Filing Flows › Healthstream (HSTM) › Q3 2026 › vs Q2 2026
Healthstream (HSTM) Q3 2026 vs Q2 2026 (quarter over quarter)
Healthstream's revenue fell $423K (-0.5%) from $83.7M in Q2 2026 to $83.3M in Q3 2026. The biggest changes: Professional Services −$480K (-13%); Subscription Services +$57K (+0.1%). Operating margin 7.9% against 9.9% (-2.0 pts).
Healthstream, Q3 2026: revenue $83.3M (+9% year over year), operating margin 7.9%, net earnings $5.4M, operating cash flow $17.4M. The chart draws each line against Q2 2026, the increases inside each band.
Margins
| Q3 2026 | Q2 2026 | Change | |
|---|---|---|---|
| Operating margin | 7.9% | 9.9% | -2.0 pts |
| Net margin | 6.4% | 8.0% | -1.5 pts |
| Free cash flow margin | 20.5% | 15.0% | +5.5 pts |
Every line
| Line | Q3 2026 | Q2 2026 | Change | % |
|---|---|---|---|---|
| Subscription Services | $80.0M | $80.0M | $57K | +0.1% |
| Professional Services | $3.3M | $3.7M | −$480K | -13% |
| Revenue | $83.3M | $83.7M | −$423K | -0.5% |
| Other income, net | $482K | $375K | $107K | +29% |
| Operating profit | $6.6M | $8.3M | −$1.7M | -21% |
| Costs & expenses | $76.7M | $75.4M | $1.3M | +2% |
| Pre-tax earnings | $7.1M | $8.7M | −$1.6M | -19% |
| Cost of revenue | $30.0M | $29.0M | $995K | +3% |
| Research & development | $13.5M | $13.6M | −$56K | -0.4% |
| Sales & marketing | $13.3M | $13.5M | −$183K | -1% |
| Other operating costs | $19.9M | $19.3M | $555K | +3% |
| Net earnings | $5.4M | $6.7M | −$1.3M | -19% |
| Income tax | $1.7M | $2.0M | −$331K | -16% |
| Depreciation & amortization | $11.3M | $11.3M | −$10K | -0.1% |
| Share-based compensation | $1.2M | $1.1M | $90K | +8% |
| Working capital & other | $443K | $5.6M | −$5.2M | -92% |
| Operating cash flow | $17.4M | $13.4M | $4.0M | +29% |
| Free cash flow (OCF − capex) | $17.1M | $12.5M | $4.5M | +36% |
| Capital expenditures | $330K | $910K | −$580K | -64% |
Questions
How much did Healthstream's revenue grow quarter over quarter in Q3 2026?
Healthstream's revenue fell $423K (-0.5%) from $83.7M in Q2 2026 to $83.3M in Q3 2026.
What drove Healthstream's revenue change in Q3 2026?
Professional Services −$480K (-13%); Subscription Services +$57K (+0.1%).