Oct. 22--Even in a sick economy, getting or staying well is not an option.

For Cerner Corp. and its investors, that's good news.

The North Kansas City company on Tuesday reported that the slowing economy hasn't slowed sales of health-care software, hardware and information technology services.

Cerner reported third-quarter record sales of software and systems, leading the company to a $45 million profit for the three months -- up 44 percent from a year ago.

Sales for the quarter were $422.7 million, up 13 percent from the same period in 2007.

"We are particularly pleased with our strong results this quarter given that it closed during a time of great economic uncertainty," said Neal Patterson, Cerner's chief executive.

While health care isn't recession-proof, Patterson said, the industry is recession resistant.

Consumers have a clear choice when considering buying a new car or refrigerator, but "people don't choose to be sick," Patterson said.

"If we are going into a recession, or in a recession, it's not going to impact (health care) like it does other industries," Patterson said.

Cerner said the company booked $383.6 million worth of new business during the third quarter, up from $356.7 million a year ago.

The company has $3.4 billion worth of business in the pipeline under contract.

"We delivered strong growth in bookings, revenue and earnings, and continued to expand operating margins and generate free cash flow," Patterson said.

Cerner beat Wall Street estimates for the quarter by a penny, reporting earnings per share of 57 cents.

Cerner predicted a strong fourth quarter, with sales of $435 million to $460 million and earnings of 58 cents to 64 cents per share.

The third quarter included nine contracts worth more than $10 million, including a contract for 12 hospitals and 60 clinics in the United Arab Emirates, said Mike Valentine, Cerner's executive vice president.

Cerner also unveiled its first health center client, a program where the company works with corporate clients to develop corporate clinics similar to Cerner's employee clinic in North Kansas City.

The Cisco Systems LifeConnections Health Center will open in San Jose, Calif., and be open to up to 40,000 Cisco employees and dependents, said Cerner President Trace Devanny.

The financial results were released after the markets closed Tuesday.

In trading Tuesday, shares of Cerner were down $1.12, or 3.1 percent, closing at $35.02. However, shares of Cerner soared 8.5 percent in after-hours trading, jumping almost $3 per share.

To reach David Hayes, call 816-234-4904 or send e-mail to dhayes@kcstar.com.

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