HCATNasdaqServices-Computer Programming, Data Processing, Etc.US GAAP · USD

Health Catalyst, Inc.

Health Catalyst builds cloud-based data and analytics software for healthcare organizations, combining a data platform, analytics applications, and implementation expertise. Its customers use the solution to integrate clinical and operational data, generate insights, and improve financial, operational, and care outcomes across health systems and related healthcare entities.

Revenue311m USD
+1.5 %y/y
Operating profit (EBIT)-161m USD
−130.4 %y/y
EBIT margin-51.7%
−28.9 ppy/y
Net income-178m USD
−156.1 %y/y
Free cash flow-0.2m USD
−101.8 %y/y

Fiscal year 2025 · change from previous year

Development 2020–2025

-200-1000100200300400m USD2020: 189 m USD2020: EBIT -96 m USD20202021: 242 m USD2021: EBIT -144 m USD20212022: 276 m USD2022: EBIT -140 m USD20222023: 296 m USD2023: EBIT -127 m USD20232024: 307 m USD2024: EBIT -70 m USD20242025: 311 m USD2025: EBIT -161 m USD2025311-161
RevenueOperating profit (EBIT)

Business

Share of revenue
Technology revenue67 %

Subscription and platform revenue from cloud data infrastructure and analytics applications, including Health Catalyst Ignite and related software.

Professional services revenue33 %

Implementation, advisory, and managed services that help clients deploy the platform and realize measurable improvement.

Products

Reported · share of revenue
66.9%33.1%FY2025100 %
  • Recurring Technology66.9 %
  • Professional Services33.1 %

Source: 10-K FY2025, revenue the company reports per product line (SEC XBRL). Shares are of the lines shown and add up to 100 %.

Customers

Health Catalyst sells primarily to healthcare providers, especially health systems that need to unify data and improve clinical, financial, and operational performance. It also serves risk-bearing entities, life science organizations, payers, and some healthcare technology companies, with patient engagement and care coordination offerings broadening the addressable market.

Health systems and healthcare providers

Primary buyers of the platform and applications to manage data, improve workflows, and drive measurable clinical and financial outcomes.

Risk-bearing entities

Organizations that need population health, care coordination, and analytics to manage utilization and downside risk.

Life science organizations

Buy data and analytics capabilities for research, registry, and evidence-generation use cases.

Payers

Use selected analytics and data tools to support cost, quality, and utilization management.

Healthcare technology companies

Purchase cybersecurity or data-related solutions in narrower use cases.

Strategy

Health Catalyst is focused on simplifying its commercial engine, improving retention, and increasing technology ARR bookings while continuing to invest in Health Catalyst Ignite. Management is also pushing automation, global resources, and AI-enabled solutions to reduce complexity, improve time to value, and strengthen long-term differentiation.

Strengthen and simplify the commercial engineShort term

Management wants more efficient bookings growth and better conversion in the most differentiated offerings.

Complete migration to Health Catalyst IgniteMedium term

Migrating legacy DOS clients should improve product relevance and eventually support better gross margin and retention.

Increase automation and global delivery efficiencyMedium term

Lower operating complexity and better use of global resources should improve scalability and time to value.

Expand AI-enabled and IP-driven solutionsLong term

Combining data foundation with expertise and AI can deepen differentiation and support long-term growth.

Geography

The company is primarily U.S.-focused, but it also has a presence in Singapore, the UK, and a small number of other countries. International expansion is opportunistic rather than the core growth engine, so geography mainly affects market expansion potential, implementation complexity, and exposure to different healthcare systems.

Risks

The business faces intense competition from analytics vendors, EHR companies, point solutions, and homegrown healthcare systems, which can pressure pricing and slow adoption. It also carries execution risk around client retention, migration from legacy systems, privacy/security of PHI, and goodwill impairment if market value or operating performance weakens.

Sorted by severity
LowMediumHighLowMediumHighImpact →Likelihood →Intense competition across healthcare analytics and software1Migration execution risk from DOS to Health Catalyst Ignite2Goodwill impairment risk3Privacy, security, and PHI handling risk4Healthcare policy and client budget pressure5
Impact is the risk’s severity and likelihood how probable it is over the next few years, both assessed from the company’s reports. Numbers match the list.
  1. Intense competition across healthcare analytics and softwareImpact: HighLikelihood: High

    Clients can choose EHR vendors, niche point solutions, or homegrown tools instead of Health Catalyst's platform.

    ExposurePricingMarket shareNew bookings
  2. Migration execution risk from DOS to Health Catalyst IgniteImpact: HighLikelihood: High

    Migration increases technology costs in the near term and can affect gross margin and client satisfaction if delayed.

    Exposure: Technology revenue and gross margin

  3. Goodwill impairment riskImpact: HighLikelihood: High

    Management recorded material goodwill impairment and further declines in stock price or performance could trigger more charges.

    Exposure: Reported earnings and balance sheet

  4. Privacy, security, and PHI handling riskImpact: HighLikelihood: Medium

    The company processes sensitive healthcare data and must comply with contractual and regulatory obligations.

    ExposureOperational continuityLegal liabilityReputation
  5. Healthcare policy and client budget pressureImpact: MediumLikelihood: High

    Medicaid and research funding reductions can strain customer budgets and delay purchasing decisions.

    Exposure: Revenue growth and contract timing

Accounting

Judgemental items
Revenue recognition for technology subscriptions and professional services

Different contract structures and project timing affect when revenue is recognized and how comparable quarters are.

Impact: Quarterly revenue and margin volatility

Goodwill impairment

The company recorded significant impairment charges tied to reporting unit fair values and stock price declines.

Impact: Large non-cash earnings volatility

Contingent consideration from acquisitions

Fair value changes in earn-outs can flow through earnings and affect reported expenses.

Impact: G&A and operating income

Migration-related technology costs

Transitioning clients from DOS to Ignite raises near-term costs before margin benefits emerge.

Impact: Technology gross margin and adjusted EBITDA

Publicly listed companies with a comparable business focus.

Last updated: 24/09/2026

Health Catalyst, Inc. (HCAT) Revenue, Earnings & Financials 2025 – Clarifo