Evolent Health, Inc. (NYSE:EVH) Q2 2023 Earnings Call Transcript

John Johnson: Let me take that last one. Seth, maybe you can talk about how we’re integrating this into the broader strategy. But on – so on the fee schedule, Jailendra, there’s a bunch of stuff in there. That is net positive for primary care, inclusive of the ACO programs. So that’s good, and that should be supportive of growth, both our ACO and of that the overall product line. As we think about the share savings for 2022 at this point in the year, we typically have pretty good sense and line of sight into what that might be and have, of course, incorporated that into our guidance. Seth, do you want to talk about the strategy?

Seth Blackley: Yes. I’d just say in general, Jailendra, business is performing well, as John said, and we feel good about it. And things are top and bottom line feel good for this year, as John said, baked into the numbers. I think as you go forward and you go back to IR day and look at how we talked about the focus of the business, we have $150 billion TAM in the specialty side of the business, largely with private payers. And a lot of what we’re doing, whether it’s with formerly known as IPG, formerly known as Vital, Evolent Care Partners is stitching a lot of things together to go to serve payers’ needs in a more integrated fashion. So I think going forward, you’re going to hear us talk a little bit less about Evolent Care Partners as an entity and ACO is a thing by itself, while it’s still important, what we’re really thinking about is the $150 billion TAM, which integrating specialty and primary care is interesting.

And the things we can do for that, but that shows up less as an ACO and more in direct contracts with private payers, right. So I think just sort of setting the table for future quarters, that’s really going to be how we think about whether, again, it’s formerly known as IPG, formerly known as Vital, ECP, you’re going to really hear a lot more about just Evolent and how we’re stitching all of it together.

Jailendra Singh: Okay. Thanks a lot.

Seth Blackley: Thanks Jailendra.

Operator: That concludes our question-and-answer session. I would like to turn the conference back over to Seth Blackley for any closing remarks.

Seth Blackley: All right. Thanks for joining us tonight. We look forward to connecting with everybody out on the road. Have a good night.

Operator: The conference has now concluded. Thank you for attending today’s presentation. You may now disconnect.