Waystar Holding Corp. has recently released its 10-K report, providing an in-depth look into the company's financial performance and operations. Waystar, founded in 2017 and based in Lehi, Utah, specializes in developing cloud-based software solutions for healthcare payments. The company's platform offers a wide range of financial clearance, patient financial care, claim and payment management, denial prevention and recovery, revenue capture, and analytics and reporting solutions, primarily serving the healthcare industry.
The 10-K report delves into Item 7, Management’s Discussion and Analysis of Financial Condition and Results of Operations, which provides a comprehensive overview of Waystar’s financial performance. The report highlights the company's ability to drive recurring, predictable, and profitable growth, with over 99% of its revenue being either recurring subscription or based on highly predictable volumes. In 2024, Waystar facilitated over six billion healthcare payments transactions, including over $1.8 trillion in gross claims volume. The company currently serves over 30,000 clients, representing over one million distinct providers practicing across a variety of care sites, including 16 of the top 20 institutions on the U.S. News Best Hospitals Honor Roll.
Moreover, the report details Waystar's successful completion of an IPO in June 2024, where the company raised significant proceeds. The IPO resulted in total proceeds of $914.3 million, with an additional $102.8 million received from the exercise of the underwriters' option to purchase additional shares of common stock. The report also discusses the impacts of the IPO, including debt repayment and stock-based compensation expenses.
The report further outlines significant factors affecting the comparability of Waystar's results, including the company's ability to expand relationships with existing clients, grow its client base, the timing and number of acquisitions, and the impacts of a competitor’s cybersecurity attack.
Additionally, the report provides a detailed breakdown of Waystar’s revenue sources, including subscription revenue and volume-based revenue, which collectively account for 99% of the company's total revenue. It also delves into the components of the company's operating expenses, such as cost of revenue, sales and marketing, general and administrative expenses, research and development costs, and depreciation and amortization.
The report concludes with a comprehensive analysis of Waystar's results of operations for the years ended December 31, 2024, 2023, and 2022. It includes a detailed breakdown of the company's revenue sources and operating expenses, providing insights into its financial performance over the years.
The market has reacted to these announcements by moving the company's shares 0.0% to a price of $45.36. For the full picture, make sure to review Waystar's 10-K report.
