P3 Health Partners Inc. (NASDAQ:PIII) reported third-quarter revenue of $345.25 million, down 5% year-over-year, as the company pushes forward with its multi-year plan to improve profitability. The quarter also included a net loss of $9.67 per share.
Despite the softer top line, P3’s stock edged up 1.2% after results were released, with investors reacting positively to the company’s identified EBITDA expansion opportunity of $120–$170 million, which management said strengthens its pathway to achieving profitability in 2026. Even so, the shares had dropped 8% in the previous session.
The decline in revenue was largely tied to a deliberate 10% reduction in at-risk membership, bringing the total to roughly 116,000 members. This move aligns with the company’s earlier plan to refine its payer mix and network. Still, on a per-member basis, funding improved 6% from a year earlier after adjusting 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 CEO Aric Coffman. “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.”
P3 posted a medical margin of $4.4 million, or $13 per member per month, pressured by unfavorable mid-year settlement adjustments. Adjusted EBITDA came in at a loss of $45.9 million, or $132 per member per month.
The company updated its fiscal 2025 guidance, forecasting revenue between $1.4 billion and $1.45 billion and at-risk membership between 112,000 and 117,000. Management now expects an adjusted EBITDA loss in the range of $95 million to $110 million for the full year.