Revenue: As of FY2026 Q2, the actual value is USD 83.73 M, beating the estimate of USD 80.83 M.

EPS: As of FY2026 Q2, the actual value is USD 0.23.

EBIT: As of FY2026 Q2, the actual value is USD 7.871 M.

Second Quarter 2026 Financial Highlights

Revenue

HealthStream, Inc. reported revenues of $83.7 million for the second quarter of 2026, an increase of 12.5% from $74.4 million in the second quarter of 2025, setting a new company record for quarterly revenue. Subscription revenues grew by $8.0 million, or 11.2%, and professional services revenues increased by $1.3 million compared to the second quarter of 2025. This growth was positively impacted by $3.1 million from acquisitions completed in the fourth quarter of 2025 and $6.2 million from growth in the existing solution portfolio, which included $2.0 million from the resolution of previously constrained estimates of variable consideration under a customer contract.

Operating Income

Operating income for the second quarter of 2026 was $8.3 million, a 41.4% increase from $5.9 million in the same period of 2025.

Net Income

Net income reached $6.7 million in the second quarter of 2026, up 23.8% from $5.4 million in the second quarter of 2025.

Adjusted EBITDA

Adjusted EBITDA was $20.6 million for the second quarter of 2026, an increase of 16.9% from $17.6 million in the second quarter of 2025.

Operating Costs and Expenses (Three Months Ended June 30)

• Cost of revenues (excluding depreciation and amortization): $29,015 thousand in 2026 compared to $26,364 thousand in 2025.
• Product development: $13,581 thousand in 2026 compared to $12,073 thousand in 2025.
• Sales and marketing: $13,503 thousand in 2026 compared to $11,808 thousand in 2025.
• General and administrative: $8,037 thousand in 2026 compared to $7,398 thousand in 2025.
• Depreciation and amortization: $11,275 thousand in 2026 compared to $10,867 thousand in 2025.
• Total operating costs and expenses: $75,411 thousand in 2026 compared to $68,510 thousand in 2025.

Cash and Capital Position

As of June 30, 2026, HealthStream, Inc. had cash, cash equivalents, and marketable securities totaling $66.7 million, with no outstanding indebtedness from borrowed money. Capital expenditures during the second quarter of 2026 were $8.5 million.

Dividends and Share Repurchases

HealthStream, Inc.’s Board of Directors declared a quarterly cash dividend of $0.035 per share, payable on August 28, 2026. During the second quarter of 2026, the company repurchased 90,131 shares of common stock for an aggregate fair value of $1.8 million under its new share repurchase program.

Year-to-Date 2026 Financial Highlights

Revenue (Six Months Ended June 30)

Revenues for the first six months of 2026 were $164.9 million, an 11.5% increase over $147.9 million for the first six months of 2025.

Operating Income (Six Months Ended June 30)

Operating income for the first six months of 2026 increased by 54.2% to $15.8 million, compared to $10.3 million for the first six months of 2025.

Net Income (Six Months Ended June 30)

Net income for the first six months of 2026 increased to $12.6 million, compared to $9.7 million for the first six months of 2025.

Adjusted EBITDA (Six Months Ended June 30)

Adjusted EBITDA increased by 20.4% to $40.7 million for the first six months of 2026, compared to $33.8 million for the first six months of 2025.

Operating Costs and Expenses (Six Months Ended June 30)

• Cost of revenues (excluding depreciation and amortization): $56,774 thousand in 2026 compared to $51,851 thousand in 2025.
• Product development: $27,187 thousand in 2026 compared to $24,121 thousand in 2025.
• Sales and marketing: $26,463 thousand in 2026 compared to $23,958 thousand in 2025.
• General and administrative: $16,039 thousand in 2026 compared to $16,066 thousand in 2025.
• Depreciation and amortization: $22,640 thousand in 2026 compared to $21,621 thousand in 2025.
• Total operating costs and expenses: $149,103 thousand in 2026 compared to $137,617 thousand in 2025.

Cash Flow (Six Months Ended June 30)

• Net cash provided by operating activities: $40,567 thousand in 2026 compared to $32,097 thousand in 2025.
• Net cash used in investing activities: - $18,206 thousand in 2026 compared to - $18,399 thousand in 2025.
• Net cash used in financing activities: - $12,344 thousand in 2026 compared to - $21,086 thousand in 2025.
• Cash and cash equivalents at end of period: $46,169 thousand in 2026 compared to $52,102 thousand in 2025.

Share Repurchases (Year-to-Date)

In the first six months of 2026, HealthStream, Inc. repurchased 432,476 shares of common stock for an aggregate fair value of $9.3 million, at an average purchase price of $21.50 per share.

Financial Outlook for 2026

HealthStream, Inc. updated its full-year 2026 guidance, expecting revenues between $327.0 million and $332.0 million, and Adjusted EBITDA between $74.0 million and $78.0 million. Net income is projected to be between $19.5 million and $22.2 million, with capital expenditures estimated between $31.0 million and $34.0 million.