accordance with generally
accepted accounting principles, or GAAP. To supplement this information,
Allscripts presents in this press release non-GAAP net income (and related
per share amounts), which is a non-GAAP financial measure under Section 101
of Regulation G under the Securities Exchange Act of 1934, as amended.
Non-GAAP net income consists of GAAP net income, excluding
acquisition-related amortization and stock-based compensation expense under
SFAS No. 123R, in each case net of any related tax benefit.
-- Acquisition-Related Amortization. Acquisition-related amortization
expense is a non-cash expense arising from the acquisition of
intangible assets in connection with acquisitions or investments.
Allscripts excludes acquisition-related amortization expense from
non-GAAP net income because it believes (i) the amount of such expenses
in any specific period may not directly correlate to the underlying
performance of Allscripts business operations and (ii) such expenses
can vary significantly between periods as a result of new acquisitions
and full amortization of previously acquired intangible assets.
Investors should note that the use of these intangible assets
contributed to revenue in the periods presented and will contribute to
future revenue generation and should also note that such expense will
recur in future periods.
-- Stock-Based Compensation Expense. Stock-based compensation expense is a
non-cash expense arising from the grant of stock awards to employees.
Allscripts excludes stock-based compensation expense from non-GAAP net
income because it believes (i) the amount of such expenses in any
specific period may not directly correlate to the underlying
performance of Allscripts business operations and (ii) such expenses
can vary significantly between periods as a result of the ti
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SOURCE Allscripts Healthcare Solutions, Inc. Copyright©2007 PR Newswire. All rights reserved | |
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