Financial Data and Key Metrics Changes - Q1 revenue reached $483.6 million, impacted by two offsetting items, with an adjusted revenue estimate of approximately $450 million without these items [22][24] - The company ended the quarter with cash of $247 million and total liquidity exceeding $300 million, resulting in a net leverage ratio of 4.1 times the last twelve months adjusted EBITDA [27] Business Line Data and Key Metrics Changes - The company added five new revenue agreements in Q1, expanding its reach in surgical management, medical oncology technology services, and musculoskeletal services, expected to generate approximately $10 million in annualized revenue [6][8] - Renewals with existing customers remain strong, with one of the top 10 customers renewing through 2030 [8] Market Data and Key Metrics Changes - The selling environment across Technology and Services and the Performance Suite is reported to be very favorable, with the Performance Suite pipeline being the largest in the firm's history [9] - The company remains less than 5% penetrated in its broader revenue opportunity across all products, indicating significant growth potential [9] Company Strategy and Development Direction - The company focuses on three pillars for shareholder value creation: organic growth, expanding profitability, and optimal capital allocation [5] - Plans for 2025 include balance sheet management, debt paydown, and purchasing oncology navigation assets to accelerate oncology strategy [11][28] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in meeting or exceeding long-term growth targets, citing strong demand for specialty condition management solutions [5] - The company anticipates positive operating cash flow for the remainder of the year and plans to continue investing in organic growth [11] Other Important Information - The company reported an employee engagement rate of 89%, indicating strong internal morale which is seen as a leading indicator of performance [19] - The company is not currently expecting any new M&A transactions in the near term but views it as an attractive long-term strategy [11] Q&A Session Summary Question: Is the PMPM level a good baseline going forward? - Management indicated that the current PMPM level is a good baseline, with expectations for a slight increase due to a large new performance suite go-live later in the year [36] Question: What is the visibility on the oncology trend? - Management provided insight that leading indicators show a slight decrease in authorizations, with claims completion for Q1 being about 55-60% complete [40][41] Question: Can you elaborate on the expansion of oncology products? - Management highlighted that the navigation solution is expected to increase value or savings opportunities by 10% to 20%, enhancing the overall oncology management approach [46] Question: What was the growth reduction from recontracting? - Management noted that approximately 600,000 lives converted out of performance suites into technology and services, offset by growth in other areas [49] Question: How has the competitive environment evolved? - Management stated that the competitive environment has not changed significantly, with consistent win rates and a strong pipeline indicating ongoing demand [75] Question: How would potential tariffs impact the model? - Management indicated that performance suite arrangements contain clauses allowing for updates to capitation rates in response to significant changes in unit costs, minimizing potential impacts on profitability [80]

Financial Data and Key Metrics Changes - Q1 revenue reached $483.6 million, impacted by two offsetting items, with an adjusted revenue estimate of approximately $450 million without these items [18][19] - The company ended the quarter with cash of $247 million and total liquidity exceeding $300 million, resulting in a net leverage ratio of 4.1 times adjusted EBITDA [22] - Adjusted EBITDA outlook for 2025 remains between $135 million and $165 million, with revenue guidance unchanged at $2.06 billion to $2.11 billion [27] Business Line Data and Key Metrics Changes - The company added five new revenue agreements in Q1, expanding its reach in surgical management, medical oncology technology services, and musculoskeletal services, expected to generate approximately $10 million in annualized revenue [6][7] - Renewals with existing customers remain strong, with one top customer renewing through 2030 [6] Market Data and Key Metrics Changes - The selling environment across technology and services is reported as favorable, with the Performance Suite pipeline being the largest in the company's history [7] - The company remains less than 5% penetrated in its broader revenue opportunity across all products, indicating significant growth potential [7] Company Strategy and Development Direction - The company focuses on three pillars: organic growth, expanding profitability, and optimal capital allocation, with a strong emphasis on AI-led automation and performance margin maturation [8][9] - The launch of an integrated oncology navigation solution aims to enhance patient engagement and improve clinical outcomes, expected to drive meaningful ROI [12][15] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in meeting or exceeding long-term growth targets, citing strong demand for specialty condition management solutions [4][7] - The company anticipates a modest increase in net debt but expects to generate approximately $40 million in cash flow from operations for the remainder of the year [22] Other Important Information - The company reported an employee engagement rate of 89%, indicating strong internal morale and potential for delivering value to customers and shareholders [16] - The acquisition of oncology navigation assets is expected to enhance the company's oncology strategy and condition management model [9][23] Q&A Session Summary Question: Is the PMPM level a good baseline going forward? - Management indicated that the current PMPM level is a good baseline, with expectations for a slight increase following a large new performance suite go-live later in the year [30][31] Question: What is the visibility on oncology trends? - Management provided insights on leading indicators and noted that claims completion for Q1 was about 55-60%, with ongoing monitoring of authorizations [33][35] Question: How will the navigation solution impact oncology products? - The navigation solution is expected to increase the value or savings opportunity by 10% to 20%, enhancing the company's ability to manage oncology costs [38][41] Question: What was the growth reduction from recontracting? - Approximately 600,000 lives converted out of performance suites into technology and services, with some offsetting growth from other areas [43][44] Question: How has the competitive environment evolved? - The competitive landscape has remained stable, with consistent win rates and conversion rates despite changes in the Performance Suite model [70][72] Question: What is the potential impact of tariffs on the pharma industry? - The company has clauses in its performance suite arrangements that allow for updates to capitation rates in response to significant changes in unit costs, minimizing potential impacts on profitability [75][76]

Financial Performance - Total revenue for Q1 2025 was $483,649, a decrease of 24.4% compared to $639,653 in Q1 2024[21] - Operating loss for Q1 2025 was $1,622, significantly improved from a loss of $13,409 in Q1 2024[21] - Net loss attributable to common shareholders for Q1 2025 was $72,250, compared to a loss of $25,225 in Q1 2024, representing a 186.5% increase in losses[21] - The company reported a basic and diluted loss per common share of $0.63 for Q1 2025, compared to $0.22 for Q1 2024[21] - For the three months ended March 31, 2025, the net loss before preferred dividends was $64,618,000, compared to a net loss of $17,280,000 for the same period in 2024, indicating a significant increase in losses[28] - The net cash provided by operating activities for the three months ended March 31, 2025, was $4,565,000, slightly down from $4,909,000 in the same period of 2024[28] - The company incurred a loss on option exercise amounting to $52,348,000 during the three months ended March 31, 2025, which was a new expense not reported in the previous year[28] - The company recorded total dividends and accretion related to the Series A Preferred Stock of $7.63 million for the three months ended March 31, 2025[151] - The net loss attributable to common shareholders for the three months ended March 31, 2025, was $72,250,000, compared to a net loss of $25,225,000 for the same period in 2024[187] Cash and Liquidity - Cash and cash equivalents increased to $246,547 in Q1 2025 from $104,203 in Q4 2024, reflecting a 136.5% increase[17] - As of March 31, 2025, the company had unrestricted cash and cash equivalents of $246.5 million, indicating sufficient liquidity to meet working capital and capital expenditure requirements for at least the next twelve months[32] - Approximately 96.6% of the Company's $277.8 million in cash and cash equivalents were held in FDIC participating banks or overnight sweep accounts, while 3.4% were in international banks[130] Assets and Liabilities - Total assets rose to $2,653,451 in Q1 2025, up from $2,544,411 in Q4 2024, marking a 4.3% increase[18] - Total liabilities increased to $1,524,702 in Q1 2025 from $1,352,979 in Q4 2024, representing a 12.7% rise[18] - Current liabilities totaled $739,097 in Q1 2025, compared to $715,501 in Q4 2024, indicating a 3.3% increase[18] - Long-term debt increased to $647,532 in Q1 2025 from $490,520 in Q4 2024, a significant increase of 32.0%[18] - Total shareholders' equity decreased to $935,521 in Q1 2025 from $1,001,259 in Q4 2024, a decline of 6.6%[18] Revenue and Contracts - Medicaid revenue for the three months ended March 31, 2025, was $188.124 million, down from $215.124 million in 2024, while Medicare revenue dropped from $286.960 million to $115.318 million[76] - The company recognizes revenue over time using the time elapsed output method, with fixed consideration recognized ratably over the contract term[74] - The company’s revenue contracts are typically multi-year arrangements aimed at lowering medical expenses for partners[72] - Approximately $29.6 million of transaction price has been allocated to performance obligations that are unsatisfied as of March 31, 2025, with an expectation to recognize 85% of this by December 31, 2025[77] Investments and Acquisitions - The company completed the acquisition of Machinify, Inc. for a total consideration of $28.5 million, including $19.5 million in cash and a contingent consideration fair valued at $9.0 million[70][71] - Identifiable intangible assets acquired from Machinify will be amortized on a straight-line basis over an estimated useful life of 5 years[71] - The contingent consideration related to the Machinify transaction includes an earn-out consideration of $1,102,000 as of March 31, 2025, compared to $1,900,000 as of December 31, 2024[171] Expenses and Costs - Medical expenses and device costs for the three months ended March 31, 2025, totaled $292,676,000, down from $431,336,000 in 2024[187] - The company incurred total costs of $9,929,000 associated with its repositioning plans for the three months ended March 31, 2024[185] - The company experienced pricing pressures from competitive pricing and rising costs for inflation-sensitive operating expenses, but these did not materially impact revenues or net income in early 2025[208] Tax and Equity - The Company recognized an income tax provision of $1.5 million for the three months ended March 31, 2025, resulting in an effective tax rate of (2.3)%[158] - The Company had unrecognized tax benefits of $2.5 million as of March 31, 2025, which could affect the overall effective tax rate if recognized[159] Reserves and Claims - The company maintains reserves for liabilities related to payments to providers and pharmacies under performance-based arrangements, reflecting actual payments and incurred but not reported claims[189] - The balance for reserves related to claims and performance-based arrangements increased to $333,842 thousand as of March 31, 2025, compared to $368,639 thousand in the prior year[196] - Total claims incurred for the three months ended March 31, 2025, were $205,992 thousand, a decrease from $359,693 thousand in the same period of 2024[196]

Financial Performance - Revenue for Q1 2025 was $483.6 million, exceeding expectations, but declined by $156 million compared to Q1 2024 due to previously disclosed contracting changes[6] - Adjusted EBITDA for Q1 2025 was $36.9 million, at the high end of expectations, driven by strong execution across all lines of business[6] - The company had $246.5 million in cash and cash equivalents as of March 31, 2025, after generating $4.6 million in cash flow from operations in the quarter[6] - The company drew $200.0 million on its Term Facility and repaid $37.5 million on its Revolving Facility, resulting in a net increase in debt of $162.5 million in Q1 2025[6] - Net Debt to LTM Adjusted EBITDA was 4.1x, with LTM Adjusted EBITDA of $143.2 million[6] Strategic Initiatives and Outlook - The company announced five new revenue agreements, anticipated to contribute approximately $10 million in incremental annualized revenue[6] - The company officially launched the Oncology Navigation Solution within integrated Oncology Condition Management, expecting it to be available to over 300,000 members by the end of May[6] - The company reiterated its full-year 2025 revenue guidance of $2.06 billion to $2.11 billion and Adjusted EBITDA guidance of $135 million to $165 million[7] - The company lowered its Q2 2025 revenue outlook to $440 million - $470 million due to capitation rate true-ups for 2024 launches in Performance Suite, with no impact on bottom line outlook[7] Operational Metrics - Average lives on the Performance Suite platform were 6,486,000 in Q1 2025[12] - Average lives on the Specialty Technology and Services Suite platform were 77,079,000 in Q1 2025[12] - Performance Suite Average PMPM fee was $15.57 in Q1 2025[12]

[Evolent First Quarter 2025 Results Announcement](index=1&type=section&id=Evolent%20Announces%20First%20Quarter%202025%20Results) Evolent announced strong Q1 2025 results at the high end of expectations, reiterating full-year outlook and securing five new revenue agreements [First Quarter 2025 Highlights](index=1&type=section&id=First%20Quarter%202025%20Highlights) Evolent reported Q1 2025 results at the high end of expectations, with strong revenue and Adjusted EBITDA, reiterating its full-year outlook - CEO Seth Blackley stated that Q1 results were at the high end of expectations, the full-year outlook is reiterated, and the company sees a strong selling environment, with key operational focuses including scaling the oncology solution, favorable margin trends, AI-based automation, and disciplined capital allocation towards debt paydown[3](index=3&type=chunk) Q1 2025 Financial & Operational Highlights (in thousands, except PMPM/per case) | Metric | Q1 2025 (in thousands) | Q1 2024 (in thousands) | | :--- | :--- | :--- | | **Financial Results** | | | | Revenue | $483,649 | $639,653 | | Net loss attributable to common shareholders | $(72,250) | $(25,225) | | Adjusted EBITDA | $36,860 | $54,097 | | Adjusted EBITDA Margin | 7.6% | 8.5% | | **Average Lives on Platform/Cases** | | | | Performance Suite | 6,486 | 7,050 | | Specialty Technology and Services Suite | 77,079 | 72,302 | | Average Unique Members | 40,628 | 39,888 | | **Average PMPM Fees/Revenue per Case** | | | | Performance Suite | $15.57 | $21.19 | | Specialty Technology and Services Suite | $0.36 | $0.41 | [New Revenue Agreements](index=2&type=section&id=New%20Revenue%20Agreements) Evolent secured five new revenue agreements, expanding surgical management, medical oncology, advanced imaging, and musculoskeletal services - The company secured five new revenue agreements, including two new health plans implementing surgical management solutions, expanded medical oncology Technology & Services with a national payer adding **800,000 Medicare Advantage lives**, and additions of advanced imaging and musculoskeletal services for existing partners covering over **100,000 Medicaid lives** and **100,000 Medicare Advantage lives** respectively[7](index=7&type=chunk) [Financial Results](index=2&type=section&id=Financial%20Results%20of%20Evolent%20Health%2C%20Inc%2E) Evolent's Q1 2025 financial results show a decrease in GAAP revenue and a widened net loss, alongside adjusted non-GAAP figures [Reported Results (GAAP)](index=2&type=section&id=Reported%20Results%20%28GAAP%29) Q1 2025 GAAP revenue decreased to **$483.6 million**, with net loss widening to **$72.3 million**, and cash at **$246.5 million** Q1 2025 GAAP Financial Results (in thousands, except per share data) | Metric | Q1 2025 (in thousands) | Q1 2024 (in thousands) | | :--- | :--- | :--- | | Revenue | $483,649 | $639,653 | | Cost of revenue | $381,178 | $535,547 | | Net loss attributable to common shareholders | $(72,250) | $(25,225) | | Basic and diluted loss per share | $(0.63) | $(0.22) | - Total cash and cash equivalents was **$246.5 million** as of March 31, 2025[5](index=5&type=chunk) [Adjusted Results (Non-GAAP)](index=2&type=section&id=Adjusted%20Results%20%28Non-GAAP%29) Q1 2025 Adjusted EBITDA was **$36.9 million** (7.6% margin), and Adjusted Income was **$7.4 million**, both down year-over-year Q1 2025 Adjusted Financial Results (in thousands, except per share data) | Metric | Q1 2025 (in thousands) | Q1 2024 (in thousands) | | :--- | :--- | :--- | | Adjusted EBITDA | $36,860 | $54,097 | | Adjusted EBITDA margin | 7.6% | 8.5% | | Adjusted income attributable to common shareholders | $7,445 | $24,144 | | Adjusted basic income per common share | $0.06 | $0.21 | [Business Outlook](index=3&type=section&id=Business%20Outlook) Evolent provides Q2 and full-year 2025 guidance, reiterating revenue and Adjusted EBITDA expectations [Second Quarter 2025 Guidance](index=3&type=section&id=Second%20Quarter%202025%20Guidance) Evolent projects Q2 2025 revenue between **$440.0 million** and **$470.0 million**, with Adjusted EBITDA from **$33.0 million** to **$40.0 million** Q2 2025 Guidance (in millions) | Metric | Guidance Range (in millions) | | :--- | :--- | | Revenue | $440.0 - $470.0 | | Adjusted EBITDA | $33.0 - $40.0 | [Full Year 2025 Guidance](index=3&type=section&id=Full%20Year%202025%20Guidance) Full-year 2025 outlook reiterated: revenue **$2.06 billion-$2.11 billion**, Adjusted EBITDA **$135.0 million-$165.0 million**, and **$35 million** for capitalized software Full Year 2025 Guidance (Reiterated) | Metric | Guidance Range | | :--- | :--- | | Revenue | $2.06 billion - $2.11 billion | | Adjusted EBITDA | $135.0 million - $165.0 million | - The Company reiterated its expectation to deploy approximately **$35 million** in cash for capitalized software development during 2025[11](index=11&type=chunk) [Key Operating Metrics Definitions](index=4&type=section&id=Key%20Operating%20Metrics%20Definitions) This section defines key operating metrics like Revenue Agreements, Lives on Platform, PMPM Fee, Cases, and Average Unique Members - A "new revenue agreement" is defined as incremental revenue from new partner entities or additional sales to existing partners, including service, geographic, or line of business expansions[16](index=16&type=chunk) - "Lives on Platform" are calculated by summing monthly members for each service suite (Performance, Specialty Technology and Services, Administrative) and dividing by the number of months in the period[17](index=17&type=chunk) - "Average PMPM fee" is calculated by dividing the revenue from a specific suite by the corresponding "Lives on Platform" for the period, then by the number of months[18](index=18&type=chunk) - "Average Unique Members" are calculated by summing members across all solutions, but only counting members from the solution with the maximum number of members in cases where partners use multiple solutions, to avoid duplication[19](index=19&type=chunk) [Consolidated Financial Statements](index=5&type=section&id=Consolidated%20Financial%20Statements) This section presents Evolent's unaudited consolidated statements for operations, balance sheets, and cash flows for Q1 2025 [Consolidated Statements of Operations and Comprehensive Income (Loss)](index=5&type=section&id=Consolidated%20Statements%20of%20Operations%20and%20Comprehensive%20Income%20%28Loss%29) Q1 2025 operations show **$483.6 million** revenue, **$1.6 million** operating loss, and a **$72.3 million** net loss due to option exercise Consolidated Statements of Operations (unaudited, in thousands) | | For the Three Months Ended March 31, (in thousands) | | :--- | :--- | :--- | | | **2025** | **2024** | | Revenue | $483,649 | $639,653 | | Total operating expenses | $485,271 | $653,062 | | Operating income (loss) | $(1,622) | $(13,409) | | Loss on option exercise | $(52,348) | — | | Loss before income taxes | $(63,148) | $(16,715) | | Net loss attributable to common shareholders | $(72,250) | $(25,225) | | Loss per common share (Basic and diluted) | $(0.63) | $(0.22) | [Consolidated Balance Sheets](index=6&type=section&id=Consolidated%20Balance%20Sheets) As of March 31, 2025, total assets reached **$2.65 billion**, cash **$246.5 million**, liabilities **$1.52 billion**, and equity **$935.5 million** Consolidated Balance Sheet Highlights (in thousands) | | March 31, 2025 (in thousands) | December 31, 2024 (in thousands) | | :--- | :--- | :--- | | **Assets** | | | | Cash and cash equivalents | $246,547 | $104,203 | | Total current assets | $727,934 | $607,117 | | Goodwill | $1,137,320 | $1,137,320 | | Total assets | $2,653,451 | $2,544,411 | | **Liabilities & Equity** | | | | Total current liabilities | $739,097 | $715,501 | | Long-term debt, net | $647,532 | $490,520 | | Total liabilities | $1,524,702 | $1,352,979 | | Total shareholders' equity | $935,521 | $1,001,259 | [Consolidated Statements of Cash Flows](index=8&type=section&id=Consolidated%20Statements%20of%20Cash%20Flows) Q1 2025 cash flows show **$4.6 million** from operations, **$13.1 million** used in investing, and **$107.9 million** from financing, boosting cash position Consolidated Statements of Cash Flows Highlights (unaudited, in thousands) | | For the Three Months Ended March 31, (in thousands) | | :--- | :--- | :--- | | | **2025** | **2024** | | Net cash provided by operating activities | $4,565 | $4,909 | | Net cash used in investing activities | $(13,093) | $(9,732) | | Net cash provided by financing activities | $107,854 | $14,882 | | Net increase in cash and cash equivalents | $99,349 | $10,021 | | Cash and cash equivalents at end-of-period | $277,845 | $233,478 | [Non-GAAP Financial Measures](index=10&type=section&id=Non-GAAP%20Financial%20Measures) This section defines and reconciles Evolent's non-GAAP financial measures to GAAP, providing a clearer view of operational performance [Definitions of Non-GAAP Measures](index=10&type=section&id=Definitions%20of%20Non-GAAP%20Measures) Evolent uses non-GAAP measures like Adjusted EBITDA and Adjusted Income, excluding non-operational costs for clearer performance evaluation - The company presents non-GAAP measures like Adjusted Cost of Revenue, Adjusted SG&A, Adjusted EBITDA, and Adjusted Income to help investors evaluate fundamental operational performance[28](index=28&type=chunk) - Adjustments to GAAP figures include removing costs not representative of day-to-day operations, such as stock-based compensation, severance, transaction costs, repositioning costs, and amortization of acquired intangible assets[29](index=29&type=chunk)[30](index=30&type=chunk)[31](index=31&type=chunk) [Reconciliation of Adjusted Results](index=12&type=section&id=Reconciliation%20of%20Adjusted%20Results) This section details the reconciliation of non-GAAP measures, including Adjusted Cost of Revenue, SG&A, EBITDA, and Income, to GAAP counterparts Reconciliation of Adjusted Cost of Revenue (in thousands) | | Q1 2025 (in thousands) | Q1 2024 (in thousands) | | :--- | :--- | :--- | | Cost of revenue (GAAP) | $381,178 | $535,547 | | Less: Stock-based compensation | 657 | 1,005 | | **Adjusted cost of revenue (Non-GAAP)** | **$380,521** | **$534,542** | Reconciliation of Adjusted Selling, General and Administrative Expenses (in thousands) | | Q1 2025 (in thousands) | Q1 2024 (in thousands) | | :--- | :--- | :--- | | SG&A (GAAP) | $78,409 | $79,104 | | Less: Stock-based compensation | 10,424 | 17,781 | | Less: Severance costs | 1,014 | 380 | | Less: Transaction-related costs | 703 | — | | Less: Repositioning costs | — | 9,929 | | **Adjusted SG&A (Non-GAAP)** | **$66,268** | **$51,014** | Reconciliation of Adjusted EBITDA to Net Loss (in thousands) | | Q1 2025 (in thousands) | Q1 2024 (in thousands) | | :--- | :--- | :--- | | Net loss attributable to common shareholders (GAAP) | $(72,250) | $(25,225) | | Adjustments (Interest, Taxes, D&A, etc.) | 109,110 | 79,322 | | **Adjusted EBITDA (Non-GAAP)** | **$36,860** | **$54,097** | Reconciliation of Adjusted Income to Net Loss (in thousands) | | Q1 2025 (in thousands) | Q1 2024 (in thousands) | | :--- | :--- | :--- | | Net loss attributable to common shareholders (GAAP) | $(72,250) | $(25,225) | | Adjustments (Loss on option exercise, Purchase accounting, etc.) | 79,695 | 49,369 | | **Adjusted income attributable to common shareholders (Non-GAAP)** | **$7,445** | **$24,144** | [Forward-Looking Statements - Cautionary Language](index=15&type=section&id=FORWARD-LOOKING%20STATEMENTS%20-%20CAUTIONARY%20LANGUAGE) This section provides a safe harbor statement, outlining numerous risks and uncertainties that could impact Evolent's forward-looking statements - The report contains forward-looking statements concerning future results, performance, new partner additions, and business outlook, which are not historical facts and are subject to significant risks[48](index=48&type=chunk) - Key risks include dependence on a few large partners, the challenges of risk-sharing arrangements, ability to attract new partners, competition, and changes in healthcare regulation[49](index=49&type=chunk) - Additional risks highlighted include data security and privacy, protection of intellectual property, risks associated with AI use, reliance on third parties, debt service obligations, and potential stock price volatility[50](index=50&type=chunk) - The company states that the list of risks is not exhaustive and undertakes no obligation to publicly update any forward-looking statements[51](index=51&type=chunk)[52](index=52&type=chunk)

Core Insights - Evolent Health, Inc. reported first quarter results for 2025 that were at the high end of expectations, reaffirming its full-year revenue and Adjusted EBITDA outlook [2][12] - The company achieved significant organic growth with five new revenue agreements and continues to scale its oncology condition management solution [2][5] Financial Performance - Revenue for the three months ended March 31, 2025, was $483.649 million, a decrease from $639.653 million in the same period of 2024 [4][8] - Net loss attributable to common shareholders was $(72.250) million, compared to $(25.225) million in the prior year, resulting in a net loss margin of (14.9)% [4][8] - Adjusted EBITDA for the quarter was $36.860 million, down from $54.097 million year-over-year, with an Adjusted EBITDA margin of 7.6% [4][9] Operational Metrics - Average Lives on Platform for the Performance Suite decreased to 6,486 from 7,050, while the Specialty Technology and Services Suite increased to 77,079 from 72,302 [4] - Average PMPM fees for the Performance Suite were $15.57, down from $21.19, and for the Specialty Technology and Services Suite, they were $0.36, down from $0.41 [4][9] Revenue Agreements - Evolent announced new revenue agreements, including surgical management solutions for two health plans and expanded coverage for its oncology Technology & Services solution, expected to cover an additional 800,000 Medicare Advantage lives [5][17] Business Outlook - For the second quarter of 2025, revenue is expected to be between $440.0 million and $470.0 million, with Adjusted EBITDA projected between $33.0 million and $40.0 million [11] - The full-year 2025 revenue is expected to be in the range of approximately $2.06 billion to $2.11 billion, with Adjusted EBITDA anticipated between $135.0 million and $165.0 million [12][13]

The average comprises 15 short-term price targets ranging from a low of $12 to a high of $20, with a standard deviation of $2.72. While the lowest estimate indicates an increase of 15.9% from the current price level, the most optimistic estimate points to a 93.2% upside. More than the range, one should note the standard deviation here, as it helps understand the variability of the estimates. The smaller the standard deviation, the greater the agreement among analysts. Evolent Health (EVH) closed the last tr ...

Core Viewpoint - Evolent Health, Inc. has nominated Mr. Shawn Guertin for election to its Board of Directors, reflecting the company's ongoing efforts to refresh its board and enhance corporate governance practices [1][2][3] Company Overview - Evolent Health specializes in improving health outcomes for individuals with complex conditions through innovative solutions that simplify and reduce the cost of healthcare [7] - The company serves a national base of leading payers and providers and is recognized as a top workplace in the healthcare sector [7] Board of Directors - Mr. Shawn Guertin, with nearly 40 years of experience in the insurance and healthcare sectors, has been recommended for election to the Board [2] - His previous roles include Executive Vice President and Chief Financial Officer at CVS Health Corporation and various leadership positions at Aetna and Coventry Health Care [6] - If elected, Mr. Guertin will replace Diane Holder, who has served on the board for 14 years and is not seeking re-election [4][5] Board Refreshment - Mr. Guertin's nomination marks the sixth new independent director added to the Board in the past four years, indicating a commitment to aligning corporate governance with best practices [3][8] - The Board's Nominating and Governance Committee conducted a search process to identify suitable candidates for the independent director position [2]

Core Insights - Evolent has identified and reduced the use of "low-value regimens" in cancer treatment by over 20% through a comprehensive provider education and engagement campaign [2][9] - The program targets therapies across 10 common cancer types, which represent about 1% of all treatment requests received by Evolent [3][9] - The initiative aims to improve treatment outcomes while minimizing costs, as medications account for approximately 60% of cancer care spending in Medicare populations [3][10] Summary by Sections Identification of Low-Value Regimens - Evolent's oncology experts have reported efforts to identify low-value regimens that are associated with lower survival rates, severe side effects, or high costs without additional clinical benefits [1][2] - A specific low-value lung cancer regimen was found to be about 70 times more expensive than a preferred alternative, costing an additional $40,000 per quarter without better clinical outcomes [4][10] Campaign Implementation - In early 2023, Evolent partnered with a national health plan to launch a campaign aimed at reducing the use of low-value regimens through provider awareness initiatives, including forums and educational materials [5][9] - Technology was leveraged to flag low-value regimens as non-preferred in clinical decision support systems, prompting outreach from clinical reviewers when such therapies were requested [6][9] Results and Impact - From February to May 2024, the use of low-value regimens decreased by 20.1% compared to the same period in 2023, driven by a 15.5% drop in provider requests for these regimens [8][9] - Evolent's approach combines education, technology, and performance incentives to sustain improvements in treatment selection and provider engagement [9][10]

Core Points - Evolent Health, Inc. will release its first quarter 2025 financial results on May 8, 2025, after market close, followed by a conference call at 5 p.m. ET [1] - The company will participate in several upcoming investor conferences, including the Needham 20th Annual Technology, Media and Consumer Conference on May 12, 2025, and the RBC Global Health Care Conference on May 21, 2025 [6] Company Overview - Evolent specializes in improving health outcomes for individuals with complex conditions through solutions that simplify and make healthcare more affordable [4] - The company serves a national base of leading payers and providers and is recognized as a top workplace in the healthcare sector [4]