P3 Health Partners reports Q3 results, revenue declines 5% YoY

HENDERSON, Nev. - P3 Health Partners Inc. (NASDAQ:PIII) reported third quarter revenue of $345.25 million, a 5% decrease compared to the same period last year, as the healthcare management company continues its transition toward profitability. The company posted a quarterly loss of $9.67 per share.

P3 Health Partners shares rose 1.2% following the earnings release as investors responded to the company’s identified EBITDA expansion opportunity of $120 to $170 million, which strengthens its path to profitability in 2026. However, shares were down 8% on Thursday.

The revenue decline was primarily driven by an intentional 10% reduction in at-risk membership to approximately 116,000 members, reflecting the company’s previously disclosed network and payer rationalization strategy. Despite the membership decrease, per-member funding improved 6% year-over-year when adjusted for prior-period items.

"Our core business continues to demonstrate positive momentum in the third quarter, driven by the expansion of our Care Enablement Model," said Aric Coffman, CEO of P3. "Medical cost trends, normalized for prior-year adjustments, remain stable, operating discipline is strengthening, and we’re seeing continued traction in the markets where our model is most aligned."

The company reported a medical margin of $4.4 million, or $13 per member per month, which was impacted by unfavorable mid-year settlement adjustments. Adjusted EBITDA loss for the quarter was $45.9 million, or $132 per member per month.

For fiscal year 2025, P3 Health Partners revised its guidance, projecting total revenues between $1.4 billion and $1.45 billion, with at-risk membership expected to range from 112,000 to 117,000. The company anticipates an adjusted EBITDA loss between $95 million and $110 million for the full year.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.