TUSTIN, Calif. — (BUSINESS WIRE) — October 25, 2001 — Quality Systems, Inc. (NASDAQ: QSII) today announced the results of operations for its fiscal 2002 second quarter ended Sept. 30, 2001.

The Company posted net revenues of $10.5 million in the second quarter, an increase of 9% from $9.7 million for the same quarter last year. The Company reported net income of $1,132,000, an increase of 52% over net income of $744,000 for the comparable quarter of the prior year. Fully diluted earnings per share were $0.18 in the quarter, an increase of 50% over the fully diluted $0.12 per share earnings recorded in the same quarter last year.

For the quarter, the Company's MicroMed division posted revenues of $6.3 million, up 23% over the same quarter in the prior year. EDI revenues were $1.5 million, up 19% over the year-prior quarter. Quality Systems will be holding a conference call to discuss its quarterly earnings today, Thursday, Oct. 25, 2001 at 1 p.m. EDT (10 a.m. PDT). To participate in the conference call, dial 877/586-7724 five to ten minutes prior to the scheduled conference call time. There is no pass code required for this call.

If you are unable to participate in the call at this time, a replay will be available at 800/642-1687 from Thursday, Oct. 25 at 1 p.m. PST through Thursday, Nov. 1 at 1 p.m. PST. The replay conference ID number is 2114061. A transcript of the conference call will be made available on the QSII Web site (www.qsii.com).

Quality Systems is developer and provider of computer-based practice management and electronic medical records systems and e-business applications for dental and medical group practices marketed under the QSI and NextGen product names.

This news release may contain forward-looking statements, including those related to revenue and net income, that involve a number of risks and uncertainties. Among the important factors that could impact actual results are volume and timing of systems sales and installations; length of sales cycles and installation process; the possibility that the products will not achieve market acceptance; seasonal patterns of sales and customer buying behavior; the development by competitors of new or superior technologies; delays in product development; undetected errors or bugs in software; product liability; changing economic, political or regulatory influences in the health-care industry; changes in product-pricing policies; competitive pressures; possible regulation of the company's software by the U.S. Food and Drug Administration; general economic conditions; and the risk factors detailed from time to time in Quality Systems' periodic reports and registration statements filed with the Securities and Exchange Commission.

[financial highlights follow]

                         Quality Systems, Inc.
    Consolidated Statements of Operations and Comprehensive Income
				(Unaudited)
                                        Three Months Ended      Six Months Ended
                                           September 30,          September 30,
                                      2001           2000       2001           2000
Net Revenues:
   Sales of computer systems,
      Upgrades and supplies         5,110,000      4,794,000	 10,704,000   9,189,000
   Maintenance and other services   5,387,000      4,869,000	 10,702,000   9,736,000
                                   10,497,000      9,663,000	 21,406,000  18,925,000
Cost of Products and Services       4,547,000      4,363,000      9,281,000   8,395,000
Gross Profit                        5,950,000      5,300,000     12,125,000  10,530,000
Selling, General and
   Administrative Expenses          3,294,000      3,244,000      6,539,000   6,609,000
Research and Development Costs      1,000,000        974,000      2,107,000   1,979,000
Income from Operations              1,656,000      1,082,000      3,479,000   1,942,000
Investment Income                     190,000        251,000        396,000     497,000
Income before Provision for
   Income Taxes                     1,846,000      1,333,000      3,875,000   2,439,000
Provision for Income
   Taxes                              714,000        589,000      1,485,000   1,070,000
Net Income                        $ 1,132,000    $   744,000   $  2,390,000 $ 1,369,000
Income  per Share - Basic         $      0.19    $      0.12   $       0.40 $      0.22
Income  per Share - Diluted       $      0.18    $      0.12   $       0.39 $      0.22
Weighted average number
   of shares outstanding - Basic    6,005,000      6,209,000      5,997,000   6,209,000
Weighted average number
   of shares outstanding - Diluted  6,204,000      6,273,000      6,189,000   6,286,000
                         Quality Systems, Inc.
                      Consolidated Balance Sheets
                            (in thousands)
                                ASSETS
                                                 September 30, March 31,
                                                    2001        2001
Current Assets:
   Cash and cash equivalents                    $   21,177    $   18,471
   Short-term investments                              258           258
   Accounts receivable, net                         13,951        13,335
   Inventories                                         926         1,030
   Other current assets                              2,306         2,098
         Total current assets                       38,618        35,192
Equipment and Improvements, net                      1,570         1,819
Capitalized Software Costs, net                      1,892         1,769
Deferred Tax Asset                                   2,960         2,960
Goodwill                                             1,772         1,772
Other Assets                                         1,412         1,371
         Total assets                           $   48,224    $   44,883
                 LIABILITIES AND SHAREHOLDERS' EQUITY
Current Liabilities:
   Accounts payable                             $    1,698    $    1,829
   Deferred service revenue                          6,127         5,595
   Other current liabilities                         3,917         3,572
         Total liabilities                          11,742        10,996
Commitments and Contingencies
Shareholders' Equity:
   Common stock, $0.01 par value, 20,000 shares
      authorized, 6,017 and 5,987 shares issued
      and outstanding, respectively                     60            60
   Additional paid-in capital                       33,984        33,780
   Retained Earnings                                 2,438            47
         Total shareholders' equity                 36,482        33,887
         Total liabilities and
            Shareholders' equity                 $  48,224   $    44,883