Evolent (EVH) Q1 2026 Earnings Call Transcript

Motley Fool Transcribing, The Motley Fool

Fri, May 8, 2026 astatine 10:54 AM CDT 32 min read

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DATE

Thursday, May 7, 2026 astatine 8 a.m. ET

CALL PARTICIPANTS

• Chief Executive Officer — Seth Blackley

• Chief Financial Officer — Mario Ramos

Full Conference Call Transcript

Seth Blackley: Good morning, and convey you for joining us. Today, Evolent reported beardown archetypal 4th results that were successful enactment with our expectations. Our show reflects the continued absorption and subject with which we are executing the program we laid retired to you connected our telephone successful February. For the quarter, Evolent reported full gross of $496 million, representing 9% sequential maturation versus Q4 2025, excluding the divestiture of Evolent Care Partners oregon ECP, and adjusted EBITDA of $22 million, accordant with our expectations and the outlook we provided successful February. Our aesculapian disbursal ratio oregon MER for Q1 2026 was 93%, improving 150 ground points versus Q4 2025, excluding ECP.

This performance, we believe, underscores our disciplined execution and our content successful the increasing value and request for Evolent solutions successful the marketplace. Looking up to the afloat year, we consciousness assured successful our quality to proceed delivering against our outlook and priorities. Accordingly, we are reiterating our 2026 gross guidance scope of $2.4 cardinal to $2.6 cardinal arsenic good arsenic our adjusted EBITDA guidance scope of $110 cardinal to $140 cardinal and estimated MER volition beryllium astir 93% for the afloat year. Mario volition locomotion you done our fiscal results successful much item successful a fewer moments, but I archetypal privation to interaction connected respective cardinal concern highlights.

Starting with our caller Performance Suite launches, we had a palmy motorboat with Aetna connected January 1, supported by beardown collaboration with the Aetna team. While it remains early, archetypal indicators are encouraging with our objective involution and supplier engagement metrics supra our interior targets for Q1. We volition person greater visibility into the show implicit the people of the year, but we're blessed with the start. We're besides pleased to person launched with Highmark connected May 1. We person had large collaboration with the Highmark squad connected the launch, and I volition beryllium excited to springiness you a broader update connected Highmark successful the coming quarters.

Our pipeline for caller concern remains beardown arsenic we proceed to spot request for our products, specifically successful oncology. While the marketplace has seen immoderate affirmative developments this quarter, wide aesculapian inclination remains elevated for our program partners and oncology, successful particular, continues to beryllium 1 of the astir challenging categories for wellness plans to negociate arsenic they question to equilibrium prime outcomes with affordability. We judge Evolent is recognized arsenic a person successful helping wellness plans negociate some prime and outgo for crab care. Our caller wins with marquee plans similar Highmark and Aetna arsenic good arsenic our renewal rates with existing partners constituent to our marketplace presumption today.