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Healthstream Financials

HSTM
Source SEC Filings (10-K/10-Q) Updated Dec 31, 2025 Currency USD FYE December

This page shows Healthstream (HSTM) financial statements, including the income statement, balance sheet, cash flow statement, and key financial ratios. View 17 years of annual fundamentals and quarterly data, with year-over-year growth rates and compound annual growth rates (CAGR). All figures are derived from SEC filings (10-K and 10-Q reports).

Financial Health Signals

Profitability Growth Leverage Liquidity Cash Flow Returns 47 / 100
Financial Profile 47/100

Based on FY2025 annual data. Scores normalized against common benchmarks. How we calculate these scores

Profitability
37

Healthstream has an operating margin of 6.7%, meaning the company retains $7 of operating profit per $100 of revenue. This results in a moderate score of 37/100, indicating healthy but not exceptional operating efficiency. This is down from 7.3% the prior year.

Growth
40

Healthstream's revenue grew a modest 4.3% year-over-year to $304.1M. This slow but positive growth earns a score of 40/100.

Leverage
92

Healthstream carries a low D/E ratio of 0.47, meaning only $0.47 of long-term debt for every $1 of shareholders' equity. This conservative leverage earns a score of 92/100, indicating a strong balance sheet with room for future borrowing.

Liquidity
14

Healthstream's current ratio of 0.96 means current assets barely cover short-term liabilities. This tight liquidity results in a low score of 14/100, which could limit financial flexibility.

Cash Flow
74

Healthstream converts 19.6% of revenue into free cash flow ($59.6M). This strong cash generation earns a score of 74/100.

Returns
23

Healthstream generates a 5.2% ROE, indicating limited profit relative to shareholders' investment. This results in a returns score of 23/100. This is down from 5.6% the prior year.

Altman Z-Score Safe
3.19

Healthstream scores 3.19, well above the 2.99 safe threshold. The score is driven primarily by a large market capitalization ($598.9M) relative to total liabilities ($166.4M). This indicates low bankruptcy risk based on profitability, leverage, and asset efficiency.

Piotroski F-Score Neutral
5/9

Healthstream passes 5 of 9 financial strength tests. 3 of 4 profitability signals pass, 1 of 3 leverage/liquidity signals pass, 1 of 2 efficiency signals pass.

Earnings Quality Cash-Backed
3.45x

For every $1 of reported earnings, Healthstream generates $3.45 in operating cash flow ($63.3M OCF vs $18.3M net income). This indicates profits are well-supported by actual cash generation, not accounting adjustments.

Key Financial Metrics

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Earnings & Revenue

Revenue
$304.1M
YoY+4.3%
5Y CAGR+4.4%
10Y CAGR+3.8%

Healthstream generated $304.1M in revenue in fiscal year 2025. This represents an increase of 4.3% from the prior year.

EBITDA
$63.7M
YoY+1.9%
5Y CAGR+6.7%
10Y CAGR+7.6%

Healthstream's EBITDA was $63.7M in fiscal year 2025, measuring earnings before interest, taxes, depreciation, and amortization. This represents an increase of 1.9% from the prior year.

Net Income
$18.3M
YoY-8.3%
5Y CAGR+5.4%
10Y CAGR+7.8%

Healthstream reported $18.3M in net income in fiscal year 2025. This represents a decrease of 8.3% from the prior year.

EPS (Diluted)
$0.61
YoY-7.6%
5Y CAGR+6.8%
10Y CAGR+8.1%

Healthstream earned $0.61 per diluted share (EPS) in fiscal year 2025. This represents a decrease of 7.6% from the prior year.

Cash & Balance Sheet

Free Cash Flow
$59.6M
YoY+6.0%
5Y CAGR+12.0%
10Y CAGR+8.3%

Healthstream generated $59.6M in free cash flow in fiscal year 2025, representing cash available after capex. This represents an increase of 6.0% from the prior year.

Cash & Debt
$36.2M
YoY-39.2%
5Y CAGR-0.2%
10Y CAGR-7.9%

Healthstream held $36.2M in cash against $0 in long-term debt as of fiscal year 2025.

Dividends Per Share
$0.12
YoY+10.7%

Healthstream paid $0.12 per share in dividends in fiscal year 2025. This represents an increase of 10.7% from the prior year.

Shares Outstanding
30M
YoY-2.8%
5Y CAGR-1.3%
10Y CAGR-0.7%

Healthstream had 30M shares outstanding in fiscal year 2025. This represents a decrease of 2.8% from the prior year.

Margins & Returns

Gross Margin
64.7%
YoY-1.7pp
5Y CAGR+1.2pp

Healthstream's gross margin was 64.7% in fiscal year 2025, indicating the percentage of revenue retained after direct costs. This is down 1.7 percentage points from the prior year.

Operating Margin
6.7%
YoY-0.6pp
5Y CAGR+0.2pp
10Y CAGR+0.2pp

Healthstream's operating margin was 6.7% in fiscal year 2025, reflecting core business profitability. This is down 0.6 percentage points from the prior year.

Net Margin
6.0%
YoY-0.8pp
5Y CAGR+0.3pp
10Y CAGR+1.9pp

Healthstream's net profit margin was 6.0% in fiscal year 2025, showing the share of revenue converted to profit. This is down 0.8 percentage points from the prior year.

Return on Equity
5.2%
YoY-0.4pp
5Y CAGR+1.0pp
10Y CAGR+2.1pp

Healthstream's ROE was 5.2% in fiscal year 2025, measuring profit generated per dollar of shareholder equity. This is down 0.4 percentage points from the prior year.

Capital Allocation

R&D Spending
$51.0M
YoY+4.3%
5Y CAGR+9.6%
10Y CAGR+7.7%

Healthstream invested $51.0M in research and development in fiscal year 2025. This represents an increase of 4.3% from the prior year.

Share Buybacks
$30.0M
5Y CAGR+8.4%

Healthstream spent $30.0M on share buybacks in fiscal year 2025, returning capital to shareholders by reducing shares outstanding.

Capital Expenditures
$3.7M
YoY+163.0%
5Y CAGR+13.1%
10Y CAGR-7.6%

Healthstream invested $3.7M in capex in fiscal year 2025, funding long-term assets and infrastructure. This represents an increase of 163.0% from the prior year.

HSTM Income Statement

Metric Q4'25 Q3'25 Q2'25 Q1'25 Q4'24 Q3'24 Q2'24 Q1'24
Revenue $79.7M+4.2% $76.5M+2.8% $74.4M+1.2% $73.5M-1.0% $74.2M+1.6% $73.1M+2.2% $71.6M-1.7% $72.8M
Cost of Revenue $28.9M+8.8% $26.5M+0.5% $26.4M+3.4% $25.5M+1.5% $25.1M+2.6% $24.5M+3.1% $23.7M-3.6% $24.6M
Gross Profit $50.9M+1.8% $50.0M+4.0% $48.0M+0.1% $48.0M-2.3% $49.1M+1.0% $48.6M+1.7% $47.8M-0.7% $48.1M
R&D Expenses $14.8M+21.9% $12.1M+0.3% $12.1M+0.2% $12.0M-5.0% $12.7M+4.8% $12.1M+0.2% $12.1M+0.4% $12.0M
SG&A Expenses N/A N/A N/A N/A N/A N/A N/A N/A
Operating Income $2.4M-68.2% $7.6M+28.6% $5.9M+34.4% $4.4M-6.6% $4.7M-27.9% $6.5M+47.3% $4.4M-22.5% $5.7M
Interest Expense N/A N/A N/A N/A N/A N/A N/A N/A
Income Tax $316K-85.4% $2.2M+46.5% $1.5M+61.4% $916K+54.2% $594K-66.1% $1.8M+54.9% $1.1M-14.0% $1.3M
Net Income $2.5M-58.3% $6.1M+12.9% $5.4M+24.4% $4.3M-11.4% $4.9M-14.6% $5.7M+37.4% $4.2M-20.3% $5.2M
EPS (Diluted) N/A $0.20+11.1% $0.18+28.6% $0.14 N/A $0.19+35.7% $0.14-17.6% $0.17

HSTM Balance Sheet

Metric Q4'25 Q3'25 Q2'25 Q1'25 Q4'24 Q3'24 Q2'24 Q1'24
Total Assets $520.4M+4.1% $499.9M0.0% $500.1M-4.6% $524.0M+2.6% $510.8M+1.6% $502.8M+0.7% $499.6M-2.4% $511.6M
Current Assets $119.7M-18.9% $147.6M+2.2% $144.4M-14.9% $169.7M+10.8% $153.1M+5.1% $145.6M+4.7% $139.1M-5.6% $147.4M
Cash & Equivalents $36.2M-32.5% $53.5M+2.8% $52.1M-32.6% $77.3M+30.0% $59.5M+3.4% $57.5M+24.6% $46.1M-12.0% $52.4M
Inventory N/A N/A N/A N/A N/A N/A N/A N/A
Accounts Receivable $32.2M+16.2% $27.7M+2.8% $26.9M-12.7% $30.8M+2.2% $30.2M+14.7% $26.3M-17.2% $31.8M-19.8% $39.6M
Goodwill $217.5M+13.5% $191.6M-0.1% $191.8M+0.3% $191.2M0.0% $191.2M0.0% $191.1M+0.1% $191.0M-0.1% $191.1M
Total Liabilities $166.4M+10.4% $150.7M+0.8% $149.6M-7.2% $161.2M+6.5% $151.4M+2.8% $147.3M-2.0% $150.3M-9.8% $166.8M
Current Liabilities $124.1M+10.4% $112.5M-2.5% $115.4M-8.3% $125.9M+8.8% $115.7M+4.6% $110.6M-1.2% $111.9M-11.3% $126.1M
Long-Term Debt N/A N/A N/A N/A N/A N/A N/A N/A
Total Equity $354.0M+1.4% $349.2M-0.4% $350.6M-3.4% $362.8M+1.0% $359.4M+1.1% $355.5M+1.8% $349.2M+1.3% $344.9M
Retained Earnings $123.6M+1.3% $122.0M+4.4% $116.8M+4.0% $112.4M+3.1% $109.0M+3.8% $104.9M+4.9% $100.1M+3.4% $96.7M

HSTM Cash Flow Statement

Metric Q4'25 Q3'25 Q2'25 Q1'25 Q4'24 Q3'24 Q2'24 Q1'24
Operating Cash Flow $13.2M-26.8% $18.0M+258.9% $5.0M-81.4% $27.1M+142.6% $11.2M-41.6% $19.1M+196.2% $6.5M-69.2% $20.9M
Capital Expenditures $204K+87.2% $109K-95.3% $2.3M+119.6% $1.1M+419.7% $203K-28.5% $284K+65.1% $172K-76.8% $742K
Free Cash Flow $13.0M-27.5% $17.9M+562.3% $2.7M-89.6% $26.0M+137.5% $11.0M-41.8% $18.8M+199.8% $6.3M-68.9% $20.2M
Investing Cash Flow -$23.3M-169.8% -$8.6M+22.5% -$11.2M-53.8% -$7.2M+10.2% -$8.1M-17.5% -$6.9M+42.3% -$11.9M-67.3% -$7.1M
Financing Cash Flow -$7.2M+8.7% -$7.9M+58.4% -$19.1M-847.5% -$2.0M-94.9% -$1.0M-12.0% -$922K-7.6% -$857K+49.7% -$1.7M
Dividends Paid $891K-3.0% $919K-3.0% $947K+0.4% $943K+11.1% $849K-0.2% $851K0.0% $851K+0.2% $849K
Share Buybacks $5.0M-27.4% $6.9M N/A N/A $0 $0 N/A N/A

HSTM Financial Ratios

Metric Q4'25 Q3'25 Q2'25 Q1'25 Q4'24 Q3'24 Q2'24 Q1'24
Gross Margin 63.8%-1.5pp 65.3%+0.8pp 64.6%-0.8pp 65.3%-0.8pp 66.2%-0.4pp 66.5%-0.3pp 66.8%+0.7pp 66.2%
Operating Margin 3.0%-6.9pp 9.9%+2.0pp 7.9%+2.0pp 6.0%-0.4pp 6.3%-2.6pp 8.9%+2.7pp 6.2%-1.7pp 7.8%
Net Margin 3.2%-4.8pp 8.0%+0.7pp 7.2%+1.3pp 5.9%-0.7pp 6.6%-1.2pp 7.8%+2.0pp 5.8%-1.4pp 7.2%
Return on Equity 0.7%-1.0pp 1.7%+0.2pp 1.5%+0.3pp 1.2%-0.2pp 1.4%-0.3pp 1.6%+0.4pp 1.2%-0.3pp 1.5%
Return on Assets 0.5%-0.7pp 1.2%+0.1pp 1.1%+0.3pp 0.8%-0.1pp 1.0%-0.2pp 1.1%+0.3pp 0.8%-0.2pp 1.0%
Current Ratio 0.96-0.3 1.31+0.1 1.25-0.1 1.35+0.0 1.320.0 1.32+0.1 1.24+0.1 1.17
Debt-to-Equity 0.47+0.0 0.430.0 0.43-0.0 0.44+0.0 0.420.0 0.41-0.0 0.43-0.1 0.48
FCF Margin 16.3%-7.1pp 23.4%+19.8pp 3.6%-31.8pp 35.4%+20.7pp 14.8%-11.0pp 25.8%+17.0pp 8.8%-19.0pp 27.8%

Note: The current ratio is below 1.0 (0.96), indicating current liabilities exceed current assets, which may suggest potential short-term liquidity concerns.

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Frequently Asked Questions

Healthstream (HSTM) reported $304.1M in total revenue for fiscal year 2025. This represents a 4.3% change compared to the previous fiscal year. Revenue measures the total income earned from the company's primary business operations before any expenses are deducted.

Healthstream (HSTM) revenue grew by 4.3% year-over-year, from $291.6M to $304.1M in fiscal year 2025.

Yes, Healthstream (HSTM) reported a net income of $18.3M in fiscal year 2025, with a net profit margin of 6.0%.

Healthstream (HSTM) reported diluted earnings per share of $0.61 for fiscal year 2025. This represents a -7.6% change compared to the previous fiscal year. EPS represents the portion of a company's net income allocated to each outstanding share of common stock and is widely used to evaluate profitability on a per-share basis.

Healthstream (HSTM) had EBITDA of $63.7M in fiscal year 2025, measuring earnings before interest, taxes, depreciation, and amortization.

Healthstream (HSTM) had a gross margin of 64.7% in fiscal year 2025, indicating the percentage of revenue retained after direct costs of goods sold.

Healthstream (HSTM) had an operating margin of 6.7% in fiscal year 2025, reflecting the profitability of core business operations before interest and taxes.

Healthstream (HSTM) had a net profit margin of 6.0% in fiscal year 2025, representing the share of revenue converted into profit after all expenses.

Yes, Healthstream (HSTM) paid $0.12 per share in dividends during fiscal year 2025.

Healthstream (HSTM) has a return on equity of 5.2% for fiscal year 2025, measuring how efficiently the company generates profit from shareholder equity.

Healthstream (HSTM) generated $59.6M in free cash flow during fiscal year 2025. This represents a 6.0% change compared to the previous fiscal year. Free cash flow represents the cash a company generates after accounting for capital expenditures, and is widely used to assess financial flexibility and shareholder value.

Healthstream (HSTM) generated $63.3M in operating cash flow during fiscal year 2025, representing cash generated from core business activities.

Healthstream (HSTM) had $520.4M in total assets as of fiscal year 2025, including both current and long-term assets.

Healthstream (HSTM) invested $3.7M in capital expenditures during fiscal year 2025, funding long-term assets and infrastructure.

Healthstream (HSTM) invested $51.0M in research and development during fiscal year 2025.

Yes, Healthstream (HSTM) spent $30.0M on share buybacks during fiscal year 2025, returning capital to shareholders by reducing shares outstanding.

Healthstream (HSTM) had 30M shares outstanding as of fiscal year 2025.

Healthstream (HSTM) had a current ratio of 0.96 as of fiscal year 2025, which is below 1.0, which may suggest potential liquidity concerns.

Healthstream (HSTM) had a debt-to-equity ratio of 0.47 as of fiscal year 2025, measuring the company's financial leverage by comparing total debt to shareholder equity.

Healthstream (HSTM) had a return on assets of 3.5% for fiscal year 2025, measuring how efficiently the company uses its assets to generate profit.

Healthstream (HSTM) has an Altman Z-Score of 3.19, placing it in the Safe Zone (low bankruptcy risk). The Z-Score combines five financial ratios—working capital, retained earnings, EBIT, market capitalization, and revenue relative to total assets—to predict the likelihood of bankruptcy. Scores above 2.99 indicate financial safety while scores below 1.81 suggest financial distress. Learn more in our complete guide to financial health indicators.

Healthstream (HSTM) has a Piotroski F-Score of 5 out of 9, indicating neutral financial health. The F-Score evaluates nine binary signals across profitability (positive ROA, positive cash flow, improving ROA, earnings quality), leverage (decreasing debt, improving liquidity, no share dilution), and operating efficiency (improving gross margin, improving asset turnover). Scores of 7–9 indicate strong and improving fundamentals. Learn more in our complete guide to financial health indicators.

Healthstream (HSTM) has an earnings quality ratio of 3.45x, considered cash-backed (high quality). This ratio compares operating cash flow to net income. A ratio above 1.0x means the company generates more cash than its reported earnings, indicating sustainable, cash-backed profits. Ratios below 1.0x suggest earnings rely on accounting accruals rather than actual cash generation. Learn more in our complete guide to financial health indicators.

Healthstream (HSTM) scores 47 out of 100 on our Financial Profile, indicating moderate overall financial health. This composite score evaluates six dimensions: profitability (operating margin), revenue growth, leverage (debt-to-equity), liquidity (current ratio), cash flow quality (free cash flow margin), and shareholder returns (return on equity). Each dimension is normalized against standard financial benchmarks. Learn more in our complete guide to financial health indicators.

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