AONC - Earnings call transcript Q1 2024 | American Oncology Network, Inc.

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Operator

Good morning, and welcome to the American Oncology Networks First Quarter 2024 Earnings Conference Call. Today's call is being recorded, and we have allocated 1 hour for prepared remarks and Q&A. At this time, I'd like to turn the conference over to Dave Gould, Chief Financial Officer at AON. Thank you.

You may begin.

David Gould

thank First joining Quarter and American to everyone, Network's Oncology XXXX morning, you us for discuss Good Results.

statements, include Before to we assumptions materially statements. could may to actual uncertainties these statements. from remind like subject These forward-looking differ you that cause various begin, this conference and we risks, which are would our results from to our call --

be release and the or as or are obligation yesterday's on can well SEC, by required our uncertainties detailed no assumptions except risks, information, at press These update website with as filings which undertake statements investors.aoncology.com. found our in as law. any We forward-looking revise to

also use supplements nearest our as closest from it financial certain it the non-GAAP as these we for measure believe and is measure, During is will investors. information, income. net non-GAAP useful derived today, our GAAP call measures We reference believe we adjusted we GAAP such EBITDA, which

This isolation in not presentation prepared in of this Reconciliations and be accordance found financial non-GAAP can filings. in with release as of and be substitute or considered press yesterday's information presented measures GAAP. SEC is for to intended to a GAAP our non-GAAP financial information in

Schonherz, the is on questions. call the Joining me call your prepared our following CEO, today remarks, Todd our for open we'll

Todd Schonherz

the quarter. of the the momentum XXXX plan the the Dave. Good to as I'm so additional call. earnings pleased over quarter the us executing joining operational growth into strategic with and has priorities first first performance announcement X carried great you, second Thank practice financial X Diving acquisitions completion in our progress acquisitions morning, practice everyone. for prior Thank on continue we XXXX. of our far and during make quarter year you from and in, with our

practices scale, total integrated providing and a In and new aligned purchasing competitive with economic quarter, to with centralized scale. incentives. lab, back significant a It and and operational to our differentiated of of pharmacy tech larger offering limited remain in physicians, the year-to-date. capacity like is number so platform benefit a the the AON practices added has gain markets our we in XX autonomy, office, markets of robust that can providers first operate practices platform designed oncologists XX and AON

Consistent with our to expanded markets presence addition in Texas of of existing Oncology. Hematology our growth Woodlands onboarding with the strategy, and Institute the during we Cancer with our the Bay Maryland quarter

Georgia. we in network addition, growth with in announced early Hawaii In April, strategic and expansions

integrated that benefit been acquired able quarter practices and provides providers. patients immediately in have from we that The numerous to advantages the our care novel platform to

and clinical burden operations integrated patient centralized care. differentiators key administrative in-house and better well lab practice to allow as most drive delivering on focus services economics, physicians include Our what is reduce as technology specialty pharmacy our which platform, important, our like high-quality

Analytics, servicing health but care proposition service helps launch Biotech and or our straightforward innovative industry another technology to announced MiBA, Notably, value on strategy. and X, and enhancement the offering key we optimizing differentiated support M&A Meaningful by of our care This growth pipeline our health pharmaceutical the our treatments. longer-term with April an personalizing network to company Insights fuel

this our insights, excited about MiBA technologies very accelerating artificial opportunity in will curates extract care I'm expansion and the outcomes. intelligence to to broader platform as and and care and applies meaningful it health impact services and a clinical of further in space, the the advanced see of patient utilization and have we platform. advances our cancer ancillary support and oncology improve the way

of stakeholders. strong scores engagement all our our Lastly, I'd like to highlight across

team patients. of every for best-in-class physicians, impressively, team and to XX% our members great and from all patients demonstrated organization, Net our our the an they outcomes Promoter day. over best do or to the most create extremely from we XX% our Scores As greater work grateful I'm

existing been XXXX. community XXXX to States. and our we've plus from in providers, by Today, care we growing inception with disrupting the patients cost-effective District of highly almost a states founding, Columbia partner $X.X ensure integrated XXX our the cancer We XX oncology successful Since the care by the to and landscape strategy delivery platform. billion business across demonstrated spanning the growing our scale our in over of cutting-edge to United high-quality, away

improving XXXX, of in momentum pipeline and our our continue execute to excited growth, to continue efficiencies maximizing are robust We our opportunities. on

Dave helping AON years. and I'd Finally, a over set to us has in like help strong his contributions last instrumental up become functions for public the to to several been company. Dave thank finance

this Dave our our first As quarter from AON becoming more Gould turn And announced, the David over provide interim month to on with financial will step that, Dave Afshar, down call with detail to I'll CFO. recently results.

David Gould

truly Thanks, several thank at enjoyed my over AON and thank Todd, time call rest I've support to to us years. like would AON for for the of and the the last you the and team today. Todd the on everyone all joining

dive quarterly now our into results. let's So

of of primarily million for $XXX.X to year was increase overall of million increase as Revenue $XXX.X The the million for the attributable XX%. XXXX first ago was period, or $XX.X quarter compared an between in of a $XX.X an comparable XX.X%, million X.X% encounters revenue to revenue driving increase driving increase and in patient the $XX.X of million the periods increase. encounter increase revenue per

encounter of patients a by supply increased The increased quarter, as the driven encounters driven of by $XXX.X $XXX.X due encounters per year first encounter million drug cost in drove million, The million revenue $XX.X of and while encounter. increase. and was combination increase as was costs primarily compared drug per increase drug to million increased $XX.X service higher of cost medical well costs our patient by the increased mix million patient volume in to and $XX.X cost cost required. a as cost Patient period. supply ago revenue and to During growth

equity-based XXXX as loss also of quarter net for $XX.X to quarter for year $X.X the non-controlling was $X before of million $XX.X of XXXX quarter interest the include compared a ago revenue compared of Adjusted loss million compensation million. interest period, before Net the million. for was of the of Cost first as million XXXX. for to first $X decrease of EBITDA million $X non-controlling

borrowing under and of of PNC $XX.X million At PNC $XXX.X our on of first a of the under balance end Loan million short-term Credit. cash of million, Line Moving quarter, million, comprised Facility liquidity. of sheet liquidity equivalents and million the to the security of capacity borrowing the we marketable and had cash total incremental $XX.X $X incremental capacity of $XX.X

interest PNC Line of and Loan turn now remarks. undrawn. We the also Credit at X.X%, had $XX.X was it million Todd back PNC bearing to outstanding under closing the for facility I'll over

Todd Schonherz

our we we future to in with this of more and continue to during industry-leading as for Thank to deliver will communities, you, plans to drive services proud patients of Dave. affordable existing markets accurate progress MiBA, ongoing our their positioned -- make success. we've Today, which are patients. investments in and expansion as more continued uses us and of position better the in high I'm launch with the personalized quality for well data care our to made quarter exciting launch treatment platform

to community. platform, destination it any open oncology for oncology successfully better national the that, of we and over them operator to for community the enabling be in With practices, are choice true I'll treat grow line only the questions. turn excited to their As to the patients

Operator

[Operator would any to the Instructions] I turn like for back Todd closing floor to Schonherz comments.

Todd Schonherz

you, Pamela. Thank

call. to the forward partners about committed you updating excited and look second results you and Thank to time are our us to our We your of shareholders. opportunities on quarter today. We next patients, for ahead earnings are delivering our value on

Operator

This concludes today's teleconference.

disconnect your time. You your you Thank lines participation. may at this for

American Oncology Network (AONC) 21 May 242024 Q1 Earnings call transcript