NRC Health posts 11% TRCV growth in Q2 2026, but net loss on stock vesting costs
NRC Health reported total recurring contract value of $151.9 million, up 11% year over year, alongside a GAAP net loss tied to one-time stock vesting and bonus costs.
NRC Health announced results for the second quarter ended June 30, 2026 on July 28, 2026.
CEO Trent Green said the quarter showed double-digit TRCV growth, strong go-to-market and solutions delivery execution, continued commercialization of product innovations, and the strongest bookings performance for The Governance Institute in seven years.1
On profitability, GAAP net loss was $3.3 million, or 9% of revenue, while Adjusted Net Income was $6.9 million, or 19% of revenue, with the difference primarily reflecting previously announced accelerated vesting of stock and associated cash bonuses.1 GAAP net loss per fully diluted share was $0.15 on 22.0 million shares, while Adjusted net income per diluted share was $0.31.1 Adjusted EBITDA was $9.4 million, representing 27% of revenue.1
On cash flow, net cash flow from operating activities was $1.4 million, or 4% of revenue, and Free cash flow was $0.1 million, in each case reflecting a cash payment of approximately $2.9 million related to the stock vesting adjustment items.1
The company's board also acted on capital return. On July 15, 2026, the board declared a quarterly cash dividend of $0.16 per share, payable October 9, 2026 to shareholders of record as of September 25, 2026.1
Fact check notes
- Imprecise
GAAP net loss tied to one-time stock vesting and bonus costs
Source does not characterize these costs as 'one-time'; similar management transition/vesting-related adjustments also appear in the prior-year period, so calling it one-time slightly overstates the nature of the cost. - Checker's noteThe summary calls the stock vesting/bonus costs 'one-time,' but the source does not use this characterization and similar adjustment items (management transition costs) also appear in the prior-year comparison period, suggesting they are not strictly one-time.
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Total Recurring Contract Value was $151.9 million, up 11% year-over-year, while total revenue was $35.4 million for the three months ended June 30, 2026, up 4% from the prior year.
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The company ended the quarter with cash and cash equivalents of $3.3 million, per its balance sheet.
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Written by readthrough’s AI from the linked primary sources and fact-checked against them automatically before publishing. Where the check questioned a sentence, its note is shown above. Not investment advice.