Waystar Holding Corp
NASDAQ:WAY
Waystar Holding Corp
Waystar Holding Corp. sits at the intersection of healthcare and technology, quietly revolutionizing the financial infrastructure of the medical industry. Born from a merger of two industry stalwarts, Navicure and ZirMed, Waystar has gained a reputation for offering comprehensive revenue cycle management solutions. The company's primary mission is to simplify and streamline the healthcare reimbursement process, an area historically fraught with complexity and inefficiency. By leveraging advanced cloud-based technology and a suite of intelligent tools, Waystar enables healthcare providers to process claims, track payments, and manage denials with unprecedented efficiency, thus reducing administrative costs and improving financial outcomes.
Financially, Waystar thrives by licensing its innovative platform to a broad range of healthcare providers, from sprawling hospital systems to smaller clinics and physician groups. These subscriptions are often based on the scale and complexity of the healthcare entities' needs, providing Waystar with a steady stream of predictable revenue. Additionally, the company capitalizes on transaction-based fees from clearinghouse operations, fiduciary in facilitating billions of dollars in healthcare transactions. By embedding itself as an essential cog in the healthcare revenue machinery, Waystar not only ensures its financial health but also sets the benchmark for technological advancement in an industry increasingly reliant on digital solutions.
Waystar Holding Corp. sits at the intersection of healthcare and technology, quietly revolutionizing the financial infrastructure of the medical industry. Born from a merger of two industry stalwarts, Navicure and ZirMed, Waystar has gained a reputation for offering comprehensive revenue cycle management solutions. The company's primary mission is to simplify and streamline the healthcare reimbursement process, an area historically fraught with complexity and inefficiency. By leveraging advanced cloud-based technology and a suite of intelligent tools, Waystar enables healthcare providers to process claims, track payments, and manage denials with unprecedented efficiency, thus reducing administrative costs and improving financial outcomes.
Financially, Waystar thrives by licensing its innovative platform to a broad range of healthcare providers, from sprawling hospital systems to smaller clinics and physician groups. These subscriptions are often based on the scale and complexity of the healthcare entities' needs, providing Waystar with a steady stream of predictable revenue. Additionally, the company capitalizes on transaction-based fees from clearinghouse operations, fiduciary in facilitating billions of dollars in healthcare transactions. By embedding itself as an essential cog in the healthcare revenue machinery, Waystar not only ensures its financial health but also sets the benchmark for technological advancement in an industry increasingly reliant on digital solutions.
Revenue Growth: Waystar reported Q3 revenue of $269 million, up 12% year-over-year, surpassing prior guidance.
Profitability: Adjusted EBITDA reached $113 million, up 17% YoY with a 42% margin, also exceeding expectations.
Iodine Acquisition: Completed the acquisition of Iodine Software, which expands the total addressable market by over 15% and is expected to accelerate product innovation by nearly two years.
Guidance Raised: Management raised full-year 2025 revenue guidance to $1.85–$1.93 billion (midpoint $1.89 billion, up 15% YoY) and adjusted EBITDA guidance to $451–$455 million.
Client Retention: Net revenue retention was 113% and the number of clients with over $100,000 in trailing 12-month revenue grew 11% YoY to 1,306.
AI & Product Innovation: AI-powered solutions like Altitude AI are driving higher efficiency, lower denial rates, and better patient financial outcomes.
Healthy Cash Flow: Unlevered free cash flow was $96 million for Q3, with high cash conversion and continued debt reduction.
