Financial Performance - Full Year 2024 revenues were $930.6 million, a decrease of 3.2% compared to $961.5 million in 2023[4] - Q4 2024 revenues were $232.1 million, down 4.9% from $244.1 million in Q4 2023[6] - Full Year 2024 net loss was $1,645.8 million, compared to a net loss of $91.7 million in 2023[12] - Adjusted EBITDA for Full Year 2024 was $576.7 million, down from $618.0 million in 2023[12] - Total revenues for 2024 were $930,624, a decrease of 3.2% from $961,524 in 2023[30] - The net loss for 2024 was $1,645,831, compared to a net loss of $91,697 in 2023, representing a significant increase in losses[30] - Adjusted EBITDA for 2024 was $576,668, down from $618,045 in 2023, reflecting a decrease of approximately 6.7%[36] - Free Cash Flow for 2024 was negative at $(10,507), compared to positive $62,868 in 2023[38] Cash and Liquidity - The company ended Q4 2024 with $16.8 million in unrestricted cash and cash equivalents[6] - Cash and cash equivalents at the end of 2024 were $16,848, a decrease of 76.5% from $71,547 in 2023[34] - The Adjusted Cash Conversion Ratio for 2024 was 53%, down from 62% in 2023[38] Assets and Liabilities - Total assets decreased to $5,150,827 in 2024 from $6,964,687 in 2023, a decline of approximately 26%[28] - Total liabilities decreased slightly to $5,066,805 in 2024 from $5,255,563 in 2023, a reduction of about 3.6%[28] - Total current liabilities increased to $213,790 in 2024 from $166,739 in 2023, an increase of approximately 28.2%[28] Future Guidance - 2025 revenue guidance is projected to be flat to a decrease of 2% compared to FY 2024, with Adjusted EBITDA margin guidance of 62.5% to 63.5%[5][7] - Capital expenditures for 2025 are expected to be between $155 million and $165 million[7] - Free Cash Flow for 2025 is projected to be between $(65) million and $(75) million[7] Operational Metrics - The company processed approximately $177.6 billion in medical charges in 2024, identifying $24.7 billion in potential medical cost savings[12] - Claritev serves over 700 healthcare payors, more than 100,000 employers, 60 million consumers, and 1.4 million contracted providers[13] - The company incurred a loss on impairment of goodwill and intangible assets amounting to $1,488,863 in 2024[30]

MultiPlan Corporation (MPLN) - The consensus EPS estimate for the quarter has remained unchanged over the last 30 days [1] - The stock price rallied 15.5% in the last trading session to close at $14.70, driven by notable trading volume [3] - The stock has gained 76.6% over the past four weeks [3] - The company is expected to post a quarterly loss of $2.33 per share, representing a year-over-year change of +2.9% [5] - Revenues are expected to be $236.74 million, down 3% from the year-ago quarter [5] - The recent price increase is attributed to investor optimism surrounding the company's decision to consolidate its cloud infrastructure on Oracle Cloud Infrastructure (OCI) as part of its digital transformation strategy [4] Medpace (MEDP) - The consensus EPS estimate for the upcoming report has increased by +0.9% over the past month to $2.97, representing a +20.7% change from the same period last year [2] - The stock closed the last trading session 0.3% higher at $352.01 [1] - Over the past month, the stock has returned 1.4% [1] Industry Context - MultiPlan belongs to the Zacks Medical Services industry [1] - Medpace is another stock in the same industry [1]

Debt and Capital Structure - As of September 30, 2024, the company's long-term debt totaled $4,569.060 million, a decrease from $4,600.030 million as of December 31, 2023[78] - The company purchased and canceled $21.1 million of Senior Convertible PIK Notes during the nine months ended September 30, 2024, resulting in a gain on extinguishment of $5.9 million[78] - The interest rate for Term Loan B was 9.57% as of September 30, 2024[78] - The company is exploring ways to optimize its capital structure to support its transformation into a data and technology-focused entity in healthcare[79] - The fair value of long-term debt as of September 30, 2024, was estimated at $3,059.946 million[88] - The company has irrevocable letters of credit totaling $7.9 million outstanding as of September 30, 2024, related to real estate lease agreements and a captive insurance subsidiary[94] Financial Performance - The company reported impairment charges of $361.6 million for goodwill and $1,434.4 million for long-lived intangible assets for the nine months ended September 30, 2024[91] - The Company reported a net loss of $391,450 thousand for the three months ended September 30, 2024, compared to a net loss of $24,145 thousand for the same period in 2023[102] - The net loss per share was $(24.25) for the three months ended September 30, 2024, compared to $(1.49) for the same period in 2023[102] - The weighted average number of shares outstanding was 16,143,520 for the three months ended September 30, 2024, slightly down from 16,161,095 in the same period of 2023[102] Stock and Legal Matters - The Company has authorized a stock repurchase program of up to $100.0 million, extended through December 31, 2024, with $25.6 million spent as of September 30, 2024[99] - Legal expenses related to ongoing litigation amounted to $23 thousand and $82 thousand for the three and nine months ended September 30, 2024, respectively[103] - The Company has accrued for legal fees and contingencies, reflecting significant management judgment in estimating potential liabilities[98] - The Company intends to vigorously defend against antitrust lawsuits centralized in the Northern District of Illinois[97] Other Financial Activities - The fair value of Private Placement Warrants and Unvested Founder Shares was recorded at $1,000 as of September 30, 2024, down from $477,000 as of December 31, 2023[82] - The company recognized losses of $87,000 related to the change in fair value of Private Placement Warrants and Unvested Founder Shares for the three months ended September 30, 2024[83] - The company received $9.8 million in recoveries from insurers related to a settled litigation during the three months ended September 30, 2024[96] - As of September 30, 2024, prepaid expenses from related parties were $6 thousand, down from $36 thousand as of December 31, 2023[104] Market Risks - There were no material changes in market risks as of September 30, 2024, compared to the 2023 Annual Report[211]

MultiPlan Corporation (MPLN) came out with a quarterly loss of $1.85 per share versus the Zacks Consensus Estimate of a loss of $2.37. This compares to loss of $2.40 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 21.94%. A quarter ago, it was expected that this company would post a loss of $1.60 per share when it actually produced a loss of $1.20, delivering a surprise of 25%.Over the last four quarters, the company has surpa ...

Group 1 - MultiPlan Corporation (MPLN) shares increased by 9% to close at $7.87, following a notable trading volume, despite a 21.7% loss over the past four weeks [1] - The partnership with the National Rural Health Association is fostering optimism, leveraging over 40 years of combined expertise to enhance healthcare quality and reduce costs in rural areas [2] - The upcoming quarterly report is expected to show a loss of $2.40 per share, with revenues projected at $230.91 million, reflecting a 4.9% decline from the previous year [3] Group 2 - The consensus EPS estimate for MultiPlan has remained unchanged over the last 30 days, indicating that stock price movements may not sustain without earnings estimate revisions [4] - MultiPlan is categorized under the Zacks Medical Services industry, where Teladoc (TDOC) has shown a 23.7% return in the past month, closing at $8.41 [4] - Teladoc's EPS estimate has decreased by 2.1% to -$0.29, representing a 17.1% change compared to the previous year [5]

Financial Data and Key Metrics Changes - Second quarter revenue was $233.5 million, a decrease of 1.9% from Q2 2023 and effectively flat sequentially [28] - Adjusted EBITDA was $146.7 million in Q2 2024, down 3.9% from $152.7 million in the prior year quarter and down 0.1% from $146.8 million in Q1 2024 [34] - Adjusted EBITDA margin was 62.8% in Q2 2024, up 20 basis points from Q1 2024 but down from 64.2% in the prior year quarter [35] - Full year 2024 revenue guidance revised to $935 million to $955 million, down from prior guidance of $1.0 billion to $1.03 billion [36] Business Line Data and Key Metrics Changes - Network-based revenues declined 0.9% sequentially, driven by continued softness in complementary network and Property and Casualty businesses [29] - Analytics-based revenues were essentially flat sequentially, with strength in Data iSight offset by softness in NSA volumes [29] - Payment and Revenue Integrity revenues declined 1.4% sequentially, driven by softness in Prepayment Clinical Negotiation business [30] Market Data and Key Metrics Changes - Total second quarter build charges increased 9% sequentially to $45.3 billion, and identified potential savings increased 8% sequentially to $6.2 billion [31] - Identified potential savings in the core percentage of savings revenue model increased 3% sequentially to $4.4 billion [31] - Revenue yield declined about 31 basis points sequentially for the overall business, with a decline of about 14 basis points in the core percentage of savings revenue model [32][33] Company Strategy and Development Direction - The company is engaged in a 5-year strategic and resource planning exercise to assess market potential and sharpen new product development [14] - A focus on transforming into a data and technology-forward organization with an aggressive growth mindset is emphasized [21] - The company aims to increase its total addressable market and diversify its customer base by serving national and regional payer clients more aggressively [21] Management's Comments on Operating Environment and Future Outlook - Management acknowledged that financial results have not met expectations and emphasized the need for improvement [25] - The company is confident in its core business despite anticipated attrition from a larger client impacting growth until mid-2025 [37] - Management expressed optimism about the long-term prospects and the potential for sustainable growth through improved execution and product offerings [28][57] Other Important Information - A noncash impairment charge of $553.7 million was recorded due to the estimated fair value of goodwill being less than its carrying value [38] - The company ended the quarter with $49 million of unrestricted cash and emphasized a focus on organic investments and debt reduction [39][40] Q&A Session Summary Question: Guidance for the second half and potential cost savings - Management indicated cautious optimism for the second half, with expectations of modest improvement in core revenues but volatility in revenue yield [43][45] Question: Slower commercial traction on new products - Management clarified that the sales cycle for new products is taking longer than anticipated, but the pipeline remains robust [46] Question: Details on the 3% headwind to revenues in 2025 - Management noted that this headwind is related to a strategic decision by one of their larger clients, not indicative of a broader trend [47][48] Question: Revenue yield volatility - Management explained that while there has been volatility in revenue yield, they expect some normalization as client credits wash through the system [50][52] Question: Long-term growth expectations - Management reaffirmed the long-term growth targets of 4% to 5% for core out-of-network growth, with potential for higher growth with new products [55][57]

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (MARK ONE) x QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarter ended March 31, 2024 o TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission file number: 001-39228 MULTIPLAN CORPORATION (Exact Name of Registrant as Specified in Its Charter) (State or other jurisdiction of incorp ...

Financial Data and Key Metrics Changes - First quarter revenue was $234.5 million, a decrease of 0.9% from Q1 2023 and a decrease of 3.9% sequentially, falling just shy of the low end of guidance due to a claims volume disruption caused by a cyber outage [62][58] - Adjusted EBITDA for the first quarter was $146.8 million, down 6.1% from $156.3 million in the prior year quarter and down 6.4% from $156.8 million in Q4 2023, with a margin of 62.6% [69][58] - The company recorded non-cash impairment charges of $516.4 million for goodwill and $2.7 million for intangibles, impacting GAAP earnings results [72][91] Business Line Data and Key Metrics Changes - Network-based revenues declined 11.6% sequentially, driven largely by the claims volume disruption, while Payment and Revenue Integrity revenues declined 0.6% sequentially [63][64] - Analytics-based revenues grew 5.0% year-over-year, but overall analytics-based revenues fell 2.1% sequentially due to the claims volume disruption [84][83] - The core percentage of savings revenue model, which constitutes approximately 90% of revenues, saw a revenue yield decline of about 10 basis points, impacting revenues by approximately $4.4 million [68][62] Market Data and Key Metrics Changes - Total first quarter bill charges decreased 4% sequentially to $41.5 billion, with identified potential savings decreasing 3% sequentially to $5.7 billion [85] - In the core commercial health plan segment, bill charges decreased 6% sequentially to $18.3 billion, and identified potential savings decreased 3% sequentially to $5.4 billion [85] - The company noted that larger hospital systems were able to quickly switch to alternative clearinghouses, mitigating some of the disruption effects [66] Company Strategy and Development Direction - The company aims to enhance its operational framework with a focus on clarity, alignment, and accountability, establishing over 30 corporate key performance indicators [53][52] - There is a commitment to organic product development and the introduction of new data and decision science products to serve clients across the healthcare continuum [56][40] - The company plans to focus on debt reduction and organic investments while deemphasizing M&A in the near term [28][29] Management's Comments on Operating Environment and Future Outlook - Management acknowledged external pressures and macro uncertainty in healthcare but expressed optimism about the opportunities these challenges present [2][5] - The company expects revenue growth to accelerate in the second half of the year, maintaining its guidance for fiscal year 2024 despite the shortfall in Q1 results [71][90] - Management emphasized the importance of continuing to serve clients and the healthcare ecosystem, reinforcing the company's mission to reduce healthcare costs [45][30] Other Important Information - The company identified $23 billion in potential medical cost savings across all products in 2023, pricing $15.4 million in out-of-network claims through its platform [31][32] - The average revenue per claim across out-of-network pricing services in 2023 was $44 per claim [32] - The company has a strong focus on enhancing its product offerings and expanding into adjacent markets [108][110] Q&A Session Summary Question: Impact of recent lawsuit on go-to-market strategy - Management confirmed that there would be no change in the go-to-market strategy despite the recent lawsuit, continuing to aggressively target core and adjacent markets [9][10] Question: Changes in management's view on self-insured employer side - Management indicated that there has not been a significant behavior switch among employer plan sponsors, and they are focusing on shifting the business model towards more subscription-type offerings [11][12] Question: Clarification on claims volume disruption and its impact - Management explained that the claims volume disruption was pervasive and affected all payer clients, with expectations for normalization in the second half of April [20][24] Question: Demand for NSA-related products - Management noted ongoing discussions with clients regarding NSA-related products, indicating that clients are moving ahead despite uncertainties [25][26] Question: Long-term growth plans and performance indicators - Management reaffirmed commitment to the 2023-2024 growth plan and emphasized the importance of operational excellence and innovation in driving future growth [111][112]

Financial Performance - Q1 2024 revenues were $234.5 million, a decrease of 0.9% compared to $236.6 million in Q1 2023[5] - Net loss for Q1 2024 was $539.7 million, primarily due to a $519.1 million impairment charge for goodwill and indefinite-lived intangibles[11] - Adjusted EBITDA for Q1 2024 was $146.8 million, down from $156.3 million in Q1 2023[11] - Revenues for Q1 2024 were $234,508,000, a decrease of 1% from $236,594,000 in Q1 2023[32] - Net loss for Q1 2024 was $539,689,000 compared to a net income of $209,000 in Q1 2023[32] - Adjusted EBITDA for Q1 2024 was $146,790,000, down from $156,259,000 in Q1 2023, representing a decrease of approximately 6%[36] Cash Flow and Liquidity - Free Cash Flow for Q1 2024 was $19,172,000, down from $41,114,000 in Q1 2023[37] - Unlevered Free Cash Flow for Q1 2024 was $79,914,000, compared to $102,831,000 in Q1 2023[37] - Cash and cash equivalents at the end of Q1 2024 were $58,695,000, down from $265,728,000 at the end of Q1 2023[34] - The company ended Q1 2024 with $58.7 million of unrestricted cash and cash equivalents[11] Guidance and Projections - Full Year 2024 revenue guidance is maintained at $1,000 million to $1,030 million[8] - Q2 2024 revenue guidance is projected between $235 million and $250 million[8] Assets and Liabilities - Total assets decreased to $6,366,695,000 as of March 31, 2024, from $6,964,687,000 as of December 31, 2023[29] - Total liabilities decreased slightly to $5,196,313,000 as of March 31, 2024, from $5,255,563,000 as of December 31, 2023[29] Operational Impact - The company identified potential medical cost savings of approximately $5.7 billion in Q1 2024, a 3% increase from Q1 2023[6] - The company processed approximately $41.5 billion in claim charges during Q1 2024[11] - A cybersecurity incident impacted claims flows, resulting in an estimated revenue impact of $5 to $6 million[4] Impairment Charges - The company reported a loss on impairment of goodwill and intangible assets of $519,050,000 in Q1 2024[32] - The company repurchased or repaid $24.4 million of debt in Q1 2024, including $21.1 million of Senior Convertible PIK Notes[6] Cash Conversion - The Adjusted Cash Conversion Ratio for Q1 2024 was 54%, a decrease from 66% in Q1 2023[37]

Financial Data and Key Metrics Changes - For Q4 2023, revenues were $244.1 million, an increase of 0.5% from Q3 and up 1.3% year-over-year despite challenging comparisons due to contract renewals [8][74] - Full year 2023 revenues totaled $961.5 million, down 10.9% from the previous year, primarily due to contract renewals and a decline in COVID-related claim savings [34][75] - Adjusted EBITDA for Q4 2023 was $156.8 million, down 2.9% from the prior year quarter but up 3% sequentially [25][33] - The adjusted EBITDA margin for Q4 2023 improved to 64.2%, up 150 basis points from the prior quarter but down from 67% in Q4 2022 [25][56] Business Line Data and Key Metrics Changes - Network-based revenues declined 8.1% or $4.6 million compared to Q3 2023, largely due to customer adjustments in the complementary network business [17] - Analytics-based revenues grew 3.2% sequentially, driven by strong volumes in Data iSight and NSA services [47] - Payment and Revenue Integrity revenues increased 3.2% sequentially, attributed to strength in Discovery Health lines of business [47] Market Data and Key Metrics Changes - Total billed charges in Q4 increased 2% sequentially to $43.4 billion, with identified potential savings rising 2.3% to $5.9 billion [48] - In the core commercial health plan segment, billed charges were up 5% sequentially to $19.4 billion, with identified potential savings increasing 2.2% [48] Company Strategy and Development Direction - The company is focusing on enhancing its core services and expanding its HST platform, with a goal to solidify market leadership in NSA services and expand into Data & Decision Science Services [58] - A new curated network concept is being developed to target specific geographic markets with high demand for cost-effective healthcare solutions [2][22] - The company plans to introduce additional models focused on high-cost claimants and the senior population to add value for Medicare Advantage plans [65] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's growth trajectory, highlighting the successful execution of the growth plan and the potential for accelerated growth in 2024 and beyond [10][27] - The management acknowledged the challenges posed by the healthcare industry's evolving landscape, including regulatory pressures and changing consumer demands [45][68] - The company anticipates 2024 revenues of $1.0 billion to $1.03 billion, representing a growth of approximately 4% to 7% from 2023 [50] Other Important Information - The company has made significant strides in reducing debt, repurchasing or repaying $362 million in face value of debt over the last five quarters [55][84] - The adjusted EBITDA margin for the full year 2023 was 64.3%, down from 71.2% in 2022, reflecting lower revenue and higher expenses [57][97] Q&A Session Summary Question: Impact of out-of-network segment in 2023 - Management indicated that the out-of-network segment had a 9% headwind in 2023 due to contract renewals, affecting all products [108] Question: Demand for cost containment products in Medicare - Management noted increased demand for Data and Decision Sciences products tailored to meet the needs of the Medicare market [109] Question: Details on curated networks - Management explained that curated networks would be geographically based and focused on specific customer segments or chronic diseases [111] Question: Medical cost inflation guidance - Management stated that while long-term expectations are around 4% to 5%, near-term guidance is more conservative due to upcoming renewals in the healthcare ecosystem [112]