Business
HealthStream Announces Third Quarter 2025 Results
NASHVILLE, Tenn.--(BUSINESS WIRE)-- HealthStream, Inc. (the "Company") (Nasdaq: HSTM), a leading healthcare technology platform company for workforce
About this update from Healthstream, Inc.
[{"type":"text","content":" NASHVILLE, Tenn.--(BUSINESS WIRE)--\nHealthStream, Inc. (the \"Company\") (Nasdaq: HSTM), a leading healthcare technology platform company for workforce solutions, announced today results for the third quarter ended September 30, 2025.\n\n\nThird Quarter 2025\n\n\n\nRevenues of $76.5 million in the third quarter of 2025, up 4.6% from $73.1 million in the third quarter of 2024, setting a new Company record for quarterly revenue\n\n\n\nOperating income of $7.6 million in the third quarter of 2025, up 16.5% from $6.5 million in the third quarter of 2024\n\n\n\nNet income of $6.1 million in the third quarter of 2025, up 6.3% from $5.7 million in the third quarter of 2024\n\n\n\nEarnings per share (EPS) of $0.20 per share (diluted) in the third quarter of 2025, up from $0.19 per share (diluted) in the third quarter of 2024\n\n\n\nAdjusted EBITDA1 of $19.1 million in the third quarter of 2025, up 7.9% from $17.7 million in the third quarter of 2024\n\n\n\nBoard of Directors declared a quarterly cash dividend of $0.031 per share, payable on November 28, 2025 to holders of record on November 17, 2025\n\n\n\nFourth Quarter 2025 Event:\n\n\n\nCompleted the acquisition of Virsys12, a healthcare technology company that offers payers and health plans a provider network application and data management suite, on October 8, 2025\n\n\n\n\n____________________\n\n\n\n1 Adjusted EBITDA is a non-GAAP financial measure. A reconciliation of adjusted EBITDA to net income and disclosure regarding why we believe adjusted EBITDA provides useful information to investors is included later in this release.\n\n\n\n\n\n\n\nFinancial Results:\n\n\nThird Quarter 2025 Compared to Third Quarter 2024\n\n\nRevenues for the third quarter of 2025 increased by $3.4 million, or 4.6%, to $76.5 million, compared to $73.1 million for the third quarter of 2024. Subscription revenues increased by $4.0 million, or 5.7%, and professional services revenues decreased by $0.6 million compared to the third quarter of 2024.\n\n\nOperating income was $7.6 million for the third quarter of 2025, up 16.5% from $6.5 million in the third quarter of 2024. The improvement in operating income was primarily attributable to increased revenues, sublease income associated with our sublease that commenced during the second quarter of 2025, and lower stock-based compensation. These improvements...