Agilon Health, Inc. · NYSE:AGL
Agilon Health — Investor Day (2022)
17 slides from Agilon Health's investor day presentation, 2022
Slide 1: Financial Outlook
Financial Outlook Tim Bensley New Picture Chief Financial Officer Confidential - Internal Use Only. Do Not Distribute. 1
Slide 2: Key Themes
Key Themes Medical Margins Across Leverageable Partnership High Visibility to Long-Term Member Cohorts and Model Driving Significant EBITDA Outlook, Benefits Markets Are Maturing Returns on Capital from Record New Partner Growth in 2023 Confidential - Internal Use Only. Do Not Distribute. 2
Slide 3: agilon health Economic Model & Key Attributes
agilon health Economic Model & Key Attributes Illustrative Economic Model Long-Term • 20-year partnerships with leading PCP groups Partnerships • Surplus reinvested to expand PCP access • Revenue based on subscription-like PMPMs High • New markets implemented 6–12 months prior Visibility • Growth dr
Slide 4: Significant Momentum & Forward Visibility
Significant Momentum & Forward Visibility Ending Membership Revenue 340K–355K $2,505M– $2,590M CAGR: DCE CAGR: ~64% 238K ~67% $1,833M DCE $1,218M 131K 90K $794M 57K $475M 29K $200M 2017 2018 2019 2020 2021 2022G 2017 2018 2019 2020 2021 2022G Medical Margin Adjusted EBITDA 2020 reflects benefited fr
Slide 5: Details on 2022 Drivers
Details on 2022 Drivers Significant Portion of Membership Approaching $150 in Medical Margin PMPM Medical Margin: % Members Medical Margin: PMPMs 2021 2022G 2022G Dollars 2021 2022G Same Partner $94 $127–$130 ~63% Same Partner Markets $161M $240M–252M Markets New Partners N/A $36–$38 ~22% New Partne
Slide 6: Strong Medical Margin Progression Across Markets
Strong Medical Margin Progression Across Markets Year 5 Market: Year 4 Market: Year 3 Market: Year 2 Market: 2018–22P Medical Margin PMPM1 2019–22P Medical Margin PMPM1 2020–22P Medical Margin PMPM1 2021–22P Medical Margin PMPM1 $216 $192 $211 $213 $186 $170 $155 $171 $133 $156 $150 $125 $69 $40 25K
Slide 7: Strong Medical Margin Progression Across Member Cohorts
Strong Medical Margin Progression Across Member Cohorts Cohort Medical Margin PMPM in Partner Markets1 2018 Member Cohort (1 Market) $251 2019 Member Cohort (3 Markets) 2020 Member Cohort (7 Markets) 2021 Member Cohort (10 Markets) 2020 COVID Impact $193 $168 Members $133 $161 ~24K $152 ~30K $120 $1
Slide 8: Hawaii Update
Hawaii Update Finalizing New Anchor Partnership with Hawaii Health Network to Improving Alignment & Performance Hawaii Medical Hawaii Membership Key Points Margin PMPM1 by Attributed Organization $80 Finalizing anchor partner Hawaii Health relationship with HHN Network $57 18% HHN partnership will s
Slide 9: Direct Contracting
Direct Contracting Opportunity to Significantly Improve Costs with Historically Unmanaged Direct Contracting Population Direct Contracting vs. Medicare Advantage Performance Key Points Direct Contracting Medicare Advantage Mature MA Geography Unmanaged DC population $927 $904 $901 has been on the pl
Slide 10: Significant Momentum & Forward Visibility
Significant Momentum & Forward Visibility Outlook for Medicare Advantage Members and Build to 2026 750K-850K New Geography Same Geography ~390K 260K–270K 186K 2021 2022G 2023P 2026P DC Members 52,000 80,000–85,000 ~110,000 ~110,000 PCPs on Platform 1,400+ 1,600+ 2,200+ 3,800+ Med. Margin (PMPM) $83
Slide 11: Expanded TAM Will Drive Higher Performance Through 2030
Significant Momentum & Forward Visibility Expanded TAM Will Drive Higher Performance Through 2030 2026 Targets • Expanding both same geography and Membership new geography addressable market • Increased diversity of partner organizations Medical • Larger base of PCPs and members Margin • Access to m
Slide 12: Highly Attractive LTV/CAC
Highly Attractive LTV/CAC Payback Period <1 Year for 2020 and 2021 Member Cohorts Membership Medical Network Capital & Acquisition Costs Margin (PMPY) Contribution (PMPY) Return $1,808 $904 ~41K Members 2020 26K New Geography 15K Same Geography $1,637 $818 Payback: Year 1 Member $1,551 $776 LTV / CA
Slide 13: Balance Sheet Capital Deployment
Balance Sheet Capital Deployment Expect to Generate Positive Cash from Operations in 2023 Balance Sheet & Cash Flow Capital Deployment Priorities ~$1B of net cash as of Dec 31, Increased PCP capacity and adjusted EBITDA positive in 2022 enhance quality of network Platform investments, including Expe
Slide 14: Key Takeaways
Key Takeaways Growing Members And Leverageable, Capital High Visibility to Long-Term Maturing Medical Efficient Model EBITDA Outlook Margins Confidential - Internal Use Only. Do Not Distribute. 14
Slide 15: agilon health
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Slide 16: Appendix
Appendix Confidential - Internal Use Only. Do Not Distribute.
Slide 17: Non-GAAP Reconciliations
Non-GAAP Reconciliations (Dollars in thousands) Year Ended December 31, 2021 2020 2019 2018 Net income (loss) $(406,787) $(60,052) (282,588) (146,926) (Income) loss from discontinued operations, net of income taxes 1,303 (3,156) 168,285 65,338 Interest expense 6,146 8,135 9,068 9,839 Income tax expe