Financial Data and Key Metrics Changes - Privia Health reported a strong performance in 2024, exceeding guidance metrics across all areas, with implemented providers increasing by 11.2% year over year and fee-for-service collections growing by 13.6% [7][8] - Adjusted EBITDA rose by 25.2% to reach $90,500,000, with a free cash flow generation of $109,300,000, converting 121% of adjusted EBITDA [8][15] - The company ended 2024 with $491,000,000 in cash and no debt, providing significant financial flexibility [9][15] Business Line Data and Key Metrics Changes - Implemented providers grew to 4,789, with practice collections increasing by 4.5% to $2,970,000,000, and care margin up by 12.4% [14][15] - The company achieved a gross provider retention rate of 98%, indicating strong provider satisfaction with the Privia platform [10] Market Data and Key Metrics Changes - Total attributed lives increased by over 11% year over year, with commercial attributed lives rising by 15.2% to reach 782,000 [11] - Medicare Advantage and Medicaid attribution both increased by nearly 8% from the previous year [11] Company Strategy and Development Direction - Privia aims to build one of the largest primary care-centric delivery networks in the nation, focusing on disciplined growth and capital deployment [9][18] - The company plans to maintain its core priorities in 2025, including increasing provider density, attribution growth, and operational efficiencies [16][17] Management's Comments on Operating Environment and Future Outlook - Management acknowledged headwinds in the Medicare Advantage environment but expressed confidence in the company's ability to build scale and profitability despite challenges [11][12] - The company expects to generate positive contribution margins in value-based contracts while managing risks and enhancing clinical performance [11][12] Other Important Information - The company does not anticipate new market entry costs in its 2025 guidance, focusing instead on organic growth in existing markets [19][89] - Management emphasized the importance of a disciplined approach to capital deployment and the potential for returning capital to shareholders if stock prices deviate from intrinsic value [28] Q&A Session Summary Question: Can you break out the leverage between sales and marketing and G&A? - Management indicated that the guidance reflects scaling of the cost structure, with no new market entry costs assumed [22][23] Question: What is the status of M&A opportunities given the cash on the balance sheet? - Management stated they are exploring all opportunities but will remain disciplined in their approach, focusing on capital deployment to create shareholder value [26][28] Question: How does the glide path to risk impact Privia? - Management believes their approach to risk-taking validates their market position and does not change their strategy [32][34] Question: What factors are influencing the flatness in shared savings? - Management noted that prudence in guidance reflects various factors, including utilization trends and potential changes in program structures [40][41] Question: What is the expected contribution margin for the capitated book? - Management indicated that while they expect a positive contribution margin, it is difficult to predict if it will improve from the previous year [112] Question: How does the company view the potential increase in uninsured individuals? - Management expressed that they do not have significant exposure to Medicaid or uninsured populations, and their diversified mix helps mitigate risks [68]

Financial Restrictions and Debt - The Revolving Credit Agreement imposes significant operating and financial restrictions, potentially limiting the company's ability to engage in beneficial long-term actions [234]. - A breach of covenants could lead to an event of default, allowing creditors to accelerate debt repayment, which may exceed the company's asset capacity [235]. - The company may face limitations on incurring additional indebtedness, making investments, or paying dividends due to restrictive covenants [236]. - Failure to raise additional capital or generate necessary cash flows could hinder the company's competitive position and operational results [238]. Compliance and Regulatory Risks - Compliance with Section 404 of the Sarbanes-Oxley Act requires substantial expenses and management efforts, impacting financial reporting accuracy [239]. - The company faces risks related to compliance with evolving laws and regulations, which could increase legal and financial costs [251]. - Increased scrutiny on ESG initiatives may lead to higher costs and impact the company's reputation and business operations [244]. Market and Stock Price Volatility - The company's stock price may experience volatility due to market conditions and fluctuations in quarterly financial results [258]. - The trading market for the company's shares may experience increased volatility, potentially leading to securities class action litigation [261]. - The market price of the stock could decline if large shareholders sell their shares or are perceived to intend to sell [262]. - The company is subject to various factors that could affect its stock price, including regulatory developments and economic conditions [264]. Corporate Governance and Shareholder Actions - Provisions in corporate governance documents may hinder acquisition attempts and shareholder actions, potentially affecting stock price [254]. - The company has no current plans to pay regular cash dividends on its common stock, meaning returns on investment depend solely on stock price appreciation [263]. Debt and Interest Rate Exposure - The primary market risk exposure is rising interest rates, with the Credit Agreement bearing interest at a base rate plus applicable margin, with a minimum base rate of 1.0% [385]. - As of December 31, 2024, the company had no outstanding debt under the Credit Agreement [385]. Economic Factors - Inflation has not had a material effect on operating results, but future inflation could adversely impact financial condition [386]. - Future sales and issuances of outstanding shares could significantly reduce the market price of the common stock, even if the business performs well [262]. Miscellaneous - There are no unresolved staff comments reported by the company [265]. - The company does not hold financial instruments for trading purposes, focusing instead on managing market risk exposure [384].

4th Quarter 2024 Results February 27, 2025 Parth Mehrotra, CEO David Mountcastle, CFO Disclaimer Forward-Looking Statements This presentation contains forward-looking statements that express the Company's opinions, expectations, beliefs, plans, objectives, assumptions or projections regarding future events or future results that include, but are not limited to: 2025 financial guidance and other projections and forecasts. These forward-looking statements involve a number of risks, uncertainties (some of whic ...

分组1 - Privia Health reported quarterly earnings of $0.03 per share, missing the Zacks Consensus Estimate of $0.06 per share, representing an earnings surprise of -50% [1] - The company posted revenues of $460.9 million for the quarter ended December 2024, surpassing the Zacks Consensus Estimate by 10.37%, compared to year-ago revenues of $440.83 million [2] - Privia Health shares have increased by approximately 23.1% since the beginning of the year, outperforming the S&P 500's gain of 1.3% [3] 分组2 - The current consensus EPS estimate for the coming quarter is $0.07 on revenues of $455.78 million, and $0.27 on revenues of $1.88 billion for the current fiscal year [7] - The Zacks Industry Rank indicates that the Medical Info Systems industry is currently in the top 34% of over 250 Zacks industries, suggesting a favorable outlook [8]

Full-Year Performance Exhibit 99.1 | | | | For the Years Ended December 31, | | | | --- | --- | --- | --- | --- | --- | | ($ in millions, except per share amounts) | | 2024 | | 2023 | * Change (%) | | Total revenue | $ | 1,736.4 | $ | 1,657.7 | 4.7 % | | Gross profit | $ | 397.7 | $ | 353.8 | 12.4 % | | Operating income | $ | 17.0 | $ | 20.6 | (17.8)% | | a Net income | $ | 14.4 | $ | 23.1 | (37.7)% | | b Non-GAAP adjusted net income | $ | 97.6 | $ | 81.5 | 19.8 % | | Net income per share | $ | 0.11 | $ | 0 ...

Core Insights - Privia Health Group, Inc. reported strong financial and operational results for the fourth quarter and full year ended December 31, 2024, exceeding the high end of its guidance ranges for 2024 [1] Full-Year Performance - Total revenue increased to $1,736.4 million in 2024, up 4.7% from $1,657.7 million in 2023 [2] - Gross profit rose to $397.7 million, reflecting a 12.4% increase from $353.8 million in 2023 [2] - Operating income decreased to $17.0 million, down 17.8% from $20.6 million in 2023 [2] - Net income fell to $14.4 million, a decline of 37.7% from $23.1 million in 2023 [2] - Non-GAAP adjusted net income increased to $97.6 million, up 19.8% from $81.5 million in 2023 [2] - Net income per share decreased to $0.11, down 42.1% from $0.19 in 2023 [2] - Non-GAAP adjusted net income per share increased to $0.78, up 21.9% from $0.64 in 2023 [2] Key Operating Metrics - Implemented Providers increased by 11.2% to 4,789 from 4,305 at year-end 2023 [5][7] - Attributed Lives grew by 12.1% to 1,256,000 from 1,120,000 in 2023 [7] - Practice Collections reached $2,968.0 million, a 4.5% increase from $2,839.0 million in 2023 [7] - Care Margin improved to $403.9 million, up 12.4% from $359.2 million in 2023 [7] - Adjusted EBITDA grew by 25.2% to $90.5 million from $72.2 million in 2023 [6][7] Fourth Quarter Performance - Total revenue for Q4 2024 was $460.9 million, a 4.6% increase from $440.8 million in Q4 2023 [9] - Gross profit for Q4 2024 was $106.1 million, up 18.0% from $90.0 million in Q4 2023 [9] - Operating income surged to $5.2 million, a 269.6% increase from $1.4 million in Q4 2023 [9] - Net income for Q4 2024 was $4.4 million, a 55.0% increase from $2.8 million in Q4 2023 [9] - Non-GAAP adjusted net income for Q4 2024 was $26.5 million, up 30.5% from $20.3 million in Q4 2023 [9] Capital Resources and Cash Flow - The cash balance at year-end 2024 was $491.1 million, a 26.1% increase from $389.5 million at year-end 2023 [12] - Net cash provided by operating activities for 2024 was $109.3 million, a 35.3% increase from $80.8 million in 2023 [12] - Free cash flow for 2024 was $109.3 million, up 35.4% from $80.7 million in 2023 [12] 2025 Financial and Business Outlook - The company expects to increase Implemented Providers to between 5,200 and 5,300, representing a year-over-year growth of 8.6% to 10.7% [13] - Attributed Lives are projected to grow to between 1,300,000 and 1,400,000, a 3.5% to 11.5% increase [13] - Practice Collections are expected to reach between $3,150 million and $3,250 million, reflecting a 6.1% to 9.5% increase [13] - GAAP Revenue guidance for 2025 is set between $1,800 million and $1,900 million, indicating a 3.7% to 9.4% increase [13]

Core Insights - Wall Street analysts anticipate Privia Health (PRVA) will report quarterly earnings of $0.06 per share, reflecting a year-over-year increase of 200% [1] - Expected revenues for the quarter are $417.6 million, which represents a decline of 5.3% compared to the same quarter last year [1] - The consensus EPS estimate has remained stable over the past 30 days, indicating a reevaluation of initial estimates by analysts [1] Earnings Estimates and Market Reactions - Changes in earnings estimates are critical for predicting investor reactions to stock performance [2] - Empirical studies show a strong correlation between earnings estimate revisions and short-term stock price performance [2] Key Metrics Projections - Analysts project 'Practice Collections' to reach $719.81 million, down from $756.60 million reported in the same quarter last year [4] - The estimated 'Care Margin' is $101.70 million, an increase from $91.45 million in the previous year [4] - The consensus for 'Platform Contribution' is expected to be $48.89 million, up from $42.28 million reported in the same quarter last year [5] Stock Performance - Privia Health shares have increased by 7.2% over the past month, contrasting with a -1.8% change in the Zacks S&P 500 composite [5] - With a Zacks Rank of 3 (Hold), PRVA is expected to perform in line with the overall market in the near future [5]

Core Viewpoint - Privia Health Group, Inc. is set to announce its financial results for the fourth quarter and full-year periods ending December 31, 2024, on February 27, 2025, before market open [1]. Financial Results Announcement - The financial results press release will be publicly available by 7:00 am ET on February 27, 2025, and can be accessed on the company's Investor Relations website [2]. - A conference call will be hosted by Privia Health management at 8:00 am ET on the same day to discuss the financial results and future outlook [2][3]. Conference Call Details - The conference call can be accessed via live webcast, with an archived version available for on-demand listening shortly after the call [3]. - To participate in the live call, interested parties can dial 646-968-2525 or 888-596-4144 for international callers, using Conference ID 5704885 [3]. Company Overview - Privia Health is a technology-driven national physician enablement company that collaborates with medical groups, health plans, and health systems to enhance physician practices and patient experiences [4]. - The Privia Platform is characterized by scalable operations and cloud-based technology aimed at reducing healthcare costs and improving patient outcomes [4].

Core Insights - Definitive Healthcare Corp. (DH) and Privia Health (PRVA) are being compared for their value opportunities, with DH currently rated 2 (Buy) and PRVA rated 3 (Hold) according to the Zacks Rank [2][4] - DH has a forward P/E ratio of 12.07, significantly lower than PRVA's forward P/E of 137.64, indicating a more attractive valuation for DH [3] - DH's PEG ratio is 1.32, while PRVA's PEG ratio is 5.23, suggesting that DH is expected to grow earnings at a more favorable rate relative to its price [3] - DH has a P/B ratio of 0.70 compared to PRVA's P/B of 3.63, further supporting the argument that DH is undervalued [6] - Based on these valuation metrics, DH has earned a Value grade of A, while PRVA has a Value grade of C, indicating that DH is the superior value option at this time [6] Valuation Metrics - The forward P/E ratio for DH is 12.07, while PRVA's is 137.64, highlighting a significant difference in valuation [3] - The PEG ratio for DH is 1.32, compared to PRVA's 5.23, indicating a more favorable growth outlook for DH [3] - DH's P/B ratio stands at 0.70, while PRVA's is 3.63, suggesting that DH is trading at a lower valuation relative to its book value [6] Investment Outlook - The Zacks Rank emphasizes companies with positive earnings estimate revisions, which is a favorable indicator for DH's earnings outlook [2] - Value investors typically consider various fundamental metrics, including P/E, P/S, earnings yield, and cash flow per share, to identify undervalued stocks [5] - The analysis suggests that DH presents a better value opportunity compared to PRVA based on the current financial metrics [6]

Core Insights - Definitive Healthcare Corp. (DH) and Privia Health (PRVA) are being compared for value investment opportunities, with DH currently showing stronger potential for value investors [1][3]. Valuation Metrics - DH has a forward P/E ratio of 13.79, significantly lower than PRVA's forward P/E of 148.10, indicating that DH may be undervalued [5]. - The PEG ratio for DH is 1.51, while PRVA's PEG ratio is 5.63, suggesting that DH has a more favorable growth outlook relative to its valuation [5]. - DH's P/B ratio stands at 0.79, compared to PRVA's P/B of 3.91, further indicating that DH is more attractively priced relative to its book value [6]. Investment Grades - DH holds a Value grade of A, while PRVA has a Value grade of C, reflecting DH's superior valuation metrics and earnings outlook [7].