Juan Chee's questions to Oncology Institute Inc (TOI) leadership • Q2 2025
Question
Juan Chee from B. Riley Securities asked about TOI's observations on oncology cost trends, the revenue recognition timeline for the new Elevance contract in Florida, and the potential impact of PBMs shifting infusion drugs from medical to pharmacy benefits.
Answer
CEO Dan Vernick acknowledged that rising oncology cost trends create more opportunity for TOI to deliver value, and noted that TOI's own medical loss ratio (MLR) has remained stable due to its care management model. He confirmed that TOI is on track to begin recognizing revenue from the Elevance contract in Q4 2025. Regarding PBMs, Mr. Vernick explained that since TOI's risk is almost exclusively for Part B, any shift of drugs to Part D would move costs out of their risk pool, representing a net positive financial impact.