Astrana Health (ASTH) investor relations material

Industry challenges and market context

• U.S. healthcare is fragmented, inaccessible, and unsatisfactory for both patients and providers.

• Fee-for-service models create misaligned incentives and administrative burdens.

• Value-based care models often fail due to lack of visibility and control over contracting and claims.

• Regulatory changes in Medicaid and health insurance exchanges present headwinds, but consolidation favors efficient, high-quality organizations.

• Increased scrutiny on risk adjustment and utilization trends is shaping industry strategies.

Strategic vision and business model

• Focus on transforming fragmented healthcare into coordinated, high-quality care through a delegated risk model, aligning incentives for payers, providers, and patients.

• Operates a delegated risk platform acting as a single payer, managing provider networks and care coordination.

• Four-pillar strategy: membership growth, revenue per member growth, outcomes and cost management, and operating leverage.

• Three synergistic business segments: affiliate network, care delivery network, and enablement services.

• Disciplined execution on inorganic growth, including successful integration of acquisitions and realization of cost synergies.

Growth, financial performance, and expansion

• Expanded from California to sixteen markets nationwide, with a robust provider network and 1.6 million members in value-based arrangements.

• Revenue grew from $561M in 2019 to $2.03B in 2024, with 2025 guidance of $3.1–$3.18B.

• Adjusted EBITDA increased from $54.2M in 2019 to $170.4M in 2024, with 2025 guidance of $200–$210M.

• Achieved 33% revenue CAGR and 25%+ adjusted EBITDA CAGR over six years.

• Recent acquisition of Prospect Health added 600,000 members; integration and $12–$15M synergy target on track.