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Emageon Reports Third Quarter 2007 Financial Results
Date:11/6/2007

ges were $2.7 million, or $0.13 per diluted share, compared to $3.2 million, or $0.15 per diluted share, for the nine months ended September 30, 2006. These measures of earnings were not determined in accordance with generally accepted accounting principles ("GAAP"). A reconciliation of earnings determined under GAAP to earnings exclusive of non-cash charges is included below.

For the nine months ended September 30, 2007, net cash used in operations was $1.8 million compared to net usage in operations of $2.8 million for the nine months ended September 30, 2006. At September 30, 2007, unrestricted cash and marketable securities totaled $17.8 million compared to $23.0 million at December 31, 2006 and $13.8 million at September 30, 2006.

The Company reaffirmed its previously announced guidance of a full year net loss in the range of $3.7 to $4.9 million, or $0.17 to $0.22 per share, and full year earnings excluding non-cash charges in the range of $7.6 to $8.8 million, or $0.35 to $0.40 per share. Earnings excluding non-cash charges was determined by adjusting the Company's anticipated 2007 GAAP earnings for anticipated depreciation expense of $0.29 per share, amortization expense of $0.14 per share, and stock-based compensation expense of $0.14 per share. The Company lowered its guidance for full year 2007 revenue from that provided in May 2007. Total revenue for the year is now anticipated in the range of $104 to $108 million. Revenue guidance previously provided by the Company was in the range of $112 to $115 million.

"As we had previously discussed, Emageon's operating results for the third quarter of 2007 were disappointing, largely as a result of lower bookings earlier in the year," said Chuck Jett, Chairman, CEO, and President of Emageon. "With the introduction of RadSuite Express(TM) for the small and mid-size hospital market, and with additional sales opportunities inside our base of approximately 600 hospital customers, we remain confident
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SOURCE Emageon Inc.
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