HealthStream(HSTM) - 2025 Q3 - Quarterly Results

Financial Performance - Revenues for Q3 2025 increased by $3.4 million, or 4.6%, to $76.5 million compared to $73.1 million in Q3 2024[5] - Operating income for Q3 2025 was $7.6 million, up 16.5% from $6.5 million in Q3 2024[6] - Net income for Q3 2025 was $6.1 million, a 6.3% increase from $5.7 million in Q3 2024[7] - Adjusted EBITDA for Q3 2025 was $19.1 million, up 7.9% from $17.7 million in Q3 2024[7] - Year-to-date revenues for 2025 were $224.4 million, an increase of 3.2% over $217.4 million for the same period in 2024[11] - Net income for the nine months ended September 30, 2025, increased to $15,808,000, up from $15,118,000, representing a growth of 4.6%[29] - Adjusted EBITDA for the nine months ended September 30, 2025, was $50,603,000, compared to $52,942,000 for the same period in 2024, a decrease of 4.4%[31] - The company expects net income for 2025 to be between $20,300,000 and $21,500,000[33] - The company anticipates adjusted EBITDA for 2025 to be between $69,500,000 and $71,500,000[33] Cash and Assets - Cash and cash equivalents at the end of the period were $53,544,000, down from $59,469,000, reflecting a decrease of 9.7%[29] - Total assets decreased from $510,766,000 to $499,930,000, a decline of approximately 2.6%[27] - Total current liabilities decreased from $115,693,000 to $112,496,000, a reduction of approximately 2.0%[27] Capital Expenditures and Stock Activity - Capital expenditures for Q3 2025 were $7.8 million[10] - The company repurchased 255,833 shares at an aggregate fair value of $6.9 million during Q3 2025[12] - The company repurchased common stock amounting to $25,018,000 during the nine months ended September 30, 2025[29] Acquisitions and Dividends - The company completed the acquisition of Virsys12 for $13.0 million in cash on October 8, 2025[4][13] - The company declared a quarterly cash dividend of $0.031 per share, payable on November 28, 2025[9][14] Deferred Revenue and Expenses - Deferred revenue increased from $84,227,000 to $85,687,000, an increase of approximately 1.7%[27] - Stock-based compensation expense for the nine months ended September 30, 2025, was $2,734,000, down from $3,285,000, a decrease of 16.7%[31]