Core Viewpoint - DJS Law Group is investigating Agilon Health, Inc. for potential violations of securities laws following significant leadership changes and a withdrawal of earnings guidance, which led to a sharp decline in the company's stock price [1][2]. Investigation Details - The investigation centers on whether Agilon made misleading statements or failed to disclose critical information to investors [2]. - On August 4, 2025, Agilon announced the resignation of President, CEO, and Board Director Steven Sell, which coincided with the release of its second quarter 2025 earnings results [2]. - Agilon also withdrew its previous full year 2025 earnings guidance, resulting in a more than 27% drop in shares during after-hours trading [2]. Legal Representation - DJS Law Group specializes in securities class actions and corporate governance litigation, representing large hedge funds and alternative asset managers [4].

Core Viewpoint - Bragar Eagel & Squire, P.C. is investigating potential claims against Agilon Health, Inc. for possible violations of federal securities laws following significant leadership changes and a withdrawal of earnings guidance, which led to a sharp decline in the company's stock price [2][3]. Group 1: Company Developments - On August 4, 2025, Agilon Health, Inc. announced the resignation of its President, CEO, and Board Director, Steven Sell, which surprised the market [3]. - The company also released its second-quarter 2025 financial results and withdrew its previously issued full-year 2025 earnings guidance, contributing to a more than 27% drop in share price during after-hours trading [3]. Group 2: Legal Investigation - The investigation by Bragar Eagel & Squire focuses on whether Agilon failed to disclose material information regarding the leadership transition and guidance withdrawal, potentially violating federal securities laws [2][3]. - Investors who suffered losses due to these developments are encouraged to contact the law firm to discuss their legal rights and options [4].

Core Insights - Pomerantz LLP is investigating claims on behalf of investors of agilon health, Inc. regarding potential securities fraud or unlawful business practices [1] - On August 4, 2025, agilon announced the resignation of Steven Sell as President, CEO, and Director, leading to a suspension of its full-year 2025 financial guidance [3] - Following the leadership change announcement, agilon's stock price dropped by $0.93, or 51.51%, closing at $0.88 per share on August 5, 2025 [3] Company Developments - The investigation by Pomerantz LLP focuses on whether agilon and its officers/directors engaged in misconduct [1] - The leadership change at agilon is part of a broader evaluation of actions to optimize operating performance amid market uncertainty [3] - The suspension of financial guidance indicates potential challenges in achieving previously set performance targets [3]

Core Viewpoint - Johnson Fistel, PLLP is investigating potential claims on behalf of investors of Agilon Health, Inc. regarding possible violations of federal securities laws following significant leadership changes and financial disclosures that negatively impacted the company's stock price [1][3]. Company Developments - On August 4, 2025, Agilon Health, Inc. announced the resignation of its President, CEO, and Board Director, Steven Sell, from all positions [3]. - The company released its second-quarter 2025 financial results and withdrew its previously issued full-year 2025 earnings guidance, which surprised the market [3]. - Following these announcements, Agilon's share price fell by more than 27% in after-hours trading [3]. Legal Investigation - The investigation by Johnson Fistel focuses on whether Agilon failed to disclose material information to investors regarding the timing, circumstances, or implications of its leadership transition and guidance withdrawal, potentially violating federal securities laws [3].

Group 1 - The core issue involves an investigation by Holzer & Holzer, LLC into agilon health, inc. regarding potential compliance with federal securities laws following the resignation of its CEO and President [1] - On August 4, 2025, agilon health announced the suspension of its previously issued full-year 2025 financial guidance and related assumptions, which led to a decline in the company's stock price [1] - The law firm Holzer & Holzer has a history of representing shareholders and investors in litigation, including shareholder class action and derivative litigation, and has recovered hundreds of millions of dollars for victims of corporate misconduct [3]

Core Viewpoint - Agilon Health reported weaker-than-expected earnings for Q2 2025, with significant declines in revenue and profitability metrics, leading to the withdrawal of its full-year financial guidance due to ongoing challenges and a leadership transition [1][10]. Financial Performance - GAAP revenue for Q2 2025 was $1.39 billion, missing the consensus estimate of $1.47 billion by approximately 5.2% and representing a 6.0% decline year-over-year from $1.48 billion in Q2 2024 [1][5]. - GAAP earnings per share (EPS) were $(0.25), a significant drop of 257.1% compared to $(0.07) in Q2 2024 [2]. - Gross profit turned negative at $(52) million, down from a positive $32 million in Q2 2024 [6]. - Adjusted EBITDA was $(83) million, worsening from a $(3) million loss in the same quarter last year [6]. Membership and Market Dynamics - Total platform membership decreased by 5% to 614,000, with a 3% decline in Medicare Advantage members and a 12% drop in ACO REACH members [5]. - The decline in membership was anticipated due to market and payer exits, but the extent of the contraction was notable [5]. Operational Challenges - The company faced retroactive adjustments that negatively impacted financial results, including a $66 million charge related to prior period expense developments [7]. - A $37 million reduction in risk adjustment revenue for 2024 was identified due to new data revealing overestimations in prior risk-based contracts [7]. - General and administrative expenses decreased by approximately 19% year-over-year to $56.3 million, while medical services expenses increased by 5.2% [9]. Leadership and Strategic Focus - A leadership change occurred with CEO Steven Sell stepping down, and Board Chairman Ronald A. Williams taking over as Executive Chair on an interim basis [10]. - The company is focusing on enhancing its data platform technology, which now covers 72% of membership, to improve risk management and operational visibility [11]. Future Outlook - The company has suspended its full-year financial guidance due to uncertainties surrounding performance visibility and leadership transition [15]. - Management anticipates potential tailwinds beginning in 2026, including changes to Medicare's reimbursement model and new clinical initiatives [16]. - Cash flow, profitability, and membership growth are expected to remain under pressure until strategic efforts take effect [16].

Core Insights - Agilon Health (AGL) reported $1.39 billion in revenue for the quarter ended June 2025, reflecting a year-over-year decline of 5.9% [1] - The earnings per share (EPS) for the same period was -$0.25, compared to -$0.07 a year ago, indicating a significant deterioration in profitability [1] - The reported revenue was a surprise of -4.98% compared to the Zacks Consensus Estimate of $1.47 billion, while the EPS surprise was -127.27% against the consensus estimate of -$0.11 [1] Financial Performance Metrics - The average number of Medicare Advantage members was 498,000, slightly above the average estimate of 493,100 based on two analysts [4] - Other operating revenues were reported at $2.94 million, which is lower than the estimated $3.16 million by five analysts, representing a year-over-year decline of 7.4% [4] - Medical services revenues were $1.39 billion, compared to the average estimate of $1.46 billion from five analysts, also reflecting a year-over-year decrease of 5.9% [4] Stock Performance - Agilon's shares have returned -30% over the past month, contrasting with the Zacks S&P 500 composite's +0.6% change [3] - The stock currently holds a Zacks Rank 3 (Hold), suggesting it may perform in line with the broader market in the near term [3]

BOSTON, Aug. 04, 2025 (GLOBE NEWSWIRE) -- Block & Leviton LLP is investigating agilon health, Inc. (NYSE: AGL) for potential securities law violations. Investors who have lost money in their agilon investment should contact the firm to learn more about how they might recover those losses. For more details, visit https://blockleviton.com/cases/agl. Block & Leviton is investigating whether the Company committed securities law violations and may file an action to attempt to recover losses on behalf of investor ...

Financial Data and Key Metrics Changes - The total revenue for Q2 2025 was $1.4 billion, down from $1.48 billion in Q2 2024, primarily due to lower risk adjustment contributions and unfavorable developments in Part D [29][30] - The medical margin for Q2 2025 was negative $53 million, compared to a positive $106 million in Q2 2024, driven by underperformance in the burden of illness program [30][32] - Adjusted EBITDA for Q2 2025 was negative $83 million, compared to negative $3 million in Q2 2024, reflecting the impact of lower risk adjustments and unfavorable prior period developments [32] Business Line Data and Key Metrics Changes - Medicare Advantage membership at the end of Q2 2025 was 498,000, down from 513,000 in Q2 2024, reflecting a measured approach to membership growth [28] - ACO REACH membership in Q2 2025 was 116,000, down from 132,000 in 2024, aligning with expectations [28] Market Data and Key Metrics Changes - The company reported a medical cost trend of 5.9% for Q2 2025, consistent with the previous year's trend of 6% [33] - The company has successfully reduced its exposure to Medicare Part D, with less than 30% of its membership carrying Part D risk in 2025 [34] Company Strategy and Development Direction - The company is focused on improving contract economics and bid visibility with payers, enhancing its data platform, and reducing variability in its business [35] - The leadership transition aims to strengthen execution and improve relationships critical to future success [11][12] - The company is committed to enhancing performance and positioning itself for sustainable value creation, particularly with the improved Medicare reimbursement model expected to take effect next year [15] Management's Comments on Operating Environment and Future Outlook - Management acknowledged that 2025 is a transition year with challenges that were more acute than previously expected, leading to underperformance [9][10] - The company expects to see the results of strategic initiatives in 2026, with a focus on improving operational and financial performance [16][17] - Management expressed confidence in the long-term value of the company's model and its ability to deliver significant growth opportunities [10][15] Other Important Information - The company has withdrawn its previously issued full-year 2025 financial guidance due to ongoing market uncertainties [34] - The leadership team is recalibrating the organization's culture to emphasize urgency, accountability, and performance [12] Q&A Session Summary Question: Clarification on potential positive PYD in Q3 and growth rate into 2026 - Management indicated that there was a small amount of favorable development on quality programs, but the significant negative developments were related to risk adjustment and Part D costs [39][40] Question: Call trends and cost trends development - Management confirmed that Q1 cost trends were around 6%, and Q2 trends were consistent with Q1, but July data was less complete [44] Question: 2026 class commentary and glide path strategy - Management stated that growth for 2026 is under review and they will be highly selective on future growth due to current business performance [57] Question: 2026 bidding insights - Management noted that payers are looking for improved economics as they head into 2026, and negotiations are ongoing [59][62] Question: CEO search criteria - The company is looking for a CEO with multi-market management capability, experience with primary care physicians, and strong operational rigor [67] Question: Quality incentives and their impact - Management highlighted that payers are increasingly willing to include more quality incentives in contracts, which could lead to increased dollars available for performance [72][73]

Financial Data and Key Metrics Changes - The company reported total revenue for Q2 2025 of $1.4 billion, down from $1.48 billion in Q2 2024, primarily due to lower risk adjustment contributions and unfavorable developments in Part D costs [29][30] - Medical margin for Q2 2025 was negative $53 million, compared to positive $106 million in Q2 2024, driven by underperformance in the burden of illness program [30][33] - Adjusted EBITDA for Q2 2025 was negative $83 million, compared to negative $3 million in Q2 2024, reflecting the impact of lower risk adjustments and unfavorable prior period developments [33] Business Line Data and Key Metrics Changes - Medicare Advantage membership at the end of Q2 2025 was 498,000, down from 513,000 in Q2 2024, reflecting a measured approach to membership growth [28] - ACO REACH membership in Q2 2025 was 116,000, down from 132,000 in 2024, aligning with expectations [28] Market Data and Key Metrics Changes - The company has reduced its exposure to Medicare Part D, with less than 30% of its membership carrying Part D risk in 2025, and aims to further decrease this as it enters 2026 [35] - The company expects its same geography growth rate to align with the broader industry for 2025 [28] Company Strategy and Development Direction - The company is focused on improving contract economics and bid visibility with payers, enhancing its data platform, and reducing variability in its business [36] - The leadership transition aims to drive improved execution and strengthen relationships critical to future success [10][11] - The company is committed to enhancing performance and Agilent's position for sustainable value creation, particularly with the improved Medicare reimbursement model expected to take effect next year [14] Management's Comments on Operating Environment and Future Outlook - Management acknowledged that 2025 is a transition year with industry complexities and headwinds that were more acute than previously expected, leading to underperformance [8][9] - The company is optimistic about realizing the benefits of strategic initiatives in 2026, despite current challenges [7][36] Other Important Information - The company has withdrawn its previously issued full-year 2025 financial guidance due to ongoing market uncertainty [35] - The leadership team is recalibrating the organization's culture to emphasize urgency, accountability, and performance [11] Q&A Session Summary Question: Clarification on potential positive PYD in Q3 and growth rate into 2026 - Management indicated that there was a small amount of favorable development on quality programs, but the most significant pieces of development were unfavorable, particularly related to risk adjustment [40][41][42] Question: Insights on call trends and cost trends - Cost trends for Q1 were around 6%, and Q2 trends were consistent with Q1, but July data was not yet complete [46][47] Question: Commentary on 2026 class and glide path strategy - Management confirmed that growth for 2026 is under review and will be highly selective based on current business performance [59] Question: Insights on bidding for 2026 - Management noted that payers are looking for improved economics as they head into 2026, and negotiations are ongoing [61][62] Question: CEO search criteria - The company is looking for a CEO with multi-market management capability, experience with primary care physicians, and operational rigor [68][69] Question: Quality incentives and their potential impact - Management expects an increase in quality incentive dollars from 2025 to 2026, as payers are more willing to put dollars at risk for higher performance [75][76]