Full Press Release Details
Astrana Health, Inc. Reports Second Quarter
Company to Host Conference Call on Thursday,
August 7, 2025, at 2:30 p.m. PT/5:30 p.m. ET
ALHAMBRA, Calif., August 7, 2025 /PRNewswire/
-- Astrana Health, Inc. ("Astrana," and together with its subsidiaries and affiliated entities, the "Company")
(NASDAQ: ASTH), a leading provider-centric, technology-powered healthcare company enabling providers to deliver accessible, high-quality,
and high-value care to all, today announced its consolidated financial results for the second quarter ended June 30, 2025.
"Astrana Health's strong second quarter results
underscore the power of our physician-focused, technology-enabled model to drive profitable growth and deliver better outcomes at scale,"
said Brandon Sim, President and CEO of Astrana Health. "Our unique ability to build longitudinal relationships with our patients,
paired with leading clinical capabilities and a purpose-built technology platform affording us real-time visibility of our patients' health,
allows us to operate from a position of strength in a complex and evolving healthcare landscape. As we look ahead, we remain focused on
disciplined execution and expanding access to high-quality, coordinated care for the patients and communities we serve."
Financial Highlights for Second Quarter Ended June 30, 2025:
All comparisons are to the three months ended
June 30, 2024 unless otherwise stated.
Financial Highlights for Six Months Ended June 30, 2025:
All comparisons are to the six months ended
June 30, 2024 unless otherwise stated.
(1) See "Reconciliation of Net
Income to EBITDA, Adjusted EBITDA and Adjusted EBITDA Margin" and "Use of Non-GAAP Financial Measures" below for additional
Recent Operating Highlights
Segment Results for three months ended June 30,
All comparisons are to the three months ended
June 30, 2024 unless otherwise stated.
| Three Months Ended June 30, 2025 | ||||||||||||||||||||||||
| (in thousands) | Care Partners | Care Delivery | Care Enablement | Intersegment Elimination | Corporate Costs | Consolidated Total | ||||||||||||||||||
| Total revenues | $ | 631,442 | $ | 38,394 | $ | 40,901 | $ | (55,929 | ) | $ | - | $ | 654,808 | |||||||||||
| % change vs. prior year quarter | 36 | % | 10 | % | 13 | % | ||||||||||||||||||
| Cost of services | 536,266 | 27,873 | 31,130 | (18,430 | ) | - | 576,839 | |||||||||||||||||
| General and administrative (1) | 45,491 | 8,374 | 7,930 | (37,511 | ) | 33,345 | 57,629 | |||||||||||||||||
| Total expenses | 581,757 | 36,247 | 39,060 | (55,941 | ) | 33,345 | 634,468 | |||||||||||||||||
| Income (loss) from operations | $ | 49,685 | $ | 2,147 | $ | 1,841 | $ | 12 | (2) | $ | (33,345 | ) | $ | 20,340 | ||||||||||
| % change vs. prior year quarter | 23 | % | 18 | % | (73 | )% |
(1) Balance includes general and administrative
expenses and depreciation and amortization.
(2) Income from operations for the intersegment elimination
represents rental income from segments renting from other segments. Rental income is presented within other income which is not presented
Astrana is providing the following guidance for
total revenue and Adjusted EBITDA for the quarter ending September 30, 2025 and reiterating guidance for the year ending December 31,
2025 based on the Company's existing business, current view of existing market conditions, and assumptions.
| ($ in millions) | Three Months Ending September 30, 2025 | Year Ending December 31, 2025 | ||||||||||||||
| Guidance Range | Guidance Range | |||||||||||||||
| Low | High | Low | High | |||||||||||||
| Total revenue | $ | 925 | $ | 965 | $ | 3,100 | $ | 3,300 | ||||||||
| Adjusted EBITDA | $ | 65 | $ | 70 | $ | 215 | $ | 225 |
See "Guidance Reconciliation of Net Income
to EBITDA and Adjusted EBITDA" and "Use of Non-GAAP Financial Measures" below for additional information. There can
be no assurance that actual amounts will not be materially higher or lower than these expectations. See "Forward-Looking Statements"
below for additional information.
Conference Call and Webcast Information:
Astrana will host a conference call at 2:30 p.m.
PT/5:30 p.m. ET today (Thursday, August 7, 2025), during which management will discuss the results of the second quarter ended June 30,
2025. To participate in the conference call, please use the following dial-in numbers about 5 minutes prior to the scheduled conference
| U.S. & Canada (Toll-Free): | +1 (877) 858-9810 |
| International (Toll): | +1 (201) 689-8517 |
The conference call can also be accessed via webcast at: https://event.choruscall.com/mediaframe/webcast.html?webcastid=4qZoCOiq
An accompanying slide presentation will be available
in PDF format on the "IR Calendar" page of the Company's website (https://ir.astranahealth.com/news-events/ir-calendar)
after issuance of the earnings release and will be furnished as an exhibit to Astrana's current report on Form 8-K to be filed with
the SEC, accessible at www.sec.gov.
Those who are unable to attend the live conference
call may access the recording at the above webcast link, which will be made available shortly after the conclusion of the call.
Note About Consolidated Entities
The Company consolidates entities in which it
has a controlling financial interest. The Company consolidates subsidiaries in which it holds, directly or indirectly, more than 50% of
the voting rights, and variable interest entities ("VIEs") in which the Company is the primary beneficiary. Noncontrolling
interests represent third party equity ownership interests in the Company's consolidated entities (including certain VIEs). The
amount of net income attributable to noncontrolling interests is disclosed in the Company's consolidated statements of income.
About Astrana Health, Inc.
Astrana Health is a physician-centric, AI-powered
healthcare company committed to delivering high-quality, patient-centered care. Built from the physician's perspective, Astrana combines
its scalable care delivery infrastructure, proprietary technology platform, and aligned provider networks to enable proactive, preventive
care at scale - improving patient outcomes, enhancing patient experiences, supporting provider well-being, and driving greater value across
the healthcare system.
Today, Astrana supports more than 20,000 providers
and over 1.6 million patients in value-based care arrangements through its affiliated provider networks, management services organization,
and integrated care delivery clinics spanning primary, specialty, and ancillary care. Together, Astrana is building the healthcare system
we all deserve - one that delivers better care, better experiences, and better outcomes for all. For more information, visit www.astranahealth.com.
Forward-Looking Statements
This press release contains forward-looking
statements within the meaning of the Private Securities Litigation Reform Act of 1995, such as statements about the Company's guidance
for the quarter ending September 30, 2025 and the year ending December 31, 2025, ability to meet operational goals, ability to meet
expectations in deployment of care coordination and management capabilities, ability to decrease cost of care while improving quality
and outcomes, ability to deliver sustainable revenue and EBITDA growth as well as long-term value, ability to respond to the changing
environment, statements about the Company's liquidity, and successful completion and implementation of strategic growth plans, acquisition
strategy, and merger integration efforts. Forward-looking statements reflect current views with respect to future events and financial
performance and therefore cannot be guaranteed. Such statements are based on the current expectations and certain assumptions of the Company's
management, and some or all of such expectations and assumptions may not materialize or may vary significantly from actual results. Actual
results may also vary materially from forward-looking statements due to risks, uncertainties and other factors, known and unknown, including
the risk factors described from time to time in the Company's reports to the SEC, including, without limitation the risk factors
discussed in the Company's Annual Report on Form 10-K for the year ended December 31, 2024, and subsequent quarterly reports
on Form 10-Q. Any forward-looking statements made by the Company in this release speaks only as of the date on which it is made. The Company
undertakes no obligation to publicly update any forward-looking statement, whether as a result of new information, future developments
or otherwise, except as may be required by any applicable securities laws.
FOR MORE INFORMATION, PLEASE CONTACT:
Grant Hesser, Investor Relations
ASTRANA HEALTH, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(IN THOUSANDS, EXCEPT SHARE AND PER SHARE DATA)
| June 30, 2025 | December 31, 2024 | |||||||
| (Unaudited) | ||||||||
| Assets | ||||||||
| Current assets | ||||||||
| Cash and cash equivalents | $ | 339,703 | $ | 288,455 | ||||
| Investment in marketable securities | 2,417 | 2,378 | ||||||
| Receivables, net (including amounts with related parties) | 348,730 | 275,990 | ||||||
| Income taxes receivable | 7,893 | 19,316 | ||||||
| Other receivables | 8,655 | 29,496 | ||||||
| Prepaid expenses and other current assets | 21,754 | 22,861 | ||||||
| Total current assets | 729,152 | 638,496 | ||||||
| Non-current assets | ||||||||
| Property and equipment, net | 17,800 | 14,274 | ||||||
| Intangible assets, net | 105,737 | 118,179 | ||||||
| Goodwill | 416,917 | 419,253 | ||||||
| Income taxes receivable, non-current | 15,943 | 15,943 | ||||||
| Loans receivable, non-current | 48,370 | 51,266 | ||||||
| Investments in other entities - equity method | 38,454 | 39,319 | ||||||
| Investments in privately held entities | 8,896 | 8,896 | ||||||
| Operating lease right-of-use assets | 30,631 | 32,601 | ||||||
| Other assets | 30,450 | 16,667 | ||||||
| Total non-current assets | 713,198 | 716,398 | ||||||
| Total assets (1) | $ | 1,442,350 | $ | 1,354,894 | ||||
| Liabilities, Mezzanine Deficit, and Stockholders' Equity | ||||||||
| Current liabilities | ||||||||
| Accounts payable and accrued expenses | $ | 119,661 | $ | 106,142 | ||||
| Fiduciary accounts payable | 4,734 | 8,223 | ||||||
| Medical liabilities | 287,691 | 209,039 | ||||||
| Operating lease liabilities | 5,319 | 5,350 | ||||||
| Current portion of long-term debt | 12,500 | 9,375 | ||||||
| Other liabilities | 29,841 | 27,479 | ||||||
| Total current liabilities | 459,746 | 365,608 | ||||||
| Non-current liabilities | ||||||||
| Deferred tax liability | 2,593 | 4,555 | ||||||
| Operating lease liabilities, net of current portion | 28,714 | 30,654 | ||||||
| Long-term debt, net of current portion and deferred financing costs | 401,057 | 425,299 | ||||||
| Other long-term liabilities | 12,294 | 14,610 | ||||||
| Total non-current liabilities | 444,658 | 475,118 | ||||||
| Total liabilities (1) | 904,404 | 840,726 | ||||||
| Mezzanine deficit | ||||||||
| Noncontrolling interest in Allied Physicians of California, a Professional Medical Corporation ("APC") | (233,582 | ) | (202,558 | ) | ||||
| Stockholders' equity | ||||||||
| Preferred stock, $0.001 par value per share; 5,000,000 shares authorized, and zero shares issued and outstanding as of June 30, 2025 and December 31, 2024 | - | - | ||||||
| Common stock, $0.001 par value per share; 100,000,000 shares authorized, 49,138,631 and 47,929,872 shares issued and outstanding, excluding 9,903,953 and 10,603,849 treasury shares, as of June 30, 2025 and December 31, 2024, respectively | 49 | 48 | ||||||
| Additional paid-in capital | 463,203 | 426,389 | ||||||
| Retained earnings | 302,209 | 286,283 | ||||||
| Total stockholders' equity | 765,461 | 712,720 | ||||||
| Non-controlling interest | 6,067 | 4,006 | ||||||
| Total equity | 771,528 | 716,726 | ||||||
| Total liabilities, mezzanine deficit, and stockholders' equity | $ | 1,442,350 | $ | 1,354,894 |
(1) The Company's condensed consolidated
balance sheets include the assets and liabilities of its consolidated VIEs. The condensed consolidated balance sheets include total assets
that can be used only to settle obligations of the Company's consolidated VIEs totaling $691.0 million and $712.3 million as of
June 30, 2025 and December 31, 2024, respectively, and total liabilities of the Company's consolidated VIEs for which
creditors do not have recourse to the general credit of the primary beneficiary of $230.3 million and $207.9 million as of June 30,
2025 and December 31, 2024, respectively. These VIE balances do not include $152.6 million of investment in affiliates and $35.1
million of amounts due from affiliates as of June 30, 2025, and $224.9 million of investment in affiliates and $48.1 million of amounts
due to affiliates as of December 31, 2024, as these are eliminated upon consolidation and not presented within the condensed consolidated
ASTRANA HEALTH, INC.
CONSOLIDATED STATEMENTS OF INCOME
(IN THOUSANDS, EXCEPT PER SHARE AMOUNTS)