Oscar Health Misses Q3 Revenue, Loss Widens To $129 Million Despite Membership Surge

Core Insights - Oscar Health Inc. reported third-quarter revenue of approximately $2.99 billion, missing the consensus estimate of $3.08 billion, compared to $2.4 billion a year ago [1][2] - The company experienced a loss of 53 cents per share, which also fell short of the consensus estimate of 61 cents [2] Financial Performance - The medical loss ratio increased to 88.5% from 84.6% a year ago, primarily due to a $130 million increase in net risk adjustment transfer accrual [3] - SG&A expense ratio improved to 17.5% from 19.0%, attributed to greater fixed cost leverage and disciplined cost management [4] - Loss from operations was $129.3 million, compared to a loss of $48.4 million a year ago, driven by increased average market morbidity [5] - Adjusted EBITDA loss was $101.5 million for Q3 2025, compared to a loss of $11.6 million for Q3 2024 [5] Membership Growth - Total membership increased significantly from 1.65 million to 2.12 million during the quarter [6] Future Guidance - Oscar Health reaffirmed its fiscal 2025 sales guidance of $12 billion to $12.2 billion, compared to the Wall Street estimate of $12.04 billion [7] - The company expects a medical loss ratio of 86%-87% and an SG&A expense ratio of 17.1%-17.6% for 2025 [7] - Projected operating loss for 2025 is estimated to be between $200 million to $300 million [7]