Equity Method Investment in Change Healthcare LLC

9 Months Ended

Dec. 31, 2020

Equity Method Investment in Change Healthcare LLC [Abstract]

Equity Method Investment in Change Healthcare LLC

7. Equity Method Investment in Change Healthcare LLC

Prior to the Merger, the Company accounted for its investment in the Joint Venture using the equity method of accounting.  During the three and nine months ended December  31, 2019, the Company recorded a proportionate share of the loss from this investment of $8,764 and $104,497, respectively, which included transaction and integration expenses incurred by the Joint Venture and basis adjustments, including amortization expenses, associated with equity method intangible assets.  These amounts are in Loss from Equity Method Investment in the Joint Venture in the consolidated statements of operations.

Following completion of the Merger, we consolidate the Joint Venture and no longer account for our ownership interest as an equity method investment.Summarized statement of operations information of the Joint Venture prior to the Merger is as follows:

		Three Months Ended		Nine Months Ended
		December 31, 2019		December 31, 2019
Total revenue	$	808,226	$	2,459,593
Cost of operations (exclusive of depreciation and amortization)	$	339,413	$	998,943
Customer postage	$	55,693	$	171,288
Net income (loss)	$	31,191	$	102,973