NASDAQ$HSTM

HealthStream Inc · Q1 2024 earnings

Q1 2024 earnings · · Investor relations

Briefing

HealthStream's first quarter results for 2024 were announced, demonstrating growth in revenues, operating income, and net income.

HealthStream reported a strong first quarter in 2024, with record quarterly revenues and adjusted EBITDA. The company's performance gives them confidence to reiterate their previously announced financial guidance.

  • Revenues increased by 6% to $72.8 million compared to the first quarter of 2023.
  • Operating income rose by 97% to $5.7 million compared to the same period last year.
  • Net income increased by 99% to $5.2 million compared to the first quarter of 2023.
  • Earnings per share (EPS) increased to $0.17 per share (diluted) from $0.09 per share (diluted) in the first quarter of 2023.

Headline financials

Total Revenue

$72.8M

Previous: $68.9M+5.5%
EPS

$0.17

Previous: $0.12+41.7%
Adjusted EBITDA

$17.1M

No prior period
Capital Expenditures

-$742K

Previous: -$879K+15.6%
Free Cash Flow

$4.49M

Previous: $1.74M+157.2%
Net Income

$5.23M

Previous: $2.62M+99.3%
Operating Income

$5.69M

Previous: $2.89M+96.8%
Gross Profit

-$24.6M

Previous: -$23.9M-3.2%
R&D Expense

$12M

No prior period
Stock-Based Comp

$1.06M

Previous: $945K+12.2%

Revenue & EPS history

HealthStream · Revenue · Quarterly

$72.8M

Q1 2024+5.5%vs Q1 2023
Beat estimate in 8 of 15 quarters(53%)
ActualEstimate

Revenue by segment

HealthStream · $3.1M total across 2 segments · Q3 2023

  • Subscription Revenues
    $3.4M
  • Professional Services
    -$300K

Forward guidance

The Company reaffirms its guidance for 2024 for the measures set forth below as previously announced on February 19, 2024. This consolidated guidance does not include the impact of any acquisitions that we may complete during 2024, gains or losses from changes in the fair value of minority investments, or impairment of long-lived assets.

Tailwinds

  • Expectations for new sales and renewals.
  • General economic conditions, including inflationary pressures, do not deteriorate.

Headwinds

  • Negative economic conditions
  • Ongoing inflationary and recessionary pressures
  • Geopolitical instability (including as the result of the Russia/Ukraine conflict, the conflict in the Middle East, and the potential expansion of such conflicts)
  • Legal requirements and contractual restrictions which may affect continuation of our quarterly cash dividend policy and the declaration and/or payment of dividends thereunder, which may be modified, suspended, or canceled in any manner and at any time that our Board may deem necessary or appropriate
  • Risks referenced in the Company’s Annual Report on Form 10-K for the year ended December 31, 2023, filed on February 26, 2024, and in the Company’s other filings with the Securities and Exchange Commission from time to time.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q1 2024

Historical avgQ1 2024

+0.4%

Avg return

Earnings day

-1.3%

Avg return

5 days after

-0.3%

Avg return

30 days after

49%

32 / 65 earnings

Positive

+22.1%

Q3 2014

Best reaction

-19.3%

Q1 2025

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-5.0%-5.2%+3.6%
Q4 2025+5.7%-0.0%+0.0%
Q3 2025+2.8%-2.6%-2.4%
Q1 2025-19.3%-16.2%-14.9%
Q4 2024+0.1%+4.4%-0.8%
Q3 2024+4.3%-1.8%+8.5%
Q2 2024-3.0%-3.4%-7.3%
Q1 2024+6.3%+3.1%+9.8%
Q4 2023-1.6%-2.8%-2.8%
Q3 2023+13.6%+11.0%+16.0%
Q2 2023-1.4%-3.7%-8.1%
Q1 2023-6.9%-9.5%-12.3%
Q4 2022+4.9%+3.1%+7.0%
Q3 2022+4.6%+11.3%+14.3%
Q2 2022+4.5%+2.1%-2.0%
Q1 2022+2.2%-1.6%+4.4%
Q4 2021-17.0%-16.7%-14.7%
Q3 2021-8.8%-6.0%-10.9%
Q2 2021+0.6%-0.8%+0.2%
Q1 2021+9.2%+8.0%+18.4%
Q4 2020+0.7%+0.5%-2.6%
Q3 2020-9.4%-14.2%-9.3%
Q2 2020+0.3%+1.1%-5.6%
Q1 2020-3.4%-9.7%-4.1%
Q4 2019+0.2%+1.4%-16.1%
Q3 2019+6.3%+7.0%+4.4%
Q2 2019-0.8%+3.4%+3.5%
Q1 2019-4.8%-3.0%-5.0%
Q4 2018+3.9%+1.5%+5.8%
Q3 2018+1.8%-5.3%-15.2%
Q2 2018-6.5%-4.2%+6.2%
Q1 2018+4.8%+9.7%+17.3%
Q4 2017+6.0%+2.0%+1.9%
Q3 2017-0.3%-2.7%+2.6%
Q2 2017-12.0%-12.6%-13.5%
Q1 2017+17.3%+17.3%+18.2%
Q4 2016+0.1%+5.0%-2.8%
Q3 2016-9.5%-15.6%-2.3%
Q2 2016-3.9%-6.2%+0.1%
Q1 2016-0.8%
Q4 2015+12.9%
Q3 2015+10.8%
Q2 2015-0.6%
Q1 2015+12.1%
Q4 2014-7.9%
Q3 2014+22.1%
Q2 2014+13.9%
Q1 2014-5.7%
Q4 2013-7.2%
Q3 2013-4.5%
Q2 2013+11.2%
Q1 2013+16.9%
Q4 2012-0.2%
Q3 2012+1.9%
Q2 2012-2.9%
Q1 2011-2.1%
Q1 2012+2.0%
Q4 2009-5.1%
Q4 2011-5.1%
Q3 2010-5.8%
Q3 2011-5.8%
Q2 2011-4.4%
Q2 2010-4.4%
Q4 2010-4.4%
Q1 2010+5.6%

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