Agilon Health Reports Q3 2025 Revenue Decline to $1.4 Billion, Net Loss Improves

Agilon Health, Inc. reported its financial results for the third quarter of 2025, revealing a total revenue of $1.4 billion, a decrease of 1% from $1.45 billion in the same period last year. For the nine months ending September 30, 2025, total revenue was $4.36 billion, down 4% from $4.54 billion in the prior year. The company experienced a net loss of $110.2 million for the quarter, an improvement from a net loss of $117.6 million in Q3 2024. Year-to-date, the net loss reached $202.5 million, compared to a loss of $154.3 million for the same period in 2024.

The decline in revenue was attributed to a decrease in average membership, which fell by 4% to approximately 502,800 Medicare Advantage members, and a 13% drop in beneficiaries attributed to the Centers for Medicare & Medicaid Services' (CMS) Accountable Care Organization (ACO) models. Medical services revenue, which constitutes the bulk of the company's income, decreased by 1% in Q3 2025 and 4% year-to-date, primarily due to lower risk adjustment revenue and partnership exits in 2024. Despite these challenges, the company noted that new geographies began generating revenue, partially offsetting the declines.

Operationally, Agilon Health's expenses for the third quarter totaled $1.57 billion, slightly down from $1.58 billion in Q3 2024. Medical services expenses decreased by 1% to $1.49 billion, while other medical expenses rose significantly by 47% to $13.5 million, driven by increased partner physician incentive expenses. General and administrative expenses also saw a reduction of 11% to $56.2 million, reflecting cost management efforts. The company’s adjusted EBITDA loss improved to $91.5 million from a loss of $96.5 million in the prior year.

In terms of strategic developments, Agilon Health continues to focus on expanding its partnerships with physician groups and enhancing its operational model. The company operates 33 wholly-owned risk-bearing entities (RBEs) and is actively onboarding payors to its new data pipeline model, which aims to improve visibility into member risk profiles. As of September 30, 2025, the company had cash and cash equivalents of $171.7 million and marketable securities valued at $139.2 million, indicating a solid liquidity position to support ongoing operations and strategic initiatives.

Looking ahead, Agilon Health anticipates continued investments in its business model, which may lead to further operating losses in the near term. The company is committed to enhancing its Medicare-centric services and expanding its footprint in the healthcare market, while also navigating the challenges posed by fluctuating membership and evolving market conditions.