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11
22
• Report on shareholder vote
• Business update
• Questions and answers
33
44
55
• Established $408 million international
IT solutions and services company
• 3,700 employees
• 18.4 million shares outstanding
• Strong customer satisfaction record
and relationships
• Focus on IT solutions for healthcare
66
First Quarter 2014
30%
25%8%
6%
31%
Healthcare
Technology Services
Financial Services
Energy
General Markets
61%
39%
Staffing
Solutions
Fastest-growing
market
Higher-margin
offering
77
• Electronic Medical Records
 Health Information Exchanges (HIEs)
• Regional and community-wide EMR projects
 European adoption of U.S. hospital software
• Outsourcing
• Healthcare Reform Initiatives and Compliance
 ICD-10
 Accountable Care Organizations (ACOs)
88
• Data analytics
 Big Data
 Fraud, waste, and abuse
 IT medical model that improves patient outcomes while lowering costs
 Under development: genomic sequencing
8
99
CTG Solutions
• Managed Staffing
Growth Drivers
• Procurement of 50% of U.S. IT staffing
• Large-volume/low-cost model
• Strong IBM relationship: 22% of total business
in 2014 first quarter
1010
Earnings per Share
$0.24
$0.19
2013 Q1 2014 Q1
Revenue
(in millions)
$108.5
$97.9
2013 Q1 2014 Q1
1111
*Midpoint of guidance as provided on April 22, 2014, which is not being updated as part of this presentation
Earnings per Share
$0.24
$0.22
2013 Q2 Midpoint 2014 Q2
guidance*
$107.1
$102.0
2013 Q2 Midpoint 2014 Q2
guidance*
Revenue
(in millions)
1212
*Four-year compound annual growth rate
**Five-year compound annual growth rate
***Midpoint of guidance as provided on April 22, 2014, which is not being updated as part of this presentation
(in millions)
$237.1
$294.5
$327.3 $325.3
$353.2
$275.6
$331.4
$396.3
$424.4 $419.0
$400.0
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 Midpoint
2014
guidance***
1313
*Midpoint of guidance as provided on April 22, 2014, which is not being updated as part of this presentation
Increasing solutions business
driving margin expansion
1.7%
2.1% 2.0%
3.7% 3.6%
4.2%
4.9%
5.8% 5.9% 6.0%
2005 2006 2007 2008 2009 2010 2011 2012 2013 Midpoint
2014
guidance*
1414
*Excludes $0.25 diluted per share loss from disposition of CTG Nederland B.V.
**Excludes 7½ cent non-operational gain from insurance proceeds (2½ cents in Q2 + 5 cents in Q4)
***Midpoint of guidance as provided on April 22, 2014, which is not being updated as part of this presentation
****Four-year compound annual growth rate
*****Five-year compound annual growth rate
$0.17 $0.14
$0.21
$0.25
$0.49
$0.38
$0.52
$0.71
$0.88
$0.92
$0.87
2004* 2005 2006 2007 2008 2009 2010 2011 2012** 2013 Midpoint
2014
guidance***
1515
4.2%
5.9%
6.6%
11.8%
8.5%
11.2%
14.3%
16.9%
14.5%
12.6%
2005 2006 2007 2008 2009 2010 2011 2012 2013 Midpoint
2014
guidance*
1616
• Strong cash flow:
TTM EBITDA $26.6 million
• Strong financial position
 $32.3 million cash at
2014 first quarter-end
 65 days of sales
outstanding
1717
• One of the largest U.S. healthcare IT consulting firms
(Healthcare Informatics, 6/2013 and Modern Healthcare, 9/2013)
• In-demand, niche, repeatable solutions
• Focus on diverse health solutions revenue growth opportunities:
 EMR
 Outsourcing
 Healthcare reform
 Data analytics
• Strong cash flow funding dividend, stock repurchases, and acquisitions
• Operating margin expansion in almost all of the last 12 years
• Significant EPS growth: 23% compound annual growth rate over the last 12 years
1818

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2014 Annual Meeting-v4-approval

  • 1. 11
  • 2. 22 • Report on shareholder vote • Business update • Questions and answers
  • 3. 33
  • 4. 44
  • 5. 55 • Established $408 million international IT solutions and services company • 3,700 employees • 18.4 million shares outstanding • Strong customer satisfaction record and relationships • Focus on IT solutions for healthcare
  • 6. 66 First Quarter 2014 30% 25%8% 6% 31% Healthcare Technology Services Financial Services Energy General Markets 61% 39% Staffing Solutions Fastest-growing market Higher-margin offering
  • 7. 77 • Electronic Medical Records  Health Information Exchanges (HIEs) • Regional and community-wide EMR projects  European adoption of U.S. hospital software • Outsourcing • Healthcare Reform Initiatives and Compliance  ICD-10  Accountable Care Organizations (ACOs)
  • 8. 88 • Data analytics  Big Data  Fraud, waste, and abuse  IT medical model that improves patient outcomes while lowering costs  Under development: genomic sequencing 8
  • 9. 99 CTG Solutions • Managed Staffing Growth Drivers • Procurement of 50% of U.S. IT staffing • Large-volume/low-cost model • Strong IBM relationship: 22% of total business in 2014 first quarter
  • 10. 1010 Earnings per Share $0.24 $0.19 2013 Q1 2014 Q1 Revenue (in millions) $108.5 $97.9 2013 Q1 2014 Q1
  • 11. 1111 *Midpoint of guidance as provided on April 22, 2014, which is not being updated as part of this presentation Earnings per Share $0.24 $0.22 2013 Q2 Midpoint 2014 Q2 guidance* $107.1 $102.0 2013 Q2 Midpoint 2014 Q2 guidance* Revenue (in millions)
  • 12. 1212 *Four-year compound annual growth rate **Five-year compound annual growth rate ***Midpoint of guidance as provided on April 22, 2014, which is not being updated as part of this presentation (in millions) $237.1 $294.5 $327.3 $325.3 $353.2 $275.6 $331.4 $396.3 $424.4 $419.0 $400.0 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 Midpoint 2014 guidance***
  • 13. 1313 *Midpoint of guidance as provided on April 22, 2014, which is not being updated as part of this presentation Increasing solutions business driving margin expansion 1.7% 2.1% 2.0% 3.7% 3.6% 4.2% 4.9% 5.8% 5.9% 6.0% 2005 2006 2007 2008 2009 2010 2011 2012 2013 Midpoint 2014 guidance*
  • 14. 1414 *Excludes $0.25 diluted per share loss from disposition of CTG Nederland B.V. **Excludes 7½ cent non-operational gain from insurance proceeds (2½ cents in Q2 + 5 cents in Q4) ***Midpoint of guidance as provided on April 22, 2014, which is not being updated as part of this presentation ****Four-year compound annual growth rate *****Five-year compound annual growth rate $0.17 $0.14 $0.21 $0.25 $0.49 $0.38 $0.52 $0.71 $0.88 $0.92 $0.87 2004* 2005 2006 2007 2008 2009 2010 2011 2012** 2013 Midpoint 2014 guidance***
  • 15. 1515 4.2% 5.9% 6.6% 11.8% 8.5% 11.2% 14.3% 16.9% 14.5% 12.6% 2005 2006 2007 2008 2009 2010 2011 2012 2013 Midpoint 2014 guidance*
  • 16. 1616 • Strong cash flow: TTM EBITDA $26.6 million • Strong financial position  $32.3 million cash at 2014 first quarter-end  65 days of sales outstanding
  • 17. 1717 • One of the largest U.S. healthcare IT consulting firms (Healthcare Informatics, 6/2013 and Modern Healthcare, 9/2013) • In-demand, niche, repeatable solutions • Focus on diverse health solutions revenue growth opportunities:  EMR  Outsourcing  Healthcare reform  Data analytics • Strong cash flow funding dividend, stock repurchases, and acquisitions • Operating margin expansion in almost all of the last 12 years • Significant EPS growth: 23% compound annual growth rate over the last 12 years
  • 18. 1818