P3 Health Partners Inc. reported its third‑quarter 2025 results on November 14, 2025, showing a 5 % year‑over‑year decline in revenue to $345.25 million, down from $362.1 million in Q3 2024. The drop reflects a deliberate reduction in at‑risk membership, which fell to 116,000 from 123,000 in the prior year, as the company focuses on higher‑density markets.
The company posted an earnings‑per‑share loss of $9.67 for the quarter, missing the consensus estimate of $8.70 by $0.97. The miss is driven by a $45.9 million adjusted EBITDA loss, a 20 % increase in operating losses compared with the $38.5 million loss in Q3 2024, largely due to unfavorable mid‑year settlement adjustments and the impact of network rationalization on medical cost mix.
Medical margin for the quarter was $4.4 million, a sharp contraction from $30.6 million in Q2 2025, as the company’s Care Enablement Model has yet to fully offset the cost of expanding its physician‑led network. The medical margin per member per month (PMPM) was $13, well below the guidance range of $48–$59, indicating that the company’s pricing power remains limited in the short term.
Full‑year guidance remains unchanged: total revenue is projected between $1.4 billion and $1.45 billion, medical margin between $67 million and $82 million, PMPM between $48 and $59, and at‑risk members between 112,000 and 117,000. The guidance for adjusted EBITDA loss is a range of $110 million to $95 million, a slight narrowing that signals management’s confidence in cost discipline but also acknowledges ongoing headwinds.
CEO Aric Coffman emphasized that the company is “in the midst of a structural reset” and that the Care Enablement Model is “generating momentum” in the markets where it is deployed. He noted that the company’s focus on high‑density markets and the exit of non‑aligned provider groups are expected to improve margin performance over the next 12 months. Investors reacted negatively to the earnings miss and the continued loss outlook, reflecting concerns about the pace of the turnaround and the impact of settlement adjustments on near‑term profitability.
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