HealthStream, Inc.

Good morning and welcome to Healthstream's third quarter 2025 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 Kondra, Head of Investor Relations and Communications. Please go ahead, Ms. Kondra.

Thank you. Good morning, and thank you for joining us today to discuss our third quarter 2025 results. Also in the conference call with me today is Robert A. Frist, Jr., CEO and Chair of HealthStream, and Scotty Roberts, CFO and Senior Vice President of Finance and Accounting. I would also like to remind you that this conference call may contain forward-looking statements regarding future events and the 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 we may refer to in this call. So with that start, I'll now turn the call over to CEO Bobby Frist.

Good morning. Thank you, Molly. Welcome to our third quarter 2025 earnings call. It's always good to start a quarter off with this. In the third quarter, we achieved record quarterly revenues. They were up 4.6% from the third quarter of last year. Operating income was also up 16.5%, while net income was up 6.3%, and adjusted EBITDA was up 7.9% all over the same quarter last year. Now, with the first three quarters behind us, we updated our financial guidance for the full year of 2025. by keeping the same midpoints as indicated in previous guidance while narrowing the range for each of the financial metrics. Later in the call, I'll provide some exciting developments in each of our learning, credentialing, and scheduling enterprise application suites, but stay tuned because I'm also going to describe our career networks, which are an emerging part of our business that we're really excited about. First, I want to highlight our recent acquisition of Versus 12, which closed on October 8th. Versus 12 is a healthcare technology company that offers payers and health plans and innovative provider data management suite for onboarding, credentialing, and network management. Right from the start, Versus 12 strengthens and expands HealthStream's entry into the payer and health plan space, which we entered around 15 months ago with the launch of Network by HealthStream. Over that time, we have seen strong demand in the payer market for a dynamic provider data management solution, and we've also identified the need to expand Healthstream's payer-related expertise to better address this market. Not only does Versys 12 provide us with an excellent software solution and an expanded customer footprint, combined with our network product, we now have over 25 active accounts, and it also brings world-class payer market expertise to Healthstream's leadership teams. We're excited both by the quality of the Versus 12 solution and the quality of the expanded knowledge and leadership Healthstream has gained through this acquisition. We believe those things together position us well for success in this newly declared, about 15 months ago, market. Before we go further in the call, I want to briefly summarize for those that are new to the business, the business for the benefit of those that are hearing it for the first time. First and foremost, HealthStream is a healthcare technology company dedicated to developing, credentialing, and scheduling the healthcare workforce through SAS-based enterprise class solutions, each of which are becoming more valuable because of the interoperability they're achieving through our HStream technology platform. The company holds 20 patents for its innovative products, which have been awarded, and we've been awarded over 40 Brandon Hall awards. Historically, We sell our solutions on a subscription basis under contracts that average three to five years in length, which makes our revenues recurring and predictable. In fact, 96% of our revenues are subscription-based. So our new career networks, and we've coined that phrase, we have started to open our sales channels directly to healthcare professionals and nursing students across the continuum of healthcare training. We are profitable. We have no interest-bearing debt. and we report a strong cash balance of $92.6 million at the end of the third quarter of 2025. We are solely focused on healthcare, and more specifically, we're focused on the healthcare workforce and those preparing to enter it. The 12.6 million healthcare professionals and nursing students in the United States comprise the core total addressable market and target audience for our SAS-based enterprise class solutions. At this time, I want to turn the call over to Scotty Roberts, our CFO, For more detail, look at the financial performance, and then we'll circle back and do some business updates. Scotty, it's all yours.