SPRIVIA 1 H E A L T H 4 th Quarter & Full Year 2021 Results March 23, 2022 Shawn Morris – Chief Executive Officer Parth Mehrotra – President & COO David Mountcastle – Chief Financial Officer 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: 2022 financial guidance and other projectio ...

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Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 _________________________ FORM 10-Q _______________________________ (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2021 OR ☐ 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 001-40365 _________________________ Privia Health Gr ...

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Privia Health Group, Inc. (NASDAQ:PRVA) Q3 2021 Earnings Conference Call November 8, 2021 8:00 AM ET Company Participants Robert Borchert - Senior Vice President of Investor and Corporate Communications Shawn Morris - Chief Executive Officer Parth Mehrotra - President and Chief Operating Officer David Mountcastle - Chief Financial Officer Conference Call Participants Jailendra Singh - Credit Suisse Ryan Daniels - William Blair Joshua Raskin - Nephron Research Lisa Gill - JPMorgan Richard Close - Canacco ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 _________________________ FORM 10-Q _______________________________ (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2021 OR ☐ 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 001-40365 _________________________ Privia Health Group, ...

Financial Data and Key Metrics Changes - Practice collections increased by 30.3% to over $367 million compared to the second quarter of the previous year [11] - Care margin grew by 33.7% year-over-year, indicating strong financial performance [24] - Adjusted EBITDA rose by 43% in the quarter, with adjusted EBITDA margin expanding by 110 basis points year-over-year [25] Business Line Data and Key Metrics Changes - The company reported a 30.3% increase in practice collections driven by growth in implemented providers and attributed lives [23] - Year-to-date performance showed practice collections up nearly 17% and care margin increasing approximately 21% compared to the first half of 2020 [26] Market Data and Key Metrics Changes - Medicare Advantage lives increased by 13% sequentially to 102,000 at the end of the second quarter [20] - The company currently participates in over 70 at-risk value-based care programs across various payer contracts [18] Company Strategy and Development Direction - The launch of Privia Care Partners aims to expand partnerships with providers without requiring them to switch to a single tax ID medical group [14][15] - The company plans to grow attributed lives and transition more of these lives into downside and full risk arrangements over time [20] - The five core strategies for growth include same store growth, increasing attribution and risk-based contracts, adding new providers, opening new markets, and pursuing M&A opportunities [28] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the significant opportunities in expanding risk-sharing arrangements across value-based reimbursement models [17] - The company expects attributed lives, practice collections, GAAP revenue, care margin, platform contribution, and adjusted EBITDA to be near the high end of guidance ranges for the remainder of 2021 [27] Other Important Information - The company has a net cash position of $266 million, providing sufficient capital for growth initiatives [25] - The management team has decades of experience in managing and underwriting risk, which positions the company well for future transitions in value-based care [21] Q&A Session Summary Question: Can you offer more detail around Privia Care Partners? - The model is designed for value-based care and includes MSO services, allowing providers to participate without switching platforms [34] Question: How does the utilization trend impact Privia? - The company is seeing positive impacts from both fee-for-service and value-based sides, demonstrating resilience across different utilization scenarios [39] Question: What is the provider pipeline outlook for 2022? - The company has a consistent sales approach throughout the year, with a strong pipeline for implementation in 2022 already under contract [42] Question: How do the economics of Privia Care Partners compare to traditional models? - The economics are expected to be similar, with a focus on attributed lives and participation in various value-based programs [45] Question: What is the competitive landscape for the new model? - The lighter model is not a direct reaction to market pressures but a strategic expansion to engage providers who are not ready for a full switch [64]

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Financial Data and Key Metrics Changes - In Q1 2021, Practice Collections increased by 5.1% year-over-year, while Care Margin rose by 9.7% [15][18] - Platform Contribution grew by 25.9% year-over-year, and adjusted EBITDA increased by 41% [19] - Adjusted EBITDA margin as a percentage of Care Margin expanded by 420 basis points year-over-year to reach 18.9% [19] Business Line Data and Key Metrics Changes - The company continues to add Attributed Lives across various value-based programs while growing the number of providers in existing markets [16] - The growth in Implemented Providers and value-based Attributed Lives contributed to the increase in Practice Collections [17] Market Data and Key Metrics Changes - The company expects to increase the number of Implemented Providers by 11.8% to 13.7% and value-based Attributed Lives by 7% to 10% in 2021 [20] - Practice Collections are projected to grow by 11.1% to 12.6% year-over-year, reaching between $1.445 billion and $1.465 billion for 2021 [20] Company Strategy and Development Direction - The company aims to grow organically by increasing the number of providers and patient panels while expanding into new markets [12] - The strategy includes moving markets to value-based care and capitalizing on white space opportunities by adding new providers and ancillary services [12] - The company is focused on maintaining a capital-light financial model while being open to acquiring stakes in medical practices when appropriate [11] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the business momentum and outlook for the remainder of 2021, citing strong first-quarter results [20] - The leadership team emphasized the importance of transitioning practices to partial and full risk models to align with value-based care [14] Other Important Information - The company reported a pro forma cash balance of approximately $294 million at the end of Q1, with a net cash position of about $216 million [22] - The effective tax rate is expected to be in the range of 25% to 27% for the full year [22] Q&A Session Summary Question: Timeline for shifting to full risk arrangements - Management indicated that while they currently take downside risk in many contracts, full risk arrangements are expected to be more feasible in 2022-2023 [26][29] Question: Differentiation of the company's model - Management highlighted the unique aspects of their model, including the ability to support all providers and patients across various reimbursement models, which attracts physicians [33][35] Question: Competitive landscape and collaboration agreements - Management acknowledged competition from various players but emphasized their broad solution set and flexibility, which allows them to cater to different types of practices [71][75] - The collaboration agreement with Anthem is non-exclusive, allowing the company to work with multiple payers [76] Question: Drivers of divergence in Practice Collections and Revenue growth rates - Management explained that the divergence is influenced by the mix of states with Corporate Practice Laws and the impact of a practice leaving the platform [81][83]

[PART I - FINANCIAL INFORMATION](index=5&type=section&id=PART%20I%20-%20FINANCIAL%20INFORMATION) [Financial Statements](index=5&type=section&id=Item%201.%20Condensed%20Financial%20Statements%20%28Unaudited%29) Privia Health reported Q1 2021 revenues of $213.6 million, stable net income, and improved operating cash flow, with a post-quarter $212.0 million IPO [Condensed Consolidated Balance Sheets](index=5&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) Condensed Consolidated Balance Sheet Highlights (in thousands) | Account | March 31, 2021 | December 31, 2020 | | :--- | :--- | :--- | | **Assets** | | | | Cash and cash equivalents | $81,938 | $84,633 | | Accounts receivable | $116,720 | $99,118 | | Total current assets | $204,646 | $190,084 | | Goodwill | $118,663 | $118,663 | | **Total assets** | **$348,276** | **$328,969** | | **Liabilities & Equity** | | | | Physician and practice liability | $123,767 | $106,811 | | Total current liabilities | $157,524 | $146,938 | | Note payable, net of current portion | $32,293 | $32,784 | | **Total liabilities** | **$198,907** | **$185,317** | | **Total stockholders' equity** | **$149,369** | **$143,652** | [Condensed Consolidated Statements of Operations](index=6&type=section&id=Condensed%20Consolidated%20Statements%20of%20Operations) Condensed Consolidated Statements of Operations (in thousands) | Metric | Q1 2021 | Q1 2020 | | :--- | :--- | :--- | | Revenue | $213,607 | $212,942 | | Total operating expenses | $205,700 | $206,446 | | Operating income | $7,907 | $6,496 | | Net income | $5,616 | $5,329 | | Net income attributable to Privia Health Group, Inc. | $5,398 | $5,414 | | EPS - basic and diluted | $0.06 | $0.06 | [Condensed Consolidated Statements of Cash Flows](index=8&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) Condensed Consolidated Statements of Cash Flows (in thousands) | Cash Flow Activity | Q1 2021 | Q1 2020 | | :--- | :--- | :--- | | Net cash used in operating activities | $(2,476) | $(7,079) | | Net cash used in investing activities | $0 | $(13) | | Net cash (used in) provided by financing activities | $(219) | $10,000 | | Net (decrease) increase in cash | $(2,695) | $2,908 | | Cash at end of period | $81,938 | $49,797 | [Notes to Condensed Consolidated Financial Statements](index=9&type=section&id=Notes%20to%20Condensed%20Consolidated%20Financial%20Statements) Notes detail operations, accounting policies, the **$212.0 million IPO**, new accounting standards, revenue disaggregation, and share-based compensation modifications - On May 3, 2021, the company closed its IPO, generating gross proceeds of **$223.7 million** and net proceeds of **$212.0 million**[27](index=27&type=chunk) Disaggregated Revenue (in thousands) | Revenue Source | Q1 2021 | Q1 2020 | | :--- | :--- | :--- | | FFS-patient care | $169,578 | $174,870 | | FFS-administrative services | $15,411 | $14,555 | | Shared savings | $17,833 | $16,439 | | Care management fees (PMPM) | $8,570 | $6,230 | | Other revenue | $2,215 | $848 | | **Total Revenue** | **$213,607** | **$212,942** | - Contingent on the IPO, the company modified its stock option plan, expecting to recognize stock-based compensation of **$189.5 million** in Q2 2021 and an additional **$95.0 million** over the following 18 months[86](index=86&type=chunk) - Concurrent with the IPO, Anthem, Inc. purchased **4,000,000 shares** for **$92 million** in a private placement[88](index=88&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations (MD&A)](index=24&type=section&id=Item%202.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) MD&A highlights flat Q1 2021 revenue of **$213.6 million**, **21.7%** operating income growth, strong non-GAAP metrics, and robust liquidity post-IPO [Overview](index=24&type=section&id=Overview) Privia Health enables physician groups to transition to Value-Based Care using its platform, generating revenue from FFS and VBC models - Privia Health is a national physician-enablement company that helps medical groups, health plans, and health systems transition to Value-Based Care (VBC) reimbursement models[91](index=91&type=chunk) - The company's core business model involves organizing physicians into large regional Medical Groups, supported by the 'Privia Platform' and proprietary technology, to improve care quality and reduce costs[91](index=91&type=chunk)[92](index=92&type=chunk) - Revenue is derived from three main sources: Fee-for-Service (FFS) patient care and administrative services, VBC payments (per-member-per-month fees and shared savings), and other services[94](index=94&type=chunk) [Key Metrics and Non-GAAP Financial Measures](index=25&type=section&id=Key%20Metrics%20and%20Non-GAAP%20Financial%20Measures) Key Operating Metrics | Metric | Q1 2021 | Q1 2020 | | :--- | :--- | :--- | | Implemented Providers (end of period) | 2,648 | 2,528 | | Attributed Lives (thousands, end of period) | 721 | 752 | | Practice Collections ($ millions) | $344.1 | $327.4 | Key Non-GAAP Financial Measures (in thousands) | Metric | Q1 2021 | Q1 2020 | | :--- | :--- | :--- | | Care Margin | $52,494 | $47,836 | | Platform Contribution | $25,532 | $20,275 | | Adjusted EBITDA | $9,947 | $7,055 | Reconciliation of Net Income to Adjusted EBITDA (in thousands) | Line Item | Q1 2021 | Q1 2020 | | :--- | :--- | :--- | | Net income | $5,398 | $5,414 | | Net income (loss) attributable to non-controlling interests | $218 | $(85) | | Provision for income taxes | $2,000 | $700 | | Interest expense | $291 | $467 | | Depreciation and amortization | $445 | $338 | | Stock-based compensation | $101 | $121 | | Other expenses | $1,494 | $100 | | **Adjusted EBITDA** | **$9,947** | **$7,055** | [Results of Operations](index=34&type=section&id=Results%20of%20Operations) Q1 2021 revenue grew **0.3%** to **$213.6 million**, driven by VBC, while operating income rose **21.7%** to **$7.9 million** despite increased G&A expenses - Total revenue increased by **0.3%** to **$213.6 million** in Q1 2021, driven by growth in care management fees (**+37.6%**), shared savings (**+8.5%**), and administrative services (**+5.9%**), largely offset by a **3.0%** decrease in FFS-patient care revenue due to COVID-19 related volume declines[149](index=149&type=chunk)[150](index=150&type=chunk) - Total operating expenses decreased by **0.4%** to **$205.7 million**; physician and practice expenses fell **2.4%**, while G&A expenses rose **27.4%** due to IPO preparation costs[148](index=148&type=chunk)[153](index=153&type=chunk)[156](index=156&type=chunk) - Operating income increased by **21.7%** to **$7.9 million** for Q1 2021, up from **$6.5 million** in Q1 2020, due to controlled operating expenses despite flat revenue[148](index=148&type=chunk) - Provision for income taxes increased significantly to **$2.0 million** from **$0.7 million**, primarily because the company no longer has a valuation allowance against its deferred tax assets in 2021[159](index=159&type=chunk) [Liquidity and Capital Resources](index=36&type=section&id=Liquidity%20and%20Capital%20Resources) The company reported **$81.9 million** cash as of March 31, 2021, bolstered by **$212.0 million** IPO proceeds, with improved operating cash flow and **$33.9 million** in term loans - As of March 31, 2021, the company had **$81.9 million** in cash and cash equivalents, supplemented by an additional **$212.0 million** in net proceeds from the IPO and Anthem private placement on May 3, 2021[161](index=161&type=chunk) - Total outstanding term loans were **$33.9 million** as of March 31, 2021, under a credit agreement that matures in November 2024[164](index=164&type=chunk) - Net cash used in operating activities improved to **$2.5 million** in Q1 2021 from **$7.1 million** in Q1 2020, driven by changes in working capital, including physician and practice liabilities[169](index=169&type=chunk) - Financing activities used **$0.2 million** in cash in Q1 2021 for debt repayment, compared to providing **$10.0 million** in Q1 2020 from a revolver draw in response to COVID-19[170](index=170&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=38&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The company's primary market risk is interest rate exposure on its floating-rate debt, with a **100 bps** change impacting annual interest expense by **$0.3 million** - The company is exposed to interest rate risk through its loan agreement, which bears a floating interest rate; a **100 basis point (1%)** change in market interest rates would result in a **$0.3 million** change to annual interest expense based on the **$33.9 million** debt outstanding at March 31, 2021[175](index=175&type=chunk) [Controls and Procedures](index=38&type=section&id=Item%204.%20Controls%20and%20Procedures) Management concluded disclosure controls were effective as of March 31, 2021, with no material changes to internal controls - The CEO and CFO concluded that the company's disclosure controls and procedures were effective as of March 31, 2021[177](index=177&type=chunk) - No material changes were made to the company's internal control over financial reporting during the first quarter of 2021[178](index=178&type=chunk) [PART II - OTHER INFORMATION](index=39&type=section&id=PART%20II%20-%20OTHER%20INFORMATION) [Legal Proceedings](index=39&type=section&id=Item%201.%20Legal%20Proceedings) The company is involved in ordinary course legal proceedings, not expecting a material adverse effect on its financial condition - The company is involved in legal proceedings in the ordinary course of business but does not expect them to have a material adverse effect on its financial condition or results of operations[180](index=180&type=chunk) [Risk Factors](index=39&type=section&id=Item%201A.%20Risk%20Factors) No material changes were reported to the risk factors previously disclosed in the company's Prospectus - No material changes were reported to the risk factors disclosed in the company's IPO Prospectus[181](index=181&type=chunk) [Unregistered Sales of Equity Securities and Use of Proceeds](index=39&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) The company completed its IPO and a private placement on May 3, 2021, generating approximately **$212.0 million** in net proceeds - The company completed its IPO on May 3, 2021, selling **5,725,000 shares** of common stock[182](index=182&type=chunk) - Net proceeds from the IPO and the concurrent Anthem private placement were approximately **$212.0 million** after deducting **$7.9 million** in underwriters' discounts and **$3.8 million** in expenses[183](index=183&type=chunk) [Exhibits](index=40&type=section&id=Item%206.%20Exhibits) This section lists exhibits filed with Form 10-Q, including corporate governance documents and incentive plans