Matthew Gillmor's questions to Surgery Partners Inc (SGRY) leadership • Q3 2024
Question
Matthew Gillmor of KeyBanc Capital Markets inquired about the pace of physician recruitment, which appears to be accelerating, and the typical maturity curve for new doctors. He also asked about the company's exposure to the Affordable Care Act (ACA) exchanges.
Answer
CEO J. Evans confirmed that 2024 is on pace to be a record year for physician recruitment, driven by data-led targeting and the appeal of the ASC model for high-acuity specialists. He noted that new physician cohorts typically double their revenue contribution in their second year. Regarding the ACA, Evans stated their exposure is relatively limited and they are well-positioned to deliver value regardless of future policy changes.