Exhibit 99.1

HMS HOLDINGS CORP. REPORTS RECORD FIRST QUARTER 2011 RESULTS

Q1 2011 Revenue of $82.5 million (+27.0% y/y), Net Income of $9.8 million (+29.5% y/y) and EPS $0.34 (+25.6% y/y)

Announces Three-For-One Stock Split (Subject to Shareholder Approval)

NEW YORK, N.Y., April 29, 2011—HMS today announced financial results for its first quarter ended March 31, 2011.

For the first quarter of 2011 revenue increased 27% to $82.5 million, compared with $65.0 million for the same period a year ago.  Net income for the quarter was $9.8 million or $0.34 per fully diluted share compared to net income of $7.6 million or $0.27 per fully diluted share for the same period a year ago.

“We are pleased to be starting off the year with a strong first quarter, and we believe our sales pipeline bodes well for 2011 and beyond” said Bill Lucia, Chief Executive Officer of HMS.  “In our core business we were awarded significant contracts in both our Government and Managed Care markets, entering new states and adding more than two million Medicaid lives to our portfolio.”

Lucia added, “The demand for our services is increasing as states begin to early adopt elements of the Affordable Care Act in advance of 2014 through a wide range of initiatives that include expanded Medicaid eligibility and implementation of insurance exchanges.  Reform is also resulting in a faster-than-anticipated shift in Medicaid lives from fee for service to managed care, and we’re prepared to absorb those lives.”

“We’re particularly excited about our expanding footprint in the program integrity arena, where we’ve been named a Medicaid Recovery Audit Contractor (RAC) in eight states. A number of our existing state clients have obtained permission from the Center for Medicare & Medicaid Services (CMS) to use our current contractual relationship to meet the new RAC requirement. Given the breadth of our Medicaid presence and the people, process and technology we bring to the programs, we’re confident that states will continue to leverage the value HMS generates on their behalf.”

“Given our history of performance and the outlook for our company, we are confident in our ability to continue to create significant value for our shareholders.  With this in mind, we are pleased to announce that our Board of Directors has approved a three-for-one stock split, subject to shareholder approval of a proposed amendment to our Certificate of Incorporation to increase the number of shares of common stock that we are authorized to issue.  We will be seeking shareholder approval of the proposed amendment at our 2011 Annual Meeting of Shareholders in July.”

HMS will be hosting its first quarter 2011 conference call and webcast with the investment community on Friday, April 29, 2011 at 9:00 am Eastern Time.  Individuals can access the webcast at http://investor.hms.com or listen to the call at 877-627-6544.  International participants can listen to the call at 1-719-325-4932.

The webcast will be archived on the website.  Individuals can access the webcast at http://investor.hms.com or listen to the replay at 1-888-203-1112.  International participants can listen

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to the replay at 1-719-457-0820.  The passcode is 8830850. The replay will be available at 11 a.m. ET on April 30 through midnight on May 7, 2011.

The HMS Form 10-Q for the quarter March 31, 2011 will be filed and available on our website on http://investor.hms.com or about May 10, 2011, and will contain additional information about our results of operations for the fiscal year-to-date. This press release and the interim financial statements herein will be available at http://investor.hms.com for at least a 12-month period. Shareholders and interested investors are welcome to contact Investor Relations at 212-857-5986.

HMS Holdings Corp. (NASDAQ: HMSY), through its subsidiaries, is the nation’s leader in coordination of benefits and program integrity services for healthcare payors. HMS’s clients include health and human services programs in more than 40 states; commercial programs, including commercial plans, employers, and over 120 Medicaid managed care plans; the Centers for Medicare and Medicaid Services (CMS); and Veterans Administration facilities. As a result of the company’s services, clients recovered over $1.8 billion in 2010, and saved billions of dollars more through prevention of erroneous payments.

Use of Non-GAAP Financials

This press release includes presentations of earnings before interest, taxes, depreciation and amortization (EBITDA) and adjusted EBITDA.  Adjusted EBITDA represents EBITDA adjusted for share-based compensation expense.  EBITDA is a measure commonly used by the capital markets to value enterprises.  EBITDA is a non-GAAP financial measure and is reconciled to income before income taxes, which the Company’s management believes to be the most comparable generally accepted accounting principles (“GAAP”) measure.  Adjusted EBITDA results are calculated by adjusting GAAP income before income taxes to exclude the effects of depreciation, amortization of intangible assets, stock-based compensation expense, and net interest expense.

The Company uses these non-GAAP financial measures for internal management purposes, when publicly providing guidance on possible future results, and as a means to evaluate period-to-period comparisons.  The Company’s management believes that these non-GAAP financial measures are a common measure used by investors and analysts to evaluate its performance.  These non-GAAP financial measures are used in addition to and in conjunction with results presented in accordance with GAAP and reflect an additional way of viewing aspects of the Company’s operations that, when viewed with GAAP results and the accompanying reconciliations to corresponding GAAP financial measures, provides a more complete understanding of the results of operations and trends affecting the Company’s business.  These non-GAAP financial measures should be considered as a supplement to, and not as a substitute for, or superior to, income before income taxes in accordance with GAAP.

Safe Harbor Statement

This Press Release contains “forward-looking statements” within the meaning of the U.S. Private Securities Litigation Reform Act of 1995.  Such statements give our expectations or forecasts of future events; they do not relate strictly to historical or current facts.  Forward-looking statements can be identified by words such as “anticipates,” “estimates,” “expects,” “projects,” “intends,” “plans,” “believes,” “will,” “target,” “seeks,” “forecast” and similar expressions.  In particular, these include statements relating to future actions, business plans, objects and prospects, and future operating or financial performance.  Forward-looking statements are based on our current expectations and assumptions regarding our business, the economy and other future conditions.  Should known or unknown risks or uncertainties materialize, or should underlying assumptions prove inaccurate, actual results could differ materially from past results and those anticipated, estimated or projected. We caution you therefore against relying on any of these forward-looking statements.  Factors that could cause or contribute to such differences include, but are not limited to: the development by competitors of new or superior services or products or the entry into the market of new competitors; all the risks

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inherent in the development, introduction, and implementation of new products and services; the loss of a major customer, customer dissatisfaction or early termination of customer contracts triggering significant costs or liabilities; variations in our results of operations; negative results of government reviews, audits or investigations to verify our compliance with contracts and applicable laws and regulations; changing conditions in the healthcare industry which could simplify the reimbursement process and reduce the need for and price of our services; government regulatory, political and budgetary pressures that could affect the procurement practices and operations of healthcare organizations, reducing the demand for our services;  and our failure to comply with laws and regulations governing health data or to protect such data from theft and misuse.  A further description of risks, uncertainties, and other matters can be found in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2010, a copy of which may be obtained from the Company’s website at www.hms.com under the “Investor Relations” tab.  Any forward-looking statements made by us in this Press Release speak only as of the date of this Press Release.  Factors or events that could cause actual results to differ may emerge from time to time and it is not possible for us to predict all of them.  We undertake no obligation to publicly update forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required by law.

Additional Information and Where To Find It

In connection with the proposed amendment to the Company’s Certificate of Incorporation, the Company plans to file a proxy statement with the Securities and Exchange Commission. Investors and security holders are advised to read such proxy statement when it is available, because it contains important information. Investors and other security holders can obtain copies of the proxy statement free of charge by directing a request to Christine Saenz, Telephone (212)-857-5986. You may also obtain free copies of the proxy statement (when available) by accessing the SEC’s website at http://www.sec.gov.

HMS and its directors and executive officers may be deemed to be participants in the solicitation of HMS shareholders in connection with the 2011 Annual Meeting of Shareholders.  Shareholders may obtain information regarding the names, affiliations and interests of such individuals in HMS’s Annual Report on Form 10-K for the fiscal year ended December 31, 2010, which is on file with the SEC, as well as its upcoming proxy statement for the 2011 Annual Meeting (when available).

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HMS HOLDINGS CORP. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF INCOME

(In Thousands, Except Per Share Amounts)

(unaudited)

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HMS HOLDINGS CORP. AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEETS

(In Thousands, Except Share and Per Share Amounts)

(unaudited)

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HMS HOLDINGS CORP. AND SUBSIDIARIES

Consolidated Statements of Cash Flows

 (in Thousands)

(unaudited)

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HMS HOLDINGS CORP. AND SUBSIDIARIES

Reconciliation of net income to EBITDA and adjusted EBITDA

(In Thousands)

(unaudited)

As summarized in the following table, earnings before interest, taxes, depreciation and amortization, and stock-based compensation expense (adjusted EBITDA) was $23.2 million for the first quarter of 2011, an increase of 27.8% over the same period a year ago.

Reconciliation of net income to EBITDA and adjusted EBITDA

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