Waystar shares surge as Q1 results, guidance top estimates

Published 30/04/2025, 21:58
Waystar shares surge as Q1 results, guidance top estimates

Investing.com -- Waystar Holding Corp. (NASDAQ:WAY) saw its shares jump 6% after the healthcare payment software provider reported first-quarter earnings that beat analyst expectations and raised its full-year outlook.

The company posted adjusted earnings per share of $0.32 on revenue of $256.4 million for the quarter ended March 31, 2025. Revenue grew 14% year-over-year, marking Waystar’s fourth consecutive quarter of double-digit growth since going public.

Waystar raised its fiscal 2025 guidance, now expecting revenue between $1.006 billion and $1.022 billion, up from its previous forecast and above the $1.011 billion analyst consensus. The company also lifted its adjusted EPS outlook to $1.31-$1.34, compared to the $1.31 consensus estimate.

"Waystar sustained strong momentum in the first quarter of 2025, delivering net income margins exceeding 10%, adjusted EBITDA margins exceeding 40%, and our fourth consecutive quarter of double-digit revenue growth as a public company," said CEO Matt Hawkins (NASDAQ:HWKN).

The company reported net income of $29.3 million and an adjusted EBITDA of $107.7 million, representing margins of 11% and 42% respectively. Waystar’s client base paying over $100,000 in annual revenue grew 15% YoY to 1,244, while its net revenue retention rate reached 114%.

Subscription revenue rose 18% to $125.0 million, while volume-based revenue increased 11% to $129.9 million. The company also highlighted the launch of its new AI-powered product, Waystar AltitudeAI, aimed at streamlining client workflows and improving financial performance.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers
© 2007-2025 - Fusion Media Limited. All Rights Reserved.