Company: PIII
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001832511-25-000013
Chunk: 179

Company: P3 Health Partners Inc.
Filing Date: 2025-08-14
Form: 10-Q
Item: Part I, Item 8
Chunk 179
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Medical Expense

Three Months Ended June 30,Change20252024Amount%(dollars in thousands)Medical expense$351,350 $365,171 $(13,821)(4)%

Medical expense was $351.4 million for the three months ended June 30, 2025, a decrease of $13.8 million, or 4%, compared to $365.2 million for the three months ended June 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 June 30,Change20252024Amount%(dollars in thousands)Premium deficiency reserve$(5,967)$(3,397)$(2,570)76 %

Premium deficiency reserve was a benefit of $6.0 million for the three months ended June 30, 2025, an increase of $2.6 million, or 76%, compared to a benefit of $3.4 million for the three months ended June 30, 2024. The change was due to management’s assessment of the profitability of contracts, wherein increased medical expense is expected to increase our future losses.

Corporate, General and Administrative Expense

Three Months Ended June 30,Change20252024Amount%(dollars in thousands)Corporate, general and administrative expense$23,295 $26,610 $(3,315)(12)%

Corporate, general and administrative expense was $23.3 million for the three months ended June 30, 2025, a decrease of $3.3 million, or 12%, compared to $26.6 million for the three months ended June 30, 2024. The decrease was primarily driven by a decrease in salary and related expense resulting from a reduction in head count and sale of the Company’s Florida operations.

Comparison of the Six Months Ended June 30, 2025 to the Six Months Ended June 30, 2024 

Revenue

Six Months Ended June 30,Change20252024Amount%(dollars in thousands)Capitated revenue$721,241 $758,440 $(37,199)(5)%Other patient service revenue7,772 9,205 (1,433)(16)%Total operating revenue$729,013 $767,645 $(38,632)(5)%

Capitated revenue was $721.2 million for the