Company to Host Conference Call on
Thursday, November 7, 2024, at
2:30 p.m. PT/5:30 p.m. ET
ALHAMBRA, Calif., Nov. 7, 2024
/PRNewswire/ -- Astrana Health, Inc. ("Astrana," and together with
its subsidiaries and affiliated entities, the "Company") (NASDAQ:
ASTH), a leading provider-centric, technology-powered healthcare
company enabling providers to deliver accessible, high-quality, and
high-value care to all, today announced its consolidated financial
results for the third quarter ended September 30, 2024.
"Astrana's strong third quarter continues to reflect the
outcomes we are driving with the Astrana care model and value-based
care enablement platform. We continued to see strong organic and
inorganic growth across our businesses while delivering
high-quality care and managing costs effectively in the quarter. We
are confident in our platform's ability to continue improving
access, quality, and coordination of care for around 1.1 million
patients in local communities nationwide," said President and CEO
of Astrana, Brandon K. Sim.
Financial Highlights for three months ended
September 30, 2024:
All comparisons are to the three months ended
September 30, 2023 unless otherwise stated.
- Total revenue of $478.7 million,
up 37% from $348.2 million
- Care Partners revenue of $455.8
million, up 42% from $320.9
million
- Net income attributable to Astrana of $16.1 million, down 27% from $22.1 million
- Earnings per share - diluted ("EPS - diluted") of $0.33, down 30% from $0.47
- Adjusted EBITDA of $45.2 million,
down 13% from $52.0 million
Financial Highlights for the nine months ended
September 30, 2024:
All comparisons are to the nine months ended
September 30, 2023 unless otherwise stated.
- Total revenue of $1,369.3
million, up 32% from $1,033.6
million
- Care Partners revenue of $1,301.4
million, up 36% from $957.3
million
- Net income attributable to Astrana of $50.1 million, up 4% from $48.4 million
- Earnings per share - diluted ("EPS - diluted") of $1.04, up 1% from $1.03
- Adjusted EBITDA of $135.3
million, up 15% from $117.6
million
Recent Operating Highlights
- On October 4, 2024, the Company
closed the acquisition of all of the outstanding membership
interest in Collaborative Health Systems, LLC ("CHS") and all of
the outstanding equity interests in Golden Triangle Physician
Alliance and Heritage Physician Networks for an aggregate purchase
price of $37.5 million, subject to
customary adjustments, plus earnout payments in an aggregate amount
of up to $21.5 million.
|
Segment Results for
three months ended September 30, 2024:
|
|
|
|
Three Months Ended
September 30, 2024
|
|
|
(in
thousands)
|
|
Care
Partners
|
|
|
Care
Delivery
|
|
|
Care
Enablement
|
|
|
Other
|
|
|
Intersegment
Elimination
|
|
|
|
Corporate
Costs
|
|
|
Consolidated
Total
|
|
|
Total
revenues
|
|
$
|
455,760
|
|
|
$
|
34,728
|
|
|
$
|
40,930
|
|
|
$
|
—
|
|
|
$
|
(52,708)
|
|
|
|
$
|
—
|
|
|
$
|
478,710
|
|
|
% change vs. prior year
quarter
|
|
|
42
|
%
|
|
|
20
|
%
|
|
|
11
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cost of
services
|
|
|
369,835
|
|
|
|
29,114
|
|
|
|
19,604
|
|
|
|
—
|
|
|
|
(13,335)
|
|
|
|
|
—
|
|
|
|
405,218
|
|
|
General and
administrative(1)
|
|
|
47,139
|
|
|
|
6,971
|
|
|
|
15,012
|
|
|
|
—
|
|
|
|
(39,370)
|
|
|
|
|
15,315
|
|
|
|
45,067
|
|
|
Total
expenses
|
|
|
416,974
|
|
|
|
36,085
|
|
|
|
34,616
|
|
|
|
—
|
|
|
|
(52,705)
|
|
|
|
|
15,315
|
|
|
|
450,285
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income (loss) from
operations
|
|
$
|
38,786
|
|
|
$
|
(1,357)
|
|
|
$
|
6,314
|
|
|
$
|
—
|
|
|
$
|
(3)
|
|
(2)
|
|
$
|
(15,315)
|
|
|
$
|
28,425
|
|
|
% change vs. prior year
quarter
|
|
|
(4)
|
%
|
|
|
31
|
%
|
|
|
(2)
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
|
Balance includes
general and administrative expenses and depreciation and
amortization.
|
|
(2)
|
Income from operations
for the intersegment elimination represents rental income from
segments renting from other segments. Rental income is presented
within other income which is not presented in the table.
|
2024 Guidance:
As we adjust our full-year outlook to incorporate CHS's
financial contribution, we are raising our revenue guidance and
narrowing our net income attributable to Astrana, Adjusted EBITDA,
and EPS guidance for the year ending December 31, 2024.
|
($ in millions,
except per share amounts)
|
|
2024 Guidance
Range
|
|
|
|
Low
|
|
|
High
|
|
|
Total
revenue
|
|
$
|
1,950
|
|
|
$
|
2,030
|
|
|
Net income attributable
to Astrana Health, Inc.
|
|
$
|
52
|
|
|
$
|
58
|
|
|
Adjusted
EBITDA
|
|
$
|
165
|
|
|
$
|
175
|
|
|
EPS –
diluted
|
|
$
|
1.06
|
|
|
$
|
1.19
|
|
See "Guidance Reconciliation of Net Income to EBITDA and
Adjusted EBITDA" and "Use of Non-GAAP Financial Measures" below for
additional information. There can be no assurance that actual
amounts will not be materially higher or lower than these
expectations. See "Forward-Looking Statements" below for additional
information.
Conference Call and Webcast Information:
Astrana will host a conference call at 2:30 p.m. PT/5:30 p.m.
ET today (Thursday, November 7,
2024), during which management will discuss the results of
the third quarter ended September 30, 2024. To participate in
the conference call, please use the following dial-in numbers about
5 minutes prior to the scheduled conference call time:
U.S. & Canada
(Toll-Free): +1 (888)
272-8703
International
(Toll):
+1 (713) 481-1320
The conference call can also be accessed via webcast at:
https://event.choruscall.com/mediaframe/webcast.html?webcastid=qeu83NWd
An accompanying slide presentation will be available in PDF
format on the "IR Calendar" page of the Company's website
(https://ir.astranahealth.com/news-events/ir-calendar) after
issuance of the earnings release and will be furnished as an
exhibit to Astrana's current report on Form 8-K to be filed with
the SEC, accessible at www.sec.gov.
Those who are unable to attend the live conference call may
access the recording at the above webcast link, which will be made
available shortly after the conclusion of the call.
Note About Consolidated Entities
The Company consolidates entities in which it has a controlling
financial interest. The Company consolidates subsidiaries in which
it holds, directly or indirectly, more than 50% of the voting
rights, and variable interest entities ("VIEs") in which the
Company is the primary beneficiary. Noncontrolling interests
represent third party equity ownership interests in the Company's
consolidated entities (including certain VIEs). The amount of net
income attributable to noncontrolling interests is disclosed in the
Company's consolidated statements of income.
Note About Stockholders' Equity, Certain Treasury
Stock and Earnings Per Share
As of the date of this press release, 41,048 holdback shares
have not been issued to certain former shareholders of the
Company's subsidiary, Astrana Health Management, Inc. ("AHM"),
formerly known as Network Medical Management, Inc., who were AHM
shareholders at the time of closing of the merger, as they have yet
to submit properly completed letters of transmittal to Astrana in
order to receive their pro rata portion of Astrana's common stock
and warrants as contemplated under that certain Agreement and Plan
of Merger, dated December 21, 2016,
among Astrana, AHM, Apollo Acquisition Corp. ("Merger Subsidiary")
and Kenneth Sim, M.D., as amended,
pursuant to which Merger Subsidiary merged with and into AHM, with
AHM as the surviving corporation. Pending such receipt, such former
AHM shareholders have the right to receive, without interest, their
pro rata share of dividends or distributions with a record date
after the effectiveness of the merger. The Company's consolidated
financial statements have treated such shares of common stock as
outstanding, given the receipt of the letter of transmittal is
considered perfunctory and Astrana is legally obligated to issue
these shares in connection with the merger.
Shares of Astrana's common stock owned by Allied Physicians of
California, a Professional Medical
Corporation ("APC"), a VIE of the Company, are legally issued and
outstanding but excluded from shares of common stock outstanding in
the Company's consolidated financial statements, as such shares are
treated as treasury shares for accounting purposes. Such shares,
therefore, are not included in the number of shares of common stock
outstanding used to calculate the Company's earnings per share.
About Astrana Health, Inc.
Astrana is a leading physician-centric, technology-powered,
risk-bearing healthcare management company. Leveraging its
proprietary population health management and healthcare delivery
platform, Astrana operates an integrated, value-based healthcare
model, which aims to empower the providers in its network to
deliver the highest quality of care to its patients in a
cost-effective manner. Together with our affiliated physician
groups and consolidated entities, we provide coordinated
outcomes-based medical care in a cost-effective manner.
Headquartered in Alhambra,
California, Astrana serves over 12,000 providers and
approximately 1.1 million patients in value-based care
arrangements. Its subsidiaries and affiliates include management
services organizations (MSOs), a network of risk-bearing
organizations ("RBOs") that encompasses independent practice
associations ("IPAs"), accountable care organizations ("ACOs"), and
state-specific entities such as Restricted Knox-Keene licensed
health plans in California, and
care delivery entities across primary, multi-specialty, and
ancillary care. For more information, please visit
www.astranahealth.com.
Forward-Looking Statements
This press release contains forward-looking statements within
the meaning of the Private Securities Litigation Reform Act of
1995, such as statements about the Company's guidance for the year
ending December 31, 2024, ability to meet operational goals,
ability to meet expectations in deployment of care coordination and
management capabilities, ability to decrease cost of care while
improving quality and outcomes, ability to deliver sustainable
revenue and EBITDA growth as well as long-term value, ability to
respond to the changing environment, and successful implementation
of strategic growth plans, acquisition strategy, and merger
integration efforts. Forward-looking statements reflect current
views with respect to future events and financial performance and
therefore cannot be guaranteed. Such statements are based on the
current expectations and certain assumptions of the Company's
management, and some or all of such expectations and assumptions
may not materialize or may vary significantly from actual results.
Actual results may also vary materially from forward-looking
statements due to risks, uncertainties and other factors, known and
unknown, including the risk factors described from time to time in
the Company's reports filed or furnished with the Securities and
Exchange Commission, including, without limitation the risk factors
discussed in the Company's Annual Report on Form 10-K
for the year ended December 31, 2023, and any subsequent
quarterly reports on Form 10-Q.
FOR MORE INFORMATION, PLEASE CONTACT:
Investor Relations
(626) 943-6491
investors@astranahealth.com
|
ASTRANA HEALTH,
INC.
|
|
CONDENSED
CONSOLIDATED BALANCE SHEETS
|
|
(IN THOUSANDS, EXCEPT
SHARE AND PER SHARE DATA)
|
|
|
September 30,
2024
|
|
|
December 31,
2023
|
|
|
|
(Unaudited)
|
|
|
|
|
|
Assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Current
assets
|
|
|
|
|
|
|
|
Cash and cash
equivalents
|
|
$
|
347,994
|
|
|
$
|
293,807
|
|
|
Investment in
marketable securities
|
|
|
2,354
|
|
|
|
2,498
|
|
|
Receivables,
net
|
|
|
132,237
|
|
|
|
76,780
|
|
|
Receivables, net –
related parties
|
|
|
76,568
|
|
|
|
58,980
|
|
|
Income taxes
receivable
|
|
|
16,211
|
|
|
|
10,657
|
|
|
Other
receivables
|
|
|
1,120
|
|
|
|
1,335
|
|
|
Prepaid expenses and
other current assets
|
|
|
20,506
|
|
|
|
17,450
|
|
|
|
|
|
|
|
|
|
Total current
assets
|
|
|
596,990
|
|
|
|
461,507
|
|
|
|
|
|
|
|
|
|
Non-current
assets
|
|
|
|
|
|
|
|
Land, property and
equipment, net
|
|
|
12,172
|
|
|
|
7,171
|
|
|
Intangible assets,
net
|
|
|
109,108
|
|
|
|
71,648
|
|
|
Goodwill
|
|
|
409,711
|
|
|
|
278,831
|
|
|
Income taxes
receivable
|
|
|
15,943
|
|
|
|
15,943
|
|
|
Loans receivable,
non-current
|
|
|
55,284
|
|
|
|
26,473
|
|
|
Investments in other
entities – equity method
|
|
|
34,629
|
|
|
|
25,774
|
|
|
Investments in
privately held entities
|
|
|
8,896
|
|
|
|
6,396
|
|
|
Restricted
cash
|
|
|
646
|
|
|
|
345
|
|
|
Operating lease
right-of-use assets
|
|
|
33,119
|
|
|
|
37,396
|
|
|
Other
assets
|
|
|
8,878
|
|
|
|
1,877
|
|
|
|
|
|
|
|
|
|
Total non-current
assets
|
|
|
688,386
|
|
|
|
471,854
|
|
|
|
|
|
|
|
|
|
Total
assets(1)
|
|
$
|
1,285,376
|
|
|
$
|
933,361
|
|
|
|
|
|
|
|
|
|
Liabilities,
mezzanine equity and equity
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Current
liabilities
|
|
|
|
|
|
|
|
Accounts payable and
accrued expenses
|
|
$
|
94,811
|
|
|
$
|
59,949
|
|
|
Fiduciary accounts
payable
|
|
|
6,041
|
|
|
|
7,737
|
|
|
Medical
liabilities
|
|
|
160,279
|
|
|
|
106,657
|
|
|
Dividend
payable
|
|
|
638
|
|
|
|
638
|
|
|
Finance lease
liabilities
|
|
|
554
|
|
|
|
646
|
|
|
Operating lease
liabilities
|
|
|
5,241
|
|
|
|
4,607
|
|
|
Current portion of
long-term debt
|
|
|
15,000
|
|
|
|
19,500
|
|
|
Other
liabilities
|
|
|
30,364
|
|
|
|
18,940
|
|
|
|
|
|
|
|
|
|
Total current
liabilities
|
|
|
312,928
|
|
|
|
218,674
|
|
|
|
|
|
|
|
|
|
Non-current
liabilities
|
|
|
|
|
|
|
|
Deferred tax
liability
|
|
|
2,857
|
|
|
|
4,072
|
|
|
Finance lease
liabilities, net of current portion
|
|
|
743
|
|
|
|
1,033
|
|
|
Operating lease
liabilities, net of current portion
|
|
|
31,162
|
|
|
|
36,289
|
|
|
Long-term debt, net of
current portion and deferred financing costs
|
|
|
423,119
|
|
|
|
258,939
|
|
|
Other long-term
liabilities
|
|
|
7,460
|
|
|
|
3,586
|
|
|
|
|
|
|
|
|
|
Total non-current
liabilities
|
|
|
465,341
|
|
|
|
303,919
|
|
|
|
|
|
|
|
|
|
Total
liabilities(1)
|
|
|
778,269
|
|
|
|
522,593
|
|
|
|
|
|
|
|
|
|
Commitments and
contingencies
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Mezzanine
equity
|
|
|
|
|
|
|
|
Noncontrolling
interest in Allied Physicians of California, a Professional Medical
Corporation ("APC")
|
|
|
(202,512)
|
|
|
|
(205,883)
|
|
|
|
|
|
|
|
|
|
Stockholders'
equity
|
|
|
|
|
|
|
|
Preferred stock,
$0.001 par value per share; 5,000,000 shares authorized as of
September 30, 2024 and December 31, 2023
|
|
|
|
|
|
|
|
Series A Preferred
stock, zero authorized and issued and zero outstanding as of
September 30, 2024 and 1,111,111 authorized and issued and
zero outstanding as of
December 31, 2023
|
|
|
—
|
|
|
|
—
|
|
|
Series B Preferred
stock, zero authorized and issued and zero outstanding as of
September 30, 2024 and 555,555 authorized and issued and zero
outstanding as of
December 31, 2023
|
|
|
—
|
|
|
|
—
|
|
|
Common stock, $0.001
par value per share; 100,000,000 shares authorized,
47,780,523 and 46,843,743 shares issued and outstanding, excluding
10,598,749
and 10,584,340 treasury shares, as of September 30, 2024 and
December 31, 2023,
respectively
|
|
|
48
|
|
|
|
47
|
|
|
Additional paid-in
capital
|
|
|
411,334
|
|
|
|
371,037
|
|
|
Retained
earnings
|
|
|
293,234
|
|
|
|
243,134
|
|
|
Total stockholders'
equity
|
|
|
704,616
|
|
|
|
614,218
|
|
|
|
|
|
|
|
|
|
Non-controlling
interest
|
|
|
5,003
|
|
|
|
2,433
|
|
|
|
|
|
|
|
|
|
Total equity
|
|
|
709,619
|
|
|
|
616,651
|
|
|
|
|
|
|
|
|
|
Total liabilities,
mezzanine equity and equity
|
|
$
|
1,285,376
|
|
|
$
|
933,361
|
|
|
(1)
|
The Company's condensed
consolidated balance sheets include the assets and liabilities of
its consolidated VIEs. The condensed consolidated balance sheets
include total assets that can be used only to settle obligations of
the Company's consolidated VIEs totaling $701.1 million and $540.8
million as of September 30, 2024 and December 31, 2023,
respectively, and total liabilities of the Company's consolidated
VIEs for which creditors do not have recourse to the general credit
of the primary beneficiary of $194.1 million and $146.0 million as
of September 30, 2024 and December 31, 2023,
respectively. These VIE balances do not include $413.3 million of
investment in affiliates and $76.3 million of amounts due to
affiliates as of September 30, 2024, and $273.2 million of
investment in affiliates and $107.3 million of amounts due to
affiliates as of December 31, 2023, as these are eliminated
upon consolidation and not presented within the condensed
consolidated balance sheets.
|
|
ASTRANA HEALTH,
INC.
|
|
CONSOLIDATED
STATEMENTS OF INCOME
|
|
(IN THOUSANDS, EXCEPT
PER SHARE AMOUNTS)
|
|
(UNAUDITED)
|
|
|
|
Three Months
Ended
September 30,
|
|
|
Nine Months
Ended
September 30,
|
|
|
|
2024
|
|
|
2023
|
|
|
2024
|
|
|
2023
|
|
|
Revenue
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Capitation,
net
|
|
$
|
431,401
|
|
|
$
|
305,678
|
|
|
$
|
1,239,885
|
|
|
$
|
906,430
|
|
|
Risk pool settlements
and incentives
|
|
|
21,779
|
|
|
|
15,022
|
|
|
|
57,564
|
|
|
|
48,605
|
|
|
Management fee
income
|
|
|
2,747
|
|
|
|
9,898
|
|
|
|
8,429
|
|
|
|
32,287
|
|
|
Fee-for-service,
net
|
|
|
18,692
|
|
|
|
15,892
|
|
|
|
54,588
|
|
|
|
41,216
|
|
|
Other
revenue
|
|
|
4,091
|
|
|
|
1,683
|
|
|
|
8,865
|
|
|
|
5,087
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
revenue
|
|
|
478,710
|
|
|
|
348,173
|
|
|
|
1,369,331
|
|
|
|
1,033,625
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating
expenses
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cost of services,
excluding depreciation and amortization
|
|
|
405,218
|
|
|
|
275,375
|
|
|
|
1,148,422
|
|
|
|
857,648
|
|
|
General and
administrative expenses
|
|
|
37,803
|
|
|
|
29,410
|
|
|
|
112,478
|
|
|
|
74,648
|
|
|
Depreciation and
amortization
|
|
|
7,264
|
|
|
|
4,305
|
|
|
|
19,801
|
|
|
|
12,846
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
expenses
|
|
|
450,285
|
|
|
|
309,090
|
|
|
|
1,280,701
|
|
|
|
945,142
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income from
operations
|
|
|
28,425
|
|
|
|
39,083
|
|
|
|
88,630
|
|
|
|
88,483
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other income
(expense)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income (loss) from
equity method investments
|
|
|
1,353
|
|
|
|
(2,104)
|
|
|
|
2,887
|
|
|
|
3,104
|
|
|
Interest
expense
|
|
|
(8,856)
|
|
|
|
(3,779)
|
|
|
|
(25,028)
|
|
|
|
(10,680)
|
|
|
Interest
income
|
|
|
3,778
|
|
|
|
3,281
|
|
|
|
11,287
|
|
|
|
9,617
|
|
|
Unrealized (loss) gain
on investments
|
|
|
(561)
|
|
|
|
(342)
|
|
|
|
415
|
|
|
|
(5,875)
|
|
|
Other
income
|
|
|
2,673
|
|
|
|
1,876
|
|
|
|
4,522
|
|
|
|
4,265
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total other (expense)
income, net
|
|
|
(1,613)
|
|
|
|
(1,068)
|
|
|
|
(5,917)
|
|
|
|
431
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income before
provision for income taxes
|
|
|
26,812
|
|
|
|
38,015
|
|
|
|
82,713
|
|
|
|
88,914
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Provision for income
taxes
|
|
|
7,831
|
|
|
|
10,042
|
|
|
|
25,004
|
|
|
|
30,971
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net
income
|
|
|
18,981
|
|
|
|
27,973
|
|
|
|
57,709
|
|
|
|
57,943
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income attributable
to non-controlling interest
|
|
|
2,887
|
|
|
|
5,914
|
|
|
|
7,609
|
|
|
|
9,582
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income
attributable to Astrana Health, Inc.
|
|
$
|
16,094
|
|
|
$
|
22,059
|
|
|
$
|
50,100
|
|
|
$
|
48,361
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings per share –
basic
|
|
$
|
0.34
|
|
|
$
|
0.47
|
|
|
$
|
1.05
|
|
|
$
|
1.04
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings per share –
diluted
|
|
$
|
0.33
|
|
|
$
|
0.47
|
|
|
$
|
1.04
|
|
|
$
|
1.03
|
|
EBITDA
Set forth below are reconciliations of Net Income to EBITDA and
Adjusted EBITDA as well as the reconciliation to Adjusted EBITDA
margin for the three and nine months ended September 30, 2024
and 2023. The Company defines Adjusted EBITDA margin as Adjusted
EBITDA over total revenue.
|
|
Three Months
Ended
September 30,
|
|
|
|
Nine Months
Ended
September 30,
|
|
|
|
(in
thousands)
|
|
2024
|
|
|
|
2023
|
|
|
|
2024
|
|
|
|
2023
|
|
|
|
Net income
|
|
$
|
18,981
|
|
|
|
$
|
27,973
|
|
|
|
$
|
57,709
|
|
|
|
$
|
57,943
|
|
|
|
Interest
expense
|
|
|
8,856
|
|
|
|
|
3,779
|
|
|
|
|
25,028
|
|
|
|
|
10,680
|
|
|
|
Interest
income
|
|
|
(3,778)
|
|
|
|
|
(3,281)
|
|
|
|
|
(11,287)
|
|
|
|
|
(9,617)
|
|
|
|
Provision for income
taxes
|
|
|
7,831
|
|
|
|
|
10,042
|
|
|
|
|
25,004
|
|
|
|
|
30,971
|
|
|
|
Depreciation and
amortization
|
|
|
7,264
|
|
|
|
|
4,305
|
|
|
|
|
19,801
|
|
|
|
|
12,846
|
|
|
|
EBITDA
|
|
|
39,154
|
|
|
|
|
42,818
|
|
|
|
|
116,255
|
|
|
|
|
102,823
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(Income) loss from
equity method investments
|
|
|
(1,353)
|
|
|
|
|
2,016
|
|
|
|
|
(2,887)
|
|
|
|
|
(3,160)
|
|
|
|
Other, net
|
|
|
1,206
|
|
(1)
|
|
|
1,723
|
|
(2)
|
|
|
2,663
|
|
(3)
|
|
|
1,507
|
|
(2)
|
|
Stock-based
compensation
|
|
|
6,163
|
|
|
|
|
5,706
|
|
|
|
|
19,301
|
|
|
|
|
13,364
|
|
|
|
APC excluded asset
costs
|
|
|
—
|
|
|
|
|
(289)
|
|
|
|
|
—
|
|
|
|
|
3,039
|
|
|
|
Adjusted
EBITDA
|
|
$
|
45,170
|
|
|
|
$
|
51,974
|
|
|
|
$
|
135,332
|
|
|
|
$
|
117,573
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
revenue
|
|
$
|
478,710
|
|
|
|
$
|
348,173
|
|
|
|
$
|
1,369,331
|
|
|
|
$
|
1,033,625
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted EBITDA
margin
|
|
|
9
|
%
|
|
|
|
15
|
%
|
|
|
|
10
|
%
|
|
|
|
11
|
%
|
|
|
(1)
|
Other, net for the
three months ended September 30, 2024 relates to non-cash
changes related to change in the fair value of our financing
obligation to purchase the remaining equity interests in one of our
investments, non-cash changes related to change in the fair value
of the Company's Collar Agreement, non-cash gain on debt
extinguishment related to one of our promissory note payables, and
transaction costs incurred for our investments and tax
restructuring fees.
|
|
|
|
(2)
|
Other, net for the
three and nine months ended September 30, 2023 relates to
transaction costs incurred for our investments and tax
restructuring fees and non-cash changes related to change in the
fair value of our financing obligation to purchase the remaining
equity interests, changes in the fair value of our contingent
liabilities, and changes in the fair value of the Company's Collar
Agreement.
|
|
|
|
(3)
|
Other, net for the nine
months ended September 30, 2024 relates to financial guarantee
via a letter of credit that we provided almost three years ago in
support of two local provider-led ACOs, non-cash changes related to
change in the fair value of our financing obligation to purchase
the remaining equity interests in one of our investments, non-cash
changes related to change in the fair value of the Company's Collar
Agreement, non-cash gain on debt extinguishment related to one of
our promissory note payables, transaction costs incurred for our
investments and tax restructuring fees, and reimbursement from a
related party of the Company for taxes associated with the Excluded
Assets spin-off.
|
|
Guidance
Reconciliation of Net Income to EBITDA and Adjusted
EBITDA
|
|
|
|
2024 Guidance
Range
|
|
|
(in
thousands)
|
|
Low
|
|
|
High
|
|
|
Net income
|
|
$
|
59,340
|
|
|
$
|
66,240
|
|
|
Interest
expense
|
|
|
18,750
|
|
|
|
18,750
|
|
|
Provision for income
taxes
|
|
|
26,660
|
|
|
|
29,760
|
|
|
Depreciation and
amortization
|
|
|
27,500
|
|
|
|
27,500
|
|
|
EBITDA
|
|
|
132,250
|
|
|
|
142,250
|
|
|
|
|
|
|
|
|
|
Income from equity
method investments
|
|
|
(4,250)
|
|
|
|
(4,250)
|
|
|
Other, net
|
|
|
5,000
|
|
|
|
5,000
|
|
|
Stock-based
compensation
|
|
|
32,000
|
|
|
|
32,000
|
|
|
Adjusted
EBITDA
|
|
$
|
165,000
|
|
|
$
|
175,000
|
|
Use of Non-GAAP Financial Measures
This press release contains the non-GAAP financial measures
EBITDA and Adjusted EBITDA, of which the most directly comparable
financial measure presented in accordance with U.S. generally
accepted accounting principles ("GAAP") is net income. These
measures are not in accordance with, or alternatives to GAAP, and
may be calculated differently from similar non-GAAP financial
measures used by other companies. The Company uses Adjusted EBITDA
as a supplemental performance measure of our operations, for
financial and operational decision-making, and as a supplemental
means of evaluating period-to-period comparisons on a consistent
basis. Adjusted EBITDA is calculated as earnings before interest,
taxes, depreciation, and amortization, excluding income or loss
from equity method investments, non-recurring and non-cash
transactions, stock-based compensation, and APC excluded assets
costs. The Company defines Adjusted EBITDA margin as Adjusted
EBITDA over total revenue.
The Company believes the presentation of these non-GAAP
financial measures provides investors with relevant and useful
information, as it allows investors to evaluate the operating
performance of the business activities without having to account
for differences recognized because of non-core or non-recurring
financial information. When GAAP financial measures are viewed in
conjunction with non-GAAP financial measures, investors are
provided with a more meaningful understanding of the Company's
ongoing operating performance. In addition, these non-GAAP
financial measures are among those indicators the Company uses as a
basis for evaluating operational performance, allocating resources,
and planning and forecasting future periods. Non-GAAP financial
measures are not intended to be considered in isolation, or as a
substitute for, GAAP financial measures. Other companies may
calculate both EBITDA and Adjusted EBITDA differently, limiting the
usefulness of these measures for comparative purposes. To the
extent this release contains historical or future non-GAAP
financial measures, the Company has provided corresponding GAAP
financial measures for comparative purposes. The reconciliation
between certain GAAP and non-GAAP measures is provided above.
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SOURCE Astrana Health, Inc.