Waystar Reports Second Quarter 2026 Results

Waystar Reports Second Quarter 2026 Results Q2 revenue of $319.7M, up 18% YoY

Q2 net income of $40.9M and non-GAAP net income of $83.3M

Q2 net income margin of 13%; adjusted EBITDA margin of 43%

Raising revenue and adjusted EBITDA guidance for 2026

LEHI, Utah and LOUISVILLE, Ky., July 29, 2026 /PRNewswire/ -- Waystar Holding Corp. (Nasdaq: WAY), a provider of leading healthcare payment software, today reported results for the second quarter ended June 30, 2026.

"Waystar delivered another solid quarter, driven by healthy demand, disciplined execution, and growing provider adoption," said Matt Hawkins, Chief Executive Officer of Waystar. "Our unique position connecting providers, payers, and patients — combined with the breadth of our platform, the scale of our data, and the accelerating impact of our AltitudeAI capabilities — helps clients improve performance and reinforces our confidence in the long-term opportunity ahead."

Second Quarter 2026 Financial Highlights

Key Performance Metrics and Revenue Disaggregation

Financial Outlook

As of July 29, 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 4:30 p.m. Eastern Time today, July 29, 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 furnished July 29, 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 uses non-GAAP net income and non-GAAP net income per share to evaluate our core operating profitability on an after-tax basis exclusive of certain non-cash and non-recurring items, and to facilitate comparison with peer companies that may have different capital structures, acquisition histories, or tax profiles. Management uses unlevered free cash flow to evaluate cash generation from our core business operations independent of our capital structure. 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. A quantitative reconciliation of the forward-looking non-GAAP financial measures included in our financial outlook is not provided for the reasons described under "Financial Outlook." 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, IPO and secondary offering costs and costs related to other unusual, non-recurring or otherwise notable items. 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, costs related to our IPO, and the Secondary Offerings, costs related to amended debt agreements and amortization of intangibles, and costs related to other unusual, non-recurring or otherwise notable items. 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.

Gross Debt

We define gross debt as the sum of the current portion of long-term debt, long-term debt, and accounts receivable securitization.

Adjusted Gross Leverage Ratio

We define adjusted gross leverage ratio as gross 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; healthcare 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 each of the other factors discussed under the heading of "Risk Factors" in the Company's 10-K 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 June 30,

Six months ended June 30,

2026

2025

2026

2025

Revenue

319,674

270,654

633,548

527,089

Operating expenses

Cost of revenue (exclusive of depreciation and amortization expenses)

97,686

87,044

194,721

170,389

Sales and marketing

50,379

43,524

96,209

83,647

General and administrative

36,378

29,192

67,102

52,492

Research and development

17,723

12,622

36,091

23,700

Depreciation and amortization

41,466

33,426

82,918

66,806

Total operating expenses

243,632

205,808

477,041

397,034

Income from operations

76,042

64,846

156,507

130,055

Other expense

Interest expense, net

(18,635)

(17,325)

(38,349)

(35,582)

Related party interest expense

(1,011)

(930)

(1,944)

(1,573)

Income before income taxes

56,396

46,591

116,214

92,900

Income tax expense/(benefit)

15,529

14,407

32,064

31,447

Net income

40,867

32,184

84,150

61,453

Net income per share:

Basic

0.21

0.19

0.44

0.36

Diluted

0.21

0.18

0.43

0.34

Weighted-average shares outstanding:

Basic

191,868,642

173,358,382

191,719,015

172,467,988

Diluted

194,513,042

181,599,133

194,902,172

181,076,149

Waystar Holding Corp.

Unaudited Consolidated Balance Sheets

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

June 30, 2026

December 31, 2025

Assets

Current assets

Cash and cash equivalents

$ 12,645

$ 61,355

Restricted cash

32,767

15,454

Investment securities

178,954

24,877

Accounts receivable, net of allowance of $5,284 at June 30, 2026 and $6,170 at

December 31, 2025

185,876

177,037

Income tax receivable

—

6,437

Prepaid expenses

24,866

20,078

Other current assets

3,866

3,174

Total current assets

438,974

308,412

Property, plant and equipment, net

68,532

51,649

Operating lease right-of-use assets, net

9,413

12,972

Intangible assets, net

1,223,891

1,292,839

Goodwill

4,014,781

4,016,818

Deferred costs

105,063

93,951

Other long-term assets

8,107

8,459

Total assets

$ 5,868,761

$ 5,785,100

Liabilities and stockholders' equity

Current liabilities

Accounts payable

$ 56,219

$ 50,949

Accrued compensation

25,904

40,942

Aggregated funds payable

32,636

15,104

Other accrued expenses

42,812

22,990

Deferred revenue

60,874

67,855

Current portion of long-term debt

13,398

13,537

Related party current portion of long-term debt

795

657

Current portion of operating lease liabilities

5,083

6,029

Total current liabilities

237,721

218,063

Long-term liabilities

Deferred tax liability

175,322

211,320

Long-term debt, net, less current portion

1,376,348

1,394,523

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

76,199

64,186

Operating lease liabilities, net of current portion

9,897

11,994

Deferred revenue - long-term

6,754

5,496

Other long-term liabilities

278

692

Total liabilities

1,882,519

1,906,274

Commitments and contingencies (Note 20)

Stockholders' equity

Preferred stock $0.01 par value - 100,000,000 shares authorized as of June 30, 2026 and

December 31, 2025, respectively; zero shares issued or outstanding as of June 30, 2026

and December 31, 2025, respectively

—

Common stock $0.01 par value - 2,500,000,000 shares authorized at June 30, 2026 and

December 31, 2025, respectively; 192,583,037 and 191,587,193 shares outstanding at

June 30, 2026 and December 31, 2025, respectively; 191,923,976 and 191,587,193 shares

outstanding at June 30, 2026 and December 31, 2025, respectively

1,926

1,916

Treasury stock, at cost

(12,741)

—

Additional paid-in capital

4,020,499

3,986,353

Accumulated other comprehensive income (loss)

1,219

(632)

Accumulated deficit

(24,661)

(108,811)

Total stockholders' equity

3,986,242

3,878,826

Total liabilities and stockholders' equity

$ 5,868,761

$ 5,785,100

Waystar

Unaudited Consolidated Statements of Cash Flows

(in thousands)

Six Months Ended June 30,

2026

2025

Cash flows from operating activities

Net income

$ 84,150

$ 61,453

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

Depreciation and amortization

82,918

66,806

Stock-based compensation

25,249

18,274

Provision for bad debt expense

2,049

1,872

Loss on extinguishment of debt

113

—

Impairment expense

1,990

—

Deferred income taxes

(36,682)

7,437

Amortization of debt discount and issuance costs

1,329

1,346

Other

—

Changes in:

Accounts receivable

(10,889)

(135)

Income tax refundable

6,437

2,838

Prepaid expenses and other current assets

(5,463)

(968)

Deferred costs

(10,858)

(5,140)

Other long-term assets

Accounts payable and accrued expenses

10,544

9,308

Deferred revenue

(5,723)

(1,181)

Operating lease right-of-use assets and lease liabilities

(970)

(959)

Net cash provided by operating activities

144,324

161,009

Cash flows from investing activities

Purchase of property and equipment and capitalization of internally developed

software costs

(31,440)

(11,193)

Purchase of investment securities

(260,167)

(50,525)

Proceeds from sale or maturity of investment securities

107,488

—

Measurement period adjustments related to prior year acquisition

2,037

—

Net cash used in investing activities

(182,082)

(61,718)

Cash flows from financing activities

Change in aggregated funds liability

17,532

(1,171)

Repurchase of common stock

(12,741)

—

Proceeds from issuance of common stock from employee equity plans

8,867

15,045

Proceeds from issuances of debt, net of creditor fees

19,800

—

Payments on debt

(27,097)

(5,834)

Finance lease liabilities paid

—

(444)

Net cash provided by financing activities

6,361

7,596

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

(31,397)

106,887

Cash and cash equivalents and restricted cash–beginning of period

76,809

204,582

Cash and cash equivalents and restricted cash–end of period

$ 45,412

$ 311,469

Supplemental disclosures of cash flow information

Interest paid

$ 41,290

$ 39,745

Cash taxes paid (refunds received), net

42,816

8,346

Non-cash investing and financing activities

Fixed asset purchases in accounts payable

114

195

Reconciliation of Balance Sheet Cash Accounts to Cash Flow Statement

Balance sheet

Cash and cash equivalents

12,645

290,300

Restricted cash

32,767

21,169

Total

45,412

311,469

Waystar

Reconciliation of Adjusted EBITDA

(in thousands)

(unaudited)

Three months ended June 30,

Six months ended June 30,

($ in thousands)

2026

2025

2026

2025

Net income

$ 40,867

$ 32,184

$ 84,150

$ 61,453

Interest expense, net

19,646

18,255

40,293

37,155

Income tax expense

15,529

14,407

32,064

31,447

Depreciation and amortization

41,466

33,426

82,918

66,806

Stock-based compensation expense

13,803

11,530

25,249

18,274

Acquisition and integration costs

1,801

655

3,607

884

Asset and lease impairments

1,990

—

1,990

—

Costs related to amended debt agreements

—

227

—

IPO and Secondary Offering related expenses

1,769

3,199

Other (a)

1,618

326

1,618

1,080

Adjusted EBITDA

$ 136,725

$ 112,552

$ 272,128

$ 220,298

Revenue

$ 319,674

$ 270,654

$ 633,548

$ 527,089

Net income margin

12.8 %

11.9 %

13.3 %

11.7 %

Adjusted EBITDA margin

42.8 %

41.6 %

43.0 %

41.8 %

(a)

For the three and six months ended June 30, 2026, adjustments reflect costs associated with a cybersecurity incident (see Item 1A of our Form 10-Q). For the three and six months ended June 30, 2025, adjustments include lease-related costs associated with the relocation of our Louisville office totaling $0.2 million and $0.4 million, respectively, and executive severance costs totaling $0.0 million and $0.5 million, respectively.

Waystar

Reconciliation of Non-GAAP Operating Expenses

(in thousands)

(unaudited)

Three months ended June 30,

Six months ended June 30,

2026

2025

2026

2025

Cost of revenue (exclusive of depreciation and amortization expenses)

$ 97,686

$ 87,044

$ 194,721

$ 170,389

Less Stock-based compensation expense

(594)

(415)

(1,029)

(646)

Less Acquisition and integration costs

(1,110)

(2,255)

Cost of revenue (exclusive of depreciation and

amortization expenses), adjusted

$ 95,982

$ 86,629

$ 191,437

$ 169,743

Sales and marketing

50,379

43,524

96,209

83,647

Add/(Less) Stock-based compensation expense

(2,738)

(2,414)

(2,347)

(3,806)

Add/(Less) Acquisition and integration costs

Less Other (a)

(100)

Sales and marketing, adjusted

$ 47,562

$ 41,110

$ 93,816

$ 79,841

General and administrative

36,378

29,192

67,102

52,492

Less Stock-based compensation expense

(9,565)

(7,094)

(18,317)

(11,200)

Less Acquisition and integration costs

(659)

(552)

(1,197)

(659)

Less Asset and lease impairments

(1,990)

Less Costs related to amended debt agreements

(227)

Less IPO and Secondary Offering expenses

(5)

(1,769)

(12)

(3,199)

Less Other (a)

(1,518)

(326)

(1,518)

(1,080)

General and administrative, adjusted

$ 22,641

$ 19,451

$ 43,841

$ 36,354

Research and development

17,723

12,622

36,091

23,700

Less Stock-based compensation expense

(906)

(1,607)

(3,556)

(2,622)

Less Acquisition and integration costs

(53)

(103)

(209)

(225)

Research and development, adjusted

$ 16,764

$ 10,912

$ 32,326

$ 20,853

Depreciation and amortization

41,466

33,426

82,918

66,806

Less Intangible amortization

(34,474)

(28,115)

(68,948)

(56,230)

Depreciation and amortization, adjusted

$ 6,992

$ 5,311

$ 13,970

$ 10,576

Income tax expense

15,529

14,407

32,064

31,447

Plus Tax effect of adjustments

11,275

8,903

21,347

16,730

Income tax expense, adjusted

$ 26,804

$ 23,310

$ 53,411

$ 48,177

(a)

Waystar

Reconciliation of Non-GAAP Net Income

(in thousands, except share and per share amounts)

(unaudited)

Three months ended June 30,

Six months ended June 30,

($ in thousands)

2026

2025

2026

2025

Net income

$ 40,867

$ 32,184

$ 84,150

$ 61,453

Stock-based compensation

13,803

11,530

25,249

18,274

Acquisition and integration costs

1,801

655

3,607

884

Asset and lease impairments

1,990

—

1,990

—

Costs related to amended debt agreements

—

227

—

IPO and Secondary Offering related expenses

1,769

3,199

Other (a)

1,618

326

1,618

1,080

Intangible amortization

34,474

28,115

68,948

56,230

Tax effect of adjustments

(11,275)

(8,903)

(21,347)

(16,730)

Non-GAAP net income

$ 83,283

$ 65,676

$ 164,454

$ 124,390

Non-GAAP net income per share:

Basic

$ 0.43

$ 0.38

$ 0.86

$ 0.72

Diluted

$ 0.43

$ 0.36

$ 0.84

$ 0.69

Weighted-average shares outstanding:

Basic

191,868,642

173,358,382

191,719,015

172,467,988

Diluted

194,513,042

181,599,133

194,902,172

181,076,149

(a)

Waystar

Reconciliation of Unlevered Free Cash Flow

(in thousands)

(unaudited)

Three months ended June 30,

Six months ended June 30,

2026

2025

2026

2025

Net cash provided by operating activities

59,411

96,760

144,324

161,009

Interest paid

20,610

19,785

41,290

39,745

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

(16,113)

(5,767)

(31,440)

(11,193)

Unlevered free cash flow

63,908

110,778

154,174

189,561

Waystar

Reconciliation of Net Debt

(in thousands)

(unaudited)

June 30,

2026

2025

First lien term loan facility outstanding debt, current

14,194

11,668

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

1,359,955

1,146,044

Receivables facility outstanding debt

100,000

80,000

Cash and cash equivalents

(12,645)

(290,300)

Investment securities

(178,954)

(50,493)

Net debt

1,282,550

896,919

Trailing Twelve Months Adjusted EBITDA

513,976

417,128

Adjusted gross leverage ratio

2.9x

3.0x

Adjusted net leverage ratio

2.5x

2.2x

Waystar

Reconciliation of Trailing Twelve Months (TTM) Adjusted EBITDA

(in thousands)

(unaudited)

Three Months Ended

TTM

June 30,

2026

March 31,

2026

December 31,

2025

September 30,

2025

June 30,

2026

Net income

40,867

43,283

19,988

30,648

134,786

Interest expense, net

19,646

20,647

22,872

17,515

80,680

Income tax expense

15,529

16,535

16,158

12,069

60,291

Depreciation and amortization

41,466

41,452

40,442

33,300

156,660

Stock-based compensation expense

13,803

11,446

12,198

11,597

49,044

Acquisition and integration costs

1,801

1,806

14,877

5,313

23,797

Asset and lease impairments

1,990

Costs related to amended debt agreements

227

1,931

649

2,807

IPO and Secondary Offering expenses

1,372

1,470

Other (a)

1,618

593

240

2,451

Adjusted EBITDA

136,725

135,403

129,145

112,703

513,976

(a) Adjustments reflect costs associated with a cybersecurity incident (see Item 1A of our Form 10-Q and lease-related costs associated with the relocation of our Louisville office.

Media Contact

Kristin Lee

[email protected]

Investor Contact

Edward Parker

[email protected]

SOURCE Waystar