Evolent Health(US:EVH)2024-05-09 20:23Revenue Performance - Revenue for Q1 2024 was $639.7 million, an increase of $212.0 million or 49.6% compared to Q1 2023[3] - Revenue for Q1 2024 increased to $639.7 million, up 49.4% from $427.7 million in Q1 2023[21] - The company raised its revenue outlook for the full year 2024, expecting revenue between $2.53 billion and $2.60 billion[10] - For Q2 2024, revenue is expected to be in the range of approximately $625.0 million to $645.0 million[8] - The company reported a year-over-year growth of over 60% in specialty care revenue[3] Financial Metrics - Net loss attributable to common shareholders was $(25.2) million, with a net loss margin of (3.9)%[5] - Adjusted EBITDA for Q1 2024 was $54.1 million, resulting in an Adjusted EBITDA margin of 8.5%[5] - Adjusted income attributable to common shareholders was $38.5 million, with an adjusted income per share of $0.34[6] - Operating loss for Q1 2024 was $13.4 million, compared to a loss of $10.4 million in Q1 2023[21] - Net loss attributable to common shareholders decreased to $25.2 million in Q1 2024 from $26.3 million in Q1 2023[21] - Basic and diluted loss per common share improved to $(0.22) in Q1 2024 from $(0.24) in Q1 2023[21] - Adjusted income attributable to common shareholders for Q1 2024 was $38,507,000, compared to $22,140,000 in Q1 2023, representing a 74% increase[43] - Adjusted EBITDA for Q1 2024 was $54,097,000, with an adjusted EBITDA margin of 8.5%, down from $50,499,000 and 11.8% in Q1 2023[41] - Net loss attributable to common shareholders decreased to $25,225,000 in Q1 2024 from $26,258,000 in Q1 2023, resulting in a net loss margin improvement from (6.1)% to (3.9)%[41] Costs and Expenses - Cost of revenue for Q1 2024 was $535,547,000, up from $310,475,000 in Q1 2023, while adjusted cost of revenue was $534,542,000 compared to $308,243,000[38] - Selling, general and administrative expenses for Q1 2024 were $79,104,000, down from $89,726,000 in Q1 2023, with adjusted expenses at $51,014,000 compared to $68,948,000[39] - The company incurred repositioning costs of $1.8 million related to severance and professional services in Q1 2024[29] Cash and Assets - Total cash and cash equivalents as of March 31, 2024, was $165.1 million[5] - Cash and cash equivalents decreased to $165.1 million from $192.8 million at the end of 2023[23] - Total assets as of March 31, 2024, were $2.64 billion, down from $2.68 billion at the end of 2023[23] - Total current liabilities decreased slightly to $659.0 million from $674.2 million at the end of 2023[23] Market and Growth Strategy - Average Lives on Platform for the Performance Suite increased from 3,242 in Q1 2023 to 7,050 in Q1 2024[3] - New revenue agreements include contracts for oncology and cardiology specialty care services in South Carolina and Mississippi[6] - Evolent Health is actively pursuing market expansion and new technology development to enhance service offerings[26] - The company anticipates significant growth in impact throughout the year, focusing on new partner additions and service expansions[45] Risks and Future Outlook - Adjusted EBITDA is expected to improve as the company focuses on operational performance and cost management strategies[28] - Risks include the ability to efficiently integrate NIA into operations and the dependency on key personnel for future growth[47] - The company does not intend to pay cash dividends on its Class A common stock[49] Interest and Shares - The company reported interest income of $2,550,000 in Q1 2024, an increase from $1,060,000 in Q1 2023, while interest expense decreased to $5,997,000 from $12,895,000[41] - The number of weighted-average common shares for basic and diluted earnings per share increased to 114,141,000 in Q1 2024 from 107,783,000 in Q1 2023[43]