Q2 2025 Evolent Health Inc Earnings Call
Welcome to the Evelyn earnings conference call for the second quarter end of June 30th 2025.
As a reminder.
This conference call is being recorded.
Your host for the call today from Evelyn, are Seth Blackley chief executive officer and John Johnson Chief Financial Officer.
This call will be archived and available later this evening and for the next week via the webcast on the company's website and the sector section titled. Investor relations.
In forward, looking statements under the US federal laws.
For present expectations.
A description.
Of some of the risks and certainties can be found in the company's reports that are filed with the Securities and Exchange Commission. Including cautionary statements, including in our current and periodic filings.
For additional information on the company's results and outlook, please refer to our second quarter press release issued earlier today.
Finally, as a reminder, reconciliations of non-gaap measures discussed during today's call to the most direct comparable, gaap measures are available in the summary presentation available in the investor relations section of our website or in the company's press. Release issued today and posted on the investor relations, website, IR evelyn.com.
and the Form 8K file by the company with the SEC earlier today,
In addition, to reconciliation, we provide details on the numbers and operating metrics for the quarter. In both, our press release and supplemental, investor presentation. And now I will turn the call over to Evelyn CEO. Seth blakley
Good evening, and thanks for joining the call.
We're pleased to announce another quarter of adjusted ibida. Performance ahead of expectations.
As well as 4 new partner announcements and an accelerated new business pipeline.
We achieve these results through strong execution, but also because of the fit between our products and the top need in the industry, which we believe is balancing quality and cost for the most complex and expensive specialty conditions.
We have a number of positive developments to share today across all 3, pillars of shareholder value, creation of organic growth, margin expansion, and capital allocation. So let me walk through the updates now on each of those 3 themes.
Starting with Organic growth. We have 4 new Revenue agreements across both technology and services. And the performance Suite bringing us to 11 new agreements here to date.
On the technology and services side or announcing 3 new agreements, which are 1, a current partner in the Northeast wide, our Cardiology radiation oncology and msk services across multiple lines of business for more than 400,000 members.
2. A regional partner in New, England will add msk and Cardiology Services across multiple lines of business.
And 3, a national partner will add additional msk services to its plans in the Northeast.
In the performance Suite. We're pleased to expand our oncology and Cardiology solution to a new Midwestern State for an existing National partner expected to go live later this year.
Also in the performance Suite, you'll recall that we previously announced the partnership with a national health plan for oncology services.
We're pleased to announce today that that partner is Aetna.
Across 250,000, Medicare Advantage members in the state of Florida.
Since that announcement, we've been working closely with that and to ensure we are, well, set up to scale to additional Aetna, States over time by ensuring that key partnership components, like data exchange processes are well-honed
We've also been impressed with that is leadership position on innovation in this area including leading the market on the new Ahab and CMS prior authorization commitments.
Evelyn's roadmap is highly aligned with that is vision for ramping interoperability and clinical data. Exchange, improving member experience and reducing provider administrative burden.
We plan to launch together, in q1 2026. We're excited to partner with this National payer and look forward to earning the opportunity to expand additional States and Specialties over time.
Across all these Partnerships. We expect total new Revenue in excess of 250 million by the time they're Fully live in q1 2026.
Furthermore, as our customers search for more ways to control costs, we are seeing our addressable Market expand.
Historically, our oncology performance Suite. Offering has generally been limited to Specialty, Pharmacy, and professional spending.
We are now seeing some potential for performance Suite, customers to come us. Come to us seeking help managing select inpatient or part A oncology costs.
With our expanded capabilities provided by our partnership with curology and the acquisition of oncology Care Partners. We believe we can now meet this M Market opportunity while simultaneously. Limiting our risk, through our enhanced performance Suite contract structure,
Finally, we continue to have a very strong late-stage pipeline and expect to make additional growth announcements across the fall.
Mentioned earlier. In this year, we are seeing the python accelerate as Health Plan struggle with new pressures on their p&ls, including in Risk adjustment, shortfalls and medical utilization trends.
Combining those issues with the membership pressure created by recent legislative developments. We expect the selling environment to be very strong across the next couple of years.
Next, I want to turn to margin expansion where we're focusing our efforts in 2 areas which are 1 performance, Suite margin maturation, and 2 AI and Automation and our technology and services Suite.
On the first, we continue to see oncology expenses below, our forecasts for the year, contributing to potential Tailwind, as we move into the second half of 2025.
As John will outline in more depth, we are maintaining a conservative approach to reserving and forecasting for the guide for Q3 and Q4. However, we are currently encouraged by our performance so far this year.
Our Ai and automation work is on track to our plan for this year as well.
Our principal goal with this effort is to get the yes faster for members and providers. Leaving our expert clinicians more time to intervene with treating Physicians on complex cases.
Many of you will call the investment room Aid last year in the AI driven future of our business. By acquiring the off intelligence solution from machinify a company that reviews over 200 billion in claims annually using AI
We believe the transaction allows us to more aggressively roll out, AI capabilities given that we today process over 8 million clinical reviews each year.
And provide the opportunity to bring the right talent and mindset into the organization.
We believe the AI opportunity at Avant represents the rare win-win investment where we can both reduce costs, while improving member experience and outcomes through efficiency speed to answer and accuracy based on the latest clinical evidence.
We've now integrated this technology into a number of our workflows improving review efficiency by roughly 11% in the last quarter, since starting to roll it out.
More importantly, we're striving to become a leading AI first company across the next 24 months targeting. 80% of our current authorization, volume to be Auto approved, allowing our clinical talent to focus on cases, where intervention is required.
We believe we'll be able to do this while meaningfully improving the experience and health health outcomes for our clients and members.
We'll have more details on this in the coming quarters. As we roll out these Solutions more broadly but we believe this puts us in a leadership position and leveraging AI to improve quality of care for the 40 million members. We touch each year.
As a reminder, we expect to exit the year with a net. 20 million annualized run rate. Eva dime Improvement across a number of AI and operational efficiency initiatives.
But we believe that total addressable Market expansion and even die Improvement opportunities from AI will be much larger over time.
Finally, on Capital allocation, our priorities remain the same.
First, investing in organic product development and deploying free cash to deliver. We do not expect to pursue any M&A in the near or medium term and continue to believe we have the key assets and capabilities necessary to execute on our strategy.
John will comment in his remarks on our cash flow expectations for the rest of the year.
Before we go to the numbers, let me share a few words about the evolving macro environment.
Our primary customers are navigating a very challenging Confluence of events of elevated, utilization lagging premiums, and a backlash against traditional methods of medical cost control.
Earlier in the summer, CMS in several Health Plan industry groups and asked a series of commitments.
For streamlining prior authorization, all of which are highly aligned with our approach and future roadmap.
We believe these new commitments will likely accelerate adoption of our Solutions as health plans move away from in-house Solutions or Legacy Partners. Both of which we believe will struggle to meet the new requirements.
Later that same week, CMS introduced a new pilot called the wiser model to Pilot new prior authorization, requirements for certain specialty areas in traditional Medicare and attempt to balance affordability and quality.
These twin announcements on streamlining clinical oversight and the other expanded it encapsulate, the moment that faces the industry.
Against this backdrop, We Believe Evelyn is a durable and critical part of the healthcare ecosystem.
Choosing us at an increasing rate as their clinical to support clinical decision, support partner because of our ability to improve clinical quality, reduce physician burden, and improve member experience. All while also lowering cost,
With multiple ways to grow the earnings of the business, including strong organic growth and margin expansion opportunities in both services and the performance Suite.
we remain confident in our ability to grow adjusted even de
At 20% per year, despite industry volatility.
I'll now hand it over to John to go through our results in more detail.
Thanks Seth. Q2 adjusted Eva of 37.5 million within the top half of our range driven by strong results across both our Tech and services, and performance Suite models.
In the performance Suite, normalized oncology trend of approximately 10.5% continues to be modestly below our initial forecasts for the year of 12%.
As is typical we have visibility into claims for about half the claims expense in Q2 with the rest comprising, an Actuarial Reserve based in part, on leading indicators.
For oncology and Q2 our key leading indicator which is authorizations per thousand was flat to down on a per capita basis versus q1 for each line of business.
Recall, that we closed q1 with an elevated level of conservatism in our reserves compared to what we saw in the authorization data.
With claims for q1 now about 90% complete and reflecting expenses in line with what our leading indicators suggested we have released the majority of that conservatism.
That favorability from q1 claims development. Was offset by a similarly conservative approach to Q2 for a net neutral impact on our year to date results.
Prior to your claims development, there was a favorable $11.7 million. In the quarter, this was partially offset by $4.6 million in revenue updates, resulting in a net benefit of approximately $7.1 million.
This was in line with our expectations.
Given the level of focus on medical Trend across the Managed Care industry. I want to go deeper on what we are seeing that make no mistake the last 9 months represents the highest per member per month Trend that we have seen in oncology in the history of our company, driven, both by elevated prevalence, and cost per active case.
Despite this, we are currently favorable to our forecast, year to date for 2 Reasons.
First, we were intentionally conservative in our outlook for this year, including a provision in our guidance for continued deterioration in the environment beyond the elevated levels seen exiting Q4 last year.
And while medical trend has remained elevated in 2025 to date.
We have not seen this further deterioration in Trend that was contemplated in our guidance.
Second, we continue to deliver on the core goal of our platform lower costs by increasing inherent to best evidence medicine.
This enables us to consistently deliver below Market trend.
On the top line, Q2 revenue is 444 Million by 11 million below the midpoint of our guide. 4.6 million for this deviation was driven by the lower revenue for 2024 that I just referenced with the rest attributable to go live timing for 1 performance of sweet Market, where our plan partner was working through a local regulatory matter.
This issue is now cleared and that market is scheduled to go live in September.
As a reminder, our q1 results included, 55 million in gross, revenue from 1 contract, that switched to net revenue in Q2.
Adjusting for that item. We saw a 16- up from q1 driven principally by a new launches and recognition of revenue from the Medicare shared Savings Program.
Looking out across the year, our revised revenue outlook incorporates our latest estimates going lifetime with performance week partners, including the National Partnership. Seth referenced.
as you know, the first few months of a performance week contract are typically neutral to adjust at either dust. So there is no flow through of that change to our bottom line this year.
Importantly, since this is a timing related adjustment, our view of our 2026 opportunity has not changed.
While it is too early to provide formal Topline guidance for next year.
Based on our weighted Pipeline and current market dynamics. We see a clear path to delivering 2026 revenues in excess of 2.5 billion with continued, strong growth thereafter,
Technology and services and performance Suite opportunities and importantly, all prospective performance suite deals are under our new risk model which includes enhanced protections against unfavorable changes. In our risk pools standardized data flows and heart limits to our liability for gas and historical data.
Turning to the balance sheet, we ended the quarter with unrestricted cash of 151 million.
Cash used in operations of 26 million was driven by 2 factors first performance, reconciliations for 2024 contracts that have since been restructured consistent with our expectations and second a collection slowdown during the second quarter similar to what we saw during the fourth quarter of last year.
since the quarter closed, we received 24 million in ketchup, payments from these customers, bringing us back in line with overall expectations,
In response to this variability, we have recently experienced in our working capital, we have taken important steps that we believe will improve the timeliness of payments including working with our partners to amend the payment terms in our contracts to ensure more predictable cash flows for Evelyn.
With those improvements. And the catch-up collections in July, we expect DSO to remain normalised for the rest of the year allowing us to generate approximately 40 million in cash from operations in the April, through December period. Consistent with prior expectations.
There are a number of updates on the policy and macro fronts that inform our outlook for the rest of the year and into 2026. So let's go through these in our current view on, impacts organized by line of business,
first about a quarter of our Q2 revenue and more than 80% of the new business thus, far announced for 2026 is in Medicare
Our view of this line of business is the trend has largely stabilized with a favorable rate notice for 2026, we anticipate a return to normal macro membership growth within ma which averaged about 8% between 2020 and 2024.
We expect this to be a Tailwind for our membership.
Second roughly 10% of our Q2 revenue is in the commercial fully insured line of business in technology and services we which we expect to be stable over time.
Third about 45% of our Q2 revenue and about 10% of the new business we've announced for 2026 is in Medicaid.
Absent policy changes, the Medicaid population, typically grows between 2 to 3% annually.
While there remains uncertainty on. How States will implement the provisions of the 1? Big mutable Bill. We do not currently anticipate meaningful impacts until 2027.
We continue to estimate that. A 5% membership reduction would result in an Eva headwind of approximately 8 to 10 million dollars.
Finally about 20% of our Q2 revenue and less than 10% of the new business we've announced for 26, is in the Affordable Care Act exchanges.
Well, this has been a fast growing line of business across the country over the last 2 years, driven in part by Medicaid, disenrollment and enhanced subsidies.
Membership in 2026 is likely to face headwinds from the potential expiration of those subsidies and other impacts.
Our updated guidance for 2025 incorporates, a modest pull forward of medical utilization within the approximately 180 million of annualized performance. Suite, Revenue in the exchanges during the second half of 2025.
So to sum up from a line of business perspective. We, currently have the least exposure to exchanges and the majority of our booked Revenue growth for next year is in, Medicare Advantage.
We feel the macro Trends on the horizon are reflected in our guidance for 2025 and our targets for 2026 and Beyond.
Now, let me go through guidance, before we open it up for questions.
Between 34 and 42 million.
This Outlook incorporates our strong performance here to date while remaining prudently conservative for the second half, given the volatility experienced by Managed Care.
On the revenue line. We are updating our full year outlook to be between 1.85 to 1.88 billion with a corresponding, Q2 Outlook of between 460 and 480 million.
This update principally reflects the Edna. Go lifetime in Seth referenced earlier with that. We'll open it up for your questions.
Thank you. And I'll begin the question and answer session to ask a question. You may press star then 1 on your telephone keypad,
If you're using a speaker-phone, please pick up your handset before pressing the keys.
To withdraw your question, please. Press star then to
Please limit yourself to 1 question. If time allows, we may take follow-up questions afterwards. At this time, we will pause momentarily to assemble our roster.
The first question comes from Jared has at William Blair.
Good afternoon, and thanks for taking our questions. Um, I wanted to ask one on the announcement, and I think you mentioned 250,000 lives in Florida. I know Florida's been a big market for you, so maybe you could talk a little bit about just kind of the power of density. You know, how much did the existing relationships that you have in that market kind of lead to that?
Landon any framing you could share in terms of how we should expect the uh the margin profile in that market to to ramp with that now.
Uh, yeah, Jared, I'll take it. Initially, let me just first comment on Aetna generally, which is obviously, we're honored to be partnering with them. It's an innovative marquee partnership opportunity for us, and I think it really is set up for it to be the first of...
You know, multiple States. We have to earn that right by doing a great job for them, but that is certainly the intent um to your point 4 is a logical place to start but I think to be honest I think it's a little bit less about us and you know, I think we are able to do some slightly different things in Florida but it's not the biggest driver of this. A lot of it's just about the opportunity with this partner where they have membership and need and um, so that's that's where we're starting. But I would expect this to, you know, be able to go to additional States over time assuming we execute um, and deliver for the partner.
Then the margin ramp Jared. We'd expect it right now to be consistent with our normal performance Suite margin ramp, uh, to getting to that Target, 10% margin of the course of the first 2 years.
The next question comes from Kevin colando at UBS.
Hi guys. Thanks
Question. Um,
I want to talk about your new contracts, but in the context of
Given all that changed last year, the way you're structuring your contracts and all that's happened with some of your customers and the trends that they're seeing.
Can you just talk about how the conversations are different? Now when, when did they come back to you and, and re-engage or
What are they looking for? Now that might be different from in the past. I'm really just trying to understand how you fit in to the ecosystem. Now giving your changes and giving what's going on with a lot of them who are, are clearly, you know, seeing higher trends
Yeah. Yeah yeah. Great, great question. Kevin. So look on the pipeline in general. Let me just say a couple things and I'll get into the protections you know we have
uh, about a billion dollars in our weighted pipe right now,
And that's across um, you know, tech services and performance Suite within the performance Suite. You know, it does have this enhanced version of the performance Suite contract
I think the reason we've been able to generate that and that's weighted as I mentioned, that's sort of what we expect to happen.
Um, the reason that has gone up so much is while we're, you know, having the enhanced contract terms is I think the challenges in the industry have grown, right? So
our payer Partners across the country are feeling pain around trying to manage these high cost specialty categories and they're trying to do it in the context of a world where you know, you don't want to burden the patient at this or the provider unduly so you need an Innovative way to do it and that is a perfect fit for who we are. Um and so I think you know we've been saying this I know for a while there's a counter cyclical nature to our business meeting when the payers are
I think we've fit very well into that. A lot of the costs are in oncology but Cardiology and msk too. And, you know, to put a very fine point on it. Everything we have in our pipeline has the enhanced contract terms for the performance Suite that we've talked about. That's corridors that's around data. And, and historical, statute of limitations, on old claims, and all the adjusters that we've talked about, you know, that that does give up some of the upside, that we historically, would have had, um, in exchange for more protections. I think it's a fair trade for our partners and um, you know, as I as the pipeline size and our indication around 26 and revenue for 26 indicate, I think we feel really good about um, those come into fruition and creating a lot of value for our partners and and for us at the same time,
The next question is from Daniel gosite at City.
Hi guys, thanks for taking the question. I want to go back to the, uh, the etnet contract great to see the uh, the, the new logo there. Um, I'm just curious though, if maybe you can, um, go into a little bit more detail on kind of the push out to the first quarter of 26, 26, what? What needs to happen there before you're comfortable launching in, and why? Um, kind of the more, uh, drawn out, uh, process.
Yeah.
Yeah Daniel so we're very confident it's going to launch on that time frame. So that I'll just say that first in terms of why it it's delayed a little bit from initial. I think this is a case of a couple things 1, you know, being extremely disciplined about making sure everything we need under. An enhanced partnership is in place the things that I just mentioned, um, but secondly, I think there's a concept of, you know, slow down to speed up, which is getting the data feeds.
And the data exchange well-honed such that, you have an excellent, go live and you can have it faster follow for additional States. And, you know, in this environment we chose to be a little more disciplined around the speed and as a trade-off on that but I think that will have a payoff with respect to the opportunity to um go to additional States over time. So that's the that's the summary of it.
The next question is from John stansel at JP Morgan.
No, the exchanges are a smaller portion of your book. I think 20% of $2 billion in key revenue and $180 million in the back half.
Uh can you just talk about qualitatively, how you're thinking about 26, given the expectation of increased morbidity in in the ACA risk pools and higher payer discussions have gone in that space? Thanks.
Yep. Uh it's a 20% of our Revenue overall about half in Tech and services half in the performance Suites um you know, so the
as we think about that margin on that book of business overall in 26,
Because of the composition of that business. It tends to, uh, Trend towards lower margin Services. It's a fair bit of uh, surgical management business in there. For example, it has a lower gross margin than average on the Tekken Services side, uh, Etc. And then, on the performance Suite side, as we look out to next year, prior to any changes, uh, it might come from demographic movements. Uh, we project them to be a little less than our our Target 10% based on where there are in their maturation curve.
Um, so that's something you're you're starting points, uh,
I think it's too early to know exactly what happens I think, what, where we're focused right now is 1 protecting the downside, a Seth noted ensuring that we have the right Protections in the contract, which we do.
uh, around corridors and the like,
And then focus on growing the business in a disciplined way to deliver on our Target to to grow Eva in a wide range of potential outcomes on the exchanges that. That's where we're focused.
The next question is from Jeff. Garo at Stephen
Clues, where are you seeing the those different vectors of opportunity play out in the pipeline for performance weight.
Yeah, Jeff I'd say on the performance Suite side, it it it's shaded towards oncology. I'd say that's where the biggest need in the marketplace is right now. It's not just oncology, but it is. Certainly shaded in that direction. Um, there are a mix of national plans, uh, Regional and blue plans in that Pipeline. And, you know, look, I think the, the dynamic is what I described earlier which is, um, 2 things 1 organizations, looking around for new, and different solutions. So I see there's a higher mix of new logo in there than has ever been in the past.
And it's great, you know, we're excited about that, I think that's great for the business and from a diversification perspective and so there's a lot of new logo in there.
Um, and then and then, secondly, I do think where CMS is headed.
Um, thematically and specifically, with the commitments, they've pushed into the marketplace with the new programs, they're launching. Um, is going to create an environment where if you're today insourcing 1 of these Specialties, which is, you know, maybe 30 to 50% of the market depending on. Um, which specialty it is. I think it's going to become very hard to insource over time as this commitments become required around clinical data.
Exchange and sophistication of the timing, so that'll be a tailwind. And then, I think, again, I mentioned this before. I think some of the, you know, there are some some vendors in the marketplace, I think will have a harder time meeting those commitments. So there's a couple different things driving this uh shaded towards oncology and a lot of new logo in there
It comes from.
Hi guys, this is Eduardo, Ron on felindra. Thanks for taking the question. Um, just on the I think, John you made the comment that you see, a path to and access of 2 and a half billion dollars in 2026, you know, just giving the Q4 a run rate, you know, that's like 1.9 billion or so at at a 600 million step up, uh, to next year, just curious and the new contracts that you talked about 250 million. So, just curious what line of sight you have into the incremental 350 or so million dollars that you're, you're talking to out here.
Yeah, so that 350, uh, Eduardo is based on the, uh, way to pipeline that we have now that Seth Seth referenced the over a billion.
Uh, with some expectations of when that pipeline might go live during 2026. Uh, so that's the root of our confidence around that number.
Yeah, and just to put a finer point, I think, you know, the comment was at least 25. Um, we obviously—$1 billion would take us well above that. And so, to John's point, it's really around timing; that's the only question.
The next question comes from Charles Ry at TDC.
Uh, yeah, thanks for taking the questions. I just wanted to follow up on, on some of the other answers here. Um, maybe first on the, the 2.5 billion sort of Target understanding that the pipeline, uh, your comments are on Pipeline, but in relation to sort of your assumptions for, for Hicks, for individual exchange is that assume because it seems like Jon you you don't have yet an estimate of what you think that impact might be for 26. If you make any assumption for the decline in that business within that 2.5 billion and then secondly um, you know, uh obviously Edna signing for, you know, Mas starting. Next year. Sounds great just curious about sort of the large customer that you had, that was doing, you know, performance Suite in oncology in Florida, uh, and another state obviously um going to Texas, Suites any discussions. Now that Trend this kind of higher level utilization is
Stabilize, the them coming back to kind of switch back to to and yet. Thanks.
Yep. Sounds good. I'll, I'll take the first 1. I'll kick this out for the second 1 around customer commentary. You know. Yes, we have assumed, uh, in our build for next year. At this point, uh, some decline in the exchange population across both Tech and services and performance Suite.
Providers, so I think over time if your tech services, you're going to move some states to Performance Suite. I'm always timing-based. There's been a lot of volatility in membership, which does make it harder to price and go live with the market, and that's one of the challenges that we had there. But I do think because of the value proposition, those things are likely to happen, and it's a timing thing, which I don't want to, you know, throw out specific timelines. But I do think those types of things will happen.
The next question is from Matthew Gilmour at KeyBank.
Hey guys, thanks for the question. Um, I wanted to ask a guidance question on the oncology Trend. I think you said the trend was 10 and a half percent, John had mentioned that you closed 2 Cube conservatively uh similar to 1 q and then 1 Q developed favorably. Can you give us some sense for where the first quarter oncology trend is ultimately, developing relative to the 12% guide. And and then, I think there was also a comment about an assumption about a pull forward of utilization. Maybe around the exchange business that you've incorporated into the guide. I was wondering if you could quantify that, just so we understand if there's an extra burden, that you're, uh, you're putting under the guide.
Yeah, good questions, Matt. So as you think about the first half the 10 and a half that I mentioned is the the rate for the full first half of the year. Uh and so the the first half, the first quarter uh being more fully complete uh is a little lower than that. Uh, and we closed the second quarter above that.
As we think about our guide, as I mentioned, we've largely remained conservative. And so, what does that look like? It's about 12% for the second half of the year. That's composed of modestly better underlying expectations offset by, as I mentioned, this idea of a potential benefits rush in the exchange business. It's the smallest part of the business, but there is a head of potential changes in membership next year. So those two net out to what we think is a relatively conservative 12% assumption at the midpoint of our guide for the back half of the year.
The next question is from Matthew Shea at NM.
Hey, good evening. Thanks for taking the question. Um, nice to see the sales momentum year to date. I guess with total signings. Now at 11:00 at the guide for the remainder of the year, is there much go get left in terms of new customers in the full year guide or have you pretty much filled the bucket at this point?
We have filled the bucket. So, any new launches that we haven't already announced that for this year would would be incremental, um, for 2025, uh, the really now focus on building up 26,
Question is from David Larson at btig?
Hi, this is Jenny Champs on for Dave. Uh, thanks for taking the question. Um, it's encouraging to hear that the oncology cost trend is trending favorably. Um, just any of your thoughts in on overall utilization, we've seen some of the hospitals uh report lighter volumes in areas like Ortho and msk, does that have any positive read through to you guys? What are you seeing in the other specialty areas? Thanks.
Yeah, so just going specialty by specialty, we've seen uh Cardiology Trend be quite consistent with our expectations this year. Uh so it's it's elevated relative to, you know, a 10-year Baseline for example, but it's pretty consistent with what we expected uh on msk uh Radiology other uh Specialties uh in our stable. We don't take risk there, um, and so we're less sensitive to volumes. Um, but we haven't seen a particularly significant shift in either direction in our particular book of business.
This concludes our question-and-answer session. I would like to turn the conference back over to Seth Blackley for any closing remarks.
All right, thanks for the time this evening. Look forward to
The conference is now concluded. Thank you for attending today's presentation. You may now disconnect