Waystar Reports Second Quarter 2024 Results
Waystar Holding Corp. (Nasdaq: WAY), a provider of healthcare payment software, announced its Q2 2024 earnings.
Revenue grew by 20% year-over-year to $234.5 million. However, the company reported a net loss of $27.7 million with a net loss margin of (11.8)%. Non-GAAP net income was reported at $5.0 million.
Adjusted EBITDA was $93.9 million with a margin of 40%. Cash flow from operations amounted to $15.5 million, and unlevered free cash flow reached $50.3 million.
Key metrics included 1,117 clients contributing over $100,000 in LTM revenue, up by 9% year-over-year, and a net revenue retention rate of 108%.
The company forecasts full fiscal year 2024 total revenue between $902 million and $918 million, adjusted EBITDA between $360 million and $368 million, and non-GAAP net income between $36 million and $42 million.
Waystar Holding Corp. (Nasdaq: WAY), un fornitore di software per i pagamenti nel settore sanitario, ha annunciato i suoi risultati del secondo trimestre 2024.
Il fatturato è cresciuto del 20% rispetto all'anno precedente, raggiungendo 234,5 milioni di dollari. Tuttavia, l'azienda ha riportato una perdita netta di 27,7 milioni di dollari con un margine di perdita netta del (11,8)%. Il reddito netto non secondo i principi contabili generalmente accettati (Non-GAAP) è stato di 5,0 milioni di dollari.
L'EBITDA rettificato è stato di 93,9 milioni di dollari con un margine del 40%. Il flusso di cassa dalle operazioni è ammontato a 15,5 milioni di dollari, e il flusso di cassa libero non indebitato ha raggiunto 50,3 milioni di dollari.
I principali indicatori includevano 1.117 clienti che hanno contribuito con oltre 100.000 dollari in fatturato LTM, con un incremento del 9% rispetto all'anno precedente, e un tasso di ritenzione del fatturato netto del 108%.
L'azienda prevede un fatturato totale per l'intero anno fiscale 2024 compreso tra 902 milioni e 918 milioni di dollari, un EBITDA rettificato tra 360 milioni e 368 milioni di dollari, e un reddito netto non-GAAP tra 36 milioni e 42 milioni di dollari.
Waystar Holding Corp. (Nasdaq: WAY), un proveedor de software de pago en el sector de la salud, anunció sus resultados del segundo trimestre de 2024.
Los ingresos crecieron un 20% en comparación con el año anterior, alcanzando 234.5 millones de dólares. Sin embargo, la compañía reportó una Pérdida neta de 27.7 millones de dólares con un margen de pérdida neta de (11.8)%. El ingreso neto no GAAP se reportó en 5.0 millones de dólares.
El EBITDA ajustado fue de 93.9 millones de dólares con un margen del 40%. El flujo de caja de las operaciones ascendió a 15.5 millones de dólares, y el flujo de caja libre no apalancado alcanzó 50.3 millones de dólares.
Las métricas clave incluyeron 1,117 clientes que contribuyeron con más de 100,000 dólares en ingresos LTM, un aumento del 9% año con año, y una tasa de retención de ingresos netos del 108%.
La compañía prevé que el ingreso total para el año fiscal 2024 se sitúe entre 902 millones y 918 millones de dólares, EBITDA ajustado entre 360 millones y 368 millones de dólares, y un ingreso neto no GAAP entre 36 millones y 42 millones de dólares.
Waystar Holding Corp. (Nasdaq: WAY)는 의료 결제 소프트웨어 제공업체로서 2024년 2분기 실적을 발표했습니다.
매출은 전년 대비 20% 증가하여 2억 3,450만 달러에 달했습니다. 그러나 회사는 2,770만 달러의 순손실을 보고하였고, 순손실률은 (11.8)%에 달했습니다. 비GAAP 기준 순이익은 500만 달러로 보고되었습니다.
조정된 EBITDA는 9,390만 달러였으며, 마진은 40%였습니다. 운영에서의 현금 흐름은 1,550만 달러에 달했으며, 레버리지 없는 자유 현금 흐름은 5,030만 달러에 도달했습니다.
주요 지표로는 1,117명의 고객이 100,000달러 이상의 LTM 수익에 기여하였으며, 이는 전년 대비 9% 증가했습니다. 순수익 유지율은 108%로 나타났습니다.
회사는 2024 회계연도 전반에 걸쳐 총 매출을 9억 200만 달러에서 9억 1,800만 달러 사이로, 조정된 EBITDA는 3억 6천만 달러에서 3억 6천8백만 달러 사이로, 비GAAP 순이익은 3천6백만 달러에서 4천2백만 달러 사이로 예측하고 있습니다.
Waystar Holding Corp. (Nasdaq: WAY), un fournisseur de logiciels de paiement de la santé, a annoncé ses résultats du deuxième trimestre 2024.
Le chiffre d'affaires a augmenté de 20% par rapport à l'année précédente, atteignant 234,5 millions de dollars. Cependant, la société a annoncé une perte nette de 27,7 millions de dollars avec une marge de perte nette de (11,8)%. Le revenu net non-GAAP s'est établi à 5,0 millions de dollars.
L'EBITDA ajusté a atteint 93,9 millions de dollars avec une marge de 40%. Le flux de trésorerie provenant des opérations s'est élevé à 15,5 millions de dollars, et le flux de trésorerie libre non endetté a atteint 50,3 millions de dollars.
Les indicateurs clés comprenaient 1 117 clients contribuant pour plus de 100 000 dollars de revenus LTM, en hausse de 9% d'une année sur l'autre, et un taux de rétention des revenus nets de 108%.
La société prévoit pour l'année fiscale 2024 un chiffre d'affaires total compris entre 902 millions et 918 millions de dollars, un EBITDA ajusté compris entre 360 millions et 368 millions de dollars, et un revenu net non-GAAP compris entre 36 millions et 42 millions de dollars.
Waystar Holding Corp. (Nasdaq: WAY), ein Anbieter von Software für Gesundheitszahlungen, hat seine Q2 2024 Ergebnisse veröffentlicht.
Der Umsatz stieg im Jahresvergleich um 20% auf 234,5 Millionen Dollar. Das Unternehmen berichtete jedoch von einem Nettoverlust von 27,7 Millionen Dollar bei einer Nettoverlustquote von (11,8)%. Das Non-GAAP-Nettoeinkommen betrug 5,0 Millionen Dollar.
Das angepasste EBITDA betrug 93,9 Millionen Dollar mit einer Marge von 40%. Der Cashflow aus operativen Tätigkeiten belief sich auf 15,5 Millionen Dollar, und der unverschuldete freie Cashflow erreichte 50,3 Millionen Dollar.
Zu den wichtigsten Kennzahlen gehörten 1.117 Kunden, die über 100.000 Dollar im LTM-Umsatz beigetragen haben, was einem Anstieg von 9% im Jahresvergleich entspricht, sowie eine Netto-Umsatzbindungsquote von 108%.
Das Unternehmen prognostiziert für das gesamte Geschäftsjahr 2024 einen Gesamtumsatz zwischen 902 Millionen und 918 Millionen Dollar, ein angepasstes EBITDA zwischen 360 Millionen und 368 Millionen Dollar und ein Non-GAAP-Nettoeinkommen zwischen 36 Millionen und 42 Millionen Dollar.
- 20% revenue growth to $234.5 million year-over-year
- Adjusted EBITDA margin of 40%
- Non-GAAP net income of $5.0 million
- Unlevered free cash flow of $50.3 million
- 1,117 clients contributed over $100,000 in LTM revenue, up 9%
- Net revenue retention rate of 108%
- Positive financial guidance for full fiscal year 2024
- Net loss of $27.7 million
- Net loss margin of (11.8)%
Waystar's Q2 2024 results show strong growth but mixed profitability. Revenue increased 20% year-over-year to
On a positive note, Adjusted EBITDA reached
Waystar's full-year 2024 guidance projects continued growth, with revenue expected between
Waystar's performance reflects the growing demand for efficient healthcare payment solutions. The 9% year-over-year increase in clients contributing over
The company's cloud-based platform, focused on ROI and user experience, is resonating in a market seeking modernization. However, the ongoing net losses indicate that Waystar is still in a growth phase, prioritizing market share over immediate profitability.
The
Revenue growth of
Net loss of
Net loss margin of (11.8)%; Adjusted EBITDA margin of
LEHI, Utah and LOUISVILLE, Ky., Aug. 7, 2024 /PRNewswire/ -- Waystar Holding Corp. (Nasdaq: WAY), a provider of leading healthcare payment software, today reported results for the three-month period ended June 30, 2024.
"Waystar delivered strong performance across all key metrics in Q2," said Matt Hawkins, Chief Executive Officer of Waystar. "We have solid momentum as clients utilize the cloud-based Waystar software platform, which we have purpose-built to drive client return on investment and a differentiated, modern user experience."
Hawkins continued, "There is meaningful opportunity ahead of us, as the demand for an innovative healthcare software payment platform has never been greater. As a result, Waystar is poised to continue to deliver an attractive combination of revenue growth at scale and compelling adjusted EBITDA margins."
Second Quarter 2024 Financial Highlights
- Revenue of
$234.5 million 20% year-over-year - Net loss of
$27.7 million $(0.21) - Non-GAAP net income of
$5.0 million $0.04 - Adjusted EBITDA of
$93.9 million 40% - Cash flow from operations of
$15.5 million $50.3 million
Key Metrics
- 1,117 clients contributed over
$100,000 9% year-over-year - A net revenue retention rate (NRR) of
108%
Financial Outlook
As of August 7, 2024, Waystar provides the following guidance for its full fiscal year 2024.1
- Total revenue is expected to be between
$902 million $918 million - Adjusted EBITDA is expected to be between
$360 million $368 million - Non-GAAP net income is expected to be between
$36 million $42 million - Diluted non-GAAP net income per share is expected to be between
$0.23 $0.27
Webcast Information
Waystar's financial results will be discussed on a conference call scheduled at 4:30 p.m. Eastern Time today, August 7, 2024. A live audio conference call will be available on Waystar's website at https://investors.waystar.com/news-events/events. The webcast will be archived on the site for those unable to listen in real-time. This earnings release and the related Current Report on Form 8-K filed August 7, 2024 can be accessed on the Investor Relations page of the company's website. We routinely post important information on our website, including corporate and investor presentations and financial information. We intend to use our website as a means of disclosing material, non-public information and for complying with our disclosure obligations under Regulation FD. Such disclosures will be included in the Investor Relations section of our website. Accordingly, investors should monitor this portion of our website, in addition to following our press releases,
Non-GAAP Financial Measures
To supplement the consolidated financial statements prepared and presented in accordance with
Adjusted EBITDA, Adjusted EBITDA margin, non-GAAP net income, non-GAAP net income per share and unlevered free cash flow are not recognized terms under GAAP and should not be considered as an alternative to net income (loss) or net income (loss) margin as measures of financial performance or cash provided by operating activities as a measure of liquidity, or any other performance measure derived in accordance with GAAP. Additionally, these measures are not intended to be a measure of free cash flow available for management's discretionary use, as they do not consider certain cash requirements such as interest payments, tax payments, and debt service requirements. The presentations of these measures have limitations as analytical tools and should not be considered in isolation, or as a substitute for analysis of our results as reported under GAAP. Because not all companies use identical calculations, the presentations of these measures may not be comparable to other similarly titled measures of other companies and can differ significantly from company to company. A reconciliation is provided below for our non-GAAP financial measures to the most directly comparable financial measure stated in accordance with GAAP. Investors are encouraged to review the related GAAP financial measures and the reconciliation of non-GAAP financial measures to their most directly comparable GAAP financial measures, and not to rely on any single financial measure to evaluate our business.
The following non-GAAP financial measures and key performance metrics are defined below:
Adjusted EBITDA and Adjusted EBITDA Margin
We define Adjusted EBITDA as net loss before interest expense, net income tax benefit, depreciation and amortization, and as further adjusted for stock-based compensation expense, acquisition and integration costs, asset and lease impairments, costs related to amended debt agreements, and IPO-related costs. Adjusted EBITDA margin represents Adjusted EBITDA as a percentage of revenue.
Non-GAAP Net Income and Non-GAAP Net Income Per Share
We define non-GAAP net income as GAAP net income excluding the impact of stock-based compensation, acquisition and integration costs, asset and lease impairments, IPO-related costs, and costs related to amended debt agreements. The tax effects of the adjustments are calculated using a management-estimated annual effective non-GAAP tax rate of
We define non-GAAP net income per share as non-GAAP net income (loss) divided by weighted-average shares used to compute net loss per share.
Unlevered Free Cash Flow
We define unlevered free cash flow as cash from operations plus cash interest expense less capital expenses.
Net Debt
We define net debt as the sum of the current portion of long-term debt, long-term debt, and accounts receivable securitization less cash and equivalents.
Adjusted Net Leverage Ratio
We define adjusted net leverage ratio as net debt divided by adjusted EBITDA over the preceding twelve months.
Key Performance Metrics
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 with the prior period-end or Prior Period Invoices. We then calculate the total amount invoiced to those same clients for the twelve months ending with the current period-end, or Current Period Invoices. Current Period Invoices are inclusive of upsell, downsell, pricing changes, clients that cancel or chose not to renew, and discontinued solutions with continuing clients. The Net Revenue Retention Rate is then calculated by dividing the Current Period Invoices by the Prior Period Invoices. Our total invoices included in the analysis are greater than
Customer Count with >
We regularly monitor and review our count of clients who generate more than
Our count of clients who generate more than
Forward-Looking Statements
This press release 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 results and financial position, including full year 2024, and future periods; anticipated future expenses and investments; our industry, business strategy, goals, and expectations concerning our market position, future operations, margins, profitability, capital expenditures, liquidity, and capital resources and other financial and operating information. Forward-looking statements include all statements that are not historical facts. These statements may include words such as "anticipate," "assume," "believe," "continue," "could," "estimate," "expect," "intend," "may," "plan," "potential," "predict," "project," "future," "will," "seek," "foreseeable," "outlook," the negative version of these words or similar terms and phrases to identify forward-looking statements in this press release, including the discussion of outlook for full fiscal year 2024.
The forward-looking statements contained in this press release are based on management's current expectations and are not guarantees of future performance. The forward-looking statements are subject to various risks, uncertainties, assumptions, or changes in circumstances that are difficult to predict or quantify. Our expectations, beliefs, and projections are expressed in good faith, and we believe there is a reasonable basis for them. However, there can be no assurance that management's expectations, beliefs, and projections will result or be achieved. The following factors are among those that may cause actual results to differ materially from the forward-looking statements: our operation in a highly competitive industry; our ability to retain our existing clients and attract new clients; our ability to successfully execute on our business strategies in order to grow; our ability to accurately assess the risks related to acquisitions and successfully integrate acquired businesses; our ability to establish and maintain strategic relationships; the growth and success of our clients and overall healthcare transaction volumes; consolidation in the healthcare industry; our selling cycle of variable length to secure new client agreements; our implementation cycle that is dependent on our clients' timing and resources; our dependence on our senior management team and certain key employees, and our ability to attract and retain highly skilled employees; the accuracy of the estimates and assumptions we use to determine the size of our total addressable market; our ability to develop and market new solutions, or enhance our existing solutions, to respond to technological changes, or evolving industry standards; the interoperability, connectivity, and integration of our solutions with our clients' and their vendors' networks and infrastructures; the performance and reliability of internet, mobile, and other infrastructure; the consequences if we cannot obtain, process, use, disclose, or distribute the highly regulated data we require to provide our solutions; our reliance on certain third-party vendors and providers; any errors or malfunctions in our products and solutions; failure by our clients to obtain proper permissions or provide us with accurate and appropriate information; the potential for embezzlement, identity theft, or other similar illegal behavior by our employees or vendors, and a failure of our employees or vendors to observe quality standards or adhere to environmental, social, and governance standards; our compliance with the applicable rules of the National Automated Clearing House Association and the applicable requirements of card networks; increases in card network fees and other changes to fee arrangements; the effect of payer and provider conduct which we cannot control; privacy concerns and security breaches or incidents relating to our platform; the complex and evolving laws and regulations regarding privacy, data protection, and cybersecurity; our ability to adequately protect and enforce our intellectual property rights; our ability to use or license data and integrate third-party technologies; our use of "open source" software; legal proceedings initiated by third parties alleging that we are infringing or otherwise violating their intellectual property rights; claims that our employees, consultants, or independent contractors have wrongfully used or disclosed confidential information of third parties; the heavily regulated industry in which we conduct business; the uncertain and evolving healthcare regulatory and political framework; healthcare laws and data privacy and security laws and regulations governing our processing of personal information; reduced revenues in response to changes to the healthcare regulatory landscape; legal, regulatory, and other proceedings that could result in adverse outcomes; consumer protection laws and regulations; contractual obligations requiring compliance with certain provisions of the Bank Secrecy Act and anti-money laundering laws and regulations; existing laws that regulate our ability to engage in certain marketing activities; our full compliance with website accessibility standards; any changes in our tax rates, the adoption of new tax legislation, or exposure to additional tax liabilities; limitations on our ability to use our net operating losses to offset future taxable income; losses due to asset impairment charges; restrictive covenants in the agreements governing our credit facilities; interest rate fluctuations; unavailability of additional capital on acceptable terms or at all; the impact of general macroeconomic conditions; actions of certain of our significant investors, who may have different interests than the interests of other holders of our securities; and each of the other factors discussed under the heading of "Risk Factors" in the Company's prospectus filed with the Securities and Exchange Commission (the "SEC") on June 7, 2024 and in other reports filed with the SEC, all of which are available on the Investor Relations page of our website at investors.waystar.com.
Any forward-looking statements made by us in this press release speak only as of the date of this press release and are expressly qualified in their entirety by the cautionary statements included in this press release. Factors or events that could cause our actual results to differ may emerge from time to time, and it is not possible for us to predict all of them. You should not place undue reliance on our forward-looking statements. We undertake no obligation to publicly update or review any forward-looking statement, whether as a result of new information, future developments, or otherwise, except as may be required by any applicable securities laws.
About Waystar
Waystar's mission-critical software is purpose-built to simplify healthcare payments so providers can prioritize patient care and optimize their financial performance. Waystar serves approximately 30,000 clients, representing over 1 million distinct providers, including 18 of 22 institutions on the
1 We have not reconciled the forward-looking Adjusted EBITDA, non-GAAP net income, and non-GAAP net income per share guidance included above to the most directly comparable GAAP measure because this cannot be done without unreasonable effort due to the variability and low visibility with respect to certain costs, the most significant of which are incentive compensation (including stock-based compensation), transaction-related expenses, and certain fair value measurements, which are potential adjustments to future earnings. We expect the variability of these items to have a potentially unpredictable, and a potentially significant, impact on our future GAAP financial results. | ||
Waystar | ||||||||||||
Condensed Consolidated Statements of Operations | ||||||||||||
(in thousands, except for share and per share data) | ||||||||||||
(unaudited) | ||||||||||||
Three months ended June 30, | Six months ended June 30, | |||||||||||
2024 | 2023 | 2024 | 2023 | |||||||||
Revenue | $ | 234,543 | $ | 195,969 | $ | 459,335 | $ | 387,052 | ||||
Operating expenses | ||||||||||||
Cost of revenue (exclusive of depreciation and | 80,451 | 60,500 | 155,643 | 119,656 | ||||||||
Sales and marketing | 45,715 | 31,413 | 79,495 | 61,377 | ||||||||
General and administrative | 39,955 | 14,478 | 66,090 | 29,159 | ||||||||
Research and development | 15,901 | 8,249 | 26,221 | 16,575 | ||||||||
Depreciation and amortization | 44,276 | 44,140 | 88,450 | 88,106 | ||||||||
Total operating expenses | 226,298 | 158,780 | 415,899 | 314,873 | ||||||||
Income from operations | 8,245 | 37,189 | 43,436 | 72,179 | ||||||||
Other expense | ||||||||||||
Interest expense | (49,195) | (49,145) | (105,007) | (96,291) | ||||||||
Related party interest expense | (1,346) | (2,001) | (2,718) | (4,355) | ||||||||
Loss before income taxes | (42,296) | (13,957) | (64,289) | (28,467) | ||||||||
Income tax benefit | (14,611) | (3,147) | (20,672) | (7,034) | ||||||||
Net loss | $ | (27,685) | $ | (10,810) | $ | (43,617) | $ | (21,433) | ||||
Net Income per share: | ||||||||||||
Basic | $ | (0.21) | $ | (0.09) | $ | (0.34) | $ | (0.18) | ||||
Diluted | $ | (0.21) | $ | (0.09) | $ | (0.34) | $ | (0.18) | ||||
Weighted-average shares outstanding: | ||||||||||||
Basic | 133,527,766 | 121,676,273 | 127,601,532 | 121,674,361 | ||||||||
Diluted | 133,527,766 | 121,676,273 | 127,601,532 | 121,674,361 | ||||||||
Waystar | |||||||||
Condensed Consolidated Balance Sheets | |||||||||
(in thousands, except for share and per share data) | |||||||||
(unaudited) | |||||||||
June 30, 2024 | December 31, 2023 | ||||||||
(Unaudited) | |||||||||
Assets | |||||||||
Current assets | |||||||||
Cash and cash equivalents | $ | 68,375 | $ | 35,580 | |||||
Restricted cash | 12,083 | 9,848 | |||||||
Accounts receivable, net of allowance of | 147,966 | 126,089 | |||||||
Income tax receivable | 11,181 | 6,811 | |||||||
Prepaid expenses | 14,758 | 13,296 | |||||||
Other current assets | 16,389 | 30,426 | |||||||
Total current assets | 270,752 | 222,050 | |||||||
Property, plant and equipment, net | 63,035 | 61,259 | |||||||
Operating lease right-of-use assets, net | 9,579 | 10,353 | |||||||
Intangible assets, net | 1,108,776 | 1,186,936 | |||||||
Goodwill | 3,030,013 | 3,030,013 | |||||||
Deferred costs | 77,177 | 65,811 | |||||||
Other long-term assets | 7,549 | 6,552 | |||||||
Total assets | $ | 4,566,881 | $ | 4,582,974 | |||||
Liabilities and stockholders' equity | |||||||||
Current liabilities | |||||||||
Accounts payable | $ | 50,747 | $ | 45,484 | |||||
Accrued compensation | 23,032 | 23,286 | |||||||
Aggregated funds payable | 11,987 | 9,659 | |||||||
Other accrued expenses | 11,298 | 10,923 | |||||||
Deferred revenue | 10,320 | 10,935 | |||||||
Current portion of long-term debt | 12,577 | 17,454 | |||||||
Related party current portion of long-term debt | 332 | 529 | |||||||
Current portion of operating lease liabilities | 4,711 | 4,398 | |||||||
Current portion of finance lease liabilities | 862 | 821 | |||||||
Total current liabilities | 125,866 | 123,489 | |||||||
Long-term liabilities | |||||||||
Deferred tax liability | 130,594 | 174,480 | |||||||
Long-term debt, net, less current portion | 1,301,208 | 2,134,920 | |||||||
Related party long-term debt, net, less current portion | 32,882 | 64,758 | |||||||
Operating lease liabilities, net of current portion | 12,327 | 14,278 | |||||||
Finance lease liabilities, net of current portion | 11,750 | 12,194 | |||||||
Deferred revenue–LT | 5,878 | 6,173 | |||||||
Other long-term liabilities | 278 | 2,750 | |||||||
Total liabilities | 1,620,783 | 2,533,042 | |||||||
Commitments and contingencies (Note 18) | |||||||||
Stockholders' equity | |||||||||
Preferred stock | — | — | |||||||
Common stock | 1,667 | 1,217 | |||||||
Additional paid-in capital | 3,178,697 | 2,234,688 | |||||||
Accumulated other comprehensive income (loss) | 11,126 | 15,802 | |||||||
Accumulated deficit | (245,392) | (201,775) | |||||||
Total stockholders' equity | 2,946,098 | 2,049,932 | |||||||
Total liabilities and stockholders' equity | $ | 4,566,881 | $ | 4,582,974 | |||||
Waystar | ||||||
Condensed Consolidated Statements of Cash Flows | ||||||
(in thousands) | ||||||
(unaudited) | ||||||
Six months ended June 30, | ||||||
2024 | 2023 | |||||
Cash flows from operating activities | ||||||
Net loss | $ | (43,617) | $ | (21,433) | ||
Adjustments to reconcile net (loss) income to net cash provided by operating | ||||||
Depreciation and amortization | 88,450 | 88,106 | ||||
Share-based compensation | 39,497 | 4,298 | ||||
Provision for bad debt expense | 1,055 | 1,097 | ||||
Loss on extinguishment of debt | 19,016 | — | ||||
Deferred income taxes | (42,377) | (26,111) | ||||
Amortization of debt discount and issuance costs | 2,646 | 5,219 | ||||
Other | (99) | — | ||||
Changes in: | ||||||
Accounts receivable | (22,932) | (392) | ||||
Income tax refundable | (4,371) | 4,351 | ||||
Prepaid expenses and other current assets | (2,319) | (2,808) | ||||
Deferred costs | (10,945) | (7,548) | ||||
Other long-term assets | (442) | (293) | ||||
Accounts payable and accrued expenses | 4,392 | 7,181 | ||||
Deferred revenue | (910) | (469) | ||||
Operating lease right-of-use assets and lease liabilities | (864) | (789) | ||||
Other long-term liabilities | — | 42 | ||||
Net cash provided by operating activities | 26,180 | 50,451 | ||||
Cash flows from investing activities | ||||||
Purchase of property and equipment and capitalization of internally developed | (12,428) | (9,482) | ||||
Net cash used in investing activities | (12,428) | (9,482) | ||||
Cash flows from financing activities | ||||||
Change in aggregated funds liability | 2,327 | 1,150 | ||||
Proceeds from equity offering, net of underwriting discounts | 914,288 | — | ||||
Payments of third-party IPO issuance costs | (1,982) | — | ||||
Repurchase of shares | (844) | (687) | ||||
Proceeds from exercise of common stock | (33) | 283 | ||||
Proceeds from issuances of debt, net of creditor fees | 535,209 | — | ||||
Payments on debt | (1,425,874) | (8,991) | ||||
Third-party fees paid in connection with issuance of new debt | (1,410) | — | ||||
Finance lease liabilities paid | (403) | (411) | ||||
Net cash provided by (used in) financing activities | 21,278 | (8,656) | ||||
Increase in cash and cash equivalents during the period | 35,030 | 32,313 | ||||
Cash and cash equivalents and restricted cash–beginning of period | 45,428 | 72,636 | ||||
Cash and cash equivalents and restricted cash–end of period | $ | 80,458 | $ | 104,949 | ||
Supplemental disclosures of cash flow information | ||||||
Interest paid | $ | 82,264 | $ | 94,648 | ||
Cash taxes paid (refunds received), net | 26,141 | 5,559 | ||||
Non-cash investing and financing activities | ||||||
Fixed asset purchases in accounts payable | 363 | 420 | ||||
Unpaid third-party IPO issuance costs | 1,354 | — | ||||
Reconciliation of Balance Sheet Cash Accounts to Cash Flow Statement | ||||||
Balance sheet | ||||||
Cash and cash equivalents | 68,375 | 95,738 | ||||
Restricted cash | 12,083 | 9,211 | ||||
Total | 80,458 | 104,949 | ||||
Waystar | ||||||||
Reconciliation of Adjusted EBITDA | ||||||||
(in thousands) | ||||||||
(unaudited) | ||||||||
Three months ended | ||||||||
2024 | 2023 | |||||||
Net Loss | $ | (27,685) | $ | (10,810) | ||||
Interest expense | 50,541 | 51,146 | ||||||
Income tax benefit | (14,611) | (3,147) | ||||||
Depreciation and amortization | 44,276 | 44,140 | ||||||
Stock-based compensation expense | 36,969 | 2,148 | ||||||
Acquisition and integration costs | 206 | 278 | ||||||
Costs related to amended debt agreements | 2,368 | - | ||||||
IPO-related costs | 1,841 | 3 | ||||||
Adjusted EBITDA | $ | 93,905 | $ | 83,758 | ||||
Revenue | 234,543 | 195,969 | ||||||
Net loss margin | (11.8) | % | (5.5) | % | ||||
Adjusted EBITDA margin | 40.0 | % | 42.7 | % | ||||
Waystar | ||||||||
Reconciliation of Non-GAAP Operating Expenses | ||||||||
(in thousands) | ||||||||
(unaudited) | ||||||||
Three months ended | ||||||||
2024 | 2023 | |||||||
Cost of revenue (exclusive of depreciation and amortization expenses) | $ | 80,451 | $ | 60,500 | ||||
Less: | ||||||||
Stock-based compensation expense | (1,739) | (130) | ||||||
Acquisition and integration costs | - | - | ||||||
IPO-related costs | (5) | - | ||||||
Cost of revenue (exclusive of depreciation and amortization | $ | 78,707 | $ | 60,370 | ||||
Sales and marketing | $ | 45,715 | $ | 31,413 | ||||
Less: | ||||||||
Stock-based compensation expense | (8,892) | (452) | ||||||
Acquisition and integration costs | - | (1) | ||||||
IPO-related costs | (235) | - | ||||||
Sales and marketing, adjusted | $ | 36,588 | $ | 30,960 | ||||
General and administrative | $ | 39,955 | $ | 14,478 | ||||
Less: | ||||||||
Stock-based compensation expense | (20,672) | (1,264) | ||||||
Acquisition and integration costs | (103) | (152) | ||||||
Costs related to amended debt agreements | (2,368) | - | ||||||
IPO-related costs | (1,592) | (3) | ||||||
General and administrative, adjusted | $ | 15,220 | $ | 13,059 | ||||
Research and development | $ | 15,901 | $ | 8,249 | ||||
Less: | ||||||||
Stock-based compensation expense | (5,666) | (302) | ||||||
Acquisition and integration costs | (103) | (125) | ||||||
IPO-related costs | (9) | - | ||||||
Research and development, adjusted | $ | 10,123 | $ | 7,822 | ||||
Income tax benefit | $ | (14,611) | $ | (3,147) | ||||
Tax effect of adjustments | 8,691 | 510 | ||||||
Income tax benefit, adjusted | $ | (5,920) | $ | (2,637) | ||||
Waystar | ||||||||
Reconciliation of Non-GAAP Net Income | ||||||||
(in thousands, except share and per share amounts) | ||||||||
(unaudited) | ||||||||
Three months ended | ||||||||
2024 | 2023 | |||||||
Net Loss | $ | (27,685) | $ | (10,810) | ||||
Stock-based compensation expense | 36,969 | 2,148 | ||||||
Acquisition and integration costs | 206 | 278 | ||||||
Costs related to amended debt agreements | 2,368 | - | ||||||
IPO-related costs | 1,841 | 3 | ||||||
Tax effect of adjustments | (8,691) | (510) | ||||||
Non-GAAP net income/(loss) | $ | 5,008 | $ | (8,891) | ||||
Non-GAAP net income/(loss) per share, basic | 0.04 | (0.07) | ||||||
Non-GAAP net income/(loss) per share, diluted | 0.04 | (0.07) | ||||||
Weighted-average shares used in computing basic non-GAAP net income | 133,527,766 | 121,676,273 | ||||||
Weighted-average shares used in computing diluted non-GAAP net | 137,294,656 | 121,676,273 | ||||||
Waystar | ||||||||
Reconciliation of Unlevered Free Cash Flow | ||||||||
(in thousands) | ||||||||
(unaudited) | ||||||||
Three months ended | ||||||||
2024 | 2023 | |||||||
Net cash provided by operating activities | $ | 15,450 | $ | 33,593 | ||||
Interest paid | 41,751 | 47,910 | ||||||
Purchase of property and equipment and capitalization of internally developed software costs | (6,868) | (4,712) | ||||||
Unlevered free cash flow | $ | 50,333 | $ | 76,791 | ||||
Waystar | ||||||||
Reconciliation of Net Debt | ||||||||
(in thousands) | ||||||||
(unaudited) | ||||||||
June 30, | June 30, | |||||||
First lien term loan facility outstanding debt, current | $ | 12,909 | $ | 17,983 | ||||
First lien term loan facility outstanding debt, net of current portion | 1,277,991 | 2,189,824 | ||||||
Receivables facility outstanding debt | 70,000 | 50,000 | ||||||
Cash and cash equivalents | (68,375) | (95,738) | ||||||
Net debt | $ | 1,292,525 | $ | 2,162,069 | ||||
Trailing twelve months adjusted EBITDA | $ | 353,900 | $ | 318,380 | ||||
Adjusted gross leverage ratio | 3.8x | 7.1x | ||||||
Adjusted net leverage ratio | 3.7x | 6.8x | ||||||
Media Contact
Kristin Lee
kristin.lee@waystar.com
Investor Contact
Sandy Draper
investors@waystar.com
502-238-9511
View original content:https://www.prnewswire.com/news-releases/waystar-reports-second-quarter-2024-results-302217060.html
SOURCE Waystar
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