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Wednesday, Jun 17, 2026

Quality Slumps Despite Beating Street

Shares of Quality Systems Inc., an Irvine healthcare information technology company, were down in Friday trading, possibly because the company declined to provide financial guidance on a conference call.

Quality was down as much as 5% with a market value of $1 billion in midday New York trading on the Nasdaq exchange before recovering in spite of posting financial results that beat Wall Street’s expectations.

Quality’s board and management decided against providing guidance because “there’s too many changes taking place out there beyond our control,” Chief Executive Steven Plochocki said on the call.

As for the most recent quarter, Quality earned $13.2 million in the three months ended Dec. 31, up 17% from the year-ago period.

Revenue grew 36% to $65.5 million. Quality said the revenue growth was helped by significant contributions from two recent deals, Healthcare Strategic Initiatives and Practice Management Partners.

Analysts expected Quality to post a profit of $12.8 million on sales of $62.9 million.

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