eClinicalWorks Tops $100M Sales as Doctors Move from Paper to Pixel Records
Most health records in the U.S. today are still gathering dust, tucked away in filing cabinets, existing only on paper. Even though the idea of electronic medical records is still a relatively new concept at most hospitals and clinics, the EMR software industry has its share of dinosaurs living alongside the newer species. At eClinicalWorks, one of the new generation electronic medical record companies, business is thriving even as it fights some much larger and older competitors who are pursuing the same customers.
The Westborough, MA-based company experienced eight-figure revenue growth for its sixth consecutive year, with annual revenue of an estimated $105-$106 million in 2009, up from $85 million in 2008, according to the firm. (The company is privately held, and doesn’t reveal full financial data, like what its profits are.) After nearly 11 years in business, the firm has grown to 930 employees and now has operations Pleasanton, CA, New York City, Alpharetta, GA, as well as here in Massachusetts.
To a certain extent, eClinicalWorks is riding a wave of demand for electronic medical records. (One of the firm’s counterparts, Horsham, PA-based NextGen Healthcare Information Systems, reported a similar rate of revenue growth during the last nine months of 2009.) The federal stimulus package passed last February set aside $17 billion in incentives for doctors who adopt electronic records, and physicians are eligible for as much as $44,000 in Medicare incentives starting in 2011 for implementing the records systems in their practices. That eClinicalWorks was growing rapidly before the government announced the plan bodes well for the future. But the company co-founder and CEO Girish Navani is not relying on federal dollars to exclusively pave the way for the firm’s future prosperity.
The company has made investments in distinguishing itself among the field of EMR providers, including the industry giants such as Allscripts (NASDAQ:MDRX), General Electric (NYSE:GE) , and McKesson (NYSE:MCK). Navani told me that his firm’s electronic records and practice management software are user friendly, easy to customize, and provided with comprehensive technical support. The company also charges … Next Page »