Top 5 Of The Week
week of march 10, 2025
Oracle Earning Call
In its fiscal 2025 third-quarter results, Oracle reported revenues of $14.1 billion, a 6% year-over-year increase. Cloud services and license support revenues rose 10% to $11.0 billion, while cloud infrastructure (IaaS) revenue grew by 49% to $2.7 billion. Remaining performance obligations surged by 62% to $130 billion, reflecting strong demand for its cloud services.
They have secured a significant contract with a U.S. health system for enterprise resource planning (ERP), human capital management (HCM), and cloud services. Additionally, they are collaborating with a global pharmaceutical company to manage supply chains using Fusion Cloud. There is also an increasing adoption of Oracle Health Sciences solutions for clinical trials and regulatory compliance. Their Genomics Cloud Service manages and analyzes large genomic datasets for research.
We already know about their EMR system and announcements.
Hinge Health IPO
Hinge Health is a digital health company transforming musculoskeletal (MSK) care by offering a comprehensive virtual joint and muscle pain management clinic.
Financials:
2024 revenue hit $390 million, up 33.4% year-over-year.
Net loss slashed by 89.6% to $11.9 million, nearing profitability.
77% gross margins reflect operational efficiency.
The company's clinical outcomes show that 68% of patients report reduced joint pain, and employers save an average of $2,387 per patient each year. This evidence of value enhances confidence among stakeholders who view it as a musculoskeletal (MSK) care leader. This will be interesting to watch, especially if they partner with health systems and potentially payers as part of value-based care initiatives.
ServiceNow Acquires Moveworks
ServiceNow announced on March 10, 2025, that it would acquire Moveworks for $2.85 billion in cash and stock. Integrating Moveworks' AI assistant and ServiceNow's agentic AI and workflow automation could enhance the employee experience by combining search and task execution, positioning ServiceNow as a leader in agentic AI.
The acquisition enhances ServiceNow's competitiveness against Salesforce. Moveworks has five million users, and it is adopted by Fortune 500 companies like Toyota and Siemens. Thus, ServiceNow expands its reach in customer relationship management (CRM).
ServiceNow's stock fell as much as 7.4% following the announcement of its latest acquisition, raising investor concerns about the $2.85 billion price tag—significantly higher than Moveworks' $2.1 billion valuation in 2021. This acquisition represents a deviation from ServiceNow's traditional "one platform, one data model" strategy under CEO Bill McDermott, who has focused on sustainable growth rather than acquisitions. As a result, there is speculation that this move may be more of a desperate attempt to keep up in the AI race rather than a confident, organic progression.
CMS Innovation Center Announces Model Portfolio Changes
The Center aims to end these models by December 31, 2025. Most models selected for early termination are within 2 years of their end date.
Models Identified to End Early (Original Performance Period)
Maryland Total Cost of Care (2019 – 2026)
Primary Care First (2021 – 2026)
ESRD Treatment Choices (2021 – 2027; will propose termination through rulemaking)
Making Care Primary (2024 – 2034)
CMS is exploring options to reduce the scope of the Integrated Care for Kids awards (2020–2026) or make other changes. Additionally, the CMS Innovation Center will discontinue two previously announced models that were not implemented following President Trump's rescission of Executive Order 14087 on January 20, 2025.
Medicare $2 Drug List
Accelerating Clinical Evidence
The CMS Innovation Center determined its other active models can meet the Center's statutory mandate—either as is or with future modification—and, therefore, will continue moving forward.
CMS's willingness to end underperforming models early shows a flexible approach to innovation. While this can lead to more effective policies in the long term, it also introduces uncertainty. Health systems must remain agile and ready to adjust strategies as the model portfolio evolves.
Expiration Of Telehealth Flexibilities
As the March 31, 2025, deadline approaches for the expiration of pandemic-era telehealth flexibilities, healthcare organizations are voicing significant concerns about potential disruptions to patient care. The American Hospital Association (AHA) warns of a looming "telehealth cliff" that could severely limit patient access to essential services. They stress that without legislative action, millions of beneficiaries may lose the ability to receive care via telehealth, particularly impacting those in rural and underserved areas.
Similarly, the American Telemedicine Association (ATA) is actively urging Congress to make Medicare telehealth flexibilities permanent. They emphasize the importance of preserving audio-only telehealth options and addressing restrictive regulations regarding prescribing controlled substances via telehealth. The ATA highlights that without these extensions, patients who have come to rely on telehealth for convenient and timely care may face significant barriers, potentially leading to delays in treatment and increased strain on in-person healthcare facilities.