Performant Reports Higher Revenues, But Larger Loss in 2Q

Performant Financial Corp. announced a 14% increase in revenue for the second quarter, compared with the same period a year ago, but a net loss of $6.4 million, down from $3.6 million last year.

The company continued to tout its expansion into the healthcare market as it de-emphasizes its focus on servicing student loans, and remains on track to hit its previously announced revenue targets for the year, company Chief Executive Lisa Im announced.

Revenue from the company’s healthcare operation increased 52% in the second quarter, to $9 million. For the first six months of 2019, healthcare revenue is 90% higher than the first six months of last year, the company announced.

Performant’s total recovery revenue was $22 million during the second quarter, 8% higher than the same period a year ago.

“Overall, our results demonstrate our continued success in transforming from a company that just a few years ago was heavily dependent on the student lending industry to one today that has diversified its offerings and serves clients across a broad spectrum of industries, including health-care agencies, state and federal taxing authorities, other federal agencies and commercial clients,” Im said in a conference call yesterday to discuss the company’s financial results.

Im said the company has continued to make investments into its technology platform to expand capacity and improve efficiency.