The following is a summary of the P3 Health Partners Inc. (PIII) Q4 2023 Earnings Call Transcript:
Financial Performance:
P3 Health Partners reported a 21% growth in revenue, raising the figure to $1.266 billion in 2023.
PMPM revenue and medical margin also saw substantial growths of 15% and 118% respectively.
Despite an adjusted EBITDA loss of $86 million in 2023, it marked an improvement from the previous year's loss of $128 million.
The company recorded negative $16 million in cash flow used in operations in the fourth quarter, seen as an improvement compared to the year's start.
The company witnessed significant increases in the Oregon and California markets, reflecting in boosts to the year-over-year figures.
Business Progress:
The firm experienced a successful annual enrollment period with an 11% increase seen in membership.
They expanded their service areas to a total of 8 new counties across Arizona and Oregon.
Prospects of becoming EBITDA positive are high, with a target of reaching an EBITDA of positive $20 million to $40 million by 2024.
There's a robust pipeline of growth opportunities, and the company envisages positive development across multiple strategic partnerships in the coming quarters.
Various discussions are underway with payers, providers, and health systems, including potential joint venture and strategic partnership opportunities.
Membership and revenue, along with medical margins and adjusted EBITDA, are expected to experience growths in the 2024 fiscal year.
Profitability is projected in the Oregon market for 2024, alongside the intention of adding new health plans in California following profitable growth recorded in 2023.
The ACO REACH program is dedicated to increasing engagements across patient panels, thus enhancing the adoption of value-based care models and their overall performance.
The company witnessed persistent lives improvements from previous years and expects these improvements to contribute significantly to achieving their projected medical margin.
More details: P3 Health Partners IR
Tips: For more comprehensive details, please refer to the IR website. The article is only for investors' reference without any guidance or recommendation suggestions.