Business
Alignment Healthcare Reports First Quarter 2024 Results
Reports $628.6 million in total revenue and $627.6 million in revenue excluding ACO REACH, up 43.1% and 54.2% year-over-year respectivelyMedicare Advantage
About this update from Alignment Healthcare, Inc.
[{"type":"text","content":"Reports $628.6 million in total revenue and $627.6 million in revenue excluding ACO REACH, up 43.1% and 54.2% year-over-year respectivelyMedicare Advantage membership grows 50.5% year-over-year to approximately 165,100 membersIncreases membership and revenue outlook following strong first-quarter enrollment results, narrows year-end adjusted EBITDA guidance range ORANGE, Calif., May 02, 2024 (GLOBE NEWSWIRE) -- Alignment Healthcare, Inc. (NASDAQ: ALHC), today reported financial results for its first quarter ended March 31, 2024. “Alignment Healthcare’s first quarter results are a testament to the strength and resilience of our Medicare Advantage platform, reflecting our commitment to delivering exceptional care while effectively managing medical costs,” said John Kao, founder and CEO. “Through the integration of our advanced technology with effective clinical oversight, we've met or exceeded expectations across membership, revenue, adjusted gross profit and adjusted EBITDA, setting a solid foundation for achieving our full-year outlook.” First Quarter 2024 Financial HighlightsAll comparisons, unless otherwise noted, are to the three months ended March 31, 2023 Health plan membership at the end of the quarter was approximately 165,100, up 50.5% year over yearTotal revenue was $628.6 million, up 43.1% year over year. Revenue excluding ACO REACH was $627.6 million, up 54.2% year over year.Adjusted gross profit was $57.3 million and loss from operations was $(41.1) million Adjusted gross profit excludes depreciation and amortization of $6.0 million and selling, general, and administrative expenses of $90.5 million (which includes $19.7 million of equity-based compensation). Adjusted gross profit also excludes $0.8 million of restructuring costs and an additional $1.1 million of equity-based compensation recorded within medical expensesMedical benefits ratio based on adjusted gross profit was 90.9% Adjusted EBITDA was $(12.0) million and net loss was $(46.6) million Adjusted Gross Profit is reconciled as follows: Three Months Ended March 31, 2024 2023 (dollars in thousands) Loss from operations$(41,106) $(32,489)Add back: Equity-based compensation (medical expenses) 1,133 2,524 Depreciation (medical expenses) 52 61 Restructuring costs (medical expenses) 775 — Depreciation and amortization 5,977 4,921 Selling, general, and administrat...