Clover Health Investments, Corp. · NASDAQ:CLOV
Clover Health Investments — Q4 2023 Earnings Presentation
16 slides from Clover Health Investments's earnings presentation, Mar 12, 2024
Slide 1: Fourth Quarter and Full Year 2023 Earnings Results
Clover Health Fourth Quarter and Full Year 2023 - Earnings Results
Slide 2: Disclaimer
Disclaimer This presentation and the accompanying oral presentation include forward-looking statements, including, without limitation, statements regarding future events and Clover Health Investments, Corp.’s (“Clover Health,” “we,” “our,” or “us”) expectations regarding targeted revenue and MCRs, f
Slide 3: Speakers
Speakers Andrew Toy Chief Executive Officer Terry Ronan Interim Chief Financial Officer 3
Slide 4: Q4 & Full Year 2023 and Recent Highlights
Q4 & Full Year 2023 and Recent Highlights ● Progressing well on path to profitability with significantly improved 2023 performance Business ● Strong financial results continue to highlight maturing operations of core Medicare Advantage business on Update differentiated PPO chassis, and increasing im
Slide 5: Financial Overview
Financial Overview
Slide 6: Q4 & Full-Year 2023 Financial Performance: Insurance
Q4 & Full-Year 2023 Financial Performance: Insurance In millions, except MCR Revenue Gross Profit Fourth Quarter Full-Year Revenue +12% Revenue +14% MCR -1,000 bps MCR -1,060 bps MCR: 92.4% 82.4% MCR: 91.8% 81.2% ● Q4 2023 revenue and MCR performance driven by continued operational enhancements, cli
Slide 7: Favorable Trend in Insurance MCR
Favorable Trend in Insurance MCR 7
Slide 8: Q4 & Full-Year 2023 Financial Performance: Non-Insurance
Q4 & Full-Year 2023 Financial Performance: Non-Insurance In millions, except MCR Revenue Gross Profit Fourth Quarter Full-Year Revenue -68% Revenue -68% MCR -340 bps MCR -360 bps MCR: 103.6% 100.2% MCR: 103.4% 99.8% ● Q4 2023 revenue decrease driven by a narrower group of aligned beneficiaries as a
Slide 9: Q4 & Full-Year 2023 Financial Performance: Consolidated
Q4 & Full-Year 2023 Financial Performance: Consolidated In millions Fourth Quarter Full-Year Revenue (43%) (42%) Adjusted EBITDA(1) +$61M +$245M (1) Adjusted EBITDA is a non-GAAP financial measure. Please refer to Non-GAAP Financial Measures provided in the Appendix for a reconciliation of Adjusted
Slide 10: 2024 Outlook
2024 Outlook On the following slide, Clover Health presents an overview of its full-year 2024 outlook, including certain non-GAAP measures.
Slide 11: Full-Year 2024 Outlook
Full-Year 2024 Outlook Guidance (3/12/24) Insurance Revenue $1.25 billion - $1.30 billion Insurance MCR 79% - 83% Adjusted SG&A(1) $270 million - $280 million Adjusted EBITDA(1) ($20) million - $20 million (1) Adjusted EBITDA and Adjusted SG&A are non-GAAP financial measures. As outlined in the Comp
Slide 12: Strong 2023 Momentum Continues into 2024
Strong 2023 Momentum Continues into 2024 1 Targeting full-year 2024 positive Adjusted EBITDA(1) 2 Improve Medicare Advantage fundamentals while reducing operational spend 3 Prudently manage strong liquidity position to achieve path to profitability 4 Continue to drive toward long-term growth levers
Slide 13: Appendix
Appendix
Slide 14: Non-GAAP Financial Measures
Non-GAAP Financial Measures CLOVER HEALTH INVESTMENTS, CORP. RECONCILIATION OF NON-GAAP FINANCIAL MEASURES ADJUSTED EBITDA (NON-GAAP) RECONCILIATION (in thousands)(1) (1) The table above includes non-GAAP measures. Non-GAAP financial measures are supplemental and should not be considered a substitut
Slide 15: Non-GAAP Financial Measures (continued)
Non-GAAP Financial Measures (continued) CLOVER HEALTH INVESTMENTS, CORP. RECONCILIATION OF NON-GAAP FINANCIAL MEASURES ADJUSTED SG&A (NON-GAAP) RECONCILIATION (in thousands)(1) (1) The table above includes non-GAAP measures. Non-GAAP financial measures are supplemental and should not be considered a
Slide 16: About Non-GAAP Financial Measures
About Non-GAAP Financial Measures We use non-GAAP measures in this presentation, including Adjusted EBITDA and Adjusted SG&A. These non-GAAP financial measures are provided to enhance the reader’s understanding of Clover Health’s past financial performance and our prospects for the future. Clover He
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