- Deloitte Haskins & Sells LLP appointed as statutory auditors
8K Miles Software Services, Ltd., a leading Global IT Business Transformation, Secure Cloud Solutions and Managed Services Provider, has announced its unaudited financial results for the quarter ended 30th June, 2017 as approved by the Board of Directors at its meeting on August 28.
Highlights of the Results :
- Gross Revenues Rs.195.73 crore, an increase of 88.40 % YoY
- EBITDA of Rs.64.44 crore, an increase of 75.22 % YoY
- Net profit stood at Rs.44.26 crore, up by 83.25% YoY
During this quarter, the company made significant progress with highly regulated industry focus and cloud business strategy by acquiring Cornerstone Advisors, a leading Electronic Medical Records implementation and advisory services firm based in the US with many hospital clients across the country. This is a great timing for 8K Miles when Apple and Amazon are talking to hospitals and healthcare organizations as quoted by HealthcareIT News and others to bring health records data together and developing healthcare apps on mobile and IoT devices to be delivered directly to users, and exploring business prospects in healthcare sector such as EHR, and telemedicine.
8K Miles was recognized by Forbes India as one of the top 8 value creators for investors during May 2017. 8K Miles is also one of the 3 companies from India to make it to Forbes Asia’s ‘Best Under a Billion’ list.
”The explosion of clinical and research data and the demand for sharing and access to patient data has caused unprecedented digital disruption. Big data sharing and analytics will play a vital role in the transformation of healthcare as we shift toward value-based, patient-centric care. This is fueled by growing number of major trends, including: Genomic research, Precision/personalized medicine, Predictive modeling using large, EHR-derived patient data sets, AI-assisted medicine, population health management, growth of telemedicine and real-time monitoring of patients. Completion of our recent acquisition of Cornerstone Advisors in May 2017, brings the world-class Cloud technology solutions and next generation cloud managed services experts of 8K Miles to Cornerstone’s clients, allowing them to further optimize their EHR efforts, manage data more effectively with 8K Miles’ highly secured and HIPAA compliant cloud solutions, improve patient care, and reduce healthcare costs,”said Mr. Suresh Venkatachari, CEO and Managing Director, 8K Miles.
“8K’s existing cloud and security platform coupled with Cornerstone’s management consulting, healthcare information technology implementation and advisory services enhances 8K Miles’ mission of guiding the US healthcare industry in Cloud Managed Services, Secured Cloud solutions and strategy consulting. The synergistic opportunities enable to drive new value to the clients. The acquisition of Cornerstone enabled more than 50 top health care expers, consultants and practices. EMR selection and implementation will enable us to achieve better EBITDA during the coming quarters” said Mr. R S Ramani, CFO & Whole-time Director, 8K Miles.
As the first time adopter of Ind AS, the Company is availing exemptions and evaluating the implications of Ind AS on consolidated financial statements.
Given below is the consolidated financial performance for the Quarter ended 30th June 2017 prepared by the management in accordance with IGAAP for investors’ information. Such information has not been subjected to any review or audit by the auditors of the Company.
(Rupees in Lakhs except EPS)
|Particulars||Un-auditedQE30 June 17||Un-auditedQE31 March 17||Un-auditedQE30 June 16||AuditedYE31 March 17|
|Revenue from Operations||19542.12||16659.54||10386.75||53437.71|
|ExpensesEmployee benefits and other direct costsOther expenses
Depreciation & Amortization
|Profit/(loss) before Tax||5723.62||5228.61||3111.80||16471.16|
|Profit/(loss) after Tax||4426.08||4018.06||2415.36||12560.34|
|Profit attributable to shareholders||3820.12||3433.51||1932.74||10414.56|
|Number of Equity Shares||30517605||30517605||11444102||30517605|
|Earnings Per Share (EPS) – Basic & Diluted||12.52||11.25||16.89||34.13|
Change in Statutory Auditors
The present statutory auditors M/s. GHG Associates have expressed their inability to continue effective end of the forthcoming Annual General Meeting (AGM) due to their other professional commitments. Due to this, the board has proposed appointment of Deloitte Haskins & Sells LLP (Regn. No.117366W/W-100018) as their Statutory Auditors effective from the conclusion of the ensuing AGM of the Company till 37th AGM covering the financial period from 1stApril 2017 to 31st March 2022, subject to approval of the shareholders. The notice to the shareholders for the purpose of AGM will carry this appointment.
Consolidated Financial Highlights for the Quarter ended 30 June 2017 (in accordance with IGAAP):
|Particulars||Q1 FY 2017-18||Q-o-Q growth||Y-o-Y growth|
|Revenue (INR Lakhs)||19,573.43||17.46%||88.40%|
|EBITDA (INR Lakhs)||6,444.01||10.47%||75.22%|
|PBT (INR Lakhs)||5,723.62||6.50%||83.47%|
|PAT before minority interest||4,426.08||10.15%||83.25%|
|PAT after minority interest||3,820.12||11.26%||97.65%|
“Every healthcare organization understands the seriousness of regulatory compliance requirements to which it is subject to, particularly under HIPAA compliance, and HITRUST certification, hospitals and health systems are required to retain patient data over a very long term. As electronic clinical data are shared more widely supporting collaboration among healthcare providers within the continuum of care and patients and supporting applications such as research analytics that require sharing of anonymized data across organizations securing PHI and other sensitive data will become far more important, and even more challenging. 8K Miles cloud platform, security, compliance and IAM expertise, alongwith healthcare domain and business process experts directly address these challenges by bringing the healthcloud ready solutions to market.”quoted by Lena Kannappan, Chief Operating Officer and Security expert from 8K Miles.
Key Business Highlights of Q1 FY 2017-18:
- 8K Miles Software Services and Cornerstone Advisors Group Join Forces to Expand Services to U.S. Healthcare Organizations: 8K Miles completed the acquisition of Cornerstone Advisors on May 01, 2017. The company’s existing Cloud and Security platforms coupled with Cornerstone’s management consulting, healthcare information technology implementation, and advisory services enhances 8K Miles’ mission of guiding the U.S. healthcare industry in Cloud managed services, secured Cloud solutions, and strategy consulting.
- 8K Miles has added a new Fortune 500 pharmaceutical customer during Q1 FY 2017-18. The company will be building their global enterprise cloud foundation capabilities supported by cloud competency center and move their current ITSM tools to 8K Miles – ServiceNow Offering.
- Renewed the annual contract with the Healthcare division of a large Fortune 50 company to provide cloud solutions and services.
- Signed a long term AWS and Azure cloud solutions/services contract with Digital Transformation division of a large Fortune 50 company.
- Signed two project deals to migrate on-prem healthcare/life sciences software solutions to public cloud to enable software as a service (SaaS) offering which include one European customer.
- Won an additional cloud competency center opportunity for building enterprise wide cloud transformation capabilities for a major pharmaceutical company headquartered in the US east coast.
- Providing product development support in Vision Custom Model space for major cloud providers.
- Won Meditech EHR implementation opportunities with multiple mid-size hospitals.
- Won EPIC EHR Community Connect project with a South Dakota based Health System.
- Providing discovery and data migration solution for Michigan based hospital.
- Currently working on joint Healthcare go to market strategy with major cloud providers.
Recognitions during Q1, FY2017-18:
- 8K Miles was recognized by Forbes India as one of the top 8 value creators for investors during May 2017.
- 8K Miles was recognized as one of the first launch partners of AWS Security Competency during this quarter.
- 8K Miles already hold the following AWS competencies which were third party certified: AWS Big Data Competency, AWS Devops competency, AWS Healthcare competency, AWS Life Sciences competency and AWS Audited MSP competency partner.
- 8K Miles entered into Google Cloud Service Partner program during June 2017.