HealthStream, Inc.

Good morning, and welcome to HealthStream's fourth quarter 2021 earnings conference call. At this time, I would like to inform you that this conference is being recorded and that all participants are in a listen-only mode. At the request of the company, we will open the conference up for questions and answers after the presentation. I will now turn the conference over to Molly Condra, Vice President, Investor Relations and Communications. Please go ahead, Ms. Condra.

Thank you, and good morning. Thank you for joining us today to discuss our fourth quarter and full year 2021 results. Also at the conference call with me are Robert A. Frist, Jr., CEO and Chairman of HealthStream, and Scotty Roberts, CFO and Senior Vice President. I would also like to remind you that this conference call may contain forward-looking statements regarding future events and future performance of HealthStream that could involve risk and uncertainties that could cause the actual results to differ materially from those projected in the forward-looking statements. Information concerning these risks and other factors that could cause the results to differ materially from those forward-looking statements are contained in the company's filings with the SEC, including forms 10-K, 10-Q, and our earnings release. Additionally, we may reference measures such as adjusted EBITDA, which is a non-GAAP financial measure. A table providing supplemental information on adjusted EBITDA and reconciling to net income attributable to Healthstream is included in the earnings release that we issued yesterday and may refer to in this call. And we had an exciting event at the end of the fourth quarter that we highlighted as our first bullet in the earnings release. The bullet stated, our CEO contributed $2.4 million of his personally owned Healthstream stock to the company in order to facilitate the grant of shares of common stock to over 1,000 employees. under our 2016 Omnibus Incentive Plan, which resulted in a corresponding $2.4 million charge for stock-based compensation and related expense in the fourth quarter. Given that event, I'd like to extend a special welcome in this conference call to our employees, many of whom are new shareholders of the company, and they might be listening to one of our quarterly conference calls for the first time. It's exciting to see so many of our employees realize the opportunity to become an owner of the company that they've helped to build. So with that start, I'll turn the call over to Bobby Frist.

Thank you, Molly. Good morning, everyone. Welcome to our fourth quarter and full year 2021 earnings call. We've got a lot to cover, so we'll jump right in. 2021 was a year of record-setting revenue and record-adjusted EBITDA for our company. Our employees achieved these records despite the challenges of the pandemic. Through it all, we stayed focused on being the platform where partners and customers turn to empower the healthcare workforce. Throughout the pandemic, that focus has continued to pay off for our company, our customers, and our partners. As we get into more detail about last year's results and this year's guidance, you will see why I'm more confident than ever that it will continue to pay off. Let's look at a quick recap of financial and operating results before our CFO, Scotty Roberts, takes us deeper into the numbers. We ended 2021 with revenues up 5% and adjusted EBITDA up 15%. We ended the year with over 5 million HStream subscriptions contracted. We also completed two acquisitions, were awarded two patents, and our innovative products were recognized with four prestigious awards. In this call, we'll elaborate further on how these and other developments lay the groundwork for what we believe will generate shareholder value. Before we do that, we need to take note of the context in which we're operating. By most accounts, the pandemic in the United States appears to be in retreat. Even with the last Omicron spike, COVID-19 hospitalizations have decreased 18% nationwide over the last two weeks. On Thursday, a White House official said the U.S. is getting closer to a time when COVID-19 is no longer a crisis. We are hopeful that that time arrives soon as those most greatly impacted are tend to be the frontline workers in the healthcare organizations that we serve. The long-run impact is still being determined, particularly among the healthcare workforce. Onboarding, retaining, and engaging the healthcare workforce has never been more important to the healthcare organizations. Our job at Healthstream is to help them achieve these goals, and I believe we are well-positioned to do just that through both our established products and through new, innovative products like Jane that we've introduced recently. Like many companies, we have adopted a hybrid workplace approach where most employees primarily work remotely. Our employees have proven to be effective that they've embraced this new, more flexible work model. Healthstream, like most companies, has experienced high turnover, but we've also experienced enormous hiring levels at the same time. The net effect for the full year 2021 is their headcount has increased, just not as much as we would like. Fortunately, we are attracting and hiring fantastic talent, which speaks highly to the strong corporate culture our employees have built. It is also encouraging that our net new hire number was up considerably in the fourth quarter versus any one of the first three quarters of 2021. And finally, building on our record-setting performance in 2021, we are pleased that our financial guidance for full year 2022 reflects continued investments and solid financial growth. At this time, Scotty Roberts will provide a more detailed discussion of the financial metrics for the fourth quarter and the full year of 2021, along with further comments about how we view our financial outlook for 2022. I'll turn it over to Scotty.