Agilon Health, Inc. · NYSE:AGL
Agilon Health — J.P. Morgan 40th Annual Healthcare Conference (January 2022)
26 slides from Agilon Health's conference presentation, Jan 10, 2022
Slide 1: January 2022
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Slide 2: Disclaimers and Forward-Looking Statements
Disclaimers and Forward-Looking Statements FORWARD-LOOKING STATEMENTS AND OTHER INFORMATION Statements in this presentation that are not historical facts are “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Ex
Slide 3: Empowering Physicians to Transform Healthcare
Empowering Physicians to Transform Healthcare 20 Year Exclusive Partnerships with Leading Physician Groups Mission: To be the trusted partner of physicians and Network of 16 Anchor Partners in empower the transformation of healthcare in communities across the country. 17 Diverse Geographies What we
Slide 4: Investment Highlights
Investment Highlights Large, Growing First Mover Long-Term Alignment with Addressable Market Advantage Local Physician Leaders Unlocking Diverse & Physicians Are Capital Light, Non-Traditional Geographies Winning High Visibility Model Copyright © 2022 agilon health. Confidential internal document co
Slide 5: Structural Changes Define the Future
Structural Changes Define the Future Increasing Demands Growing Pressures on Senior Population is Growing from Stakeholders Primary Care Capacity Total Medicare Enrollment 90M Medicare Advantage Enrollment $750B >19 0% of Healthcare Growth in PCP 80M Spending is Hours per Week Compensation Wasted Sp
Slide 6: Reframing the Opportunity
Reframing the Opportunity Primary Care is Critical Creating a New Category But Not Empowered >80% Most Valued Current State of Health Costs are Influenced by Primary Care High Value Low Value Specialists Primary Care >Supply Physicians of Primary Care is Associated with Better Health Non-Procedural
Slide 7: agilon Total Care Model
agilon Total Care Model • Long-term JV for full risk, multi-payor Medicare line of business • Aligns physician economics with outcomes Partnership • Unique proximity to primary care physicians • Purpose-built platform specific to Medicare • Broad capabilities: Technology, People, Process, Capital Pl
Slide 8: Purpose-Built Platform Enables Value at Scale
Purpose-Built Platform Enables Value at Scale People Technology Engine • Rapid Data Activation • Real Time Insights • Differentiated Data Sets Process • EMR & Payer Agnostic • Network Transparency • AI Assisted Workflows Capital Copyright © 2022 agilon health. Confidential internal document containi
Slide 9: Partnership "Flips" Medicare to a Single Risk Line of Business
Partnership “Flips” Medicare to a Single Risk Line of Business agilon Partnership Total Care Model Medicare Medicare Medicare Medicare Status Quo Economic Model Direct Contracting Advantage Payor 1 Advantage Payor 2 Advantage Payor 3 Commercial Traditional Medicare Insurance Medicare Advantage Bette
Slide 10: Powerful "Value" Flywheel
Powerful “Value” Flywheel PCPs Join agilon and Use Common Improve Platform Patient Outcomes and Economics for Physicians Surplus Enables Reinvestment in Platform and Growing Physician Patient Access Network Generates Data and Best Practices Expand Access and Clinical Programs to Data Insights Identi
Slide 11: Virtuous Cycle Expands Patient Access
Virtuous Cycle Expands Patient Access ✓ Open Panel to Medicare ✓ Increase Patient Touches Common Platform and Technology Improves Patient Outcomes ✓ High Risk Patient Stratification ✓ Post Acute Discharge Visits Reinvestment ✓ ED Diversion Programs in Platform Data and Best Practices ✓ Targeted Clin
Slide 12: Transformational Impact on Partner Business Model
Transformational Impact on Partner Business Model Status Quo Hospital Improving Care Delivery and Access Hospital Specialists Post Acute Post Specialists Acute Limited Data Visibility Poor Coordination Clinical Programs Data Insights Coordinated Care Team Agilon Year 3 Partner Market Members Medical
Slide 13: Improving Patient Experiences and Outcomes
Improving Patient Experiences and Outcomes Expanding Access HEDIS/STARS Care Coordination 90% 29% 15% Adherent to Better Increase to PCP Cholesterol, Readmission Touchpoints Hypertension Rate in 2021 2021 vs. 2020 91% and Diabetes Medication 82% vs. Medicare FFS 58% Reduction in of Patients Screened
Slide 14: All Stakeholders Benefit
All Stakeholders Benefit Patients v Providers >80 74% 94% 85% Patient NPS wellness visit of members agree believe that quality Share in Growing practice completion vs. that they receive of care programs financial and expanding 35% national CMS comprehensive, enabled better care surplus PCP services
Slide 15: Application of Platform & Model Expanding Rapidly
Application of Platform & Model Expanding Rapidly Diverse Geographies 9-18 PCP & Multi- Years Specialty 25-100+ Average PCP ~1975 Physician Tenure Average Year Groups Physicians Partner Practice Practicing PCPs Established per Group 410K 38% 18+ Population MA Penetration Hawaii Ohio Pennsylvania Tex
Slide 16: Highly Actionable Addressable Market
Highly Actionable Addressable Market Rapidly Expanding TAM Growing at 8% CAGR agilon Addressable Market 20M Medicare Beneficiaries with $253B in Annual Spending by 20251 Total Beneficiaries Total Attributed to Independent PCPs in Existing and Medicare Prioritized States Independent $1.25T PCPs in U.
Slide 17: Predictable & Highly Visible Growth Algorithm
Predictable & Highly Visible Growth Algorithm Add PCP Capacity Access (Recruitment, Practice Embedded Lives Integrations, Network) (Commercial Age-ins, FFS Conversions) Add Markets Add States New Geography Same Geography Membership Growth >50K in Members for 2022 Mid-to-Low-Teens Growth for 2022+ >4
Slide 18: Case Study: Unlocking Risk Across Ohio
Case Study: Unlocking Risk Across Ohio Membership CAGR of 41% in Ohio and 17% in Columbus from 2018–2021 Establish Payor Access Identify Anchor Add PCPs Network Effects Contracts Embedded Lives PCPs Join Anchor Members in Ohio or Network ~65K 48K PCP Panel 34K Network Acquisition Columbus, 23K OH Me
Slide 19: Highly Attractive LTV/CAC Dynamics
Highly Attractive LTV/CAC Dynamics Example Year 3 Geography Market Launch Cost of $2.7M Nominal Ongoing CAC Compelling LTV/CAC $400 per Member CAC Year 0 No Costs for Brick and Payback Period of 1–2 Years $110 Incremental per Member CAC Mortar Footprint Across Live Markets Membership1 Medical Margin
Slide 20: Significant Visibility & Network Momentum
Significant Visibility & Network Momentum Membership Revenue Geographies on the Platform (Live and Implementation) Thousands Millions Implementation $1,820M- 17 $1,825M 340K+ DCE 235K - CAGR: $1,218M 11 238K ~70%1 DCE CAGR: ~60%1 $794M 7 131K 11 $475M 4 90K 8 57K 2 $200M 29K 4 2 1 2017 2018 2019 202
Slide 21: January Business Update
January Business Update Strong 4Q and 2021 Performance Positive Momentum Entering 2022 Successfully Managing Through COVID: Membership Growth: ▪ Higher case count from Omicron but only modest ▪ Expect >40% growth in Medicare Advantage COVID IP utilization, suppressed non-COVID IP membership in 2022
Slide 22: Observations & Reflections Entering 2022
Observations & Reflections Entering 2022 Structural • Aligned with CMMI Vision Drivers • Health Plans Recognize Opportunity for Value Based Care Accelerating Adoption • Increasing Pressure on Physician Groups Accelerating • Strong 2023 Pipeline Growth Across • Growing Diversity of Partners, Markets,
Slide 23: Appendix
Appendix Copyright © 2022 agilon health. Confidential internal document containing proprietary information. Do not distribute. 23
Slide 24: agilon health Economic Model
agilon health Economic Model Illustrative Economic Model Comments 1 agilon RBEs enter into 20-year PSAs 1 2 with anchor PCP partner and global capitation agreements with multiple MA plans 2 agilon Total Care Model improves clinical and quality experience for patients and allows for better management
Slide 25: Environmental, Social, and Governance Considerations
Environmental, Social, and Governance Considerations Sustainable Community-Based Primary Care agilon was built to transform healthcare in communities across the country. We do this 20% through community-based physicians that Lower are critical components of their local 35% healthcare delivery system
Slide 26: agilon health
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