Nuance's healthcare division chief leaving


Janet Dillione, head of Nuance's (NUAN -2.4%) healthcare unit, is resigning from her position, effective March 21. (8-K)

Nuance's healthcare division saw only 1% Y/Y organic rev. growth in the December quarter, though that was better than the 7% decline seen by the company overall. The division was responsible for 46% of Nuance's revenue, and 58% of its op. profit (though its op. margin fell to 35% from 41%).

The unit has seen its mainstay transcription services ops pressured by a shift to electronic health record (EHR) systems and Nuance's Dragon Medical software. Dragon Medial, diagnostics, and clinical documentation software sales have been faring relatively well.

Oppenheimer (Outperform) isn't surprised by Dillione's departure, given recent execution issues and Nuance's ongoing shift (in healthcare and elsewhere) towards term licenses/recurring revenue streams. The firm also notes Nuance just hired a new sales chief.

From other sites
Comments (4)
  • Parker Logan
    , contributor
    Comments (247) | Send Message
     
    This is a good thing. I thought Janet needed to go in Dec. of 2012
    13 Mar 2014, 03:47 PM Reply Like
  • Enzo P
    , contributor
    Comments (18) | Send Message
     
    Hi, Teodor. Will you elaborate as to why?
    13 Mar 2014, 08:24 PM Reply Like
  • jzheng220wz
    , contributor
    Comments (132) | Send Message
     
    does anyone know why NUAN pops 10% in the middle of today?
    Thanks
    14 Mar 2014, 03:48 PM Reply Like
  • BostonRob
    , contributor
    Comments (24) | Send Message
     
    Also Paul Ricci needs to go.
    24 Mar 2014, 08:20 AM Reply Like
DJIA (DIA) S&P 500 (SPY)
ETF Hub
ETF Screener: Search and filter by asset class, strategy, theme, performance, yield, and much more
ETF Performance: View ETF performance across key asset classes and investing themes
ETF Investing Guide: Learn how to build and manage a well-diversified, low cost ETF portfolio
ETF Selector: An explanation of how to select and use ETFs