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HealthStream Announces Second Quarter 2021 Results Page 1 July 26 , 2021 Exhibit 99.1 Contact : Scott A. Roberts Chief Financial Officer ( 615 ) 301-3182 ir@healthstream.com Media : Mollie Condra , Ph.D. Vice President , Investor Relations & Communications ( 615 ) 301-3237 HealthStream . mollie.condra@healthstream.com HEALTHSTREAM ANNOUNCES SECOND QUARTER 2021 RESULTS NASHVILLE , Tenn . ( July 26 , 2021 ) -HealthStream , Inc. ( Nasdaq : HSTM ) , a leading provider of workforce and provider solutions for the healthcare industry , announced today results for the second quarter ended June 30 , 2021 . Revenues of $ 64.8 million in the second quarter of 2021 , up 7 % from $ 60.6 million in the second quarter of 2020 , more than offsetting a $ 9.7 million decline in legacy resuscitation revenues . Operating income of $ 3.4 million in the second quarter of 2021 , down 20 % from $ 4.3 million in the second quarter of 2020 . Net income of $ 2.4 million in the second quarter of 2021 , down 29 % from $ 3.4 million in the second quarter of 2020 . Earnings per share ( EPS ) of $ 0.08 per share ( diluted ) in the second quarter of 2021 compared to $ 0.11 per share ( diluted ) in the second quarter of 2020 . Adjusted EBITDA1 of $ 14.5 million in the second quarter of 2021 , up 20 % from $ 12.1 million in the second quarter of 2020 . Financial Results : Second Quarter 2021 Compared to Second Quarter 2020 Revenues for the second quarter of 2021 increased by $ 4.3 million , or seven percent , to $ 64.8 million , compared to $ 60.6 million for the second quarter of 2020 . Revenues from our Workforce Solutions segment were $ 52.2 million for the second quarter of 2021 , an increase of 7 % compared to $ 48.9 million for the second quarter of 2020. The workforce segment achieved this seven percent growth , while overcoming a $ 9.7 million decline in revenues from the legacy resuscitation business . Revenues from recent acquisitions and growth in other solutions more than offset the lost legacy resuscitation revenues . In addition , workforce revenues also benefitted from a $ 0.5 million increase in professional services revenues , primarily associated with recently acquired businesses . Revenues from our Provider Solutions segment were $ 12.7 million for the second quarter of 2021 , compared to $ 11.7 million for the second quarter of 2020. This revenue growth of $ 1.0 million was primarily attributable to subscription revenues . Generally accepted accounting principles ( GAAP ) require companies to write down beginning balances of acquired deferred revenue as part of " fair value " accounting . During the second quarter of 2021 , HealthStream reported a reduction of $ 1.2 million to revenue and operating income and a reduction of $ 950,000 to net income as a result of deferred revenue write - downs from recent 1 Adjusted EBITDA is a non - GAAP financial measure . A reconciliation of adjusted EBITDA to net income and disclosure regarding why we believe adjusted EBITDA provides useful information to investors is included later in this release .