Mediware Reports Net Profits For 3rd Fiscal Quarter

Increased Sales And Management Changes Have Positive Financial Results



Apr 24, 2001, 01:00 ET from Mediware Information Systems, Inc.

    LENEXA, Kan., April 24 /PRNewswire/ -- Mediware Information Systems, Inc.
 (Nasdaq:   MEDW) reported financial results for the third fiscal quarter that
 ended March 31, 2001.  Revenue was $6.8 million, up 8 percent compared to
 $6.3 million a year ago.
     Net profits for the most recent quarter were $117,000, or 2 cents a basic
 and diluted share, vs. a net loss of $1,204,000, or 17 cents a basic and
 diluted share, respectively, in the year ago period.
     Revenue for the nine months just ended was $19.0 million vs. $20.3 million
 a year ago.  Net loss for the current nine-month period was $1.0 million, or
 15 cents a basic and diluted share compared to 6 cents a basic and diluted
 share, a year ago.
 
     Highlights for the Third Quarter, included the following:
     -- Gross profit of 70 percent vs. 56 percent in the same quarter a year
        ago, reflecting a stronger mix of proprietary software licenses sold in
        the current quarter, along with a reduction in the cost of services.
     -- Total costs and expenses was $6.6 million for the third quarter of FY
        2001, vs. $8.2 million in the same period a year ago.  Management
        initiated cost reduction activities in the 3rd quarter consistent with
        its refocused strategy.  The Company anticipates those activities to
        positively affect expenses over the next several quarters.
     -- Day Sales Outstanding (DSO), the average number of days it takes to
        collect one dollar in receivables, declined from 102 days for the
        quarter ended March 31, 2000 to 82 days for the quarter ended March 31,
        2001.  This decrease reflected the completion of a number of longer-
        term projects along with increased emphasis on cash management.
 
     Commenting on the Company's results, George Barry, President and Chief
 Executive Officer, said, "We are pleased with the operational and financial
 progress made during the third quarter.  Our success in recruiting
 industry-experienced management teams within each of our divisions is
 accelerating our transition from a development-intensive business cycle to a
 market driven cycle emphasizing more clinical product enrichment."
     Barry continued, "Based on the increasing level of customer interest in
 our product lines, it appears to us that hospitals have put Y2K issues well
 behind them and are now focused on seeking information technology that will
 reduce medication and administrative errors.  This should benefit our
 Company."
 
     Mediware Information Systems is a leader in clinical information systems
 in three areas of the health care industry -- pharmacy (WORx(TM),
 Pharmakon(R), and Digimedics) blood bank (Hemocare(TM), LifeTrak(TM) and
 LifeLine) and the operating room (PCMWin and Surgiware(TM)).  Mediware has
 over 1100 systems installed in the U.S., Canada, the U.K., and elsewhere.
 
     Certain statements in this press release may constitute "forward-looking"
 statements within the meaning of the Private Securities Litigation Reform Act
 of 1995, as the same may be amended from time to time (the "Act") and in
 releases made by the SEC from time to time.  Such forward-looking statements
 are not based on historical facts and involve known and unknown risks,
 uncertainties and other factors disclosed in the Company's Annual Report on
 Form 10K for the year ended June 30, 2000, which may cause the actual results
 of the Company to be materially different from any future results expressed or
 implied by such forward-locking statements. The Company disclaims any
 obligation to update its forward-looking statements.
 
     Contact: George Barry, 913-307-1000; or Thomas Redington, 203-222-7399,
 212-926-1733 both for Mediware Information Systems, Inc.
 
                     MAKE YOUR OPINION COUNT -- Click Here
                http://tbutton.prnewswire.com/prn/11690X30153988
 
 

SOURCE Mediware Information Systems, Inc.
    LENEXA, Kan., April 24 /PRNewswire/ -- Mediware Information Systems, Inc.
 (Nasdaq:   MEDW) reported financial results for the third fiscal quarter that
 ended March 31, 2001.  Revenue was $6.8 million, up 8 percent compared to
 $6.3 million a year ago.
     Net profits for the most recent quarter were $117,000, or 2 cents a basic
 and diluted share, vs. a net loss of $1,204,000, or 17 cents a basic and
 diluted share, respectively, in the year ago period.
     Revenue for the nine months just ended was $19.0 million vs. $20.3 million
 a year ago.  Net loss for the current nine-month period was $1.0 million, or
 15 cents a basic and diluted share compared to 6 cents a basic and diluted
 share, a year ago.
 
     Highlights for the Third Quarter, included the following:
     -- Gross profit of 70 percent vs. 56 percent in the same quarter a year
        ago, reflecting a stronger mix of proprietary software licenses sold in
        the current quarter, along with a reduction in the cost of services.
     -- Total costs and expenses was $6.6 million for the third quarter of FY
        2001, vs. $8.2 million in the same period a year ago.  Management
        initiated cost reduction activities in the 3rd quarter consistent with
        its refocused strategy.  The Company anticipates those activities to
        positively affect expenses over the next several quarters.
     -- Day Sales Outstanding (DSO), the average number of days it takes to
        collect one dollar in receivables, declined from 102 days for the
        quarter ended March 31, 2000 to 82 days for the quarter ended March 31,
        2001.  This decrease reflected the completion of a number of longer-
        term projects along with increased emphasis on cash management.
 
     Commenting on the Company's results, George Barry, President and Chief
 Executive Officer, said, "We are pleased with the operational and financial
 progress made during the third quarter.  Our success in recruiting
 industry-experienced management teams within each of our divisions is
 accelerating our transition from a development-intensive business cycle to a
 market driven cycle emphasizing more clinical product enrichment."
     Barry continued, "Based on the increasing level of customer interest in
 our product lines, it appears to us that hospitals have put Y2K issues well
 behind them and are now focused on seeking information technology that will
 reduce medication and administrative errors.  This should benefit our
 Company."
 
     Mediware Information Systems is a leader in clinical information systems
 in three areas of the health care industry -- pharmacy (WORx(TM),
 Pharmakon(R), and Digimedics) blood bank (Hemocare(TM), LifeTrak(TM) and
 LifeLine) and the operating room (PCMWin and Surgiware(TM)).  Mediware has
 over 1100 systems installed in the U.S., Canada, the U.K., and elsewhere.
 
     Certain statements in this press release may constitute "forward-looking"
 statements within the meaning of the Private Securities Litigation Reform Act
 of 1995, as the same may be amended from time to time (the "Act") and in
 releases made by the SEC from time to time.  Such forward-looking statements
 are not based on historical facts and involve known and unknown risks,
 uncertainties and other factors disclosed in the Company's Annual Report on
 Form 10K for the year ended June 30, 2000, which may cause the actual results
 of the Company to be materially different from any future results expressed or
 implied by such forward-locking statements. The Company disclaims any
 obligation to update its forward-looking statements.
 
     Contact: George Barry, 913-307-1000; or Thomas Redington, 203-222-7399,
 212-926-1733 both for Mediware Information Systems, Inc.
 
                     MAKE YOUR OPINION COUNT -- Click Here
                http://tbutton.prnewswire.com/prn/11690X30153988
 
 SOURCE  Mediware Information Systems, Inc.