On August 7, 2024, Astrana Health Inc (ASTH, Financial) released its 8-K filing detailing the financial results for the second quarter ended June 30, 2024. Astrana Health Inc is a patient-centered, physician-centric integrated population health management company focused on providing coordinated, outcomes-based medical care cost-effectively.
Company Overview
Astrana Health Inc (ASTH, Financial) is dedicated to enabling providers to deliver high-quality, value-based care, particularly for senior patients and those with multiple chronic conditions. The company operates primarily in the healthcare delivery segment, leveraging technology to enhance care coordination and population health management.
Performance and Challenges
Astrana Health Inc (ASTH, Financial) reported significant growth in revenue and adjusted EBITDA for Q2 2024. The company’s performance underscores its successful integration of recent acquisitions and expansion into new states, including Arizona and Hawai'i. However, challenges such as managing the total cost of care and integrating new partnerships remain critical for sustaining growth.
Financial Achievements
The company achieved notable financial milestones, including a 44% increase in total revenues compared to the same quarter last year. This growth was driven by organic expansion in the Care Partners segment and the integration of Community Family Care. These achievements are crucial for Astrana Health Inc (ASTH, Financial) as they reflect the company's ability to scale and manage value-based care arrangements effectively.
Key Financial Metrics
Below is a summary of key financial metrics from the income statement, balance sheet, and cash flow statement:
| Metric | Q2 2024 | Q2 2023 | % Change |
|---|---|---|---|
| Total Revenue | $486,265 | $348,209 | 39.6% |
| Cost of Services | $412,805 | $292,876 | 40.9% |
| Net Income | $21,866 | $17,482 | 25.1% |
| Adjusted EBITDA | $165M - $185M (Guidance) | N/A | N/A |
Income Statement Highlights
For the second quarter of 2024, Astrana Health Inc (ASTH, Financial) reported total revenues of $486.3 million, a 39.6% increase from $348.2 million in Q2 2023. The cost of services rose to $412.8 million from $292.9 million, reflecting the company's expanded operations. Net income attributable to Astrana Health Inc (ASTH) was $21.9 million, up from $17.5 million in the same period last year.
Balance Sheet and Cash Flow
As of June 30, 2024, Astrana Health Inc (ASTH, Financial) reported total assets of $1.25 billion, up from $933.4 million at the end of 2023. The increase in assets was driven by higher cash and cash equivalents, receivables, and goodwill from acquisitions. Total liabilities also increased to $773.8 million from $522.6 million, primarily due to higher long-term debt and medical liabilities.
Analysis and Outlook
Astrana Health Inc (ASTH, Financial) continues to demonstrate robust financial performance, driven by strategic acquisitions and organic growth. The company's focus on value-based care and expansion into new markets positions it well for sustained growth. However, managing integration challenges and maintaining cost efficiency will be crucial for future success.
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Explore the complete 8-K earnings release (here) from Astrana Health Inc for further details.
