HealthStream, Inc. (NASDAQ: HSTM), a leading provider of workforce,
patient experience, and provider solutions for the healthcare industry,
announced today results for the second quarter ended June 30, 2015.
Highlights:
-
CEO contributed $1.65 million of his personally held HealthStream
stock to the Company in order to facilitate stock grants to over 600
employees, which resulted in a charge of $1.65 million for
compensation and related expense in the second quarter
-
Revenues of $52.1 million in the second quarter of 2015, up 23% from
$42.5 million in the second quarter of 2014
-
Operating income of $2.6 million in the second quarter of 2015, down
38% from $4.1 million in the second quarter of 2014, which was
adversely impacted by the $1.65 million charge associated with the
stock grant to employees referenced above and a $2.7 million reduction
resulting from the deferred revenue write-down associated with the
HealthLine Systems and HCCS acquisitions
-
Net income of $1.5 million in the second quarter of 2015, down 38%
from $2.4 million in the second quarter of 2014, and earnings per
share (EPS) of $0.05 per share (diluted) in the second quarter of
2015, compared to $0.08 per share (diluted) in the second quarter of
2014
-
Adjusted EBITDA1 of $8.8 million in the second quarter of
2015, up 21% from $7.3 million in the second quarter of 2014
-
Approximately $98 million raised in follow-on public offering of
approximately 3.9 million shares of HealthStream common stock
Financial Results:
Second Quarter 2015 Compared to Second Quarter 2014
Revenues for the second quarter of 2015 increased by $9.7 million, or 23
percent, to $52.1 million, compared to $42.5 million for the second
quarter of 2014.
Revenues from our HealthStream Workforce Solutions segment increased by
$6.7 million, or 20 percent, when compared to the second quarter of
2014. Revenues from our subscription-based solutions increased by
approximately $6.0 million, or 19 percent, over the prior year second
quarter due to a higher number of subscribers and more courseware
consumption by subscribers. Revenues from ICD-10-readiness training
products were approximately $6.8 million in the second quarter of 2015,
compared to $7.2 million in the prior year second quarter. In addition,
revenues from our acquisition of Health Care Compliance Strategies
(HCCS), which was consummated on March 3, 2014, were approximately $2.1
million during the second quarter of 2015, compared to $1.1 million
during the second quarter of 2014.
Revenues from our HealthStream Patient Experience Solutions segment
increased by $677,000, or eight percent, when compared to the second
quarter of 2014. Revenues from Patient Insights™ surveys—a survey
research product that generates recurring revenues—increased by
$622,000, or 10 percent, when compared to the second quarter of 2014.
Revenues from other products, including surveys conducted on annual or
bi-annual cycles and consulting/coaching services, collectively
increased by $55,000 compared to the second quarter of 2014.
Revenues from our HealthStream Provider Solutions segment increased by
$2.3 million when compared to the second quarter of 2014. Revenues from
the HealthLine Systems (HLS) acquisition, which was consummated
on March 16, 2015, were $2.3 million during the second quarter of 2015.
Generally accepted accounting principles (GAAP) require companies to
write down beginning balances of acquired deferred revenue balances as
part of “fair value” accounting as defined by GAAP. During the second
quarter of 2015, HealthStream reported a $2.7 million reduction to GAAP
revenues and corresponding reductions of $2.7 million to operating
income and $1.6 million to net income primarily as a result of deferred
revenue write-down for the HLS acquisition. During the second quarter of
2014, HealthStream reported a $703,000 reduction to GAAP revenues and
corresponding reductions of $703,000 to operating income and $402,000 to
net income as a result of deferred revenue write-downs. The table
reconciling GAAP to non-GAAP financial measures included in this release
shows the impact of beginning balance deferred revenue write-downs on
financial results.
Operating income was $2.6 million for the second quarter of 2015
compared to $4.1 million for the second quarter of 2014. The decline in
operating income results from a variety of factors. Increases in revenue
in the second quarter were partially offset by increased operating
expenses associated with personnel additions, higher royalties,
depreciation and amortization, sales commissions, costs associated with
our customer Summit, and other general expenses. Expenses related to our
customer Summit decreased operating income by approximately $550,000 in
the second quarter of 2015. In addition, operating income in the second
quarter of 2015 was impacted by the $2.7 million deferred revenue
write-down for acquisitions, primarily HLS. Also, Robert A. Frist, Jr.
contributed 49,310 of his personally held shares of common stock (a
value of $1.5 million) to the Company, without any consideration paid to
Mr. Frist, and the Company, in turn, granted the same number of shares
to over 600 of its employees. Mr. Frist also contributed an additional
$150,000 worth of his personally held shares to cover the Company’s
administrative expenses associated with the stock grant. Together, this
grant resulted in the Company recognizing a $1.65 million compensation
expense in the second quarter of 2015. The only shareholder diluted from
the grant was Mr. Frist.
Net income was $1.5 million in the second quarter of 2015 compared to
$2.4 million in the second quarter of 2014. Earnings per share were
$0.05 per share (diluted) for the second quarter of 2015, compared to
$0.08 per share (diluted) for the second quarter of 2014.
Adjusted EBITDA (which we define as net income before interest, income
taxes, share-based compensation, and depreciation and amortization)
increased by 21 percent to $8.8 million for the second quarter of 2015,
compared to $7.3 million for the second quarter of 2014.
At June 30, 2015, the Company had cash and marketable securities of
$139.9 million. Capital expenditures totaled $3.3 million for the second
quarter of 2015.
Year-to-Date 2015 Compared to Year-to-Date 2014
For the first six months of 2015, revenues were $99.3 million, an
increase of 23 percent over revenues of $80.8 million in the first six
months of 2014. Operating income for the first six months of 2015
approximated $7.4 million for both the first six months of 2015 and
2014. Net income for the first six months of 2015 decreased by three
percent to $4.2 million, compared to $4.3 million for the first six
months of 2014. Earnings per share were $0.15 per share (diluted) for
both the first six months of 2015 and 2014.
Other Business Updates
At June 30, 2015, we had approximately 4,371,000 total subscribers
implemented to use and 4,486,000 total subscribers contracted to use our
subscription-based solutions. “Contracted subscribers” include both
those already implemented and those under contract that are in the
process of implementation. Revenue recognition commences when a contract
is fully implemented.
Annualized revenue per implemented subscriber for Workforce Solutions
We view the metric, “Annualized Revenue per Implemented Subscriber for
our Workforce Solutions” (“Workforce ARIS”), as one of several
insightful measures of our progress in growing the value of our customer
base. Workforce ARIS represents the quarter's revenue from our
subscription-based solutions, annualized, then divided by the quarter's
average total number of implemented subscribers. Our subscription-based
solutions include subscriptions to our platform applications, plus
courseware/content subscriptions.
For the second quarter of 2015, HealthStream’s Workforce ARIS was
$35.35, down slightly compared to last year’s second quarter of $35.39,
while increasing by $0.71 per implemented subscriber over the first
quarter of 2015. Subscription-based revenues increased 19 percent
compared to last year’s second quarter while implemented subscribers
also increased 19 percent over the same period last year.
Follow-on Public Offering of HealthStream Common Stock
On May 28, 2015, we completed a public offering of 3,869,750 shares of
our common stock. The net proceeds to the Company were approximately $98
million. William Blair & Company LLC and Raymond James & Associates,
Inc. served as joint book-running managers of the public offering, and
Avondale Partners, LLC, Craig-Hallum Capital Group LLC, and First
Analysis Securities Corp. served as co-managers of the public offering.
Financial Outlook for 2015
For 2015, we anticipate that consolidated revenues will grow 18 to 21
percent as compared to 2014. We anticipate that revenue growth in our
Workforce Solutions segment will be in the 15 to 18 percent range and
approximately one to three percent in our Patient Experience Solutions
segment. We anticipate our Provider Solutions segment’s revenue to
contribute between $11 million and $14 million in revenues during 2015.
We expect the HLS acquisition to contribute between $7 million to $9
million of this total, which is the estimated amount after the
write-down of the acquired deferred revenue balance as required under
GAAP.
We anticipate that the Company's 2015 full-year operating income will
decrease between 25 and 35 percent as compared to full-year 2014
results. This operating income range takes into account the following:
-
Between $6.5 million and $7.5 million of write-down to the deferred
revenue balances of HLS;
-
Approximately $1 million of transaction costs related to the HLS
acquisition incurred in the first quarter of this year;
-
An increased rate of investment over full-year 2014 in HealthStream’s
product development related to new products, enhancements to existing
products, and integration of acquired products—including an increase
in investment in HLS’s products;
-
An increase in expense related to sales and marketing investments,
including the Company’s customer Summit, which was held in Nashville
during the second quarter of 2015; and
-
Share-based compensation and related expenses of $1.65 million
associated with stock awarded to employees through the special
contribution to the Company of personally held shares by
HealthStream’s CEO.
We anticipate that our full-year 2015 capital expenditures will be
between $11 million and $14 million. We expect our effective tax rate
during 2015 to be between 42 percent and 44 percent.
The aforementioned guidance does not include the impact from any other
acquisitions that we may complete during 2015.
Commenting on second quarter 2015 results, Robert A. Frist, Jr., chief
executive officer of HealthStream, said, “Our second quarter 2015
results showed a growth in revenues of 23 percent over the same period
last year, while we continue to execute on our plans to further invest
in innovative solutions for healthcare providers. Having just held our
customer Summit in the second quarter where we hosted approximately 700
customers and partners, we are enthused by the impact our solutions are
having to support the healthcare workforce and improve the quality of
care.”
A conference call with Robert A. Frist, Jr., chief executive officer,
Gerard M. Hayden, Jr., senior vice president and chief financial
officer, and Mollie Condra, vice president of investor relations and
corporate communications, will be held on Tuesday, July 21, 2015, at
9:00 a.m. (EDT). To listen to the conference, please dial 877- 647-2842
(no conference ID needed) if you are calling within the domestic U.S. or
Canada. If you are an international caller, please dial 914-495-8564 (no
conference ID needed). The conference may also be accessed by going to http://ir.healthstream.com/events.cfm
for the simultaneous Webcast of the call, which will subsequently be
available for replay. The replay telephone numbers are 855-859-2056
(conference ID #83366362) for U.S. and Canadian callers and 404-537-3406
(conference ID #83366362) for international callers.
Use of Non-GAAP Financial Measures
This press release contains certain non-GAAP financial measures,
including non-GAAP net income, non-GAAP operating income, non-GAAP
revenue, and adjusted EBITDA, which are used by management in analyzing
the Company’s financial results and ongoing operational performance.
In order to better assess the Company’s financial results, management
believes that income before interest, income taxes, share-based
compensation, depreciation and amortization (“adjusted EBITDA”) is a
useful measure for evaluating the operating performance of the Company
because adjusted EBITDA reflects net income adjusted for non-cash and
non-operating items. Adjusted EBITDA is also used by many investors to
assess the Company’s results from current operations. Adjusted EBITDA is
a non-GAAP financial measure and should not be considered as a measure
of financial performance under GAAP. Because adjusted EBITDA is not a
measurement determined in accordance with GAAP, it is susceptible to
varying calculations. Accordingly, adjusted EBITDA, as presented, may
not be comparable to other similarly titled measures of other companies.
Over the past few years, the Company has acquired businesses whose net
tangible assets include deferred revenue. In accordance with GAAP
reporting requirements, the Company may record a write down of deferred
revenue to fair value as defined in GAAP. If the Company is required to
record a write-down of deferred revenue, it may result in lower
recognized revenue, operating income, and net income. In order to
provide more accurate trends and comparisons of the Company’s revenues,
operating income, and net income, management believes that adding back
the deferred revenue write-down associated with fair value accounting
for acquired businesses provides a useful measure of the ongoing
performance of the Company. Both on a quarterly and year-to-date basis,
the revenue for the acquired business is deferred and typically
recognized over a one to two year period following the completion of any
particular acquisition, so our GAAP revenues for this one to two year
period will not reflect the full amount of revenues that would have been
reported if the acquired deferred revenue was not written down to fair
value.
These non-GAAP financial measures should not be considered as a
substitute for, or superior to, measures of financial performance which
are prepared in accordance with GAAP and may be different from non-GAAP
financial measures used by other companies. Investors are encouraged to
review the reconciliations of our GAAP to non-GAAP financial measures,
which are set forth below in this release.
About HealthStream
HealthStream (NASDAQ: HSTM) is dedicated to improving patient outcomes
through the development of healthcare organizations’ greatest asset:
their people. Our unified suite of solutions is contracted by,
collectively, approximately 4.5 million healthcare employees in the U.S.
for workforce development, training & learning management, talent
management, credentialing, privileging, provider enrollment, performance
assessment, and managing simulation-based education programs. Our
research solutions provide valuable insight to healthcare providers to
meet HCAHPS requirements, improve the patient experience, engage their
workforce, and enhance physician alignment. Based in Nashville,
Tennessee, HealthStream has additional offices in Laurel, Maryland;
Brentwood, Tennessee; Pensacola, Florida; Jericho, New York; and San
Diego, California. For more information, visit http://www.healthstream.com
or call 800-933-9293.
1 Adjusted EBITDA is a non-GAAP financial measure. A
reconciliation of adjusted EBITDA to net income is included in this
release.
|
|
|
|
|
|
HEALTHSTREAM, INC.
|
|
Condensed Consolidated Statements of Income
|
|
(In thousands, except per share data)
|
|
|
|
|
|
|
|
|
|
Unaudited
|
|
|
|
|
Three Months Ended
June 30,
|
|
|
Six Months Ended
June 30,
|
|
|
|
|
2015
|
|
2014
|
|
|
2015
|
|
2014
|
|
Revenues
|
|
|
$
|
52,145
|
|
|
$
|
42,476
|
|
|
$
|
99,301
|
|
|
$
|
80,825
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating expenses:
|
|
|
|
|
|
|
|
|
|
|
|
Cost of revenues (excluding depreciation and amortization)
|
|
|
|
22,432
|
|
|
|
18,738
|
|
|
|
42,625
|
|
|
|
35,663
|
|
Product development
|
|
|
|
5,815
|
|
|
|
4,294
|
|
|
|
10,460
|
|
|
|
7,840
|
|
Sales and marketing
|
|
|
|
10,328
|
|
|
|
7,251
|
|
|
|
17,675
|
|
|
|
14,199
|
|
Other general and administrative
|
|
|
|
6,750
|
|
|
|
5,361
|
|
|
|
13,678
|
|
|
|
10,592
|
|
Depreciation and amortization
|
|
|
|
4,256
|
|
|
|
2,722
|
|
|
|
7,509
|
|
|
|
5,123
|
|
Total operating expenses
|
|
|
|
49,581
|
|
|
|
38,366
|
|
|
|
91,947
|
|
|
|
73,417
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating income
|
|
|
|
2,564
|
|
|
|
4,110
|
|
|
|
7,354
|
|
|
|
7,408
|
|
Other income (expense), net
|
|
|
|
(44
|
)
|
|
|
23
|
|
|
|
(35
|
)
|
|
|
68
|
|
Income before income taxes
|
|
|
|
2,520
|
|
|
|
4,133
|
|
|
|
7,319
|
|
|
|
7,476
|
|
Income tax provision
|
|
|
|
1,047
|
|
|
|
1,769
|
|
|
|
3,124
|
|
|
|
3,165
|
|
Net income
|
|
|
$
|
1,473
|
|
|
$
|
2,364
|
|
|
$
|
4,195
|
|
|
$
|
4,311
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income per share:
|
|
|
|
|
|
|
|
|
|
|
|
Net income per share, basic
|
|
|
$
|
0.05
|
|
|
$
|
0.09
|
|
|
$
|
0.15
|
|
|
$
|
0.16
|
|
Net income per share, diluted
|
|
|
$
|
0.05
|
|
|
$
|
0.08
|
|
|
$
|
0.15
|
|
|
$
|
0.15
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average shares outstanding:
|
|
|
|
|
|
|
|
|
|
|
|
Basic
|
|
|
|
29,234
|
|
|
|
27,567
|
|
|
|
28,469
|
|
|
|
27,510
|
|
Diluted
|
|
|
|
29,617
|
|
|
|
28,043
|
|
|
|
28,843
|
|
|
|
27,975
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
HEALTHSTREAM, INC.
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|
Condensed Consolidated Balance Sheets
|
|
|
(In thousands)
|
|
|
|
|
|
|
|
|
|
Unaudited
|
|
|
|
|
June 30,
|
|
December 31,
|
|
|
|
|
2015
|
|
2014(1)
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|
|
ASSETS
|
|
|
|
|
|
|
Current assets:
|
|
|
|
|
|
|
Cash and cash equivalents
|
|
$
|
54,493
|
|
|
$
|
81,995
|
|
|
|
Marketable securities
|
|
|
85,408
|
|
|
|
38,973
|
|
|
|
Accounts and unbilled receivables, net
|
|
|
34,917
|
|
|
|
34,845
|
|
|
|
Prepaid and other current assets
|
|
|
24,050
|
|
|
|
18,798
|
|
|
|
Total current assets
|
|
|
198,868
|
|
|
|
174,611
|
|
|
|
|
|
|
|
|
|
|
Capitalized software development, net
|
|
|
13,634
|
|
|
|
12,706
|
|
|
|
Property and equipment, net
|
|
|
11,282
|
|
|
|
9,442
|
|
|
|
Goodwill and intangible assets, net
|
|
|
143,593
|
|
|
|
56,709
|
|
|
|
Other assets
|
|
|
3,973
|
|
|
|
3,794
|
|
|
|
Total assets
|
|
$
|
371,350
|
|
|
$
|
257,262
|
|
|
|
|
|
|
|
|
|
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LIABILITIES AND SHAREHOLDERS’ EQUITY
|
|
|
|
|
|
|
Current liabilities:
|
|
|
|
|
|
|
Accounts payable, accrued and other liabilities
|
|
$
|
22,018
|
|
|
$
|
23,543
|
|
|
|
Deferred revenue
|
|
|
64,945
|
|
|
|
53,716
|
|
|
|
Total current liabilities
|
|
|
86,963
|
|
|
|
77,259
|
|
|
|
Deferred tax liabilities, non-current
|
|
|
5,654
|
|
|
|
5,838
|
|
|
|
Deferred revenue, noncurrent
|
|
|
4,232
|
|
|
|
3,657
|
|
|
|
Other long-term liabilities
|
|
|
2,598
|
|
|
|
2,649
|
|
|
|
Total liabilities
|
|
|
99,447
|
|
|
|
89,403
|
|
|
|
|
|
|
|
|
|
|
Shareholders’ equity:
|
|
|
|
|
|
|
Common stock
|
|
|
274,816
|
|
|
|
174,926
|
|
|
|
Comprehensive loss
|
|
|
(78
|
)
|
|
|
(37
|
)
|
|
|
Accumulated deficit
|
|
|
(2,835
|
)
|
|
|
(7,030
|
)
|
|
|
Total shareholders’ equity
|
|
|
271,903
|
|
|
|
167,859
|
|
|
|
Total liabilities and shareholders' equity
|
|
$
|
371,350
|
|
|
$
|
257,262
|
|
|
|
|
|
|
|
|
|
(1)
|
Derived from audited financial statements contained in the
Company’s filing on Form 10-K for the year ended December 31, 2014.
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|
|
|
|
|
|
|
|
|
|
|
|
HEALTHSTREAM, INC.
|
|
Condensed Consolidated Statements of Cash Flows
|
|
(In thousands)
|
|
|
|
|
|
|
|
Unaudited
|
|
|
|
Six Months Ended
|
|
|
|
June 30,
|
|
June 30,
|
|
|
|
2015
|
|
2014
|
|
|
|
|
|
|
|
Operating activities:
|
|
|
|
|
|
Net income
|
|
$
|
4,195
|
|
|
$
|
4,311
|
|
|
Adjustments to reconcile net income to net cash provided by
operating activities:
|
|
|
|
|
|
Depreciation and amortization
|
|
|
7,509
|
|
|
|
5,123
|
|
|
Deferred income taxes
|
|
|
823
|
|
|
|
3,165
|
|
|
Share-based compensation
|
|
|
2,347
|
|
|
|
834
|
|
|
Provision for doubtful accounts
|
|
|
119
|
|
|
|
70
|
|
|
Other
|
|
|
386
|
|
|
|
752
|
|
|
Changes in assets and liabilities:
|
|
|
|
|
|
Accounts and unbilled receivables
|
|
|
3,055
|
|
|
|
(3,558
|
)
|
|
Prepaid and other assets
|
|
|
(2,182
|
)
|
|
|
(4,493
|
)
|
|
Accounts payable, accrued and other liabilities
|
|
|
(2,834
|
)
|
|
|
1,209
|
|
|
Deferred revenue
|
|
|
5,713
|
|
|
|
14,689
|
|
|
Net cash provided by operating activities
|
|
|
19,131
|
|
|
|
22,102
|
|
|
|
|
|
|
|
|
Investing activities:
|
|
|
|
|
|
Business combinations, net of cash acquired
|
|
|
(88,075
|
)
|
|
|
(12,501
|
)
|
|
Changes in marketable securities
|
|
|
(46,853
|
)
|
|
|
(2,948
|
)
|
|
Investments in non-marketable equity investments
|
|
|
(1,000
|
)
|
|
|
(265
|
)
|
|
Purchases of property and equipment
|
|
|
(4,054
|
)
|
|
|
(2,423
|
)
|
|
Payments associated with capitalized software development
|
|
|
(3,566
|
)
|
|
|
(2,689
|
)
|
|
Net cash used in investing activities
|
|
|
(143,548
|
)
|
|
|
(20,826
|
)
|
|
|
|
|
|
|
|
Financing activities:
|
|
|
|
|
|
Proceeds from issuance of common stock
|
|
|
98,014
|
|
|
|
--
|
|
|
Borrowings under revolving credit facility
|
|
|
28,000
|
|
|
|
--
|
|
|
Repayments under revolving credit facility
|
|
|
(28,000
|
)
|
|
|
--
|
|
|
Proceeds from exercise of stock options
|
|
|
277
|
|
|
|
462
|
|
|
Taxes paid related to net settlement of equity awards
|
|
|
(748
|
)
|
|
|
(152
|
)
|
|
Payment of earn-outs related to acquisitions
|
|
|
(628
|
)
|
|
|
(261
|
)
|
|
Net cash provided by financing activities
|
|
|
96,915
|
|
|
|
49
|
|
|
|
|
|
|
|
|
Net (decrease) increase in cash and cash equivalents
|
|
|
(27,502
|
)
|
|
|
1,325
|
|
|
Cash and cash equivalents at beginning of period
|
|
|
81,995
|
|
|
|
59,537
|
|
|
Cash and cash equivalents at end of period
|
|
$
|
54,493
|
|
|
$
|
60,862
|
|
|
|
|
|
|
|
|
|
|
|
|
Reconciliation of GAAP to Non-GAAP Financial Measures(1)
|
|
(In thousands, except per share data)
|
|
|
|
|
|
|
|
Unaudited
|
|
|
|
Three Months Ended
June 30,
|
|
Six Months Ended
June 30,
|
|
|
|
2015
|
|
2014
|
|
2015
|
|
2014
|
|
|
|
|
|
|
|
|
|
|
|
GAAP net income
|
|
$
|
1,473
|
|
|
$
|
2,364
|
|
|
$
|
4,195
|
|
|
$
|
4,311
|
|
|
Interest income
|
|
|
(54
|
)
|
|
|
(59
|
)
|
|
|
(109
|
)
|
|
|
(117
|
)
|
|
Interest expense
|
|
|
93
|
|
|
|
13
|
|
|
|
137
|
|
|
|
25
|
|
|
Income tax provision
|
|
|
1,047
|
|
|
|
1,769
|
|
|
|
3,124
|
|
|
|
3,165
|
|
|
Share-based compensation expense
|
|
|
1,938
|
|
|
|
450
|
|
|
|
2,347
|
|
|
|
834
|
|
|
Depreciation and amortization
|
|
|
4,256
|
|
|
|
2,722
|
|
|
|
7,509
|
|
|
|
5,123
|
|
|
Adjusted EBITDA
|
|
$
|
8,753
|
|
|
$
|
7,259
|
|
|
$
|
17,203
|
|
|
$
|
13,341
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GAAP revenues
|
|
$
|
52,145
|
|
|
$
|
42,476
|
|
|
$
|
99,301
|
|
|
$
|
80,825
|
|
|
Add: deferred revenue write-down
|
|
|
2,663
|
|
|
|
703
|
|
|
|
3,241
|
|
|
|
1,072
|
|
|
Non-GAAP revenues
|
|
$
|
54,808
|
|
|
$
|
43,179
|
|
|
$
|
102,542
|
|
|
$
|
81,897
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GAAP operating income
|
|
$
|
2,564
|
|
|
$
|
4,110
|
|
|
$
|
7,354
|
|
|
$
|
7,408
|
|
|
Add: deferred revenue write-down
|
|
|
2,663
|
|
|
|
703
|
|
|
|
3,241
|
|
|
|
1,072
|
|
|
Non-GAAP operating income
|
|
$
|
5,227
|
|
|
$
|
4,813
|
|
|
$
|
10,595
|
|
|
$
|
8,480
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GAAP net income
|
|
$
|
1,473
|
|
|
$
|
2,364
|
|
|
$
|
4,195
|
|
|
$
|
4,311
|
|
|
Add: deferred revenue write-down, net of tax
|
|
|
1,555
|
|
|
|
402
|
|
|
|
1,857
|
|
|
|
619
|
|
|
Non-GAAP net income
|
|
$
|
3,028
|
|
|
$
|
2,766
|
|
|
$
|
6,052
|
|
|
$
|
4,930
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) This press release contains certain non-GAAP financial
measures, including non-GAAP net income, non-GAAP operating
income, non-GAAP revenue, and adjusted EBITDA, which are used by
management in analyzing its financial results and ongoing
operational performance.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
This press release includes certain forward-looking statements
(statements other than solely with respect to historical fact),
including statements regarding expectations for the financial
performance for 2015 that involve risks and uncertainties regarding
HealthStream. These statements are based upon management’s beliefs, as
well as assumptions made by and data currently available to management.
This information has been, or in the future may be, included in reliance
on the “safe harbor” provisions of the Private Securities Litigation
Reform Act of 1995. Investors are cautioned that such results or events
predicted in these statements may differ materially from actual future
events or results. The forward-looking statements are subject to
significant uncertainties and other risks referenced in the Company’s
Annual Report on Form 10-K and in the Company’s other filings with the
Securities and Exchange Commission. Consequently, such forward-looking
information should not be regarded as a representation or warranty or
statement by the Company that such projections will be realized. Many of
the factors that will determine the Company’s future results are beyond
the ability of the Company to control or predict. Readers should not
place undue reliance on forward-looking statements, which reflect
management’s views only as of the date hereof. The Company undertakes no
obligation to update or revise any such forward-looking statements.
View source version on businesswire.com: http://www.businesswire.com/news/home/20150720006310/en/
Copyright Business Wire 2015