Author Topic: CSU - Constellation Software  (Read 261510 times)

Liberty

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Re: CSU - Constellation Software
« Reply #720 on: February 13, 2020, 07:03:46 AM »
Harris acquisition:

https://www.harriscomputer.com/en/news/?date=1581310800&article=harris-healthcare-group-acquires-doc-tor-com

Quote
N. Harris Computer Corporation’s (“Harris”) healthcare group announced today that it has completed the acquisition of Doc-Tor.Com L.L.C. (“Doc-Tor.com”) of Allendale, NJ. Doc-Tor.com provides an easy-to-use, cloud-based practice management system for physician offices, allowing for efficient and seamless workflow, from scheduling through collections and analytics.

The Doc-Tor.com transaction also included the acquisition by Harris of New Ultimate Billing LLC (“Ultimate Billing”), a full-service revenue cycle management (RCM) provider with 20 years of combined administrative leadership and medical billing experience.

Pearnick writes: "19 employees (16+3)"

https://twitter.com/pearnick/status/1227793664325365761?s=20

h/t @pearnick
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gary17

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Liberty

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Re: CSU - Constellation Software
« Reply #722 on: February 14, 2020, 06:49:50 AM »
Finally getting around to looking at CSU Q4. Looks decent to me. A little weak on organic growth, but always hard to know if it's weak or if they just bought more distressed assets lately...  Big swings in licenses and hardware, which can be lumpy.

IFRS 16 accounting makes things less clear for FCFA2S ("using the modified retrospective approach and accordingly the information presented for 2018 has not been restated"), but if you take it into account, looks good.

FY19 acquisitions: "$549 million (which includes acquired cash). Deferred payments associated with these acquisitions have an estimated value of $139 million resulting in total consideration of $688 million". And that's with no big acquisitions that year.

Public sector revenue increased 18% in Q4, 15% for FY19.

Private sector revenue increase 9% in Q4, 12% for FY19.

ROIC looking good:



Looks like they did over 90 acquisitions this year, versus about 55 last year. In 2014 they did in the 20s acquisitions during the year, so it's been quite a change in the capital deployment capability. And the ROIC doesn't seem (yet?) to have suffered.

"The Average Invested Capital for 2019 was $2,260 million"
« Last Edit: February 14, 2020, 07:26:34 AM by Liberty »
"Most haystacks don't even have a needle." |  I'm on Twitter  | This podcast episode is a must-listen