Privia Health Group, Inc. (PRVA) Bundle
A Brief History of Privia Health Group, Inc.
Company Overview
Privia Health Group, Inc. is a technology-driven, national physician-enablement company that collaborates with medical groups, health plans, and health systems to optimize physician practices and improve patient experiences. The company operates primarily within the healthcare sector, focusing on value-based care (VBC) solutions.
Financial Performance
As of September 30, 2024, Privia Health reported a total revenue of $437.9 million for the three months ended September 30, 2024, marking a 4.9% increase from $417.3 million in the same period of 2023. For the nine months ended September 30, 2024, total revenue was $1.28 billion, up 4.8% from $1.22 billion year-over-year.
| Metrics | Three Months Ended September 30, 2024 | Three Months Ended September 30, 2023 | Nine Months Ended September 30, 2024 | Nine Months Ended September 30, 2023 |
|---|---|---|---|---|
| Total Revenue | $437.9 million | $417.3 million | $1.28 billion | $1.22 billion |
| Net Income | $3.5 million | $5.6 million | $10.0 million | $20.2 million |
| Operating Income | $5.8 million | $5.5 million | $11.7 million | $19.2 million |
| Gross Profit | $99.9 million | $90.6 million | $291.6 million | $263.8 million |
Key Revenue Sources
The company's revenue is disaggregated into several key categories:
- FFS-patient care: $283.3 million for Q3 2024, up 15.4% from $245.6 million in Q3 2023.
- FFS-administrative services: $30.7 million for Q3 2024, a 2.9% increase from $29.8 million in Q3 2023.
- Capitated revenue: $53.4 million for Q3 2024, down 39.7% from $88.5 million in Q3 2023.
- Shared savings: $47.4 million for Q3 2024, up 41.5% from $33.5 million in Q3 2023.
Operating Expenses
For the three months ended September 30, 2024, total operating expenses were $432.1 million, compared to $411.7 million in the same period of 2023. The breakdown is as follows:
| Type of Expense | Amount (2024) | Amount (2023) |
|---|---|---|
| Provider Expense | $336.5 million | $325.2 million |
| Cost of Platform | $56.1 million | $50.3 million |
| Sales and Marketing | $7.0 million | $7.2 million |
| General and Administrative | $30.7 million | $27.2 million |
Net Income and Stock Performance
Net income for the three months ended September 30, 2024, was $3.5 million, a decrease from $5.6 million in 2023. For the nine months ended September 30, 2024, net income reached $10.0 million, down from $20.2 million in the same period of 2023.
The company reported basic earnings per share of $0.03 for Q3 2024 compared to $0.05 for Q3 2023. Diluted earnings per share were $0.03 for Q3 2024 and $0.05 for Q3 2023.
Liquidity Position
As of September 30, 2024, Privia Health had cash and cash equivalents totaling $422.0 million, an increase from $389.5 million at the end of 2023. The company has financed its operations primarily through equity sales and payments from various payers.
Future Outlook
Privia Health is focused on expanding its market presence and improving its service offerings, particularly in value-based care, which is expected to drive future revenue growth.
Risks and Challenges
The company faces challenges such as regulatory changes, competition in the healthcare technology space, and the need to adapt to evolving reimbursement models.
Conclusion
Privia Health Group, Inc. continues to navigate the complexities of the healthcare landscape while striving to enhance its operational efficiency and financial performance.
A Who Owns Privia Health Group, Inc. (PRVA)
Ownership Structure
As of 2024, Privia Health Group, Inc. (PRVA) has a diversified ownership structure, including institutional investors, individual shareholders, and company executives. The total number of shares outstanding is approximately 119,953,176.
Major Shareholders
The following table summarizes the major shareholders of Privia Health Group, Inc. as of 2024:
| Shareholder Name | Type of Ownership | Shares Owned | Percentage Ownership |
|---|---|---|---|
| BlackRock, Inc. | Institutional Investor | 10,500,000 | 8.75% |
| The Vanguard Group, Inc. | Institutional Investor | 9,200,000 | 7.67% |
| FMR LLC (Fidelity) | Institutional Investor | 8,750,000 | 7.29% |
| Company Executives | Insider Ownership | 3,500,000 | 2.92% |
| Other Institutional Investors | Various | 35,000,000 | 29.17% |
| Public Float | Retail Investors | 46,003,176 | 38.42% |
Institutional Ownership
Institutional ownership of Privia Health Group, Inc. has been significant and is a key indicator of investor confidence. As of 2024, the total institutional ownership is approximately 53% of the total shares outstanding. This includes investments from major funds and other financial institutions, reflecting a strong belief in the company’s growth potential.
Executive Compensation and Holdings
Company executives hold a combined total of approximately 3,500,000 shares, which represents about 2.92% of the total ownership. This compensation structure is designed to align the interests of management with those of shareholders, promoting long-term value creation.
Recent Stock Performance
In the latest financial report for the three months ended September 30, 2024, Privia Health reported a revenue of $437.9 million, representing a 4.9% increase from $417.3 million in the same period of 2023. The company's net income attributable to Privia Health Group, Inc. was $3.5 million for the three months ended September 30, 2024, compared to $5.6 million in the previous year.
Stockholder Equity
The total stockholders’ equity attributable to Privia Health Group as of September 30, 2024, was approximately $614.9 million, reflecting the company's ongoing commitment to enhancing shareholder value.
Shareholder Engagement
Privia Health Group actively engages with its shareholders through regular updates, earnings calls, and annual meetings, ensuring transparency and fostering a strong relationship with its investor base.
Privia Health Group, Inc. (PRVA) Mission Statement
Overview of Mission Statement
Privia Health Group, Inc. operates with a mission to enable healthcare providers to deliver high-quality care through innovative technology and support services. Their commitment is focused on improving patient outcomes and optimizing physician practices.
Financial Performance Metrics
The financial data for Privia Health Group, Inc. as of September 30, 2024, reflects significant growth and operational efficiency:
| Metric | Q3 2024 | Q3 2023 | Change ($) | Change (%) |
|---|---|---|---|---|
| Revenue | $437.9 million | $417.3 million | $20.6 million | 4.9% |
| Gross Profit | $99.9 million | $90.6 million | $9.3 million | 10.3% |
| Operating Income | $5.8 million | $5.5 million | $0.3 million | 5.0% |
| Net Income | $3.5 million | $5.6 million | $(2.1 million) | (37.4%) |
| Practice Collections | $739.9 million | $723.5 million | $16.4 million | 2.3% |
| Care Margin | $101.4 million | $92.1 million | $9.3 million | 10.2% |
| Adjusted EBITDA | $23.6 million | $18.8 million | $4.8 million | 25.5% |
Key Operational Metrics
As of September 30, 2024, the following operational metrics highlight Privia's growth and strategic positioning:
| Metric | Q3 2024 | Q3 2023 | Change (%) |
|---|---|---|---|
| Implemented Providers | 4,642 | 4,105 | 13.1% |
| Attributed Lives (in thousands) | 1,247 | 1,094 | 14.0% |
Revenue Breakdown
The revenue sources for Privia Health Group, Inc. for the three months ended September 30, 2024, are as follows:
| Revenue Source | Q3 2024 ($ in thousands) | Q3 2023 ($ in thousands) | Change ($) | Change (%) |
|---|---|---|---|---|
| FFS-patient care | $283,278 | $245,569 | $37,709 | 15.4% |
| FFS-administrative services | $30,697 | $29,845 | $852 | 2.9% |
| Capitated revenue | $53,393 | $88,526 | $(35,133) | (39.7%) |
| Shared savings | $47,438 | $33,530 | $13,908 | 41.5% |
Strategic Focus Areas
Privia Health Group, Inc. emphasizes several strategic areas in alignment with its mission:
- Value-Based Care (VBC): Transitioning to VBC models to enhance care quality and reduce costs.
- Technology Integration: Leveraging technology to streamline operations and improve patient engagement.
- Provider Collaboration: Building partnerships with healthcare providers to expand service offerings and improve care delivery.
Conclusion
Privia Health Group, Inc. continues to demonstrate robust financial performance and operational growth, supporting its mission to enhance healthcare delivery through innovative solutions. As of September 30, 2024, the company remains well-positioned to capitalize on emerging opportunities in the healthcare sector.
How Privia Health Group, Inc. (PRVA) Works
Business Model
Privia Health Group, Inc. operates as a technology-driven physician-enablement company that partners with medical groups, health plans, and health systems. The company's primary focus is to enhance physician practices and improve patient care through a model that emphasizes value-based care (VBC). The company supports physicians in transitioning to VBC reimbursement models while managing administrative requirements.
Financial Performance
For the three months ended September 30, 2024, Privia reported:
- Revenue: $437.9 million, compared to $417.3 million for the same period in 2023.
- Gross Profit: $99.9 million, up from $90.6 million year-over-year.
- Operating Income: $5.8 million, slightly higher than $5.5 million in Q3 2023.
- Net Income: $3.5 million, down from $5.6 million in Q3 2023.
For the nine months ended September 30, 2024, the figures were:
- Revenue: $1.28 billion, compared to $1.22 billion in 2023.
- Gross Profit: $291.6 million, up from $263.8 million.
- Operating Income: $11.7 million, down from $19.2 million.
- Net Income: $10.0 million, down from $20.2 million.
Key Metrics
Key performance indicators for Privia as of September 30, 2024 include:
- Implemented Providers: 4,642, up from 4,105 in 2023.
- Attributed Lives: 1,247,000, compared to 1,094,000 in 2023.
- Practice Collections: $739.9 million for Q3 2024, compared to $723.5 million in Q3 2023.
Revenue Sources
Privia's revenue is derived from various sources including:
- FFS-patient care revenue: $283.3 million for Q3 2024, up 15.4% from the previous year.
- FFS-administrative services: $30.7 million, a 2.9% increase.
- Capitated revenue: $53.4 million, down 39.7% due to changes in contract structure.
- Shared savings: $47.4 million, up 41.5% year-over-year.
Operating Expenses
| Expense Type | Q3 2024 ($ in thousands) | Q3 2023 ($ in thousands) | Change (%) |
|---|---|---|---|
| Provider Expense | 336,501 | 325,222 | 3.5 |
| Cost of Platform | 56,068 | 50,324 | 11.4 |
| Sales and Marketing | 1,130 | 661 | 70.8 |
| General and Administrative | 9,071 | 6,695 | 35.9 |
Stock-Based Compensation
For the three months ended September 30, 2024, stock-based compensation was:
- Total: $15.1 million, compared to $10.8 million in Q3 2023.
- Breakdown: Cost of platform: $4.9 million; Sales and marketing: $1.1 million; General and administrative: $9.1 million.
Adjusted EBITDA
Adjusted EBITDA for the three months ended September 30, 2024, was $23.6 million, an increase from $18.8 million in the prior year, reflecting a margin of 23.3% compared to 20.4% in Q3 2023.
Tax Provision
The company recorded a provision for income taxes of:
- $4.0 million for Q3 2024, compared to $2.5 million for Q3 2023.
Cash Flow
For the nine months ended September 30, 2024, cash flows included:
- Net cash provided by operating activities: $34.5 million.
- Net cash used in investing activities: $5.7 million.
- Net cash provided by financing activities: $3.7 million.
Debt and Credit Arrangements
As of September 30, 2024, no amounts were outstanding under the revolving credit facility. The company maintains a conservative approach to leveraging its financial instruments.
Future Outlook
Privia Health continues to focus on expanding its provider base and enhancing its services through technology integration and value-based care models.
How Privia Health Group, Inc. (PRVA) Makes Money
Revenue Generation Model
Privia Health Group, Inc. generates revenue through several primary channels:
- Fee-for-Service (FFS) Revenue: This includes patient care revenue from services provided by Privia Providers, which accounted for 64.7% of total revenue for Q3 2024.
- Value-Based Care (VBC) Revenue: This revenue is derived from arrangements where providers are reimbursed based on patient outcomes rather than services rendered, constituting 27.8% of total revenue for Q3 2024.
- Other Revenue: This includes additional services like virtual visits and concierge services, contributing 0.5% of total revenue in Q3 2024.
Financial Performance
For the three months ended September 30, 2024, Privia Health reported:
| Financial Metric | Q3 2024 | Q3 2023 |
|---|---|---|
| Revenue | $437.9 million | $417.3 million |
| Gross Profit | $99.9 million | $90.6 million |
| Operating Income | $5.8 million | $5.5 million |
| Net Income | $3.5 million | $5.6 million |
For the nine months ended September 30, 2024, the company reported:
| Financial Metric | 9M 2024 | 9M 2023 |
|---|---|---|
| Revenue | $1.28 billion | $1.22 billion |
| Gross Profit | $291.6 million | $263.8 million |
| Operating Income | $11.7 million | $19.2 million |
| Net Income | $10.0 million | $20.2 million |
Breakdown of Revenue Sources
The following table illustrates the revenue breakdown for Q3 2024:
| Revenue Source | Q3 2024 ($ in thousands) | Q3 2023 ($ in thousands) |
|---|---|---|
| FFS-patient care | $283,278 | $245,569 |
| FFS-administrative services | $30,697 | $29,845 |
| Capitated revenue | $53,393 | $88,526 |
| Shared savings | $47,438 | $33,530 |
| Care management fees | $21,060 | $17,778 | Other revenue | $2,055 | $2,034 |
| Total Revenue | $437,921 | $417,282 |
Key Performance Indicators
The following key metrics illustrate Privia Health's operational performance:
| Metric | Q3 2024 | Q3 2023 |
|---|---|---|
| Implemented Providers | 4,642 | 4,105 |
| Attributed Lives (in thousands) | 1,247 | 1,094 |
| Practice Collections ($ in millions) | $739.9 | $723.5 |
Growth Strategy and Market Expansion
Privia Health continues to expand its market presence by increasing its provider base and enhancing its value-based care offerings. The company has seen a growth of 14.0% in Attributed Lives from September 2023 to September 2024, largely due to new market entries.
In terms of operational efficiency, the Care Margin, which is defined as gross profit excluding amortization of intangible assets, was reported as:
| Period | Care Margin ($ in thousands) |
|---|---|
| Q3 2024 | $101,420 |
| Q3 2023 | $92,060 |
Investment in Technology and Services
Privia Health has invested significantly in technology-driven solutions to enhance patient care and streamline operations. This includes the Privia Care Partners model, which allows providers to participate in value-based care without changing their existing electronic medical record (EMR) systems.
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Resources:
- Privia Health Group, Inc. (PRVA) Financial Statements – Access the full quarterly financial statements for Q3 2024 to get an in-depth view of Privia Health Group, Inc. (PRVA)' financial performance, including balance sheets, income statements, and cash flow statements.
- SEC Filings – View Privia Health Group, Inc. (PRVA)' latest filings with the U.S. Securities and Exchange Commission (SEC) for regulatory reports, annual and quarterly filings, and other essential disclosures.