Leeds-based EMIS Group announces positive results while investigation into acquisition continues

The CMA opened its initial investigation in January of 2023, noting that the deal could “reduce” competition and lead to higher costs and “worse outcomes” for the NHS and patients.

In March, the CMA also announced that it had rejected a proposed remedy submitted by Bidco to address the concerns, before going on to refer the acquisition to a “Phase 2” Investigation.

Last month, Bidco and EMIS announced that they intend to proceed with the Phase 2 investigation, and have agreed, subject to court consent, to extend the Long Stop Date for completion of the acquisition from June 2023 to June 2024.

The firms said that they will continue to engage “constructively and collaboratively” with the CMA during this period.

In its latest results for the year ended December 31, the group announced a rise of 10 per cent in its adjusted operating profit, up to £47.7 million, including a £1.7 million contribution from acquisitions.

Pre-tax profit rose to £38.9 million, up from £36.1 million the previous period.

The group also posted a total revenue of £175.4 million, up four per cent on last year.

Andy Thorburn, chief executive officer of EMIS Group, said: "It has been another year of good progress for EMIS Group.

“The business performed well, achieving positive results in a changing market and against the backdrop of agreeing and recommending an offer for the group, which remains subject to completion.

"EMIS remains well placed to deliver the systems that will enable the NHS to realise its ambition of better, faster and proactive preventative care for the UK population.

“Our technology roadmap remains closely aligned with NHS England strategy and our position on NHS Digital's new Tech Innovation Framework (TIF) demonstrates our ability to deliver the NHS's integrated digital future.

"We are confident of our strategy, technology roadmap and ability to deliver consistent good performance over the medium term."

Last year, EMIS Group also completed three “bolt on” acquisitions for a total initial net cash consideration of £30.8 million.

In January, the group acquired Wakefield-based Edenbridge Healthcare, a leading provider of business intelligence tools for GP practises, federations and commissioners.

In March, EMIS announced its second purchase of the year, acquiring FourteenFish, which provides software to support GP medical appraisals and training.

In November, EMIS also acquired medical interoperability specialist Healthcare Gateway.

EMIS Group supplies data management systems to the NHS, including an electronic patient record system.