PIIIW · P3 Health Partners Inc.

P3 Health Partners delivered a pivotal Q1 2026 with $386 million in total revenue, up 4% year-over-year, driven by 14% higher per-member revenue from contractual restructuring, rate progression, and improved burden of illness performance despite a 10% drop in at-risk membership to 106,000 due to deliberate network and payer rationalization. Medical margin reached $73.7 million ($231 PMPM), boosted by prior year development and payer settlements; core margin excluding these was $56.1 million. Adjusted EBITDA of $25.8 million ($81 PMPM) marked a turning point, as CEO Dr. Aric Coffman noted, stemming from two years of contract restructuring, network concentration, and operational redesign. This swung the company to net income of $3.0 million from a $44.2 million loss last year. Balance sheet shows stable cash at $25.5 million, total assets up to $674.2 million, but liabilities at $807.3 million reflect ongoing claims payable ($285.9 million) and debt pressures. Confident in momentum, management raised FY2026 guidance: at-risk members 103,000-110,000, revenues $1.5-1.65 billion, medical margin $190-230 million ($149-180 PMPM), and Adjusted EBITDA $20-60 million (midpoint $40 million), adjusting for Q1 one-offs. This signals path to profitability amid value-based care execution, though forward-looking estimates carry risks outlined in the release.