Dallas, April 26, 2004 - SOURCECORP, Inc. (NASDAQ: SRCP) a leading provider of consulting and business process outsourcing solutions (BPO) announced today that it finished the first quarter of 2004 with strong sales of $52.4 Million in new contract value resulting from business process outsourcing and consulting services. These contracts reflect organic business growth spanning diverse industry segments such as healthcare (payer and provider), mortgage, government, commercial and transportation. This strong performance resulted from contract wins in a highly competitive market, characterized by lengthy sales cycles. Though the larger BPO deals have a longer revenue ramp up, the recurring revenue backlog that they create will strengthen SOURCECORP's base revenue entering 2005 and beyond.
"In 2003 we made significant investments in enhancing our national sales presence with a "best in class" group of sales professionals. The results of that investment have created the largest sales pipeline in our company history. Our sales in the first quarter represented the second most successful quarter of contract signings in the company's history and we believe is a direct result of the emphasis we have placed on investment in our people, solutions and business processes," said Ed H. Bowman Jr., President and CEO of SOURCECORP. "Based on client feedback, FASTRIEVETM , our proprietary data repository, was a key differentiator in winning much of this new business" added Bowman.
SOURCECORP provides repository services through FASTRIEVETM, a proprietary document management repository. FASTRIEVETM houses more than 1.4 billion digitally-imaged documents in a hosted document management system and has specific workflows for industries such as healthcare (patient records) and accounts payable (invoices and invoice processing). "To our knowledge, no other hosted document management system in the industry offers the large volume capability, combined with sophisticated workflows, that FASTRIEVETM makes available to our customers" stated Steve Davis, SOURCECORP CIO. FASTRIEVETM currently supports, on average, more than 1.2 million document retrievals a day with sub-second response times.
Contract highlights include:
- A major healthcare payer; SOURCECORP will provide mailroom outsourcing, scanning, data entry and repository services
- A major mortgage lender; SOURCECORP will provide document preparation, scanning, quality control and repository services
- Methodist Medical Center; SOURCECORP will provide managed care compliance review services
- St. Thomas Health Services; SOURCECORP will provide managed care compliance review services
About SOURCECORP
SOURCECORP, Incorporated provides business process outsourcing solutions and specialized high value consulting services to clients throughout the U.S. SOURCECORP focuses on business processes in information-intensive industries including healthcare, legal, financial services, government and transportation & logistics. Headquartered in Dallas, the Company serves clients throughout the United States through a network of locations in the US, Mexico and India.
SOURCECORP is a component of both the S&P SmallCap 600 Index and the Russell 2000 Index. The Company has been cited among the Top 100 Hot Growth Companies by BusinessWeek magazine. SOURCECORP has also been recognized twice by Forbes magazine as one of the 200 Best Small Companies, based on return equity, sales growth, and EPS growth, and by FORTUNE magazine as one of America's 100 Fastest Growing Public Companies. For more information about SOURCECORP's solutions, including case-study examples, visit the SOURCECORP website at www.srcp.com
The statements in this press release, which are not historical fact, are forward-looking statements that involve risks and uncertainties, which could cause actual results to differ materially from such forward-looking statements. These forward-looking statements include, but are not limited to, any financial estimates, projections, and estimates of future contract values included in this press release. The aforementioned risks and uncertainties include, without limitation, the risks of integrating our operating companies of the timing and magnitude of technological advances, of the occurrences of a diminution in our existing customers' needs for our services, of a change in the amount companies outsource business processes, of the impact to margins resulting from a change in revenue mix as well as the risks detailed in SOURCECORP's filings with the Securities and Exchange Commission, including without limitation, those detailed under the heading "Risk Factors" in the Company's most recent annual report on Form 10-K. SOURCECORP disclaims any intention or obligation to revise any forward-looking statements, including financial estimates, whether as a result of new information, future events, or otherwise, except as required by law.
Contacts:
Contact: Mary Leos, Director, Corporate Marketing & Communications: maryleos@srcp.com 214.740.6907