healthcare, are similarly affected."
He added Meditech refers to operating income as its "key indicator of ... financial health." Meditech posted $15.77 million in operating income during the first quarter of 2018, up 19 percent from $13.25 million one year prior.
Editor's note: This article was updated May 23, 2018, to include a statement from Meditech.