HSTM
$19.71
Healthstream
$1.03
5.51%
Earnings Details
3rd Quarter September 2020
Monday, October 26, 2020 4:30:00 PM
Tweet Share Watch
Summary

Healthstream (HSTM) Recent Earnings

Healthstream (HSTM) reported 3rd Quarter September 2020 earnings of $0.08 per share on revenue of $60.9 million. The consensus earnings estimate was $0.04 per share on revenue of $59.1 million. Revenue fell 2.5% compared to the same quarter a year ago.

HealthStream Inc provides SaaS-based workforce development solutions and research/patient experience solutions for healthcare organizations. It provides HealthStream Workforce Development Solutions & HealthStream Research/Patient Experience Solutions.

Results
Reported Earnings
$0.08
Earnings Whisper
-
Consensus Estimate
$0.04
Reported Revenue
$60.9 Mil
Revenue Estimate
$59.1 Mil
Growth
Earnings Growth
Revenue Growth
Power Rating
Grade
Earnings Release

HealthStream Announces Third Quarter 2020 Results

NASHVILLE, Tenn.--(BUSINESS WIRE)--HealthStream, Inc. (Nasdaq: HSTM), a leading provider of workforce and provider solutions for the healthcare industry, announced today results for the third quarter ended September 30, 2020. In this earnings release, results for the three and nine months ended September 30, 2020 are presented for continuing operations only, as our results for the three and nine months ended September 30, 2019 reflect a gain on the sale of our previously divested Patient Experience business included in discontinued operations.

Third Quarter 2020

  • Revenues of $60.9 million in the third quarter of 2020, down 3% from $62.5 million in the third quarter of 2019.
  • Operating income of $3.1 million in the third quarter of 2020, down 16% from $3.7 million in the third quarter of 2019.
  • Income from continuing operations of $2.6 million in the third quarter of 2020, down 24% from $3.5 million in the third quarter of 2019.
  • Earnings per share (EPS) from continuing operations of $0.08 per share (diluted) in the third quarter of 2020 down from $0.11 per share (diluted) in the third quarter of 2019.
  • Adjusted EBITDA1 from continuing operations of $11.1 million in the third quarter of 2020, down 3% from $11.5 million in the third quarter of 2019.

Fourth Quarter 2020 Event

  • On October 12, 2020, we acquired ShiftWizard, Inc., which provides a SaaS-based solution that integrates key workforce management capabilities, including scheduling, productivity, and forecasting.

Financial Results:
Third Quarter 2020 Compared to Third Quarter 2019
Revenues for the third quarter of 2020 decreased by $1.6 million, or 3 percent, to $60.9 million, compared to $62.5 million for the third quarter of 2019.

Revenues from our Workforce Solutions segment were $49.2 million for the third quarter of 2020, compared to $51.0 million for the third quarter of 2019. The decrease in revenues from legacy resuscitation products drove this decline, as such products were $9.7 million in the third quarter of 2020 compared to $13.4 million in the third quarter of 2019, a decrease of $3.7 million. Other workforce revenues increased by $1.9 million, or five percent, and included growth in platform and content subscriptions of $2.6 million, or 7 percent, offset by a decline in professional services revenues of $0.7 million, or 43 percent.

 

1 Adjusted EBITDA from continuing operations is a non-GAAP financial measure. A reconciliation of adjusted EBITDA from continuing operations to income from continuing operations and disclosure regarding why we believe adjusted EBITDA from continuing operations provides useful information to investors is included later in this release.

Revenues from our Provider Solutions segment were $11.7 million for the third quarter of 2020, compared to $11.4 million for the third quarter of 2019. Revenue growth of $0.3 million was primarily attributable to revenues from the CredentialMyDoc acquisition, which was completed in December 2019.

Operating income was $3.1 million for the third quarter of 2020 compared to $3.7 million from the third quarter of 2019. The reduction in operating income resulted primarily from higher product development expense, due diligence costs, and higher amortization associated with increased capitalized software and additions to acquired intangibles. In addition, results for the third quarter of 2020 included a $1.9 million compensation charge for a supplemental payroll payment to our employees (excluding executive officers) to offset the impact of 2020 salary increases that were foregone as a result of the earlier expense management measures as well as an increase to the 401k match for all of our employees by one percent, both of which reward employees for their numerous contributions during these unprecedented times. Partially offsetting these expense increases was a reduction in employee travel of $1.2 million as a result of the COVID-19 pandemic.

Income from continuing operations was $2.6 million in the third quarter of 2020, down 24 percent from $3.5 million in the third quarter of 2019, and EPS from continuing operations was $0.08 per share (diluted) in the third quarter of 2020, compared to $0.11 per share (diluted) for the third quarter of 2019.

Adjusted EBITDA from continuing operations was $11.1 million for the third quarter of 2020, down 3 percent from $11.5 million in the third quarter of 2019.

At September 30, 2020, the Company had cash and cash equivalents and marketable securities of $149.7 million. Capital expenditures incurred during the third quarter of 2020 were $5.2 million.

Year-to-Date 2020 Compared to Year-to-Date 2019
For the first nine months of 2020, revenues were $183.0 million, a decrease of 4 percent over revenues of $191.4 million for the first nine months of 2019. Operating income for the first nine months of 2020 increased by 29 percent to $14.7 million, compared to $11.4 million for the first nine months of 2019. Income from continuing operations for the first nine months of 2020 was $13.2 million, up 24 percent from $10.6 million for the first nine months of 2019. Earnings per share from continuing operations were $0.41 per share (diluted) for the first nine months of 2020, compared to $0.33 per share (diluted) for the first nine months of 2019. Net income for the first nine months of 2020 increased to $13.2 million, compared to $12.1 million for the first nine months of 2019. Earnings per share were $0.41 per share (diluted) for the first nine months of 2020, compared to $0.37 per share (diluted) for the first nine months of 2019. Adjusted EBITDA from continuing operations decreased by 2 percent to $34.9 million for the first nine months of 2020, compared to $35.7 million for the first nine months of 2019. Adjusted EBITDA (from continuing and discontinued operations) decreased to $34.9 million for the first nine months of 2020, compared to $37.7 million for the first nine months of 2019.

Other Business Updates
At September 30, 2020, we had approximately 3.82 million contracted subscriptions to hStream™, our Platform-as-a-Service technology. hStream technology enables healthcare organizations and their respective workforces to easily connect to and gain value from the growing HealthStream ecosystem of applications, tools, and content.

On March 13, 2020, the Company’s Board of Directors authorized a share repurchase program to repurchase up to $30.0 million of outstanding shares of common stock. Pursuant to this authorization the Company acquired shares valued at $6.3 million in the third quarter, for a total amount repurchased of $16.3 million through the end of the third quarter, and may continue to make such purchases in the open market through privately negotiated transactions or otherwise, including under a Rule 10b5-1 plan. The share repurchase program will terminate on the earlier of March 12, 2021 or when the maximum dollar amount has been expended. The share repurchase program does not require the Company to acquire any amount of shares and may be suspended or discontinued at any time.

Fourth Quarter 2020 Event
On October 12, 2020, the Company acquired ShiftWizard, Inc., a Raleigh, North Carolina-based company focused on providing a SaaS-based solution that integrates key workforce management capabilities, including scheduling, productivity, and forecasting, for approximately $32.0 million in cash, subject to working capital and other customary purchase price adjustments. This acquisition adds a new enterprise solution to the Company’s workforce offerings supporting healthcare professionals and their management in effective staff scheduling—where administrative work is reduced, cost-savings are gained, and productivity data is made readily accessible to managers.

Financial Outlook for 2020
The Company continues to believe that the extent, timing, and duration of COVID-19’s negative impact on its operating results and financial condition will be driven by many factors, including the length and severity of the COVID-19 pandemic and the impact of the pandemic on economic activity, particularly with respect to healthcare organizations. As a result of the unpredictable and evolving environment related to the COVID-19 pandemic, the Company is not providing 2020 guidance in this earnings release.

“Having completed our acquisition of ShiftWizard in October, we are pleased to welcome ShiftWizard customers and employees to HealthStream,” said Robert A. Frist, Jr., Chief Executive Officer, HealthStream. “We look forward to investing in and working to grow our market presence for all of our product portfolios, including our new scheduling management solution from ShiftWizard.”

A conference call with Robert A. Frist, Jr., Chief Executive Officer, Scott A. Roberts, Chief Financial Officer and Senior Vice President, and Mollie Condra, Vice President of Investor Relations and Corporate Communications, will be held on Tuesday, October 27, 2020, at 9:00 a.m. (ET). 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 #4165394) for U.S. and Canadian callers and 404-537-3406 (conference ID #4165394) for international callers.

Use of Non-GAAP Financial Measures
This press release presents adjusted EBITDA from continuing operations and adjusted EBITDA, both of which are non-GAAP financial measures 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 net income before interest, income taxes, stock based compensation, depreciation and amortization, changes in fair value of non-marketable equity investments, and the de-recognition of non-cash royalty expense resulting from our resolution of a mutual disagreement related to various elements of a past partnership which resulted in a reduction to cost of sales in the first quarter of 2020 (“adjusted EBITDA”) is a useful measure for evaluating the operating performance of the Company because adjusted EBITDA reflects net income adjusted for certain non-cash and non-operating items. Management also believes that adjusted EBITDA from continuing operations is a useful measure for evaluating the operating performance of the Company because such measure excludes the results of operations of the PX business that we no longer own and the gain on sale in connection with the sale of such business in February 2018 and thus reflects the Company’s ongoing business operations and assists in comparing the Company’s results of operations between periods. We also believe that adjusted EBITDA and adjusted EBITDA from continuing operations are useful to many investors to assess the Company’s ongoing results from current operations. Adjusted EBITDA and adjusted EBITDA from continuing operations are non-GAAP financial measures and should not be considered as measures of financial performance under GAAP. Because adjusted EBITDA and adjusted EBITDA from continuing operations are not measurements determined in accordance with GAAP, such non-GAAP financial measures are susceptible to varying calculations. Accordingly, adjusted EBITDA and adjusted EBITDA from continuing operations, as presented, may not be comparable to other similarly titled measures of other companies and have limitations as analytical tools.

These non-GAAP financial measures should not be considered 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 healthcare organizations across the U.S. for workforce development, training & learning management, talent management, credentialing, privileging, provider enrollment, performance assessment, and managing simulation-based education programs. Based in Nashville, Tennessee, HealthStream has additional offices in Jericho, New York; Boulder, Colorado; Denver, Colorado; San Diego, California; Chicago, Illinois; Portland, Oregon; and Raleigh, North Carolina. For more information, visit http://www.healthstream.com or call 800-521-0574.

HEALTHSTREAM, INC.

Condensed Consolidated Statements of Income

(In thousands, except per share data)

(Unaudited)

 

 

 

 

 

 

 

 

 

Three Months Ended

 

 

Nine Months Ended

 

 

 

September 30,
2020

 

 

September 30,
2019

 

 

September 30,
2020

 

 

September 30,
2019

 

Revenues, net

 

$

60,883

 

 

$

62,450

 

 

$

183,008

 

 

$

191,417

 

Operating costs and expenses:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cost of revenues (excluding depreciation and amortization)

 

 

23,302

 

 

 

25,348

 

 

 

66,596

 

 

 

79,015

 

Product development

 

 

8,192

 

 

 

7,195

 

 

 

23,491

 

 

 

21,763

 

Sales and marketing

 

 

8,863

 

 

 

9,003

 

 

 

26,286

 

 

 

28,343

 

Other general and administrative expenses

 

 

9,986

 

 

 

10,007

 

 

 

29,949

 

 

 

30,283

 

Depreciation and amortization

 

 

7,406

 

 

 

7,149

 

 

 

22,005

 

 

 

20,629

 

Total operating costs and expenses

 

 

57,749

 

 

 

58,702

 

 

 

168,327

 

 

 

180,033

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Operating income

 

 

3,134

 

 

 

3,748

 

 

 

14,681

 

 

 

11,384

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other income, net

 

 

100

 

 

 

853

 

 

 

2,006

 

 

 

2,528

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Income from continuing operations before income tax provision

 

 

3,234

 

 

 

4,601

 

 

 

16,687

 

 

 

13,912

 

Income tax provision

 

 

600

 

 

 

1,140

 

 

 

3,519

 

 

 

3,270

 

Income from continuing operations

 

 

2,634

 

 

 

3,461

 

 

 

13,168

 

 

 

10,642

 

Discontinued operations:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Gain on sale of discontinued operations

 

 

 

 

 

340

 

 

 

 

 

 

1,960

 

Income tax provision

 

 

 

 

 

89

 

 

 

 

 

 

515

 

Income from discontinued operations

 

 

 

 

 

251

 

 

 

 

 

 

1,445

 

Net income

 

$

2,634

 

 

$

3,712

 

 

$

13,168

 

 

$

12,087

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net income per share – basic:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Continuing operations

 

$

0.08

 

 

$

0.11

 

 

$

0.41

 

 

$

0.33

 

Discontinued operations

 

 

 

 

 

 

 

 

 

 

 

0.04

 

Net income per share - basic

 

$

0.08

 

 

$

0.11

 

 

$

0.41

 

 

$

0.37

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net income per share - diluted:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Continuing operations

 

$

0.08

 

 

$

0.11

 

 

$

0.41

 

 

$

0.33

 

Discontinued operations

 

 

 

 

 

 

 

 

 

 

 

0.04

 

Net income per share - diluted

 

$

0.08

 

 

$

0.11

 

 

$

0.41

 

 

$

0.37

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Weighted average shares of common stock outstanding:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic

 

 

31,955

 

 

 

32,376

 

 

 

32,095

 

 

 

32,369

 

Diluted

 

 

31,981

 

 

 

32,437

 

 

 

32,121

 

 

 

32,416

 

HEALTHSTREAM, INC.

Condensed Consolidated Balance Sheets

(In thousands)

(Unaudited)

 

 

 

 

 

 

 

 

 

September 30,

 

 

December 31,

 

 

 

2020

 

 

2019

 

ASSETS

 

 

 

 

 

 

 

 

Current assets:

 

 

 

 

 

 

 

 

Cash and cash equivalents

 

$

107,007

 

 

$

131,538

 

Marketable securities

 

 

42,666

 

 

 

41,328

 

Accounts and unbilled receivables, net

 

 

30,305

 

 

 

30,376

 

Prepaid and other current assets

 

 

19,119

 

 

 

21,330

 

Total current assets

 

 

199,097

 

 

 

224,572

 

 

 

 

 

 

 

 

 

 

Capitalized software development, net

 

 

24,679

 

 

 

21,445

 

Property and equipment, net

 

 

21,793

 

 

 

26,065

 

Operating lease right of use assets, net

 

 

27,707

 

 

 

29,615

 

Goodwill and intangible assets, net

 

 

177,773

 

 

 

162,277

 

Deferred tax assets

 

 

269

 

 

 

269

 

Deferred commissions

 

 

17,783

 

 

 

17,645

 

Other assets

 

 

7,456

 

 

 

7,656

 

Total assets

 

$

476,557

 

 

$

489,544

 

 

 

 

 

 

 

 

 

 

LIABILITIES AND SHAREHOLDERS’ EQUITY

 

 

 

 

 

 

 

 

Current liabilities:

 

 

 

 

 

 

 

 

Accounts payable, accrued and other liabilities

 

$

32,404

 

 

$

39,674

 

Deferred revenue

 

 

62,610

 

 

 

65,511

 

Total current liabilities

 

 

95,014

 

 

 

105,185

 

Deferred tax liabilities

 

 

13,394

 

 

 

13,183

 

Deferred revenue, non-current

 

 

1,751

 

 

 

1,918

 

Operating lease liability, noncurrent

 

 

28,665

 

 

 

30,733

 

Other long-term liabilities

 

 

1,468

 

 

 

357

 

Total liabilities

 

 

140,292

 

 

 

151,376

 

 

 

 

 

 

 

 

 

 

Shareholders’ equity:

 

 

 

 

 

 

 

 

Common stock

 

 

274,905

 

 

 

290,021

 

Accumulated other comprehensive income

 

 

6

 

 

 

4

 

Retained earnings

 

 

61,354

 

 

 

48,143

 

Total shareholders’ equity

 

 

336,265

 

 

 

338,168

 

Total liabilities and shareholders' equity

 

$

476,557

 

 

$

489,544

 

HEALTHSTREAM, INC.

Condensed Consolidated Statements of Cash Flows

(In thousands)

(Unaudited)

 

 

 

 

 

 

Nine Months Ended

 

 

 

September 30,

 

 

September 30,

 

 

 

2020

 

 

2019

 

Operating activities:

 

 

 

 

 

 

 

 

Net income

 

$

13,168

 

 

$

12,087

 

Income from discontinued operations

 

 

 

 

 

(1,445

)

Adjustments to reconcile net income to net cash provided by operating activities:

 

 

 

 

 

 

 

 

Depreciation and amortization

 

 

22,005

 

 

 

20,629

 

Stock based compensation

 

 

1,665

 

 

 

3,643

 

Amortization of deferred commissions

 

 

6,555

 

 

 

6,269

 

Deferred income taxes

 

 

2,330

 

 

 

1,803

 

Provision for doubtful accounts

 

 

160

 

 

 

99

 

Loss (gain) on equity method investments

 

 

8

 

 

 

(87

)

Non-cash royalty expense

 

 

(3,440

)

 

 

 

Change in fair value of non-marketable equity investments

 

 

(1,181

)

 

 

 

Other

 

 

321

 

 

 

(101

)

Changes in assets and liabilities:

 

 

 

 

 

 

 

 

Accounts and unbilled receivables

 

 

(9

)

 

 

13,624

 

Prepaid and other assets

 

 

(4,019

)

 

 

108

 

Accounts payable, accrued and other liabilities

 

 

(3,668

)

 

 

(1,629

)

Deferred revenue

 

 

(3,142

)

 

 

(2,453

)

Net cash provided by operating activities

 

 

30,753

 

 

 

52,547

 

 

 

 

 

 

 

 

 

 

Investing activities:

 

 

 

 

 

 

 

 

Business combinations, net of cash acquired

 

 

(21,449

)

 

 

(18,018

)

Proceeds from sale of discontinued operations

 

 

 

 

 

6,035

 

Changes in marketable securities

 

 

(1,656

)

 

 

(4,105

)

Proceeds from sale of fixed assets

 

 

 

 

 

13

 

Payments to acquire non-marketable equity investments

 

 

(1,257

)

 

 

(3,342

)

Purchases of property and equipment

 

 

(1,734

)

 

 

(21,451

)

Payments associated with capitalized software development

 

 

(12,366

)

 

 

(11,179

)

Net cash used in investing activities

 

 

(38,462

)

 

 

(52,047

)

 

 

 

 

 

 

 

 

 

Financing activities:

 

 

 

 

 

 

 

 

Proceeds from exercise of stock options

 

 

 

 

 

214

 

Taxes paid related to net settlement of equity awards

 

 

(429

)

 

 

(1,030

)

Payment of earn-outs related to prior acquisitions

 

 

 

 

 

(38

)

Repurchases of common stock

 

 

(16,352

)

 

 

 

Payment of cash dividends

 

 

(40

)

 

 

(53

)

Net cash used in financing activities

 

 

(16,821

)

 

 

(907

)

 

 

 

 

 

 

 

 

 

Effect of exchange rate changes on cash and cash equivalents

 

 

(1

)

 

 

 

Net decrease in cash and cash equivalents

 

 

(24,531

)

 

 

(407

)

Cash and cash equivalents at beginning of period

 

 

131,538

 

 

 

134,321

 

Cash and cash equivalents at end of period

 

$

107,007

 

 

$

133,914

 

Reconciliation of GAAP to Non-GAAP Financial Measures(1)

(In thousands)

(Unaudited)

 

 

 

 

 

 

 

 

 

Three Months Ended
September 30,

 

 

Nine Months Ended
September 30,

 

 

 

2020

 

 

2019

 

 

2020

 

 

2019

 

GAAP income from continuing operations

 

$

2,634

 

 

$

3,461

 

 

$

13,168

 

 

$

10,642

 

Interest income

 

 

(88

)

 

 

(864

)

 

 

(919

)

 

 

(2,538

)

Interest expense

 

 

26

 

 

 

26

 

 

 

76

 

 

 

77

 

Income tax provision

 

 

600

 

 

 

1,140

 

 

 

3,519

 

 

 

3,270

 

Stock based compensation expense

 

 

557

 

 

 

569

 

 

 

1,665

 

 

 

3,643

 

Depreciation and amortization

 

 

7,406

 

 

 

7,149

 

 

 

22,005

 

 

 

20,629

 

Change in fair value of non-marketable equity investments

 

 

 

 

 

 

 

 

(1,181

)

 

 

 

Non-cash royalty expense

 

 

 

 

 

 

 

 

(3,440

)

 

 

 

Adjusted EBITDA from continuing operations

 

$

11,135

 

 

$

11,481

 

 

$

34,893

 

 

$

35,723

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

GAAP net income

 

$

2,634

 

 

$

3,712

 

 

$

13,168

 

 

$

12,087

 

Interest income

 

 

(88

)

 

 

(864

)

 

 

(919

)

 

 

(2,538

)

Interest expense

 

 

26

 

 

 

26

 

 

 

76

 

 

 

77

 

Income tax provision

 

 

600

 

 

 

1,229

 

 

 

3,519

 

 

 

3,785

 

Stock based compensation expense

 

 

557

 

 

 

569

 

 

 

1,665

 

 

 

3,643

 

Depreciation and amortization

 

 

7,406

 

 

 

7,149

 

 

 

22,005

 

 

 

20,629

 

Change in fair value of non-marketable equity investments

 

 

 

 

 

 

 

 

(1,181

)

 

 

 

Non-cash royalty expense

 

 

 

 

 

 

 

 

(3,440

)

 

 

 

Adjusted EBITDA

 

$

11,135

 

 

$

11,821

 

 

$

34,893

 

 

$

37,683

 

(1) This press release contains certain non-GAAP financial measures, including adjusted EBITDA and adjusted EBITDA from continuing operations, 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 financial performance for 2020 as well as the anticipated impact of the COVID-19 pandemic on our financial results, 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. The Company cautions that forward-looking statements involve known and unknown risks, uncertainties, and other factors that may cause the actual results, performance, or achievements to be materially different from future results, performance, or achievements expressed or implied by the forward-looking statements, including, without limitation, as the result of developments related to the COVID-19 pandemic, such as the length and severity of the pandemic; the timing and availability of medical treatments and vaccines with respect to COVID-19; business and economic conditions resulting from the pandemic; the impact on the pandemic on healthcare organizations; measures we are taking to respond to the pandemic; the impact of governmental action and regulation in connection with the pandemic (including the CARES Act); the timing and availability of effective medical treatments and vaccines; potential workforce disruptions; and the disruption in capital and financial markets; as well as risks referenced in the Company’s Annual Report on Form 10-K for the year ended December 31, 2019, filed on February 26, 2020 and the Company’s Quarterly Reports on Form 10-Q for the three months ended March 31, 2020 filed on April 30, 2020 and for the three and six months ended June 30, 2020 filed on July 30, 2020, and in the Company’s other filings with the Securities and Exchange Commission from time to time. 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.

Scott A. Roberts
Chief Financial Officer
(615) 301-3182
ir@healthstream.com

Media:
Mollie Condra, Ph.D.
Vice President,
Investor Relations &
Communications
(615) 301-3237
mollie.condra@healthstream.com

Source: HealthStream, Inc.