Company: PIII
Filing Date: 2025-11-14
Form Type: 10-Q
Source: 0001832511-25-000025
Chunk: 46

Company: P3 Health Partners Inc.
Filing Date: 2025-11-14
Form: 10-Q
Item: Part II, Item 7
Chunk 46
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 a 10% decrease in the average number of at-risk members from 128,400 for the three months ended September 30, 2024 to 115,900 for the three months ended September 30, 2025 driven by the strategic termination of underperforming payor contracts and affiliate providers in the current year. Capitated revenue was approximately 99% of total operating revenue for each of the three months ended September 30, 2025 and 2024.

P3 Health Partners Inc. | Q3 2025 Form 10-Q | 34

Other patient service revenue was $3.7 million for the three months ended September 30, 2025, a decrease of $0.7 million, or 16%, compared to $4.4 million for the three months ended September 30, 2024. Other patient service revenue was approximately 1% of total operating revenue for each of the three months ended September 30, 2025 and 2024.

Medical Expense

Three Months Ended September 30,Change20252024Amount%(dollars in thousands)Medical expense$369,789 $401,920 $(32,131)(8)%

Medical expense was $369.8 million for the three months ended September 30, 2025, a decrease of $32.1 million, or 8%, compared to $401.9 million for the three months ended September 30, 2024. The decrease was driven primarily by a decrease in the total number of at-risk members year-over-year resulting in part from termination of two health plans.

Premium Deficiency Reserve

Three Months Ended September 30,Change20252024Amount%(dollars in thousands)Premium deficiency reserve$(23,736)$18,168 $(41,904)(231)%

Premium deficiency reserve was a benefit of $23.7 million for the three months ended September 30, 2025, an increase of $41.9 million, or 231%, compared to an expense of $18.2 million for the three months ended September 30, 2024. The change was due to management’s assessment of the profitability of contracts, wherein maturation of our overall contractual arrangements are expected to reduce our future losses.

Corporate, General and Administrative Expense

Three Months Ended September 30,Change20252024Amount%(dollars in thousands)Corporate, general and administrative expense$22,139 $27,219 $(5,080)(19)