National Research Corporation recently released its 10-Q report, providing insights into its financial performance for the three and six months ended June 30, 2024. The company, founded in 1981 and headquartered in Lincoln, Nebraska, specializes in providing analytics and insights to healthcare organizations, enabling them to measure and enhance the patient and employee experience. National Research Corporation's portfolio includes subscription-based solutions that offer actionable information and analysis across various mission-critical elements, including patient experience, service recovery, care transitions, employee engagement, reputation management, and brand loyalty.
In the 10-Q report, under ITEM 2, "Management’s Discussion and Analysis of Financial Condition and Results of Operations," National Research Corporation reported a decrease in revenue for the three months ended June 30, 2024, compared to the same period in 2023. The 2024 revenue was $35.02 million, down from $36.16 million in 2023. The company attributed this decrease to reduced US recurring revenue in its existing client base, with a 9% decline in non-core solutions revenue. Additionally, the report highlighted changes in direct expenses, selling, general, and administrative expenses, depreciation and amortization, operating income, and total other income (expense) for the same period.
For the six months ended June 30, 2024, National Research Corporation reported a decline in revenue, which amounted to $70.33 million, down from $72.63 million in 2023. The decrease was primarily attributed to reduced US recurring revenue in the existing client base, with a 30% decline in non-core solutions revenue. The company also provided details on changes in direct expenses, selling, general, and administrative expenses, depreciation and amortization, operating income, total other income (expense), provision for income taxes, and recurring contract value for the six-month period.
The report also delved into the company's liquidity and capital resources, highlighting its sources of liquidity, cash flows from operating activities, working capital deficit, cash used in investing activities, and cash used in financing activities. National Research Corporation discussed its capital allocation priorities, including funding innovation and growth investments, quarterly dividends, and share repurchases. The report detailed the company's debt obligations, including the outstanding balance on the Term Loan and the Delayed Draw Term Loan, as of June 30, 2024.
National Research Corporation's 10-Q report provides a comprehensive overview of its financial performance, offering investors and stakeholders valuable insights into the company's operations and financial condition. Following these announcements, the company's shares moved 2.2%, and are now trading at a price of $21.06. Check out the company's full 10-Q submission here.
