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S Semler Scientific Semler Reports Third Quarter and Year - to - Date 2021 Financial Results November 1 , 2021 HIGHLIGHTS - Year - to - Date 2021 compared to the corresponding period of 2020 : Revenues were $ 41.5 million , an increase of 56 % compared to $ 26.5 million - Pre - tax net income of $ 17.7 million , an increase of $ 7.7 million , or 77 % compared to $ 10.0 million - Net income was $ 15.7 million , an increase of $ 7.1 million , or 82 % from $ 8.6 million - Net income per share was $ 2.34 per basic share and $ 1.93 per diluted share , compared to $ 1.31 per basic share and $ 1.07 per diluted share - Cash and cash equivalents at September 30 , 2021 increased to $ 35.9 million SANTA CLARA , Calif . , Nov. 1 , 2021 / PRNewswire / -- Semler Scientific , Inc. ( Nasdaq : SMLR ) , a company that provides technology solutions to improve the clinical effectiveness and efficiency of healthcare providers , today reported financial results for the three and nine months ended September 30 , 2021 . " Revenues and earnings continued to be strong compared to last year , " said Doug Murphy - Chutorian , M.D. , chief executive officer of Semler Scientific . " We did experience a sequential decline in fee - per - test revenue for the third quarter compared to the second quarter . We believe this change may be due in part to the Delta variant and to some level of seasonality . " FINANCIAL RESULTS For the quarter ended September 30 , 2021 , compared to the corresponding period of 2020 , Semler Scientific reported : • Revenues of $ 14.0 million , an increase of $ 3.3 million , or 30 % , compared to $ 10.7 million • Cost of revenues of $ 1.4 million , an increase of $ 0.6 million , or 69 % , compared to $ 0.8 million . As a percentage of revenues , cost of revenues was 10 % , compared to 8 % • Total operating expenses , which includes cost of revenues , of $ 8.7 million , an increase of $ 3.5 million , or 69 % , compared to $ 5.2 million • Pre - tax net income of $ 5.3 million , a decrease of $ 0.3 million , or 6 % , or $ 0.78 per basic share and $ 0.65 per diluted share , compared to $ 5.6 million , or $ 0.85 per basic share and $ 0.70 per diluted share • Net income of $ 4.2 million , or $ 0.61 per basic share and $ 0.51 per diluted share , a decrease of $ 0.7 million , or 15 % , compared to $ 4.9 million , or $ 0.74 per basic share and $ 0.61 per diluted share . As a percentage of revenues , net income was 30 % compared to 45 % For the nine months ended September 30 , 2021 , compared to the corresponding period of 2020 , Semler Scientific reported : • Revenues of $ 41.5 million , an increase of $ 15.0 million , or 56 % , compared to $ 26.5 million • Cost of revenues of $ 4.0 million , an increase of $ 1.6 million , or 67 % , compared to $ 2.4 million . As a percentage of revenues , cost of revenues was 10 % , compared to 9 % • Total operating expenses , which includes cost of revenues , of $ 23.8 million , an increase of $ 7.2 million , or 43 % , compared to $ 16.6 million • Pre - tax net income of $ 17.7 million , or $ 2.64 per basic share and $ 2.18 per diluted share an increase of $ 7.7 million , or 77 % , compared to $ 10.0 million , or $ 1.53 per basic share and $ 1.25 per diluted share • Net income of $ 15.7 million , or $ 2.34 per basic share and $ 1.93 per diluted share , an increase of $ 7.1 million , or 82 % , compared to $ 8.6 million , or $ 1.31 per basic share and $ 1.07 per diluted share . As a percentage of revenues , net income was 38 % compared to 32 % Semler Scientific had cash and cash equivalents of $ 35.9 million as of September 30 , 2021 compared to $ 22.1 million as of December 31 , 2020 . THIRD QUARTER 2021 MAJOR ACCOMPLISHMENTS AND OTHER DETAILS Among the achievements during the third quarter of 2021 were : 1. Consecutive quarterly profitability since the fourth quarter of 2017 . 2. Cash and cash equivalents position increased to $ 35.9 million . 3. Relisted common stock on the Nasdaq Capital Market . In the third quarter of 2021 compared to the corresponding period of 2020 , fixed fee license revenues were approximately $ 7.8 million , an increase of $ 1.5 million , or 24 % compared to $ 6.3 million ; variable fee license revenues were approximately $ 5.8 million , an increase of $ 1.7 million or 43 % compared to $ 4.1 million ; and other product sales were approximately $ 0.3 million , flat compared to the corresponding period of 2020 . Semler Scientific's two largest customers comprised 40 % and 28 % of quarterly revenues . For the nine months ended September 30 , 2021 compared to the corresponding period of 2020 , fixed fee software license revenues were