Healthways, Inc (HWAY) has entered into a deal with International SOS Assistance, Inc to help manage chronic care services for the Department of Defense (DoD) TRICARE Overseas Program, to begin on September 1, 2010. However, terms of the deal were not disclosed.
Healthways will cater to the personnel posted overseas in 146 countries who are suffering from asthma, diabetes, hypertension, depression and anxiety disorders. Moreover, the company will also help those who need cancer screening.
Healthways provides specialized, comprehensive solutions to help people maintain or improve their health and well-being thereby reducing overall healthcare costs. The company offers disease management and care enhancement services to health plans, the Centers for Medicare and Medicaid Services (CMS), and hospitals, as well as wellness programs to health plans and employers in 50 states in the U.S., the District of Columbia, Puerto Rico and Guam.
During the first quarter of 2010, Healthways reported $179.0 million in revenues, down 2% from the year-ago period. The company had a productive quarter in each facet of contracting – new clients, extensions and expansions. More specifically, the company signed contracts with nine new clients, signed expanded contracts with ten clients and extensions with twenty clients. We also note that Healthways signed a two-year renewal contract with one large client who represented greater than 2% of its revenue.
Healthways has significant opportunities for growth in three key areas: Commercial, Medicare and International. The company aims to grow its commercial business by adding new customers and new programs. It has also begun to explore international market opportunities, and these could contribute substantially to its growth in the coming years.
The company continues to invest heavily in technology and is continually expanding and improving proprietary clinical, data management, and reporting systems to continue to meet the information management requirements of health and care support services. The main objective of disease management is helping patients avoid hospitalization by eliminating gaps in care that can negatively impact outcomes and cost.
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