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Cerner's Business Segments
Cerner's reported revenue by business segment and by geographic region, quarterly and annual, normalized against the consolidated income statement. Free below: the top 3 rows per table, this quarter and this fiscal year. Subscriber access adds the full segment history and operating income by segment.
Segment Data As of Q1 FY2022
Reportable Segments
2
Largest Segment
Domestic
Total Revenue
$ 1,430
Regions Reported
1
Revenue Share by Reportable Segment - Q1 FY2022
- Domestic88%
- International12%
Revenue by Reportable Segment - Q1 FY2022
| Segment | Revenue (Millions) | % of Total |
|---|---|---|
| Domestic | $ 1,258 | 88% |
| International | $ 171 | 12% |
Revenue Share by Region - Q1 FY2022
- International12%
Revenue by Geographic Region - Q1 FY2022
| Region | Revenue (Millions) | % of Total |
|---|---|---|
| International | $ 171 | 12% |
Revenue by Product & Service Category - Q1 FY2022
- Revenue, Professional Services, Net31.6%
- Revenue, Managed Services, Net20.1%
- Revenue, Support and Maintenance Services, Net14%
- Revenue, Licensed Software, Net12.5%
- Revenue, Subscriptions, Net6.3%
- Revenue, Technology Resale, Net3%
- Revenue, Reimbursement Revenue0.4%
Revenue by Product & Service Category - Q1 FY2022
| Category | Revenue (Millions) | % of Total |
|---|---|---|
| Revenue, Professional Services, Net | $ 452 | 31.6% |
| Revenue, Managed Services, Net | $ 288 | 20.1% |
| Revenue, Support and Maintenance Services, Net | $ 201 | 14% |
Product and service categories are a supplemental disclosure and are not required to sum to consolidated revenue or to the reportable segments above.
Description of Cerner
Cerner Corporation is a prominent provider of healthcare information technology (HIT) solutions, healthcare devices, and associated services. The company focuses on transforming healthcare by minimizing errors, variance, and waste for both healthcare providers and consumers. Cerners solutions are designed to optimize operational processes for a diverse range of healthcare organizations, from small physician practices to expansive health systems and even entire countries.
Additionally, Cerner serves the pharmaceutical and medical device industries, delivering innovative technology and insights that enhance patient care and support operational efficiency. The company is dedicated to improving the healthcare commerce system by integrating various aspects of care delivery, enabling better decision-making and improved outcomes across the healthcare landscape. With a commitment to advancing health through information technology, Cerner continues to play a pivotal role in shaping the future of healthcare delivery and management.
Additionally, Cerner serves the pharmaceutical and medical device industries, delivering innovative technology and insights that enhance patient care and support operational efficiency. The company is dedicated to improving the healthcare commerce system by integrating various aspects of care delivery, enabling better decision-making and improved outcomes across the healthcare landscape. With a commitment to advancing health through information technology, Cerner continues to play a pivotal role in shaping the future of healthcare delivery and management.
Cerner Corporation is a leading healthcare technology company that offers a comprehensive suite of products and services designed to improve the efficiency, quality, and safety of healthcare delivery. The company’s offerings can be broadly categorized into several segments, each focusing on different aspects of healthcare management and technology solutions.
System Sales
At the core of Cerner’s business is its software solutions, primarily built on the Cerner Millennium® architecture. This unified, person-centric computing framework integrates clinical, financial, and management information systems to facilitate seamless healthcare delivery. Key features of the system sales segment include:
1. Electronic Health Records (EHR): Cerner provides robust EHR solutions that allow healthcare providers to access and manage patient information at the point of care. This enables the delivery of tailored healthcare services based on comprehensive patient data.
2. Interoperability Solutions: Cerner’s systems are designed to facilitate information exchange between different healthcare entities, ensuring that patient data is readily available across various platforms and systems. This supports coordinated care and improves patient outcomes.
3. Clinical and Financial Integration: By combining clinical and financial data management, Cerner’s solutions allow healthcare organizations to better understand their operational efficiencies and financial health, facilitating improved decision-making processes.
4. Data Analytics: Cerner’s platforms include advanced data analytics tools that enable healthcare providers to derive meaningful insights from their data, aiding in clinical decision-making and operational optimization.
Client Services
Cerner’s client services segment is dedicated to ensuring that healthcare organizations effectively implement and maximize the value of their Cerner systems. This segment offers a wide range of services, including:
1. Implementation and Training: Cerner provides extensive implementation services to help healthcare organizations deploy their software solutions effectively. This includes customized training programs aimed at educating staff on system use to maximize efficiency and user adoption.
2. Remote Hosting: Cerner offers cloud-based hosting solutions that allow clients to access Cerner systems securely from any location, enhancing flexibility and reducing on-premises infrastructure costs.
3. Operational Management Services: Cerner assists clients in managing their daily operations, providing expert support in areas such as staffing, workflow optimization, and technology management to drive operational excellence.
4. Revenue Cycle Services: Cerner’s revenue cycle management services help healthcare organizations streamline billing, collections, and claims processing, improving cash flow and financial performance.
5. Support and Maintenance: Cerner’s software maintenance agreements provide clients with ongoing technical support, ensuring system reliability and access to the latest software updates and enhancements.
6. Healthcare Data Analysis: Cerner offers advanced analytics services to help organizations interpret healthcare data, guiding them in strategic decision-making and improving patient care outcomes.
Clinical Process Optimization: Cerner partners with healthcare organizations to review and enhance clinical workflows, ensuring that care delivery is as efficient and effective as possible.
8. Employee Wellness Programs: Cerner develops and administers wellness programs aimed at improving employee health and reducing healthcare costs, a crucial aspect in employer-based health plans.
9. Third-Party Administrator (TPA) Services: Cerner acts as a TPA for employer-based health plans, managing various administrative tasks and facilitating smooth operations of health benefits for companies.
Client Support
Cerner ensures that its clients receive ongoing support through an extensive client support network. Each client has access to a dedicated client support team available 24 hours a day from the company’s headquarters in North Kansas City, Missouri, and through global support centers located in the United Kingdom and Ireland. This support is critical in promptly addressing any issues that arise, thereby ensuring uninterrupted service delivery and client satisfaction.
In summary, Cerner Corporation offers a holistic array of healthcare information technology solutions and services that cater to the diverse needs of healthcare providers, payers, and employers. The companys commitment to innovation, integration, and client support positions it as a pivotal player in the healthcare technology landscape.
System Sales
At the core of Cerner’s business is its software solutions, primarily built on the Cerner Millennium® architecture. This unified, person-centric computing framework integrates clinical, financial, and management information systems to facilitate seamless healthcare delivery. Key features of the system sales segment include:
1. Electronic Health Records (EHR): Cerner provides robust EHR solutions that allow healthcare providers to access and manage patient information at the point of care. This enables the delivery of tailored healthcare services based on comprehensive patient data.
2. Interoperability Solutions: Cerner’s systems are designed to facilitate information exchange between different healthcare entities, ensuring that patient data is readily available across various platforms and systems. This supports coordinated care and improves patient outcomes.
3. Clinical and Financial Integration: By combining clinical and financial data management, Cerner’s solutions allow healthcare organizations to better understand their operational efficiencies and financial health, facilitating improved decision-making processes.
4. Data Analytics: Cerner’s platforms include advanced data analytics tools that enable healthcare providers to derive meaningful insights from their data, aiding in clinical decision-making and operational optimization.
Client Services
Cerner’s client services segment is dedicated to ensuring that healthcare organizations effectively implement and maximize the value of their Cerner systems. This segment offers a wide range of services, including:
1. Implementation and Training: Cerner provides extensive implementation services to help healthcare organizations deploy their software solutions effectively. This includes customized training programs aimed at educating staff on system use to maximize efficiency and user adoption.
2. Remote Hosting: Cerner offers cloud-based hosting solutions that allow clients to access Cerner systems securely from any location, enhancing flexibility and reducing on-premises infrastructure costs.
3. Operational Management Services: Cerner assists clients in managing their daily operations, providing expert support in areas such as staffing, workflow optimization, and technology management to drive operational excellence.
4. Revenue Cycle Services: Cerner’s revenue cycle management services help healthcare organizations streamline billing, collections, and claims processing, improving cash flow and financial performance.
5. Support and Maintenance: Cerner’s software maintenance agreements provide clients with ongoing technical support, ensuring system reliability and access to the latest software updates and enhancements.
6. Healthcare Data Analysis: Cerner offers advanced analytics services to help organizations interpret healthcare data, guiding them in strategic decision-making and improving patient care outcomes.
Clinical Process Optimization: Cerner partners with healthcare organizations to review and enhance clinical workflows, ensuring that care delivery is as efficient and effective as possible.
8. Employee Wellness Programs: Cerner develops and administers wellness programs aimed at improving employee health and reducing healthcare costs, a crucial aspect in employer-based health plans.
9. Third-Party Administrator (TPA) Services: Cerner acts as a TPA for employer-based health plans, managing various administrative tasks and facilitating smooth operations of health benefits for companies.
Client Support
Cerner ensures that its clients receive ongoing support through an extensive client support network. Each client has access to a dedicated client support team available 24 hours a day from the company’s headquarters in North Kansas City, Missouri, and through global support centers located in the United Kingdom and Ireland. This support is critical in promptly addressing any issues that arise, thereby ensuring uninterrupted service delivery and client satisfaction.
In summary, Cerner Corporation offers a holistic array of healthcare information technology solutions and services that cater to the diverse needs of healthcare providers, payers, and employers. The companys commitment to innovation, integration, and client support positions it as a pivotal player in the healthcare technology landscape.