Waystar Reports Fourth Quarter and Fiscal Year 2025 Results, Provides 2026 Guidance

Q4 revenue of $304M, up 24% YoY

Q4 net income of $20.0M and non-GAAP net income of $70.7M

Q4 net income margin of 7%; adjusted EBITDA margin of 43%

FY 2025 revenue of $1,099M, up 17% YoY

FY net income of $112.1M and non-GAAP net income of $262.9M

FY net income margin of 10%; adjusted EBITDA margin of 42%

LEHI, Utah and LOUISVILLE, Ky., Feb. 17, 2026 /PRNewswire/ -- Waystar Holding Corp. (Nasdaq: WAY), a provider of leading healthcare payment software, today reported results for the fourth quarter and full year ended December 31, 2025.

"Waystar is delivering strong growth and momentum—driving record bookings, integrating the Iodine acquisition ahead of plan, and accelerating AI-powered innovation across our platform," said Matt Hawkins, Chief Executive Officer of Waystar. "We are leading healthcare's AI transformation by advancing the autonomous revenue cycle, leveraging unmatched proprietary data and deep domain expertise to deliver meaningful outcomes for providers. Our 2026 guidance reflects a robust pipeline, accelerating demand for an end-to-end AI-powered platform, and disciplined execution to sustain durable, profitable growth."

Fourth Quarter 2025 Financial Highlights

Fiscal Year 2025 Financial Highlights

Key Performance Metrics and Revenue Disaggregation

Financial Outlook

As of February 17, 2026, Waystar provides the following guidance for its full fiscal year 2026. 1

Webcast Information

Waystar's financial results will be discussed on a conference call scheduled at 8:30 a.m. Eastern Standard Time today, February 17, 2026. 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 February 17, 2026, are available 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, U.S. Securities and Exchange Commission ("SEC") filings, and public conference calls and webcasts.

Non-GAAP Financial Measures

To supplement the consolidated financial statements prepared and presented in accordance with U.S. generally accepted accounting principles ("GAAP"), this press release contains certain non-GAAP financial measures as defined below. We present non-GAAP financial measures as supplemental measures of financial performance that are not required by, or presented in accordance with, GAAP. We believe they assist investors and analysts in comparing our operating performance across reporting periods on a consistent basis by excluding items that we do not believe are indicative of our core operating performance. Management believes these non-GAAP financial measures are useful to investors in highlighting trends in our operating performance, while other measures can differ significantly depending on long-term strategic decisions regarding capital structure, the tax jurisdictions in which we operate, and capital investments. Management uses adjusted EBITDA and adjusted EBITDA margin to supplement GAAP measures of performance in the evaluation of the effectiveness of our business strategies, to make budgeting decisions, to establish discretionary annual incentive compensation, and to compare our performance against that of other peer companies using similar measures. Management supplements GAAP results with non-GAAP financial measures to provide a more complete understanding of the factors and trends affecting the business than GAAP results alone provide.

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 income / (loss) before interest expense, net, income tax expense / (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 and secondary offering costs. Adjusted EBITDA margin represents adjusted EBITDA as a percentage of revenue.

Non-GAAP Net Income / (loss) and Non-GAAP Net Income / (loss) Per Share

We define non-GAAP net income as GAAP net income / (loss) excluding the impact of stock-based compensation, acquisition and integration costs, asset and lease impairments, costs related to our IPO, and the Secondary Offerings, and costs related to amended debt agreements and amortization of intangibles. The tax effects of the adjustments are calculated using a management estimated annual effective non-GAAP tax rate of 21%, which is based on our statutory federal tax rate and provides consistency across interim reporting periods by eliminating the effects of non-recurring and period specific items. Due to the differences in the tax treatment of items excluded from non-GAAP net income, our estimate tax rate on non-GAAP net income may differ from our GAAP tax rate. Non-GAAP net income per share is shown on both a basic and diluted basis and is defined as non-GAAP net income divided by the basic or diluted weighted-average shares, respectively.

Unlevered Free Cash Flow

We define unlevered free cash flow as cash from operations plus cash interest paid 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 and investment securities.

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 98% of reported revenue. We use Net Revenue Retention Rate to evaluate our ongoing operations and for internal planning and forecasting purposes. Acquired businesses are included in the last-twelve-month Net Revenue Retention Rate in the ninth quarter after acquisition, which is the earliest point that comparable post-acquisition invoices are available for both the current and prior twelve-month period.

Customer Count with >$100,000 of Revenue

We regularly monitor and review our count of clients who generate more than $100,000 of revenue.

Our count of clients who generate more than $100,000 of revenue is based on an accumulation of the amounts invoiced to clients over the preceding twelve months. The invoices for acquired clients are included starting in the first full calendar quarter after the date of acquisition.

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 2026, and future periods; the performance of our new product offerings; our industry and market opportunities, business strategy, goals, and expectations concerning our market position, future operations, margins and 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 2026.

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, including the acquisition of Iodine; 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 or data (including personal information and other regulated data); 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; the development, deployment, and use of AI; 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; health care laws and data privacy and security laws and regulations governing our Processing of personal information (which may also be referred to as "personal data" or "personally identifiable information"); reduced revenues in response to changes to the healthcare regulatory landscape; legal, regulatory, and other proceedings that could result in adverse outcomes; contractual obligations requiring compliance with certain provisions of the Bank Secrecy Act/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; our substantial debt and 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; our history of net losses and our ability to achieve or maintain profitability; the interests of the certain investors may be different than the interests of other holders of our securities; and; and each of the other factors discussed under the heading of "Risk Factors" in the Company's 10K filed with the Securities and Exchange Commission (the "SEC") on February 17, 2026, 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 16 of 20 institutions on the U.S. News Best Hospitals list. Waystar's enterprise-grade platform annually processes over 7.5 billion healthcare payment transactions, including over $2.4 trillion in annual gross claims and spanning approximately 60% of U.S. patients. Waystar strives to transform healthcare payments so providers can focus on what matters most: their patients and communities. Discover the way forward at waystar.com.

________________________

1We 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 Holding Corp.

Unaudited Consolidated Statements of Operations

(in thousands, except for share and per share data)

Three months ended

December 31,

Twelve months ended

December 31,

2025

2024

2025

2024

Revenue

303,538

244,102

1,099,278

943,549

Operating expenses

Cost of revenue (exclusive of depreciation and amortization expenses)

92,637

79,542

348,162

315,730

Sales and marketing

49,212

38,990

178,017

156,935

General and administrative

43,709

22,959

128,623

111,753

Research and development

18,520

11,472

54,623

48,775

Depreciation and amortization

40,442

37,996

140,548

186,631

Total operating expenses

244,520

190,959

849,973

819,824

Income from operations

59,018

53,143

249,305

123,725

Other expense

Interest expense

(21,868)

(19,003)

(74,063)

(141,762)

Related party interest expense

(1,004)

(1,083)

(3,479)

(4,508)

Income/(loss) before income taxes

36,146

33,057

171,763

(22,545)

Income tax expense/(benefit)

16,158

13,978

59,674

(3,420)

Net income/(loss)

19,988

19,079

112,089

(19,125)

Net income/(loss) per share:

Basic

0.10

0.11

0.63

(0.13)

Diluted

0.10

0.11

0.61

(0.13)

Weighted-average shares outstanding:

Basic

191,394,748

172,526,776

177,926,745

149,915,839

Diluted

197,336,164

179,112,559

184,783,285

149,915,839

Waystar Holding Corp.

Consolidated Balance Sheets

(in thousands, except for share and per share data)

December 31,

2025

December 31,

2024

Assets

Current assets

Cash and cash equivalents

$ 61,355

$ 182,133

Restricted cash

15,454

22,449

Investment securities

24,877

—

Accounts receivable, net of allowance of $6,170 at December 31, 2025

and $5,885 at December 31, 2024

177,037

145,235

Income tax receivable

6,437

2,838

Prepaid expenses

20,078

14,414

Other current assets

3,174

3,972

Total current assets

308,412

371,041

Property, plant and equipment, net

51,649

46,731

Operating lease right-of-use assets, net

12,972

10,820

Intangible assets, net

1,292,839

1,039,049

Goodwill

4,016,818

3,019,999

Deferred costs

93,951

82,815

Other long-term assets

8,459

6,549

Total assets

$ 5,785,100

$ 4,577,004

Liabilities and stockholders' equity

Current liabilities

Accounts payable

$ 50,949

$ 47,365

Accrued compensation

40,942

31,589

Aggregated funds payable

15,104

22,059

Other accrued expenses

22,990

15,930

Deferred revenue

67,855

10,527

Current portion of long-term debt

13,537

11,311

Related party current portion of long-term debt

657

357

Current portion of operating lease liabilities

6,029

5,591

Current portion of finance lease liabilities

—

904

Total current liabilities

218,063

145,633

Long-term liabilities

Deferred tax liability

211,320

100,523

Long-term debt, net, less current portion

1,394,523

1,185,411

Related party long-term debt, net, less current portion

64,186

35,211

Operating lease liabilities, net of current portion

11,994

13,133

Finance lease liabilities, net of current portion

—

11,290

Deferred revenue - long-term

5,496

5,739

Other long-term liabilities

692

278

Total liabilities

1,906,274

1,497,218

Commitments and contingencies (Note 19)

Stockholders' equity

Preferred stock $0.01 par value - 100,000,000 shares authorized as of

December 31, 2025 and December 31, 2024, respectively; zero shares issued or

outstanding as of December 31, 2025 and December 31, 2024, respectively

—

Common stock $0.01 par value - 2,500,000,000 shares authorized at

December 31, 2025 and December 31, 2024, respectively; 191,587,193 and

172,108,240 shares issued and outstanding at December 31, 2025 and

December 31, 2024, respectively

1,916

1,722

Additional paid-in capital

3,986,353

3,298,083

Accumulated other comprehensive income (loss)

(632)

881

Accumulated deficit

(108,811)

(220,900)

Total stockholders' equity

3,878,826

3,079,786

Total liabilities and stockholders' equity

$ 5,785,100

$ 4,577,004

Waystar

Consolidated Statements of Cash Flows

(in thousands)

Year ended December 31,

2025

2024

Cash flows from operating activities

Net income/(loss)

$ 112,089

$ (19,125)

Adjustments to reconcile net income/(loss) to net cash provided by operating

activities

Depreciation and amortization

140,548

186,631

Stock-based compensation

42,069

54,437

Provision for bad debt expense

3,320

2,669

Loss on extinguishment of debt

821

20,611

Loss on lease termination

838

—

Deferred income taxes

45,222

(59,135)

Amortization of debt discount and issuance costs

2,697

3,946

Other

154

(99)

Changes in:

Accounts receivable

(7,324)

(21,816)

Income tax refundable

(16,993)

3,973

Prepaid expenses and other current assets

(1,947)

(2,322)

Deferred costs

(10,866)

(16,497)

Other long-term assets

(2,376)

(472)

Accounts payable and accrued expenses

8,932

18,228

Deferred revenue

(4,658)

(842)

Operating lease right-of-use assets and lease liabilities

(2,853)

(419)

Net cash provided by operating activities

309,673

169,768

Cash flows from investing activities

Purchase of property and equipment and capitalization of internally developed

software costs

(26,481)

(27,268)

Acquisitions, net of cash and cash equivalents acquired

(629,535)

—

Purchase of investment securities

(231,324)

—

Proceeds from sale of investment securities

206,444

—

Net cash used in investing activities

(680,896)

(27,268)

Cash flows from financing activities

Change in aggregated funds liability

(6,955)

12,399

Proceeds from equity offering, net of underwriting discounts

—

1,017,074

Payments of third-party IPO issuance costs

—

(3,407)

Repurchase of shares

—

(844)

Proceeds from issuance of common stock from employee equity plans

25,779

1,683

Proceeds from issuances of debt, net of creditor fees

390,140

576,060

Payments on debt

(152,440)

(1,584,080)

Third-party fees paid in connection with issuance of new debt

(42)

(1,410)

Finance lease liabilities paid

(13,032)

(821)

Net cash provided by (used in) financing activities

243,450

16,654

Increase/(decrease) in cash and cash equivalents during the period

(127,773)

159,154

Cash and cash equivalents and restricted cash–beginning of period

204,582

45,428

Cash and cash equivalents and restricted cash–end of period

$ 76,809

$ 204,582

Supplemental disclosures of cash flow information

Interest paid

$ 81,666

$ 122,771

Cash taxes paid (refunds received), net

32,418

51,100

Non-cash investing and financing activities

Fixed asset purchases in accounts payable

280

283

Unpaid third-party IPO issuance costs

—

Common stock issued in connection to acquisitions (see Note 7)

620,835

—

Reconciliation of Balance Sheet Cash Accounts to Cash Flow Statement

Balance sheet

Cash and cash equivalents

61,355

182,133

Restricted cash

15,454

22,449

Total

76,809

204,582

Waystar

Reconciliation of Adjusted EBITDA

(in thousands)

(unaudited)

Three months ended

December 31,

Twelve months ended

December 31,

($ in thousands)

2025

2024

2025

2024

Net income/(loss)

$ 19,988

$ 19,079

$ 112,089

$ (19,125)

Interest expense

22,872

20,086

77,542

146,270

Income tax expense/(benefit)

16,158

13,978

59,674

(3,420)

Depreciation and amortization

40,442

37,996

140,548

186,631

Stock-based compensation expense

12,198

7,037

42,069

54,437

Acquisition and integration costs

14,877

163

21,074

859

Costs related to amended debt agreements

1,931

1,262

2,580

14,138

IPO related and Secondary Offering expenses

4,657

2,140

Other (a)

593

526

1,913

1,566

Adjusted EBITDA

$ 129,145

$ 100,153

$ 462,146

$ 383,496

Revenue

$ 303,538

$ 244,102

$ 1,099,278

$ 943,549

Net income/(loss) margin

6.6 %

7.8 %

10.2 %

(2.0) %

Adjusted EBITDA margin

42.5 %

41.0 %

42.0 %

40.6 %

(a)

Adjustments relate to additional lease costs due to the relocation of our Louisville office totaling $0.6 million and $1.3 million, respectively, and executive severance totaling $0.0 million and $0.6 million, respectively, for the three and twelve months ended December 31, 2025. For the three and twelve months ended December 31, 2024, adjustments relate to additional lease costs due to the relocation of our Louisville office.

Waystar

Reconciliation of Non-GAAP Operating Expenses

(in thousands)

(unaudited)

Three months ended

December 31,

Twelve months ended

December 31,

2025

2024

2025

2024

Cost of revenue (exclusive of depreciation and amortization expenses)

92,637

79,542

348,162

315,730

Less Stock-based compensation expense

(450)

(242)

(1,514)

(2,403)

Less Acquisition and integration costs

(1,771)

(1,774)

(31)

Less IPO and Secondary Offering expenses

(9)

Less Other (a)

(33)

Cost of revenue (exclusive of depreciation and amortization expenses), adjusted

90,416

79,267

344,874

313,254

Sales and marketing

49,212

38,990

178,017

156,935

Less Stock-based compensation expense

(2,364)

(1,482)

(8,562)

(12,440)

Less Acquisition and integration costs

(1,131)

(1,210)

Less IPO and Secondary Offering expenses

(7)

(148)

Sales and marketing, adjusted

45,717

37,501

168,245

144,347

General and administrative

43,709

22,959

128,623

111,753

Less Stock-based compensation expense

(7,260)

(4,245)

(25,678)

(31,288)

Less Acquisition and integration costs

(11,338)

(157)

(17,116)

(429)

Less Costs related to amended debt agreements

(1,931)

(1,262)

(2,580)

(14,138)

Less IPO and Secondary Offering expenses

(86)

(19)

(4,657)

(1,975)

Less Other (a)

(593)

(493)

(1,913)

(1,533)

General and administrative, adjusted

22,501

16,783

76,679

62,390

Research and development

18,520

11,472

54,623

48,775

Less Stock-based compensation expense

(2,124)

(1,068)

(6,315)

(8,306)

Less Acquisition and integration costs

(637)

(6)

(974)

(399)

Less IPO and Secondary Offering expenses

(8)

Research and development, adjusted

15,759

10,398

47,334

40,062

Depreciation and amortization

40,442

37,996

140,548

186,631

Less Other (a)

(2,103)

(17,879)

Less Intangible amortization

(34,528)

(30,647)

(118,609)

(147,887)

Depreciation and amortization, adjusted

5,914

5,246

21,939

20,865

Income tax expense/(benefit)

16,158

13,978

59,674

(3,420)

Plus Tax effect of adjustments

13,485

8,770

40,089

50,170

Income tax expense/(benefit), adjusted

29,643

22,748

99,763

46,750

(a)

Waystar

Reconciliation of Non-GAAP Net Income

(in thousands, except share and per share amounts)

(unaudited)

Three months ended

December 31,

Twelve months ended

December 31,

($ in thousands)

2025

2024

2025

2024

Net income/(loss)

$ 19,988

$ 19,079

$ 112,089

$ (19,125)

Stock based compensation

12,198

7,037

42,069

54,437

Acquisition and integration costs

14,877

163

21,074

859

Costs related to amended debt agreements

1,931

1,262

2,580

14,138

IPO and Secondary Offering expenses

4,657

2,140

Other (a)

593

2,629

1,913

19,445

Intangible amortization

34,528

30,647

118,609

147,887

Tax effect of adjustments

(13,485)

(8,770)

(40,089)

(50,170)

Non-GAAP net income/(loss)

$ 70,716

$ 52,073

$ 262,902

$ 169,611

Non-GAAP net income/(loss) per share:

Basic

$ 0.37

$ 0.30

$ 1.48

$ 1.13

Diluted

$ 0.36

$ 0.29

$ 1.42

$ 1.09

Weighted-average shares outstanding:

Basic

191,394,748

172,526,776

177,926,745

149,915,839

Diluted

197,336,164

179,112,559

184,783,285

155,677,094

(a)

Waystar

Reconciliation of Unlevered Free Cash Flow

(in thousands)

(unaudited)

Three months ended

December 31,

Twelve months ended

December 31,

2025

2024

2025

2024

Net cash provided by operating activities

66,631

64,770

309,673

169,768

Interest paid

22,363

21,582

81,666

122,771

Purchase of PP&E and capitalization of internally developed software costs

(9,411)

(6,224)

(26,481)

(27,268)

Unlevered free cash flow

79,583

80,128

364,858

265,271

Waystar

Reconciliation of Net Debt

(in thousands)

(unaudited)

December 31,

2025

2024

First lien term loan facility outstanding debt, current

14,194

11,668

First lien term loan facility outstanding debt, net of current portion

1,387,052

1,151,878

Receivables facility outstanding debt

80,000

Cash and cash equivalents

(61,355)

(182,133)

Investment securities

(24,877)

Net debt

1,395,014

1,061,413

Trailing Twelve Months Adjusted EBITDA

462,146

383,496

Adjusted Gross leverage ratio

3.2x

Adjusted Net leverage ratio

3.0x

2.8x

Waystar

Reconciliation of Trailing Twelve Months (TTM) Adjusted EBITDA

(in thousands)

(unaudited)

Three Months Ended

TTM

December 31,

2025

September 30,

2025

June 30,

2025

March 31,

2025

December 31,

2025

Net income/(loss)

19,988

30,648

32,184

29,269

112,089

Interest expense

22,872

17,515

18,255

18,900

77,542

Income tax expense/(benefit)

16,158

12,069

14,407

17,040

59,674

Depreciation and amortization

40,442

33,300

33,426

33,380

140,548

Stock-based compensation expense

12,198

11,597

11,530

6,744

42,069

Acquisition and integration costs

14,877

5,313

655

229

21,074

Costs related to amended debt agreements

1,931

649

2,580

IPO and Secondary Offering expenses

1,372

1,769

1,430

4,657

Other (a)

593

240

326

754

1,913

Adjusted EBITDA

129,145

112,703

112,552

107,746

462,146

(a)

Adjustments relate to additional lease costs due to the relocation of our Louisville office of $1.3 million, and executive severance $0.6 million, for the twelve months ended December 31, 2025.

Media Contact

Kristin Lee

[email protected]

Investor Contact

[email protected]

SOURCE Waystar