Evolent Announces Fourth Quarter 2025 Results and Full Year 2025 Results

Core Insights - Evolent Health, Inc. reported a revenue of $468.7 million for Q4 2025 and $1.88 billion for the full year 2025, with a projected revenue growth of approximately 30% for 2026 [1][2] - The company experienced a net loss of $429.1 million in Q4 2025 and $579.4 million for the full year, with a net loss margin of 91.6% for Q4 and 30.9% for the year [1][3] - Adjusted EBITDA for Q4 2025 was $37.8 million, maintaining an adjusted EBITDA margin of 8.1% for both Q4 and the full year [1][3] Financial Performance - Revenue for Q4 2025 was $468,719,000, down from $646,542,000 in Q4 2024; full-year revenue was $1,876,229,000 compared to $2,554,741,000 in 2024 [3][4] - The cost of revenue for Q4 2025 was $371,466,000, leading to an operating loss of $408,231,000 for the quarter [3][4] - Selling, general, and administrative expenses increased to $72,656,000 in Q4 2025 from $47,701,000 in Q4 2024 [3][4] Customer Metrics - Average lives on the Performance Suite platform were 6,475 for Q4 2025, with a total of 40,038 average unique members [1][2] - The average PMPM fee for the Performance Suite was $13.87 in Q4 2025, compared to $14.48 in Q4 2024 [1][2] Business Outlook - The company expects full-year 2026 revenue to be in the range of $2.4 billion to $2.6 billion, with Adjusted EBITDA projected between $110 million and $140 million [2][3] - Evolent plans to invest approximately $25 million to $35 million in capitalized software development during 2026 [2][3] Market Position - Evolent continues to grow its market share and customer retention rates, indicating strong demand for its complex specialty care solutions [1][2] - The company aims to assist health plans in balancing quality and affordability, particularly in oncology, cardiology, and musculoskeletal conditions [1][2]