Sep 30, 2023

Clover Health Q3 2023 Earnings Report

Clover Health's Q3 2023 results reflected improved financial performance with a focus on Insurance MCR and Adjusted EBITDA.

Key Takeaways

Clover Health reported Q3 2023 revenue of $482.1 million and a net loss of $41.5 million. The company's Insurance MCR improved to 78.5%, and Adjusted EBITDA significantly improved to a loss of $5.1 million compared to the prior year period loss of $55.5 million.

Insurance MCR improved to 78.5% in Q3 2023, bringing the year-to-date MCR to 80.8%.

Insurance revenue grew 12% compared to Q3 2022, reaching $301.2 million.

Net loss for Q3 2023 was $41.5 million, and Adjusted EBITDA loss was $5.1 million.

Full-year 2023 guidance was revised to reflect an Insurance MCR of 81% - 82% and Adjusted EBITDA of ($55) million - ($80) million.

Total Revenue
$482M
Previous year: $857M
-43.7%
EPS
-$0.09
Previous year: -$0.16
-43.8%
Gross Profit
$63.1M
Previous year: $17M
+270.8%
Cash and Equivalents
$672M
Previous year: $783M
-14.1%
Free Cash Flow
-$19M
Previous year: $101M
-118.8%
Total Assets
$1.06B
Previous year: $1.56B
-32.0%

Clover Health

Clover Health

Forward Guidance

Clover Health updated its full-year 2023 guidance, anticipating improvements in Insurance MCR and Adjusted EBITDA.

Positive Outlook

  • Insurance Revenue between $1.21 billion and $1.23 billion
  • Non-Insurance Revenue between $0.75 billion and $0.80 billion
  • Insurance MCR between 81% and 82%
  • Non-Insurance MCR between 98% and 100%
  • Adjusted SG&A between $310 million and $315 million

Challenges Ahead

  • Adjusted EBITDA loss between ($55) million and ($80) million