Written byMichelai Graham
Another U.S. software company has disclosed its losses due to the infamous NotPetya cyberattack.
Nuance also said that it’s expecting more losses from the cyberattack this year. The Burlington, Massachusetts-based company disclosed information about its losses in a 10-Q filing with the Securities and Exchange Commission (SEC).
In the filing, the company says the attack mainly affected healthcare companies using its software for transcription services and order processing. It also mentioned that a subsequent data breach had occurred in December 2017 when “an unauthorized third party illegally accessed reports hosted on a Nuance transcription platform.” The company stated that this incident was “limited in scope to records of approximately 45,000 individuals and was isolated.”
The company expects to lose more revenue this year when it enhances and upgrades its cybersecurity software, while still providing additional resources to its health companies.
“For fiscal year 2017, we estimate that we lost approximately $68.0 million in revenues, primarily in our Healthcare segment, due to the service disruption and the reserves we established for customer refund credits related to the Malware Incident. Additionally, we incurred incremental costs of approximately $24.0 million for fiscal year 2017 as a result of our remediation and restoration efforts, as well as incremental amortization expenses,” the company said in the filing.
When Nuance was hit with the cyberattack on June 27, 2017, the company was unable to get its software completely back online until early August. Even though the Russian government is denying any connection to the attack, the U.S. and the U.K. have put the blame on the Russian military.
Editor’s note: this story has been edited to include a correction. A prior version stated that the total loss in revenue experienced by Nuance Communications was $98 million. The actual number is $92 million.