10-Q · July 29, 2026
Waystar delivered an 18.1% year-over-year revenue increase to $319.674 million, driven principally by 34.5% subscription-revenue growth, while GAAP EPS increased from $0.18 to $0.21. Profitability improved materially…
Earnings analysis · 10-Q
WAY earnings analysis
Filed November 2, 2026 · Our reading of the company's report
The latest report
Waystar delivered strong third-quarter operating momentum, with revenue of $325.6 million, up 21% year over year, and diluted non-GAAP EPS of $0.44. Subscription revenue grew 34% to $180.7 million, while the filing also…
Read full summary
Waystar delivered strong third-quarter operating momentum, with revenue of $325.6 million, up 21% year over year, and diluted non-GAAP EPS of $0.44. Subscription revenue grew 34% to $180.7 million, while the filing also disclosed an early-June cybersecurity incident involving fewer than 1% of clients and continued exposure to floating-rate debt. The 10-Q text provided does not contain sufficient income-statement, balance-sheet, cash-flow, or quantitative MD&A detail to assess margins, working capital, free cash flow, or a change in formal guidance.
Gross and operating margin
How much of each revenue dollar the business keeps.
One point per quarterly or annual filing. Both margins are shares of that report's revenue.
How we read each report
Our analysis across the last few reports.
Our model's reading of each filing, not the share price or the market's reaction. Annual and quarterly reports each occupy one position.
Reported figures
- Earnings per share
- $0.44
- Segment
- Subscription revenue: $180.7 million, up 34% year over year
- Segment
- Provider-related revenue: growth was disclosed, but the filing text provided does not include a reported dollar amount
What stood out
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Revenue and adjusted EPS increased
Third-quarter revenue was $325.6 million, up 21% year over year and approximately 1.8% from $320 million in the immediately preceding quarter. Diluted non-GAAP EPS was $0.44 versus $0.21 in 2026 Q2 and $0.17 in 2025 Q3.
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Subscription growth remained strong
Subscription revenue reached $180.7 million, representing 34% year-over-year growth and indicating continued mix shift toward recurring revenue.
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Company continued share repurchases
Waystar repurchased 889,222 shares during the quarter at an average price of $23.31, with $166.59 million remaining under the repurchase authorization at September 30, 2026.
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Interest-rate hedging remains in place
The first-lien credit facility carried interest at SOFR plus 2.00%, and the company uses interest-rate swaps and other hedging instruments to manage rate exposure.
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Controls remained effective
Management concluded that disclosure controls were effective at a reasonable assurance level as of September 30, 2026, and reported no changes to internal control that materially affected or were reasonably likely to materially affect the controls.
What to watch
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Third-party cybersecurity incident
In early June 2026, the company identified unauthorized acquisition of source-code copies and four files of inactive application data from a third-party cloud provider. The affected information was associated with fewer than 1% of Waystar clients; the company stated that the incident did not involve active production systems or active client data, but investigation and remediation remain ongoing.
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Floating-rate debt exposure
The first-lien credit facility bears interest at SOFR plus 2.00%. A hypothetical 100-basis-point rate move would have affected interest expense by approximately $11.2 million for the nine months ended September 30, 2026, creating ongoing earnings and cash-flow sensitivity to interest rates.
Management's outlook
The provided 10-Q text does not include quantitative FY2026 guidance or a comparison with prior guidance. Numeric outlook was provided separately in the November 2 earnings release: FY2026 revenue of $1.277 billion-$1.287 billion and diluted non-GAAP EPS of $1.63-$1.71.
Earlier filings 3
10-Q · April 29, 2026
Waystar's Q1 2026 results exhibit a strong performance with revenue of $313.9 million, marking a 22.4% increase year-over-year. Net income surged by 47.9% to $43.3 million, driven by rising subscription revenues, which…
10-K · February 17, 2026
Waystar positions itself as a data- and AI-driven leader in healthcare payments with scale advantages (over 30,000 clients and processing 7.5 billion transactions) and a large addressable market (TAM $20.0 billion in…
This is our reading of a public filing, not the filing itself. Analysis can contain errors; check the source document for full context.