Privia Health Reports Second Quarter 2024 Financial Results
Privia Health Group (Nasdaq: PRVA) reported strong Q2 2024 financial results, with notable growth across key metrics. Total revenue increased 2.2% to $422.3 million, while gross profit rose 8.9% to $98.3 million. The company saw a 16.4% increase in implemented providers to 4,504 and a 10.7% growth in value-based care attributed lives to 1.2 million. Adjusted EBITDA grew 14% to $22 million, and non-GAAP adjusted net income increased 13% to $23.5 million.
Based on strong performance, Privia Health raised its full-year 2024 guidance to the mid to high end for all metrics. The company maintains a robust financial position with $387.4 million in cash and no debt. These results demonstrate Privia Health's continued execution and growth in the healthcare sector.
Privia Health Group (Nasdaq: PRVA) ha riportato solidi risultati finanziari per il secondo trimestre del 2024, con una crescita notevole in tutti i principali indicatori. Il fatturato totale è aumentato del 2,2% a 422,3 milioni di dollari, mentre l'utile lordo è salito dell'8,9% a 98,3 milioni di dollari. L'azienda ha registrato un aumento del 16,4% nel numero di fornitori implementati portandoli a 4.504 e una crescita del 10,7% nelle vite attribuite alla cura basata sul valore, raggiungendo 1,2 milioni. EBITDA rettificato è cresciuto del 14% a 22 milioni di dollari, e l'utile netto rettificato non-GAAP è aumentato del 13% a 23,5 milioni di dollari.
Grazie a queste prestazioni solide, Privia Health ha alzato le previsioni per l'intero anno 2024, posizionandole nella fascia alta per tutti gli indicatori. L'azienda mantiene una posizione finanziaria robusta con 387,4 milioni di dollari in contante e senza debiti. Questi risultati dimostrano l'esecuzione continua e la crescita di Privia Health nel settore della salute.
Privia Health Group (Nasdaq: PRVA) reportó sólidos resultados financieros para el segundo trimestre de 2024, con un notable crecimiento en los principales indicadores. Los ingresos totales aumentaron un 2.2% a 422.3 millones de dólares, mientras que la ganancia bruta creció un 8.9% a 98.3 millones de dólares. La compañía vio un incremento del 16.4% en proveedores implementados alcanzando los 4,504 y un crecimiento del 10.7% en vidas atribuidas a la atención basada en el valor llegando a 1.2 millones. EBITDA ajustado aumentó un 14% a 22 millones de dólares y los ingresos netos ajustados no GAAP crecieron un 13% a 23.5 millones de dólares.
Basándose en un rendimiento sólido, Privia Health incrementó su guía para todo el año 2024 a la parte media-alta para todos los indicadores. La compañía mantiene una posición financiera robusta con 387.4 millones de dólares en efectivo y sin deudas. Estos resultados demuestran la ejecución y el crecimiento continuos de Privia Health en el sector de la salud.
프리비아 헬스 그룹(나스닥: PRVA)은 2024년 2분기 강력한 재무 결과를 보고하며 주요 지표에서 주목할 만한 성장을 기록했습니다. 총 수익은 2.2% 증가한 4억 2,230만 달러에 이르렀고, 총 이익은 8.9% 상승하여 9,830만 달러에 달했습니다. 회사는 구현된 제공자 수가 16.4% 증가하여 4,504명에 이르고, 가치 기반 의료에 기인한 생명 수가 10.7% 성장하여 120만에 도달했습니다. 조정된 EBITDA는 14% 증가하여 2,200만 달러가 되었으며, 비-GAAP 조정 순이익은 13% 증가해 2,350만 달러에 달했습니다.
강력한 성과를 바탕으로, 프리비아 헬스는 2024년 전체 연간 가이던스를 모든 지표에서 중상위로 올렸습니다. 이 회사는 현금 3억 8,740만 달러와 무부채 상태로 탄탄한 재무적 입지를 유지하고 있습니다. 이러한 결과는 프리비아 헬스가 의료 분야에서 지속적인 실행과 성장을 이루고 있음을 보여줍니다.
Privia Health Group (Nasdaq : PRVA) a annoncé de solides résultats financiers pour le deuxième trimestre de 2024, avec une croissance remarquable dans tous les principaux indicateurs. Le chiffre d'affaires total a augmenté de 2,2 % pour atteindre 422,3 millions de dollars, tandis que le bénéfice brut a progressé de 8,9 % pour atteindre 98,3 millions de dollars. L'entreprise a constaté une augmentation de 16,4 % des fournisseurs mis en œuvre, atteignant 4 504, et une croissance de 10,7 % des vies attribuées aux soins fondés sur la valeur, atteignant 1,2 million. EBITDA ajusté a augmenté de 14 % pour atteindre 22 millions de dollars, et le revenu net ajusté non-GAAP a augmenté de 13 % pour atteindre 23,5 millions de dollars.
Sur la base de cette performance solide, Privia Health a relevé ses prévisions pour l'année 2024, les plaçant dans la fourchette supérieure pour tous les indicateurs. L'entreprise maintient une solide position financière avec 387,4 millions de dollars en espèces et aucune dette. Ces résultats démontrent la mise en œuvre continue et la croissance de Privia Health dans le secteur de la santé.
Privia Health Group (Nasdaq: PRVA) hat starke Finanzergebnisse für das zweite Quartal 2024 gemeldet, mit bemerkenswertem Wachstum in allen wichtigen Kennzahlen. Der Gesamtumsatz stieg um 2,2 % auf 422,3 Millionen USD, während der Bruttogewinn um 8,9 % auf 98,3 Millionen USD zunahm. Das Unternehmen verzeichnete einen Anstieg von 16,4 % bei den implementierten Anbietern auf 4.504 und ein Wachstum von 10,7 % bei den lebenslang wertbasierten Pflegebeiträgen auf 1,2 Millionen. Bereinigtes EBITDA wuchs um 14 % auf 22 Millionen USD, und der bereinigte Nettoertrag ohne GAAP stieg um 13 % auf 23,5 Millionen USD.
Basierend auf der starken Leistung hat Privia Health seine Prognose für das Gesamtjahr 2024 auf die obere bis mittlere Grenze für alle Kennzahlen angehoben. Das Unternehmen behält eine robuste Finanzlage mit 387,4 Millionen USD in bar und ohne Schulden. Diese Ergebnisse zeigen die kontinuierliche Umsetzung und das Wachstum von Privia Health im Gesundheitssektor.
- Total revenue increased 2.2% year-over-year to $422.3 million
- Gross profit grew 8.9% to $98.3 million
- Implemented providers increased 16.4% to 4,504
- Value-based care attributed lives grew 10.7% to 1.2 million
- Adjusted EBITDA rose 14% to $22 million
- Non-GAAP adjusted net income increased 13% to $23.5 million
- Strong cash position of $387.4 million with no debt
- Full-year 2024 guidance raised to mid to high end for all metrics
- Operating income decreased 27% to $5.1 million
- Net income declined 52.3% to $3.5 million
- GAAP net income per share decreased 50% to $0.03
Privia Health's Q2 2024 results show solid financial performance with notable improvements in key metrics. Total revenue increased by
However, operating income decreased
The company's raised guidance for FY 2024 suggests management's confidence in continued growth. With a strong cash position of
Privia Health's Q2 results demonstrate its successful execution of its value-based care strategy. The
The company's platform model appears to be gaining traction, as evidenced by the
The shift in capitation risk exposure for improved economic terms is a strategic move that may impact short-term revenue but could lead to better long-term profitability. This adjustment reflects Privia's adaptability in optimizing its business model within the complex healthcare reimbursement environment.
Privia Health's Q2 performance indicates a strong market position in the healthcare technology and services sector. The company's ability to grow its provider base by
The
Privia's raised guidance for FY 2024 across all metrics signals confidence in its market strategy and growth trajectory. The strong sales and business development pipeline mentioned in the report suggests potential for further market expansion. However, investors should monitor the competitive landscape closely, as the healthcare technology sector continues to evolve rapidly.
- Strong Execution Across All Business and Financial Metrics
- Raised Full-Year 2024 Guidance to Mid to High End for All Metrics
ARLINGTON, Va., Aug. 08, 2024 (GLOBE NEWSWIRE) -- Privia Health Group, Inc. (Nasdaq: PRVA) today announced financial results for the second quarter and six months ended June 30, 2024.
Second Quarter Performance
| For the Three Months Ended June 30, | |||||||||
| ($ in millions, except per share amounts) | 2024 | 2023 | Change (%) | ||||||
| Total revenue | $ | 422.3 | $ | 413.4 | 2.2 | % | |||
| Gross profit | $ | 98.3 | $ | 90.2 | 8.9 | % | |||
| Operating income | $ | 5.1 | $ | 7.0 | (27.0 | )% | |||
| Net income a | $ | 3.5 | $ | 7.3 | (52.3 | )% | |||
| Non-GAAP adjusted net income b | $ | 23.5 | $ | 20.8 | 13.0 | % | |||
| Net income per share | $ | 0.03 | $ | 0.06 | (50.0 | )% | |||
| Non-GAAP adjusted net income per share | $ | 0.19 | $ | 0.17 | 11.8 | % | |||
- Net income for the three months ended June 30, 2024, included
$14.4 million in non-cash stock compensation expense. Net income for the three months ended June 30, 2023 included$9.2 million in non-cash stock compensation expense. - Reconciliations of non-GAAP adjusted net income and other non-GAAP financial measures are presented in tables near the end of this press release.
Key Operating and Non-GAAP Financial Metrics
| For the Three Months Ended June 30, | |||||||||
| ($ in millions) | 2024 | 2023 | Change (%) | ||||||
| Implemented Providers | 4,504 | 3,870 | 16.4 | % | |||||
| Value-Based Care Attributed Lives | 1,200,000 | 1,084,000 | 10.7 | % | |||||
| Practice Collections | $ | 728.0 | $ | 700.0 | 4.0 | % | |||
| Care Margin | $ | 99.8 | $ | 91.6 | 8.9 | % | |||
| Platform Contribution | $ | 47.4 | $ | 44.6 | 6.2 | % | |||
| Adjusted EBITDA | $ | 22.0 | $ | 19.3 | 14.0 | % | |||
Second Quarter 2024 highlights include:
- Practice Collections of
$728.0 million , +4.0% versus 2Q’23, which included a year-over-year reduction due to a shift of capitation risk exposure for improved economic terms; - Adjusted EBITDA of
$22.0 million , +14.0% versus 2Q’23; - Continued strength in same-store growth and new provider additions, +
16.4% versus 2Q’23; - Cash and cash equivalents of
$387.4 million , +21.8% versus 2Q’23, and no debt; and - Strong sales and business development pipeline.
Six-Month Performance
| For the Six Months Ended June 30, | |||||||||
| ($ in millions, except per share amounts) | 2024 | 2023 | Change (%) | ||||||
| Total revenue | $ | 837.6 | $ | 799.6 | 4.7 | % | |||
| Gross profit | $ | 191.6 | $ | 173.2 | 10.6 | % | |||
| Operating income | $ | 5.9 | $ | 13.7 | (56.8 | )% | |||
| Net income a | $ | 6.5 | $ | 14.6 | (55.8 | )% | |||
| Non-GAAP adjusted net income b | $ | 46.1 | $ | 40.1 | 15.0 | % | |||
| Net income per share | $ | 0.05 | $ | 0.12 | (58.3 | )% | |||
| Non-GAAP adjusted net income per share | $ | 0.37 | $ | 0.32 | 15.6 | % | |||
- Net income for the six months ended June 30, 2024 included
$26.3 million in non-cash stock compensation expense. Net income for the six ended June 30, 2023 included$14.6 million in non-cash stock compensation expense. - Reconciliations of non-GAAP adjusted net income and other non-GAAP financial measures are presented in tables near the end of this press release.
Key Operating and Non-GAAP Financial Metrics
| For the Six Months Ended June 30, | |||||||||
| ($ in millions) | 2024 | 2023 | Change (%) | ||||||
| Implemented Providers | 4,504 | 3,870 | 16.4 | % | |||||
| Value-Based Care Attributed Lives | 1,200,000 | 1,084,000 | 10.7 | % | |||||
| Practice Collections | $ | 1,435.7 | $ | 1,358.9 | 5.7 | % | |||
| Care Margin | $ | 194.7 | $ | 175.7 | 10.8 | % | |||
| Platform Contribution | $ | 92.1 | $ | 86.0 | 7.1 | % | |||
| Adjusted EBITDA | $ | 41.9 | $ | 36.2 | 15.9 | % | |||
Financial and Business Outlook c d e f
Privia Health raised its full-year 2024 guidance, as follows:
| FY 2023 | Initial FY 2024 Guidance c | Current FY 2024 Guidance at 8.8.24 | ||||||||
| ($ in millions) | Actual | Low | High | |||||||
| Implemented Providers | 4,305 | 4,650 | 4,750 | Mid to High End | ||||||
| Attributed Lives | 1,120,000 | 1,150,000 | 1,200,000 | High End | ||||||
| Practice Collections | $ | 2,839.0 | $ | 2,775 | $ | 2,875 | Mid to High End | |||
| GAAP Revenue | $ | 1,657.7 | $ | 1,600 | $ | 1,675 | Mid to High End | |||
| Care Margin | $ | 359.2 | $ | 388 | $ | 400 | Mid to High End | |||
| Platform Contribution | $ | 173.5 | $ | 180 | $ | 188 | Mid to High End | |||
| Adjusted EBITDAe | $ | 72.2 | $ | 85 | $ | 90 | Mid to High End | |||
- Practice Collections guidance includes the year-over-year impact of approximately
$198 million from renegotiated MA capitation agreements - Approximately
80% of Adjusted EBITDA expected to convert to free cash flow in FY 2024 - Capital expenditures are expected to be less than
$1 million in full-year 2024
- Management has not reconciled forward-looking non-GAAP measures to their most directly comparable GAAP measures of gross margin, operating income and net income. This is because the Company cannot predict with reasonable certainty and without unreasonable efforts the ultimate outcome of certain GAAP components of such reconciliations due to market-related assumptions that are not within our control as well as certain legal or advisory costs, tax costs or other costs that may arise. For these reasons, management is unable to assess the probable significance of the unavailable information, which could materially impact the amount of the future directly comparable GAAP measures.
- See “Key Metrics and Non-GAAP Financial Measures” for more information as to how the Company defines and calculates Implemented Providers, Attributed Lives, Practice Collections, Care Margin, Platform Contribution, and Adjusted EBITDA, and for a reconciliation of the most comparable GAAP measures to Care Margin, Platform Contribution, Adjusted EBITDA, Adjusted Net Income and Adjusted Net Income Per Share.
- Certain non-recurring or non-cash and other expenses will be treated as an add back in the reconciliation of Net Income to Adjusted EBITDA, and the reconciliation of Net Income to Adjusted Net Income and Adjusted Net Income Per Share, the details of which can be found in the Reconciliation schedules near the end of this and in future quarterly financial press releases.
- Any slight variations in totals due to rounding.
Webcast and Conference Call Information
The Company will host a conference call on August 8, 2024, at 8:00 am ET to discuss these results and management’s outlook for future financial and operational performance. You can visit ir.priviahealth.com/news-and-events/events-and-presentations to listen to the call via live webcast. The webcast will be archived and available for replay for on-demand listening shortly after the completion of the call under the same link. If you wish to participate in the live conference call, then dial 800-715-9871 (or 646-307-1963 for international callers) and provide Conference ID 2580381.
This news release and the financial statements contained herein, and the slide presentation for the webcast, are also available on the Privia Health Investor Relations website at ir.priviahealth.com.
About Privia Health
Privia Health™ is a technology-driven, national physician enablement company that collaborates with medical groups, health plans, and health systems to optimize physician practices, improve patient experiences, and reward doctors for delivering high-value care in both in-person and virtual settings. Our platform is led by top industry talent and exceptional physician leadership, and consists of scalable operations and end-to-end, cloud-based technology that reduces unnecessary healthcare costs, achieves better outcomes, and improves the health of patients and the well-being of providers. For more information, visit priviahealth.com.
Non-GAAP Financial Measures
The Company reports and discusses its operating results using financial measures consistent with accounting principles generally accepted in the United States ("GAAP"). From time to time, in press releases, financial presentations, earnings conference calls or otherwise, the Company may disclose certain non-GAAP financial measures. The non-GAAP financial measures presented in this press release should not be viewed as alternatives or substitutes for the Company's reported GAAP results. A reconciliation to the most directly comparable GAAP financial measure is set forth in the tables that accompany this release.
The Company believes that the non-GAAP financial measures presented in this press release are relevant and provide useful information to the Company's management, investors, and other interested parties about the Company's operating performance because the measures allow them to understand and compare the Company's actual and expected operating results during the prior, current and future periods in a more consistent manner. The non-GAAP measures presented in this press release may not be comparable to similarly titled measures used by other companies. These non-GAAP financial measures are used in addition to and in conjunction with results presented in accordance with GAAP and reflect an additional way of viewing aspects of the Company's operations that, when viewed with GAAP results and the accompanying reconciliations to corresponding GAAP financial measures, provides a more complete understanding of the results of operations and trends affecting the Company's business. These non-GAAP financial measures should be considered as a supplement to, and not as a substitute for, or superior to financial measures calculated in accordance with GAAP.
Safe Harbor Statement
The financial results in this press release reflect preliminary, unaudited results, which are not final until the Company’s Form 10-Q is filed with the Securities and Exchange Commission (“SEC”). This press release contains "forward-looking statements" within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. Such statements relate to our current expectations, projections and assumptions about our business, the economy and future events or conditions. They do not relate strictly to historical or current facts. Forward-looking statements can be identified by words such as “aims,” “anticipates,” "assumes," “believes,” “estimates,” “expects,” “forecasts,” “future,” “intends,” “likely,” “may,” “outlook,” “plans,” “potential,” “projects,” “seeks,” “strategy,” “targets,” “trends,” “will,” “would,” “could,” “should,” and variations of such terms and similar expressions and references to guidance, although some forward-looking statements may be expressed differently. In particular, these include statements relating to, among other things: our future actions, business plans, objectives and prospects; and our future operating or financial performance and projections, including our full-year guidance for 2024. Factors or events that could cause actual results to differ may emerge from time to time and are difficult to predict. Should known or unknown risks or uncertainties materialize, or should underlying assumptions prove inaccurate, actual results may differ materially from past results and those anticipated, estimated or projected. We caution you not to place undue reliance upon any of these forward-looking statements.
Factors related to these risks and uncertainties include, but are not limited to: any failure by the Company to comply with applicable healthcare laws and government regulations in the heavily regulated industry in which the Company operates; the impact of changes in applicable laws, rules or regulations, including with respect to health plans and payers and our relationships with such plans and payers, and provisions that impact Medicare and Medicaid programs; the Company’s dependence on relationships with its medical groups, some of which the Company does not own; the Company’s growth strategy, which may not prove viable and the Company may not realize expected results; difficulties implementing the Company’s proprietary end-to-end, cloud-based technology solution for Privia physicians and new medical groups; the high level of competition in the Company’s industry and any failure by the Company to compete effectively and innovate; challenges in successfully establishing a presence in new geographic markets; the Company’s reliance on its electronic medical record vendor, which the Privia Technology Solution is integrated and built upon; changes in the payer mix of patients and potential decreases in the Company’s reimbursement rates as a result of consolidation among commercial payers; the financial and operational impact of complying with various complex and changing federal and state privacy and security laws and regulations related to Company’s use, disclosure, and other processing of personal information and protected health information, including the Health Insurance Portability and Accountability Act of 1996; the impact of actual and potential cybersecurity incidents or privacy and security breaches involving us, our vendors or other third parties; the continued availability of a qualified workforce, including staff at our medical groups, and the continued upward pressure on compensation for such workforce; and those factors discussed under the caption “Risk Factors” in the Company’s Annual Report on Form 10-K for the year ended December 31, 2023 and the Company’s subsequent Quarterly Reports on Form 10-Q. All information in this press release is as of the date of the release, and the Company undertakes no duty to update this information unless required by law.
| Contact: |
| Robert Borchert |
| SVP, Investor & Corporate Communications |
| IR@priviahealth.com |
| 817.783.4841 |
| Privia Health Group, Inc. Condensed Consolidated Statements of Operations(g) (unaudited) (in thousands, except share and per share data) | |||||||||||||||
| For the Three Months Ended June 30, | For the Six Months Ended June 30, | ||||||||||||||
| 2024 | 2023 | 2024 | 2023 | ||||||||||||
| Revenue | $ | 422,326 | $ | 413,351 | $ | 837,569 | $ | 799,627 | |||||||
| Operating expenses: | |||||||||||||||
| Provider expense | 322,536 | 321,718 | 642,872 | 623,973 | |||||||||||
| Cost of platform | 57,106 | 50,200 | 111,163 | 94,930 | |||||||||||
| Sales and marketing | 6,852 | 5,956 | 12,937 | 11,242 | |||||||||||
| General and administrative | 28,916 | 26,808 | 61,037 | 52,759 | |||||||||||
| Depreciation and amortization | 1,818 | 1,690 | 3,639 | 3,030 | |||||||||||
| Total operating expenses | 417,228 | 406,372 | 831,648 | 785,934 | |||||||||||
| Operating income | 5,098 | 6,979 | 5,921 | 13,693 | |||||||||||
| Interest (income), net | (2,966 | ) | (817 | ) | (5,950 | ) | (2,630 | ) | |||||||
| Income before provision for income taxes | 8,064 | 7,796 | 11,871 | 16,323 | |||||||||||
| Provision for income taxes | 3,421 | 1,436 | 4,172 | 3,561 | |||||||||||
| Net income | 4,643 | 6,360 | 7,699 | 12,762 | |||||||||||
| Less: Net income (loss) attributable to non-controlling interests | 1,176 | (914 | ) | 1,248 | (1,836 | ) | |||||||||
| Net income attributable to Privia Health Group, Inc. | $ | 3,467 | $ | 7,274 | $ | 6,451 | $ | 14,598 | |||||||
| Net income per share attributable to Privia Health Group, Inc. stockholders – basic | $ | 0.03 | $ | 0.06 | $ | 0.05 | $ | 0.13 | |||||||
| Net income per share attributable to Privia Health Group, Inc. stockholders – diluted | $ | 0.03 | $ | 0.06 | $ | 0.05 | $ | 0.12 | |||||||
| Weighted average common shares outstanding – basic | 119,301,350 | 116,161,251 | 118,902,095 | 115,588,313 | |||||||||||
| Weighted average common shares outstanding – diluted | 125,317,908 | 124,570,875 | 125,315,681 | 124,467,343 | |||||||||||
(g) Any slight variations in totals due to rounding.
| Privia Health Group, Inc. Condensed Consolidated Balance Sheets(h) (in thousands) | |||||||
| June 30, 2024 | December 31, 2023 | ||||||
| Assets | (unaudited) | ||||||
| Current assets: | |||||||
| Cash and cash equivalents | $ | 387,352 | $ | 389,511 | |||
| Accounts receivable | 370,055 | 290,768 | |||||
| Prepaid expenses and other current assets | 22,264 | 20,525 | |||||
| Total current assets | 779,671 | 700,804 | |||||
| Non-current assets: | |||||||
| Property and equipment, net | 1,747 | 2,325 | |||||
| Operating right-of-use asset | 5,704 | 6,612 | |||||
| Intangible assets, net | 104,576 | 107,630 | |||||
| Goodwill | 139,457 | 138,749 | |||||
| Deferred tax asset | 31,304 | 35,200 | |||||
| Other non-current assets | 15,162 | 8,580 | |||||
| Total non-current assets | 297,950 | 299,096 | |||||
| Total assets | $ | 1,077,621 | $ | 999,900 | |||
| Liabilities and stockholders’ equity | |||||||
| Current liabilities: | |||||||
| Accounts payable and accrued expenses | $ | 60,818 | $ | 57,831 | |||
| Provider liability | 366,125 | 326,078 | |||||
| Operating lease liabilities, current | 2,649 | 3,043 | |||||
| Total current liabilities | 429,592 | 386,952 | |||||
| Non-current liabilities: | |||||||
| Operating lease liabilities, non-current | 4,109 | 5,246 | |||||
| Other non-current liabilities | 313 | 313 | |||||
| Total non-current liabilities | 4,422 | 5,559 | |||||
| Total liabilities | 434,014 | 392,511 | |||||
| Commitments and contingencies | |||||||
| Stockholders’ equity: | |||||||
| Common stock | 1,194 | 1,182 | |||||
| Additional paid-in capital | 781,376 | 753,869 | |||||
| Accumulated deficit | (187,163 | ) | (193,614 | ) | |||
| Total Privia Health Group, Inc. stockholders’ equity | 595,407 | 561,437 | |||||
| Non-controlling interest | 48,200 | 45,952 | |||||
| Total stockholders’ equity | 643,607 | 607,389 | |||||
| Total liabilities and stockholders’ equity | $ | 1,077,621 | $ | 999,900 | |||
(h) Any slight variations in totals are due to rounding.
| Privia Health Group, Inc. Condensed Consolidated Statements of Cash Flows(i) (unaudited) (in thousands) | |||||||
| For the Six Months Ended June 30, | |||||||
| 2024 | 2023 | ||||||
| Cash flows from operating activities | |||||||
| Net income | $ | 7,699 | $ | 12,762 | |||
| Adjustments to reconcile net income to net cash provided by (used in) operating activities: | |||||||
| Depreciation | 585 | 581 | |||||
| Amortization of intangibles | 3,054 | 2,449 | |||||
| Stock-based compensation | 26,295 | 14,628 | |||||
| Deferred tax expense | 3,896 | 3,259 | |||||
| Changes in asset and liabilities: | |||||||
| Accounts receivable | (79,287 | ) | (130,235 | ) | |||
| Prepaid expenses and other current assets | (1,739 | ) | (1,850 | ) | |||
| Other non-current assets and right-of-use asset | (676 | ) | 473 | ||||
| Accounts payable and accrued expenses | 2,987 | (3,967 | ) | ||||
| Provider liability | 40,047 | 97,944 | |||||
| Operating lease liabilities | (1,531 | ) | (1,789 | ) | |||
| Other long-term liabilities | — | (32 | ) | ||||
| Net cash provided by (used in) operating activities | 1,330 | (5,777 | ) | ||||
| Cash from investing activities | |||||||
| Business acquisitions, net of cash acquired | (707 | ) | (24,856 | ) | |||
| Other | (5,006 | ) | (72 | ) | |||
| Net cash used in investing activities | (5,713 | ) | (24,928 | ) | |||
| Cash flows from financing activities | |||||||
| Proceeds from exercised stock options | 1,224 | 5,783 | |||||
| Repurchase of non-controlling interest | — | (5,694 | ) | ||||
| Contributed non-controlling interest | 1,000 | 569 | |||||
| Net cash provided by financing activities | 2,224 | 658 | |||||
| Net decrease in cash and cash equivalents | (2,159 | ) | (30,047 | ) | |||
| Cash and cash equivalents at beginning of period | 389,511 | 347,992 | |||||
| Cash and cash equivalents at end of period | $ | 387,352 | $ | 317,945 | |||
| Supplemental disclosure of cash flow information: | |||||||
| Interest paid | $ | 156 | $ | 57 | |||
| Income taxes paid | $ | 2,881 | $ | 599 | |||
(i) Any slight variations in totals are due to rounding.
Additional Financial Information
Revenues disaggregated by source:
| For the Three Months Ended June 30, | For the Six Months Ended June 30, | ||||||||||
| (Dollars in Thousands) | 2024 | 2023 | 2024 | 2023 | |||||||
| FFS-patient care | $ | 275,761 | $ | 230,987 | $ | 550,584 | $ | 458,776 | |||
| FFS-administrative services | 32,132 | 27,172 | 61,208 | 53,568 | |||||||
| Capitated revenue | 56,438 | 86,695 | 107,742 | 164,955 | |||||||
| Shared savings | 39,818 | 52,846 | 87,282 | 96,774 | |||||||
| Care management fees (PMPM) | 16,163 | 13,568 | 26,766 | 22,126 | |||||||
| Other revenue | 2,014 | 2,083 | 3,987 | 3,428 | |||||||
| Total Revenue | $ | 422,326 | $ | 413,351 | $ | 837,569 | $ | 799,627 | |||
The Company’s liabilities for unpaid medical claims under at-risk capitation arrangements:
| June 30, | ||||||||
| (Dollars in Thousands) | 2024 | 2023 | ||||||
| Balance, beginning of period | $ | 67,138 | $ | 28,617 | ||||
| Incurred health care costs: | ||||||||
| Current year | 104,610 | 161,016 | ||||||
| Prior years | 3,305 | 6,360 | ||||||
| Total claims incurred | $ | 107,915 | $ | 167,376 | ||||
| Claims paid: | ||||||||
| Current year | (47,979 | ) | (102,326 | ) | ||||
| Prior year | (52,877 | ) | (30,467 | ) | ||||
| Total claims paid | $ | (100,856 | ) | $ | (132,793 | ) | ||
| Balance, end of period | $ | 74,197 | $ | 63,200 | ||||
Key Metrics and Non-GAAP Financial Measures
Privia Health reviews a number of operating and financial metrics, including the following key metrics and non-GAAP financial measures, to evaluate the Company’s business, measure performance, identify trends affecting the Company’s business, formulate business plans, and make strategic decisions.
Key Metrics(j)
| For the Three Months Ended June 30, | For the Six Months Ended June 30, | |||||||||||
| (unaudited; $ in millions) | 2024 | 2023 | 2024 | 2023 | ||||||||
| Implemented Providers (as of end of period) (1) | 4,504 | 3,870 | 4,504 | 3,870 | ||||||||
| Attributed Lives (as of end of period) (2) | 1,200,000 | 1,084,000 | 1,200,000 | 1,084,000 | ||||||||
| Practice Collections (3) | $ | 728.0 | $ | 700.0 | $ | 1,435.7 | $ | 1,358.9 | ||||
| (1) Implemented Providers is defined as the total of all service professionals on Privia Health’s platform at the end of a given period who are credentialed by Privia Health and billed for medical services, in both Owned and Non-Owned Medical Groups during that period. | ||||||||||||
| (2) Attributed Lives are defined as any patient that a payer deems attributed to Privia to deliver care as part of a value-based care arrangement through a provider of primary care services as of the end of a particular period. | ||||||||||||
| (3) Practice Collections are defined as the total collections from all practices in all markets and all sources of reimbursement that the Company receives for delivering care and providing Privia Health’s platform and associated services. Practice Collections differ from revenue by including collections from Non-Owned Medical Groups. | ||||||||||||
| (j) Any slight variations in totals are due to rounding. | ||||||||||||
Non-GAAP Financial Measures (4)(k)
| For the Three Months Ended June 30, | For the Six Months Ended June 30, | |||||||||||||||
| (unaudited; $ in thousands) | 2024 | 2023 | 2024 | 2023 | ||||||||||||
| Care Margin | $ | 99,790 | $ | 91,633 | $ | 194,697 | $ | 175,654 | ||||||||
| Platform Contribution | $ | 47,394 | $ | 44,619 | $ | 92,131 | $ | 86,017 | ||||||||
| Platform Contribution Margin | 47.5 | % | 48.7 | % | 47.3 | % | 49.0 | % | ||||||||
| Adjusted EBITDA | $ | 22,023 | $ | 19,312 | $ | 41,945 | $ | 36,176 | ||||||||
| Adjusted EBITDA Margin | 22.1 | % | 21.1 | % | 21.5 | % | 20.6 | % | ||||||||
(4) In addition to results reported in accordance with GAAP, Privia Health discloses Care Margin, Platform Contribution, Platform Contribution margin, Adjusted EBITDA and Adjusted EBITDA Margin, which are non-GAAP financial measures. Each are defined as follows:
| ||||||||||||||||
| (k) Any slight variations in totals are due to rounding. | ||||||||||||||||
Reconciliation of Gross Profit to Care Margin(l)
| For the Three Months Ended June 30, | For the Six Months Ended June 30, | |||||||||||||||
| (unaudited; $ in thousands) | 2024 | 2023 | 2024 | 2023 | ||||||||||||
| Revenue | $ | 422,326 | $ | 413,351 | $ | 837,569 | $ | 799,627 | ||||||||
| Provider expense | (322,536 | ) | (321,718 | ) | (642,872 | ) | (623,973 | ) | ||||||||
| Amortization of intangible assets | (1,527 | ) | (1,399 | ) | (3,054 | ) | (2,449 | ) | ||||||||
| Gross Profit | $ | 98,263 | $ | 90,234 | $ | 191,643 | $ | 173,205 | ||||||||
| Amortization of intangible assets | 1,527 | 1,399 | 3,054 | 2,449 | ||||||||||||
| Care margin | $ | 99,790 | $ | 91,633 | $ | 194,697 | $ | 175,654 | ||||||||
| (l) Any slight variations in totals are due to rounding. | ||||||||||||||||
Reconciliation of Gross Profit to Platform Contribution(m)
| For the Three Months Ended June 30, | For the Six Months Ended June 30, | |||||||||||||||
| (unaudited; $ in thousands) | 2024 | 2023 | 2024 | 2023 | ||||||||||||
| Revenue | $ | 422,326 | $ | 413,351 | $ | 837,569 | $ | 799,627 | ||||||||
| Provider expense | (322,536 | ) | (321,718 | ) | (642,872 | ) | (623,973 | ) | ||||||||
| Amortization of intangible assets | (1,527 | ) | (1,399 | ) | (3,054 | ) | (2,449 | ) | ||||||||
| Gross Profit | $ | 98,263 | $ | 90,234 | $ | 191,643 | $ | 173,205 | ||||||||
| Amortization of intangible assets | 1,527 | 1,399 | 3,054 | 2,449 | ||||||||||||
| Cost of platform | (57,106 | ) | (50,200 | ) | (111,163 | ) | (94,930 | ) | ||||||||
| Stock-based compensation(5) | 4,710 | 3,186 | 8,597 | 5,293 | ||||||||||||
| Platform Contribution | $ | 47,394 | $ | 44,619 | $ | 92,131 | $ | 86,017 | ||||||||
| (m) Any slight variations in totals are due to rounding. | ||||||||||||||||
| (5) Amount represents stock-based compensation expense included in Cost of Platform. | ||||||||||||||||
Reconciliation of Net Income to Adjusted EBITDA(n)
| For the Three Months Ended June 30, | For the Six Months Ended June 30, | |||||||||||||||
| (unaudited; $ in thousands) | 2024 | 2023 | 2024 | 2023 | ||||||||||||
| Net income | $ | 3,467 | $ | 7,274 | $ | 6,451 | $ | 14,598 | ||||||||
| Net income (loss) attributable to non-controlling interests | 1,176 | (914 | ) | 1,248 | (1,836 | ) | ||||||||||
| Provision for income taxes | 3,421 | 1,436 | 4,172 | 3,561 | ||||||||||||
| Interest (income), net | (2,966 | ) | (817 | ) | (5,950 | ) | (2,630 | ) | ||||||||
| Depreciation and amortization | 1,818 | 1,690 | 3,639 | 3,030 | ||||||||||||
| Stock-based compensation | 14,391 | 9,247 | 26,295 | 14,628 | ||||||||||||
| Other expenses(6) | 716 | 1,396 | 6,090 | 4,825 | ||||||||||||
| Adjusted EBITDA | $ | 22,023 | $ | 19,312 | $ | 41,945 | $ | 36,176 | ||||||||
| (n) Any slight variations in totals are due to rounding. | ||||||||||||||||
| (6) Other expenses include employer taxes on equity vesting/exercises, severance and certain non-recurring costs. | ||||||||||||||||
Reconciliation of Net Income to Adjusted Net Income and Adjusted Net Income Per Share(o)
| For the Three Months Ended June 30, | For the Six Months Ended June 30, | ||||||||||
| (unaudited; $ in thousands) | 2024 | 2023 | 2024 | 2023 | |||||||
| Net income | $ | 3,467 | $ | 7,274 | $ | 6,451 | $ | 14,598 | |||
| Stock-based compensation | 14,391 | 9,247 | 26,295 | 14,628 | |||||||
| Intangible amortization expense | 1,527 | 1,399 | 3,054 | 2,449 | |||||||
| Provision for income taxes | 3,421 | 1,436 | 4,172 | 3,561 | |||||||
| Other expenses(7) | 716 | 1,396 | 6,090 | 4,825 | |||||||
| Adjusted net income | $ | 23,522 | $ | 20,752 | $ | 46,062 | $ | 40,061 | |||
| Adjusted net income per share attributable to Privia Health Group, Inc. stockholders – basic | $ | 0.20 | $ | 0.18 | $ | 0.39 | $ | 0.35 | |||
| Adjusted net income per share attributable to Privia Health Group, Inc. stockholders – diluted | $ | 0.19 | $ | 0.17 | $ | 0.37 | $ | 0.32 | |||
| Weighted average common shares outstanding – basic | 119,301,350 | 116,161,251 | 118,902,095 | 115,588,313 | |||||||
| Weighted average common shares outstanding – diluted | 125,317,908 | 124,570,875 | 125,315,681 | 124,467,343 | |||||||
| (o) Any slight variations in totals due to rounding. | |||||||||||
| (7) Other expenses include employer taxes on equity vesting/exercises, severance and certain non-recurring costs. | |||||||||||
FAQ
What was Privia Health's (PRVA) revenue growth in Q2 2024?
How many implemented providers did Privia Health (PRVA) have in Q2 2024?
What was Privia Health's (PRVA) Adjusted EBITDA for Q2 2024?
Has Privia Health (PRVA) updated its guidance for full-year 2024?
What is Privia Health's (PRVA) cash position as of Q2 2024?
