Waystar Holding Corp. · NASDAQ:WAY

Waystar — Q2 2025 Earnings Presentation

21 slides from Waystar's earnings presentation, Jul 30, 2025

  1. Slide 1: 2Q'25 Earnings Presentation

    2Q’25 Earnings Presentation July 30, 2025 © 2025 Waystar. All rights reserved.

  2. Slide 2: Forward-Looking Statements

    FORWARD-LOOKING STATEMENTS This presentation contains forward-looking statements, within the meaning of the Private Securities Litigation Reform Act of 1995, that reflect our current views with respect to, among other things, statements regarding Waystar’s expectations relating to future operating r

  3. Slide 3: Introductions

    INTRODUCTIONS Matt Hawkins Steve Oreskovich Chief Executive Officer Chief Financial Officer © 2025 Waystar. All rights reserved. 3

  4. Slide 4: Strong 2Q performance: key highlights

    15% 20% Revenue growth1 Adjusted EBITDA growth1,2 KEY HIGHLIGHTS Strong 2Q 42% $111M performance Adjusted EBITDA margin2 Unlevered free cash flow2 Growth rates and key metrics are at or above long-term financial targets 14% YoY growth in clients 115%Net revenue with >$100k in TTM revenue3 retention3

  5. Slide 5: Revenue growth

    2Q’25 RESULTS Revenue growth1 Consistent and durable YoY revenue growth $ in millions $271 $256 $240 $244 $235 $225 $207 $196 $197 $130 $138 15% $121 $121 $121 Subscription growth $102 $117 CAGR over last 8 $94 $96 quarters 20% Volume-based growth $131 $102 $103 $106 $112 $118 $122 $125 CAGR over la

  6. Slide 6: Growth in clients with >$100K revenue

    2Q’25 RESULTS Growth in clients with >$100K revenue1 Continued strong YoY growth as clients adopt more of the platform 1,268 1,244 1,203 1,173 1,117 1,080 1,033 1,046 3Q'23 4Q'23 1Q'24 2Q'24 3Q'24 4Q'24 1Q'25 2Q'25 YoY 7% 7% 7% 9% 14% 15% 15% 14% (1) See definition of Customer Count with >$100,000 R

  7. Slide 7: Net Revenue Retention

    2Q’25 RESULTS Net Revenue Retention1 2Q’25 NRR above historical range of 108%-110% 114% 115% 109% 109% 109% 109% 110% 108% Higher NRR in 1H’25 reflects the impact of new client go-lives in late 1Q’24 and 2Q’24 increasing on a TTM basis 3Q'23 4Q'23 1Q'24 2Q'24 3Q'24 4Q'24 1Q'25 2Q'25 TTM Revenue 12%

  8. Slide 8: Adjusted EBITDA

    2Q’25 RESULTS Adjusted EBITDA1 Delivered 40%+ Adjusted EBITDA margin over the past 8 quarters $ in millions $113 $108 $100 $97 $93 $94 $86 $81 Higher adjusted EBITDA margin in 1H’25 driven by favorable revenue mix and timing of operating expenses. 3Q'23 4Q'23 1Q'24 2Q'24 3Q'24 4Q'24 1Q'25 2Q'25 Marg

  9. Slide 9: Adjusted net leverage ratio

    2Q’25 RESULTS Adjusted net leverage ratio1 $1 billion+ debt paid in 2024 reduced annual interest by over $100 million; net leverage of 2.2x at 2Q’25 and 0.6x decline YTD in line with target reduction of 1x annually 6.6x • Repriced First Lien Loan on 12/30/24 to SOFR +225bp (from SOFR +400bp at begin

  10. Slide 10: Unlevered free cash flow

    2Q’25 RESULTS Unlevered free cash flow1 1H’25 conversion of Adjusted EBITDA to uFCF of 86% above long-term target of 70%; 1H’25 benefits from deferral of ~$27M Federal tax payments to 4Q’25 $ in millions Interest Paid Cash from Operations $265 CapEx $223 $123 $190 $40 $193 $96 $170 $161 $82 $51 $26

  11. Slide 11: 2025 Guidance

    FY’25 2025 Guidance Raising guidance by $22M and $12M at the midpoint for revenue and adjusted EBITDA, respectively; 2025 guidance excludes the impact of the previously announced Iodine Software acquisition FY’25 Guidance FY’24 Actual YoY% Change Low Mid-point High Mid-point Revenue $1,030M $1,036M

  12. Slide 12: Guidance assumptions

    • ~$41M stock-based compensation expense • ~$72M net interest (based on 1-month SOFR1 base rate of 4.3%, net of hedges, and no additional debt or discretionary paydowns) FY’25 • ~21% non-GAAP effective tax rate on adjustable items Guidance • added back to non-GAAP net income ~184M fully diluted, wei

  13. Slide 13: Revenue growth vs normalized rates

    Revenue growth vs normalized rates Low double-digit normalized revenue growth aligns with long-term target1 Annual revenue growth 2 19% Adjusted for in-year M&A impact 1 (~1%) of minor acquisitions 3 2 Considers impact of $34M (~4%), -4% primarily from rapid time to 1 4 revenue by clients impacted i

  14. Slide 14: Waystar: Simplify Healthcare Payments

    WAYSTAR | SIMPLIFY HEALTHCARE PAYMENTS © 2025 Waystar. All rights reserved. 14

  15. Slide 15: Non-GAAP Financial Measures

    NON-GAAP FINANCIAL MEASURES To supplement the consolidated financial statements prepared and presented in accordance with U.S. generally accepted accounting principles (“GAAP”), this presentation contains certain non-GAAP financial measures as defined below. We present non-GAAP financial measures as

  16. Slide 16: Key Performance Metric Definitions

    KEY PERFORMANCE METRIC DEFINITIONS Net Revenue Retention Rate Our Net Revenue Retention Rate compares twelve months of client invoices for our solutions at two period end dates. To calculate our Net Revenue Retention Rate, we first accumulate the total amount invoiced during the twelve months ending

  17. Slide 17: GAAP Income Statement

    GAAP Income Statement Unaudited, $ in thousands Consolidated Statement of Operations 1Q'24 2Q'24 3Q'24 4Q'24 FY'24 1Q'25 2Q'25 Revenue 224,792 234,543 240,112 244,102 943,549 256,435 270,654 Cost of revenue (exclusive of depreciation and amortization expenses) 75,192 80,451 80,545 79,542 315,730 83,

  18. Slide 18: Non-GAAP Income Statement

    Unaudited, $ in thousands Non-GAAP Income Statement Non-GAAP Consolidated Statements of Operations 1Q'24 2Q'24 3Q'24 4Q'24 FY'24 1Q'25 2Q'25 Revenue 224,792 234,543 240,112 244,102 943,549 256,435 270,654 Cost of revenue (exclusive of depreciation and amortization expenses), adjusted 75,039 78,707 8

  19. Slide 19: Non-GAAP Reconciliations and Key Metrics

    Unaudited, $ in thousands, except per share amounts Non-GAAP Reconciliations and Key Metrics Reconciliation of Non-GAAP Adjusted EBITDA 1Q'24 2Q'24 3Q'24 4Q'24 FY'24 1Q'25 2Q'25 Net income/(loss) (15,932) (27,685) 5,413 19,079 (19,125) 29,269 32,184 Interest expense 57,184 50,541 18,459 20,086 146,2

  20. Slide 20: Net Debt and Leverage

    Net Debt and Leverage Unaudited, $ in thousands Reconciliation of Net Debt FY'23 FY'24 2Q'24 2Q'25 First lien term loan facility outstanding debt, current 17,983 11,668 12,909 11,668 First lien term loan facility outstanding debt, net of current portion 1,712,833 1,151,878 1,277,991 1,146,044 Second

  21. Slide 21: Trademark notice

    © 2025 Waystar Holding Corp. All rights reserved. Waystar®, the Waystar Star Logo, and all other trademarks, trade names, service marks, and logos referenced herein, unless otherwise noted, belong to Waystar Holding Corp. or its affiliates. © 2025 Waystar

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