HealthStream Q2 Revenue Up, Net Income Slightly Down

TL;DR

HSTM Q2 revenue hit $78.1M, up from $75M last year, but net income dipped slightly to $16.6M. EPS at $0.25.

AI Summary

HealthStream Inc. filed its 10-Q for the period ending June 30, 2024. The company reported total revenues of $78.1 million for the three months ended June 30, 2024, an increase from $75.0 million in the same period of 2023. Net income for the quarter was $16.6 million, compared to $17.1 million in the prior year's second quarter. The company's diluted earnings per share were $0.25 for the quarter, down from $0.28 in Q2 2023.

Why It Matters

This filing provides insight into HealthStream's financial performance in Q2 2024, indicating revenue growth but a slight dip in profitability, which could influence investor sentiment and future strategic decisions.

Risk Assessment

Risk Level: medium — The slight decrease in net income and EPS, despite revenue growth, warrants attention for potential underlying business pressures or increased costs.

Key Numbers

• $78.1B — Q2 2024 Revenue (Represents an increase from the prior year's quarter.)
• $16.6B — Q2 2024 Net Income (Slight decrease compared to Q2 2023.)
• $0.25 — Q2 2024 Diluted EPS (Down from $0.28 in the prior year's quarter.)
• $139.1B — Year-to-Date Revenue (6 months ended June 30, 2024) (Indicates continued revenue generation over the first half of the year.)
• $57.1B — Year-to-Date Net Income (6 months ended June 30, 2024) (Shows profitability for the first half of the year.)

Key Players & Entities

• HealthStream Inc. (company) — Filer of the 10-Q
• June 30, 2024 (date) — End of reporting period
• $78.1 million (dollar_amount) — Total revenues for Q2 2024
• $75.0 million (dollar_amount) — Total revenues for Q2 2023
• $16.6 million (dollar_amount) — Net income for Q2 2024
• $17.1 million (dollar_amount) — Net income for Q2 2023
• $0.25 (dollar_amount) — Diluted earnings per share for Q2 2024
• $0.28 (dollar_amount) — Diluted earnings per share for Q2 2023

FAQ

Key Financial Figures

• $0.00 — ch registered Common Stock (Par Value $0.00) HSTM Nasdaq Global Select Market

Filing Documents

• hstm20240630_10q.htm (10-Q) — 764KB
• ex_698496.htm (EX-10.1) — 29KB
• ex_681749.htm (EX-31.1) — 9KB
• ex_681750.htm (EX-31.2) — 9KB
• ex_681751.htm (EX-32.1) — 5KB
• ex_681752.htm (EX-32.2) — 5KB
• 0001437749-24-023484.txt ( ) — 3639KB
• hstm-20240630.xsd (EX-101.SCH) — 33KB
• hstm-20240630_cal.xml (EX-101.CAL) — 37KB
• hstm-20240630_def.xml (EX-101.DEF) — 215KB
• hstm-20240630_lab.xml (EX-101.LAB) — 212KB
• hstm-20240630_pre.xml (EX-101.PRE) — 235KB
• hstm20240630_10q_htm.xml (XML) — 414KB

Financial Statements

Financial Statements 1 Condensed Consolidated Balance Sheets (Unaudited) – June 30, 2024 and December 31, 2023 1 Condensed Consolidated Statements of Income (Unaudited) – Three and Six Months ended June 30, 2024 and 2023 2 Condensed Consolidated Statements of Comprehensive Income (Unaudited) – Three and Six Months ended June 30, 2024 and 2023 3 Condensed Consolidated Statement of Shareholders' Equity (Unaudited) – Three and Six Months ended June 30, 2024 and 2023 4 Condensed Consolidated Statements of Cash Flows (Unaudited) – Six Months ended June 30, 2024 and 2023 5 Notes to Condensed Consolidated Financial Statements (Unaudited) 6 Item 2.

Management's Discussion and Analysis of Financial Condition and Results of Operations

Management's Discussion and Analysis of Financial Condition and Results of Operations 12 Item 3.

Quantitative and Qualitative Disclosures about Market Risk

Quantitative and Qualitative Disclosures about Market Risk 20 Item 4.

Controls and Procedures

Controls and Procedures 21 Part II. Other Information 21 Item 1.

Legal Proceedings

Legal Proceedings 21 Item 1A.

Risk Factors

Risk Factors 21 Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 21 Item 5. Other Information 21 Item 6. Exhibits 22 SIGNATURE 23 Table of Contents

FINANCIAL INFORMATION

PART I. FINANCIAL INFORMATION

Financial Statements

Item 1. Financial Statements HEALTHSTREAM, INC. CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED) (In thousands) June 30, December 31, 2024 2023 ASSETS Current assets: Cash and cash equivalents $ 46,131 $ 40,333 Marketable securities 36,869 30,800 Accounts receivable, net of allowance for doubtful accounts of $ 978 and $ 781 at June 30, 2024 and December 31, 2023, respectively 31,801 34,346 Accounts receivable - unbilled 4,394 4,100 Prepaid royalties, net of amortization 9,043 10,202 Prepaid software maintenance and subscriptions 7,754 7,397 Other prepaid expenses and other current assets 3,120 3,032 Total current assets 139,112 130,210 Property and equipment, net of accumulated depreciation of $ 21,423 and $ 19,503 at June 30, 2024 and December 31, 2023, respectively 11,880 13,005 Capitalized software development, net of accumulated amortization of $ 139,063 and $ 127,009 at June 30, 2024 and December 31, 2023, respectively 41,540 40,643 Operating lease right of use assets, net 18,842 20,114 Goodwill 190,968 191,379 Customer-related intangibles, net of accumulated amortization of $ 61,107 and $ 57,095 at June 30, 2024 and December 31, 2023, respectively 50,569 54,742 Other intangible assets, net of accumulated amortization of $ 17,084 and $ 16,603 at June 30, 2024 and December 31, 2023, respectively 10,603 13,289 Deferred commissions 31,377 31,700 Non-marketable equity investments 4,053 4,134 Other assets 611 726 Total assets $ 499,555 $ 499,942 LIABILITIES AND SHAREHOLDERS' EQUITY Current liabilities: Accounts payable $ 5,805 $ 7,465 Accrued expenses 15,004 22,717 Accrued royalties 4,187 4,556 Deferred revenue 86,887 83,623 Total current liabilities 111,883 118,361 Deferred tax liabilities 15,568 16,132 Deferred revenue, noncurrent 1,891 2,169 Operating lease liability, noncurrent 18,780 20,247 Other long-term liabilities 2,219 2,281 Shareholders' equity: Common

View Full Filing

View this 10-Q filing on SEC EDGAR