Company: PIII
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001628280-25-026021
Chunk: 19

Company: P3 Health Partners Inc.
Filing Date: 2025-05-15
Form: 10-Q
Item: Part I, Item 8
Chunk 19
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 LLC is obligated to advance funds, as needed, to support the Network VIEs’ working capital needs to the extent operating expenses exceed gross revenue. These advances accrue interest at a rate of prime plus 2%. Net advances made to the Network VIEs and accrued interest on those advances are presented within due to consolidated entities of P3 in the table below. Additionally, P3 LLC entered into stock transfer restriction agreements with the practice shareholders of the Network VIEs, which, by way of a call option, unequivocally permit P3 LLC to appoint successor physicians if a practice shareholder vacates their ownership position. Accordingly, P3 LLC identifies itself as the primary beneficiary of the Network VIEs. Practice shareholders, who are employees of P3 LLC, retain equity ownership in the Network VIEs, which represents nominal non-controlling interests; however, the non-controlling interests do not participate in the profit or loss of the Network VIEs.P3 LLC, directly or indirectly via its wholly owned subsidiaries, may not use or access any net assets of the Network VIEs to settle its obligations or the obligations of its wholly owned subsidiaries. Additionally, the creditors of the Network VIEs do not have recourse to the net assets of P3 LLC.Since P3 LLC represents substantially all the assets and liabilities of the Company, the following tables provide a summary of the assets, liabilities, and operating performance of only VIEs held at the P3 LLC level.March 31, 2025December 31, 2024(in thousands)ASSETSCash$5,093 $5,216 Clinic fees, insurance and other receivable3,012 2,440 Health plan receivable— — Prepaid expenses and other current assets450 447 Property and equipment, net32 37 Other long-term assets2,075 1,116 TOTAL ASSETS$10,662 $9,256 LIABILITIES AND MEMBERS’ DEFICITAccounts payable$4,319 $4,521 Accrued expenses and other current liabilities1,685 677 Accrued payroll4,338 3,795 Claims payable4,456 5,004 Other long-term liabilities840 919 Due to consolidated entities of P341,070 40,264 TOTAL LIABILITIES56,708 55,180MEMBERS’ DEFICIT(46,046)(45,924)TOTAL LIABILITIES AND MEM