Health Catalyst

Health Catalyst Q3 2026: New CEO prioritizes retention amid migration churn; reaffirms FY guidance despite margin pressure.

Health Catalyst reported Q3 revenue of $56.3 million and adjusted EBITDA of $779,000, both above guidance, but the company faces persistent client churn from ongoing platform migrations that management expects to resolve by end of 2027. New CEO Simeon Kohl, who joined mid-September, has articulated four priorities—retention, cost alignment, operational simplification, and consistent execution—signaling a pivot from growth-at-scale toward profitable, durable revenue. Adjusted gross margin compressed 830 basis points year-over-year to 44.3%, driven by professional services margin collapse to 1.7% (versus prior-year 14.5%) due to cost misalignment and elevated medical claims expense, and the company reaffirmed full-year revenue guidance of $246M–$249M and adjusted EBITDA of $18M–$18.5M, implying Q4 adjusted EBITDA loss of negative $1.3M to negative $1.8M.

Health Catalyst is a healthcare-specific data and analytics company that sells a cloud-based platform, software applications, and professional services to healthcare providers and adjacent organizations. Its Ignite platform integrates disparate clinical, financial, and operational data into a unified analytics environment. The company operates on a subscription-based model serving academic medical centers, integrated delivery networks, health insurers, and life sciences organizations.

Primary products

• Ignite Data & Analytics Platform
• Healthcare.AI
• Patient Safety Monitor
• Embedded Refills
• Twistle
• Carevive

“We believe that we compete favorably with our competitors on the basis of these factors. However, many of our competitors and potential competitors have significantly greater financial, technological, and other resources and name recognition than we do and more established distribution networks and relationships with healthcare providers.” Competitive position, as stated in the filing