Sep 30, 2024

P3 Health Q3 2024 Earnings Report

P3 Health Partners' third quarter performance was affected by lower risk adjustments, higher medical expenses, and retroactive adjustments.

Key Takeaways

P3 Health Partners reported a 26% year-over-year increase in revenue to $362.1 million. However, the quarter was impacted by lower risk adjustments, higher medical expenses, and retroactive adjustments, leading to a net loss of $102.9 million and the withdrawal of the company's previous fiscal year guidance.

Total revenue increased by 26% year-over-year, reaching $362.1 million.

Capitated revenue grew by 25% year-over-year, totaling $357.7 million.

Gross profit was a loss of $39.8 million, compared to a gross profit of $9.1 million in the prior year.

Net loss was $102.9 million, compared to a net loss of $37.3 million in the prior year.

Total Revenue
$362M
Previous year: $288M
+25.6%
EPS
-$0.31
Previous year: -$0.12
+158.3%
Gross Profit
-$39.8M
Previous year: $9.1M
-537.3%
Cash and Equivalents
$68.1M
Previous year: $57.4M
+18.6%
Free Cash Flow
-$22.6M
Previous year: -$7.97M
+183.7%
Total Assets
$833M
Previous year: $897M
-7.1%

P3 Health

P3 Health

P3 Health Revenue by Segment

Forward Guidance

In light of a lower-than-expected 2024 risk adjustment, negative prior year developments, and continued elevated medical cost pressures, the Company is withdrawing its previous guidance for fiscal year ending December 31, 2024, provided on its second quarter 2024 earnings call on August 7, 2024, and investors should no longer rely on it.

Revenue & Expenses

Visualization of income flow from segment revenue to net income