Thomas Walsh's questions to agilon health inc (AGL) leadership • Q1 2025
Question
Thomas Walsh, on for Andrew Mok, noted that Q2 EBITDA guidance implies different seasonality than in prior years and asked for color on the expected trajectory of medical margin and EBITDA throughout 2025.
Answer
CFO Jeffrey Schwaneke explained that direct comparisons to prior years are difficult due to significant prior period development that occurred in Q3 of last year. He stated the current budget is built on an incurred basis, which restates the timing of those costs and alters the seasonal appearance. He advised to expect a normal progression with higher profitability in early quarters and the highest medical costs in Q4.