CareCloud, Inc. (NASDAQ:CCLD) Q3 2023 Earnings Call Transcript

Larry Steenvoorden: So just to complete that the MEDSR really the key driver in Q4. And then also just as our core RCM business will with the solid execution will also support the confirmation for the full year guidance. So, all that is really come together and it just gives us confidence is also going into 2024, with our backlog we commented on where we are also with the professional services going into the next year really come together and he as we look at 2023 as a transformation year from the health system mergers and just seven years of for growth into 2024. But we want to get there were for finish strong and then go into the next year from that same position of strength.

Neil Chatterji: Great. And just maybe just one follow-up on that. Just in terms of kind of on that medSR business. Just looking at the chart, we’re kind of the mix look like Meditech in RCM we’re getting thrown in the mix. What’s driving some of that traction you’re getting on that side?

Hadi Chaudhry: I think and we have Dwight Garvin, who’s heading the medSR businesses that I can start, and then he can finish the question. If you think about it the overall industry the largest players in the health system space is, let’s say, over between somewhere between 40% to 50% market share. So that’s the relation we lost so until we acquaint medSR the primary focus of the organization was from — in terms of bringing the business and in was that one the topmost player in the market. Once the lost that opportunity, so we started working towards the next in line and Meditech is among the top three I would say in that space. So all the time over the last one year, we have been able to reestablish not enabler of our relationship with Meditech.

But in addition to that, our marketing strategy was more oriented towards finding the opportunities for Meditech. So that’s one. The second one is the RCM. Once when we acquired medSR, their RCM related revenue was hardly $1 million out of $30 million roughly that they were doing that has improved by multiple fold now because that was also if you remember one of the reason for the acquisition. That these health system relationships, we should be able to leverage those because those relationships we cannot talk to the CEO, the CFO’s there and should be able to cross sell and upsell our RCM services. So those two are seems to be are becoming the primary drivers of our medSR or our updated medSR business. Those are the two major contributors but Dwight if you would like to add anything please go ahead.

Dwight Garvin: Sure. Thank you, Hadi. And just to kind of expound upon what Hadi said. And what we’re seeing in our RCM space is really moving from that advisory model where you have short term engagements and moving those advisories into managed services. And now we can take our relationships established through all the other practices Sylvan or some advisory services and turn those into long-term recurring revenue managed services model. And that’s really what we’re trying to targeting and here is the same time expanding on our Meditech business really making some very key hires in the business development side this year. And those have allowed us to really strengthen that partnership within Meditech. I hope that answers your question.

Neil Chatterji: Yes, great. Yes thanks for that and I’ll hop back in the queue.

Hadi Chaudhry: Thank you.

Operator: [Operator Instructions] The next question comes from Allen Klee Maxim Group. Please go ahead.

Allen Klee: Yes. Good morning. For the Carecloud Prime offering that’s coming, talk about how that compares to what you have today how do you think about what this been the upsell to existing clientele or new customers and with to be a price differential just help us understand a little more about that. Thank you.