Operating Segment Information

12 Months Ended

Mar. 31, 2016

Segment Reporting [Abstract]

Operating Segment Information

Operating Segment Information

As of March 31, 2016, we have three reportable segments that are evaluated regularly by our chief decision making group (consisting of our Chief Executive Officer) in deciding how to allocate resources and in assessing performance. Hospital Solutions Division operating segment data for the year end March 31, 2016 are reflected through the October 22, 2015 date of its disposition.

Operating segment data is as follows:

	Fiscal Year Ended March 31,
	2016			2015			2014
Revenue:
NextGen Division	$	375,801		$	373,765		$	341,120
RCM Services Division	89,831			80,005			68,093
QSI Dental Division	19,376			18,451			19,840
Hospital Solutions Division	7,469			18,004			15,614
Consolidated revenue	$	492,477		$	490,225		$	444,667
Operating income:
NextGen Division	$	182,508		$	182,320		$	162,948
RCM Services Division	17,639			13,919			11,719
QSI Dental Division	6,101			5,161			6,183
Hospital Solutions Division	(927		)	(1,339		)	(7,237		)
Corporate and unallocated	(197,959		)	(164,105		)	(150,525		)
Consolidated operating income	$	7,362		$	35,956		$	23,088

Assets by segment are not tracked or used by our chief decision making group to allocate resources or to assess performance, and thus not included in the table above.

The major components of the corporate and unallocated amounts are summarized in the table below:

	Fiscal Year Ended March 31,
	2016		2015		2014
Research and development costs, net	$	65,661	$	69,240	$	41,524
Amortization of capitalized software costs	9,891		12,817		12,338
Marketing expense	13,490		11,913		10,123
Loss on disposition of Hospital Solutions Division	1,366		—		—
Impairment of assets	32,238		—		25,971
Other corporate and overhead costs	75,313		70,135		60,569
Total corporate and unallocated	$	197,959	$	164,105	$	150,525

The amounts classified as corporate and unallocated consist primarily of corporate general and administrative costs, non-recurring acquisition and transaction-related costs, recurring post-acquisition amortization of certain acquired intangible assets and amortization of capitalized software costs, as well as costs of other centrally managed overhead and shared-services functions, including accounting and finance, human resources, marketing, legal, and research and development, that are not controlled by segment level leadership. Although the segments may derive direct benefits as a result of such costs, our chief decision making group evaluates performance based upon stand-alone segment operating income, which excludes these corporate and unallocated amounts.

Effective April 1, 2015, as part of our ongoing efforts to refine the measurement of our segment data to better reflect an organizational structure whereby certain expenses managed by functional area leadership are no longer classified within the operating segments but rather as a component of corporate and unallocated, we no longer classify certain costs within the information services and credit granting and collections functional areas, such as bad debt expense and other information services related general and administrative costs, within the operating segments. Such classification is consistent with the disaggregated financial information used by our chief decision making group. We have retroactively reclassified the prior years' operating income in the table above to present all segment information on a comparable basis.