Waystar Holding Corp.(US:WAY)2025-02-18 11:45Revenue Performance - Fiscal year 2024 revenue reached $944 million, representing a 19% year-over-year increase[1] - Q4 revenue was $244.1 million, up 18% year-over-year, with a net income of $19.1 million and a net income margin of 8%[4] - Subscription revenue for Q4 was $121.6 million, up 18% year-over-year, while volume-based revenue was $121.2 million, up 19% year-over-year[8] - Revenue for the three months ended December 31, 2024, increased to $244.1 million, up 18.0% from $206.7 million in the same period of 2023[25] Profitability Metrics - Fiscal year 2024 adjusted EBITDA was $383 million, reflecting a 15% increase year-over-year, with an adjusted EBITDA margin of 41%[1] - Net income for the twelve months ended December 31, 2024, was a loss of $19.1 million, an improvement from a loss of $51.3 million in 2023[29] - Adjusted EBITDA for the twelve months ended December 31, 2024, was $383.5 million, representing a 14.9% increase from $333.7 million in 2023[31] - Non-GAAP net income for Q4 2024 reached $52,073 thousand, compared to $19,455 thousand in Q4 2023, representing a 167% increase[35] Cash Flow and Financial Health - Cash flow from operations for Q4 was $65 million, with unlevered free cash flow of $80 million[4] - The company reported a net cash provided by operating activities of $169.8 million for the twelve months ended December 31, 2024, compared to $51.5 million in 2023[29] - Operating cash flow for the twelve months ended December 31, 2024, was $169,768 thousand, compared to $51,460 thousand in 2023, representing a 229% increase[37] - Unlevered free cash flow for Q4 2024 was $80,128 thousand, up from $54,983 thousand in Q4 2023, indicating a 45% growth[37] Client and Market Metrics - The company reported a net revenue retention rate (NRR) of 110%, with 1,203 clients contributing over $100,000 in last twelve months (LTM) revenue, a 15% increase year-over-year[4] - The company serves approximately 30,000 clients, processing over 6 billion healthcare payment transactions annually, amounting to over $1.8 trillion in gross claims[23] Future Projections - For fiscal year 2025, total revenue is expected to be between $1.0 billion and $1.016 billion, with adjusted EBITDA projected between $399 million and $407 million[8] - Non-GAAP net income for fiscal year 2025 is expected to be between $237 million and $243 million, with diluted non-GAAP net income per share projected between $1.29 and $1.32[8] Balance Sheet and Liabilities - Cash and cash equivalents increased significantly to $182.1 million as of December 31, 2024, compared to $35.6 million at the end of 2023[27] - Total current assets rose to $371.0 million in 2024, up from $222.1 million in 2023, reflecting a 67.0% increase[27] - Total liabilities decreased to $1.5 billion as of December 31, 2024, down from $2.5 billion in 2023, indicating a reduction of 41.0%[27] - Net debt decreased to $1,061,413 thousand as of December 31, 2024, down from $2,213,236 thousand a year earlier, reflecting a reduction of 52%[39] Research and Development - Research and development expenses for the twelve months ended December 31, 2024, were $48.8 million, up from $35.3 million in 2023, marking a 38.1% increase[25] Stock and Compensation - The weighted-average shares outstanding for basic shares increased to 172.5 million in 2024 from 121.7 million in 2023[25] - Stock-based compensation for Q4 2024 was $7,037 thousand, up from $2,343 thousand in Q4 2023, indicating a 200% rise[35] Tax and Adjustments - Tax effect of adjustments for the twelve months ended December 31, 2024, was $(50,170) thousand, compared to $(36,660) thousand in 2023, reflecting an increase in tax adjustments[35] Financial Ratios - Adjusted Gross leverage ratio improved to 3.2x in Q4 2024 from 6.7x in Q4 2023, showing enhanced financial stability[39]